BRICS Bank Expands: Algeria Becomes 9Th Member
(MENAFN- The Rio Times) Algeria has officially joined the BRICS New Development bank (NDB). The country's finance Ministry announced this decision on September 2, 2024.
NDB President Dilma Rousseff revealed Algeria's approval during the bank's ninth annual meeting in Cape Town, South Africa. This move marks Algeria's significant step towards global financial integration.
The ND , established in 2015, serves as an alternative to Western-dominated financial institutions. It aims to finance infrastructure and sustainable development projects in emerging economies.
Algeria's membership application began in July 2023. President Abdelmadjid Tebboune pledged a $1.5 billion initial contribution to the bank. This followed Algeria's unsuccessful bid to join the BRICS group itself in 2023.
The finance ministry cited Algeria's strong macroeconomic indicators as a key factor in securing membership. These indicators have shown remarkable performance in recent years.
Consequently, Algeria is now classified as an "upper-tier emerging economy." This classification strengthens its position within the international economic landscape.
As Africa's leading natural gas exporter, Algeria expects significant support for its economic growth from this membership.
Algeria Joins the New Development Bank
The NDB will offer new prospects to bolster Algeria's economy in the medium and long term. Algeria becomes the ninth country to join the NDB.
Other recent additions include Bangladesh, Egypt, the UAE, and Uruguay. This expansion reflects the growing influence of BRICS nations in global finance.
The move aligns with a broader trend of countries seeking alternatives to the U.S.-dominated financial system. It could potentially impact global energy markets and trade dynamics within the BRICS framework.
Furthermore, this membership enhances Algeria's regional position in North Africa. It forms part of Algeria's strategy to diversify its international partnerships and reduce economic vulnerabilities.
In conclusion, Algeria's NDB membership represents a significant shift in its economic diplomacy and global positioning. It opens new doors for Algeria's economic future and role in the evolving global financial landscape.
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