(a) Whether Brazil, Russia, India, China and South Africa (BRICS) nations have set
up/propose to set up BRICS Development Bank;
(b) if so, the details thereof along with the objectives behind setting up such Bank;
(c) the benefits likely to accrue to India on establishment of such Bank; and
(d) the time by which the said Bank is likely to be set up and operationalised?
MINISTER OF STATE IN MINISTRY OF FINANCE (SHRI NAMO NARAIN MEENA)
(a):Yes, Madam.
(b) & (c): In March, 2012 BRICS Leaders directed their Finance Ministers to consider the
possibility of setting up a new Development Bank for mobilizing resources for infrastructure
and sustainable development projects in BRICS and other emerging economies and developing
countries to supplement the existing efforts of multilateral and regional financial
institutions for global growth and development. In March, 2013 BRICS Leaders expressed
their satisfaction regarding establishment of a New Development Bank being feasible and
viable. They further agreed to establish the New Development Bank with initial capital
contribution being substantial and sufficient for the bank to be effective in financing
infrastructure. The objective for establishing such bank is for mobilizing resources for
infrastructure and sustainable development projects in BRICS and other emerging economies
and developing countries, and to supplement the existing efforts of multilateral and
regional financial institutions for global growth and development.
(d): The proposed Bank is a multilateral arrangement which will be set up on the basis of
an international agreement. Any action on this will be subject to negotiations to be
conducted among BRICS member countries at the negotiation meetings. The conduct, time
frame and final outcome of these negotiations are not a matter within the exclusive
jurisdiction of the Government of India.