Leaders of the so-called Brics nations - Brazil, Russia, India, China and South Africa - are meeting in Durban to discuss the formation of a new development bank.
Vladimir Putin said a development bank would help boost trade between Brics nations
The bank would fund infrastructure and development projects throughout the developing nations.
Negotiations will focus on where the bank will be based and how much capital it will have.
It would be the first formal institution of the Brics group.
Some commentators see the bank as a potential rival to the World Bank.
Growth potential
Speaking in Durban before negotiations began in earnest, Russian President Vladimir Putin highlighted the economic success of the five nations.
"The common annual economic growth rate in 2012 constituted 4%, in contrast to the 0.7% of the [biggest] seven financial countries," he said.
"Russia calls for using the economic potential of Brics more effectively, with the backing of business for increasing the volumes of mutual trade, investment and broadening industrial and technological co-operation. Certainly, the creation of a Brics development bank [would support] this task."
He added that any bank would have to work "exclusively based on market principles and offer support to the business community of all of our countries".
Reports suggest the bank would have access to $50bn (£33bn) in capital.
No comments:
Post a Comment