BRICS countries are major investors in Africa, according to Russian Foreign Minister Sergey Lavrov, who said Moscow also expects the bloc’s New Development Bank (NDB) to operate on the continent very soon.
On 17 August 2017, the New Development Bank officially opened Africa Regional Center (ARC) in Johannesburg. The Bank is aiming to establish the ARC as an important contributor to sustainable infrastructure development in South Africa and as a useful participant in the development agenda of the continent.
Russia expects the NDB to operate not only in the Republic of South Africa (RSA), but in other countries of the continent in the future, particularly through the Africa Regional Center (ARC),
The Central Bank of Russia launched an initiative to create a joint digital currency for BRICS countries and the Eurasian Economic Union (EEU). BRICS cryptocurrencies could replace the US dollar and other currencies used in settlements among the member states.
The BRICS countries consider switching to local currencies for mutual settlements with the Chinese yuan as the lead currency. The New Development Bank (NDB) is expected to be a substantial player in the process.
The five banks of the BRICS Interbank Cooperation Mechanism have agreed to establish local currency credit lines. African countries being “increasingly interested in deepening practical cooperation with the five (BRICS) states.”
The BRICS countries (Brazil, Russia, India, China and South Africa) created the New Development Bank in July 2014. It funds infrastructure projects within the bloc. The bank’s capital is up to $100 billion.
The first project was a $811 million loan for a rooftop solar power project in China. NDB is also considering two Russian projects worth over $500 million.
RT.com / AA Magnum Development News 2018.