BRICS Bank Offers Developing Nations a Vital Alternative
New Development Bank Challenges Traditional Lenders with Inclusive Model
The New Development Bank (NDB) is providing developing countries with a crucial financial alternative, according to Brazil’s Ambassador to Ethiopia. The institution offers a pathway around the limitations of established multilateral lenders.
Addressing Global Financial Constraints
Ambassador Jamdyr Ferreira Santos highlighted the persistent lack of significant reforms in conventional financial institutions. He stated that this has historically restricted both the quantity and variety of credit available to emerging economies.
“In response to these limitations, the NDB has approved more than 120 investment projects worth over 40 billion USD since its establishment,” the ambassador stated. “These projects support critical sectors such as clean energy, energy efficiency, transportation, environmental protection, water supply, and infrastructure.”
A Political Statement Rooted in Practice
Jamdyr Ferreira Santos described the NDB as more than just an institutional achievement; he called it a profound political declaration grounded in action and principle.
“Rather than imposing policy conditionalities, the bank finances projects that align with the national priorities of its member states,” he explained. “It operates on a governance model of equal voting rights, avoiding the reinforcement of global inequalities.”
—Jamdyr Ferreira Santos, Brazilian Ambassador to Ethiopia
The NDB was founded in Brazil during the 2014 BRICS Summit in Fortaleza, symbolizing the commitment of emerging economies to tackle substantial financing gaps hindering sustainable development.
The bank serves as concrete proof that a more equitable global financial system is both achievable and necessary. It demonstrates that development approaches can be more inclusive and just.
The NDB’s lending is notable for its focus on sustainable development, aligning with the UN’s Sustainable Development Goals. For instance, in 2023, the bank committed over $5 billion to green projects alone, a significant portion of its total lending (NDB Annual Report 2023).
