About New Development Bank

Formation: July 2014 (Treaty signed)
July 2015 (Treaty in force)
Type: International Financial Institution

Headquarters: Shanghai , China
Membership:
Brazil
Russia
India
China
South Africa

President: K.V. Kamath

The New Development Bank (NDB) , formerly referred to as the BRICS Development Bank , is a multilateral development bank established by the BRICS states ( Brazil , Russia, India, China and South Africa ). According to the Agreement on the NDB, "the Bank shall support public or private projects through loans , guarantees, equity participation and other

financial instruments. " Moreover, the NDB "shall cooperate with international organizations and other financial entities, and provide technical assistance for projects to be supported by the Bank."

The bank is headquartered in Shanghai , China.
The first regional office of the NDB will be opened in Johannesburg, South Africa.

HISTORY

The idea for setting up the bank was proposed by India at the 4th BRICS summit in 2012 held in Delhi. The creation of a new development bank was the main theme of the meeting.
BRICS leaders agreed to set up a Development bank at the 5th BRICS summit held in Durban, South Africa on 27 March 2013.
 According to Devex, the name of the bank is believed to have been proposed by Indian Prime Minister Narendra Modi.
On 15 July 2014, the first day of the 6th BRICS summit held in Fortaleza , Brazil, the BRICS states signed the Agreement on the New Development Bank, which makes provisions for the legal basis of the bank.
On 11 May 2015, K. V. Kamath was appointed as the President of the bank.

The 7th BRICS summit in July 2015 marked the entry into force of the Agreement on the New Development Bank.