Experts push for BRICS development bank

It’s high time emerging donors consider creating new financial institutions that will support their own development and that of developing countries.

The establishment of a development bank and investment fund, among other financial institutions, was one of 18 recommendations put forward by experts who attended the 4th BRICS Academic Forum in New Delhi, India. BRICS refer to the group of emerging countries consisting of Brazil, Russia, India, China and South Africa.

Several of these countries already have their own development agencies, or are at least working on plans to set up such agencies. The new financial institutions, as recommended by the forum, could further boost BRICS’ role and influence in the international community.

Experts at the forum said such institutions can help BRICS and developing countries deal with financial shocks better given the current eurozone crisis, among other global financial issues. The institutions could also serve as alternatives sources of support for socio-economic development and eventually become global benchmarks for best standards and practices, the experts said, according to News Track India.

In addition to the creation of these institutions, the forum urged BRICS leaders to improve cooperation in the global health field and in addressing food security issues such as price volatility. The forum’s recommendations are set to be considered by leaders of Brazil, Russia, India, China and South Africa at their meeting later this month in New Delhi.

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    Ivy Mungcal

    As senior staff writer, Ivy Mungcal contributes to several Devex publications. Her focus is on breaking news, and in particular on global aid reform and trends in the United States, Europe, the Caribbean and the Americas. Before joining Devex in 2009, Ivy produced specialized content for U.S. and U.K.-based business websites.