On October 22, 2024, New Development Bank (NDB) President, H.E. Mrs. Dilma Rousseff met with H.E. Mr. Vladimir Putin, President of Russia. The meeting was held on the sidelines of the 16th BRICS Summit hosted by Russia in Kazan. They discussed local currency financing, indebtedness in countries of the Global South and the need for an expanded BRICS to create a more interconnected and financially stable Global South.
In his welcoming remarks, President Putin acknowledged NDB’s achievements and said, “we hold in high regard the accomplishments you have achieved in recent years and the New Development Bank is a strong, evolving and promising financial institution”.
Highlighting the Bank’s impact, President Putin said, “since 2018, the Bank has funded about 100 projects, amounting to a total of $33 billion. The increase in the share of settlements denominated in national currencies helps reduce debt servicing costs, strengthen the financial independence of BRICS states, and minimise geopolitical risks”.
Responding with a keen awareness of the needs of emerging markets and developing countries, a geography which NDB is exclusively focused on, Mrs. Dilma Rousseff said, “I believe that this BRICS meeting is of significant importance. At present, the countries of the Global South are in considerable need of financial resources, and the conditions for securing such resources are rather challenging”.
Acknowledging NDB’s efforts in mobilising much needed financial resources for infrastructure and sustainable development in emerging markets and highlighting the gaps that remain, Mrs. Dilma Rousseff remarked, “we have indeed implemented and allocated a substantial amount of funds towards a variety of projects. However, this remains insufficient relative to the needs of the Global South. Therefore, it is crucial to provide funding in national currencies and in specialised formats. The New Development Bank is dedicated to this endeavour, funding not only sovereign projects but also private initiatives”.
Throughout the meeting, NDB President highlighted the Bank’s commitment to delivering on its mandate of mobilising resources for infrastructure and sustainable development projects, emphasising the importance of such initiatives for BRICS and other emerging market economies and developing countries.
“We are currently observing the BRICS group advancing through a new stage of its maturation. I am of the view that BRICS can also encompass additional countries from the Global South, enabling us to identify new areas and domains for cooperation. In this context, both the expansion of BRICS and our emphasis on ensuring the necessary financial resources for projects in the countries of the Global South are of paramount importance,” concluded Mrs. Dilma Rousseff.