Business Breakfast Connects NDB with Strategic and Potential Partners in South Africa
On 16 August 2017, strategic and potential partners of the New Development Bank gathered at a Business Breakfast organized by the NDB in Johannesburg, South Africa on the eve of the official opening of the NDB Africa Regional Center (ARC).
The Business Breakfast was attended by Mr. Sfiso Buthelezi, Deputy Minister of Finance, NDB Alternate Governor, ambassadors, business leaders, members of BRICS Business Council and other honorable guests.
In his speech, the NDB President Mr. K.V.Kamath highlighted that the Bank will continue to consolidate and strengthen its foundation, and the NDB’s activities are firmly guided by its founders’ vision and their commitment to finance green, sustainable and environmentally friendly projects. “Most of the things that we are trying to do at our Bank are green, and the projects that we tried to do are sustainable,” he stressed. The NDB President also emphasized the importance of local currency financing for the Bank’s members and other developing countries.
“NDB is working with the Government of South Africa and other partners in strengthening its project pipeline, focusing on such sectors as water, transport, energy and urban development,” said NDB VP, COO Mr. Xian Zhu.
Africa Regional Center of the New Development Bank will be officially opened in Johannesburg on 17 August 2017. 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.
The ARC’s initial emphasis will be on identification and preparation of sustainable infrastructure projects in South Africa in line with recently approved General Strategy of NDB, as well as other projects that fall within the mandate of the Bank.
The NDB was established by Brazil, Russia, India, China and South Africa to mobilize resources for infrastructure and sustainable development projects in BRICS and other emerging economies and developing countries, complementing the existing efforts of multilateral and regional financial institutions for global growth and development. To fulfill its purpose, the NDB will support public or private projects through loans, guarantees, equity participation and other financial instruments.
Since starting of its operations in July 2015, the NDB has been focusing on building a strong institutional foundation for the Bank’s work. The NDB has progressively put in place the necessary policy and administrative measures and commenced lending and borrowing operations.
To date, the NDB Board of Directors approved seven projects in all member states, for a total of over USD 1.5 billion in the areas of renewable and green energy, and transportation.
In July 2016, the NDB successfully issued the first onshore bond in China for an amount of RMB 3 billion (approx. USD 445 million). The choice to issue green bond as the first capital markets transaction of the Bank was in line with its mandate to promote infrastructure and sustainable development projects and was supported by the fact that all the projects approved in the first half of 2016 were in the green sector.