NDB to add four new members as multilateral looks to grow
The New Development Bank will add at least four new member countries next month, with the likes of Bangladesh and Egypt leading the charge to join. A concerted focus on ESG and more private-sector lending are also on the cards for the Shanghai-based multilateral.
The New Development Bank (NDB) is about to get bigger.
Co-owned by Brazil, Russia, India, China and South Africa – the five original Brics nations – the Shanghai-based multilateral is poised to add up to five new member countries to its fold by the end of September.
The NDB’s boards of directors and governors, including its president Marcos Troyjo, met on July 19 to decide on the pace of expansion of the six-year-old institution.
Four countries – a mix of nations from Latin America, Asia, the Middle East and Africa – will definitely join during the next six to eight weeks, with a fifth addition a distinct possibility.
The new members will tick a number of boxes. They will be big and active borrowers from the IMF or the World Bank – in some cases both – and will have a substantial infrastructure deficit in areas such as 5G wireless telecommunications.
Bangladesh is widely tipped to become a new member of the NDB next month. Another strong candidate for inclusion in the expanded multilateral is Egypt, which has made huge strides since it secured an IMF bailout five years ago.