NEW DELHI: BRICS nations on Thursday decided to examine the viability of a development bank for developing countries, besides agreeing to make it a little simpler for those trading within the group by settling transactions in local currency.But in both cases, the outcome fell short of expectations as four members - India, Russia, Brazil and South Africa - seemed to fear the clout that China would enjoy if the proposal to set up a bank and move to a single currency went through.
As a result, finance ministers have been tasked to study the feasibility of a multilateral agency modeled on the lines of the World Bank or the Asian Development Bank to generate resources for funding infrastructure and core sector projects in the BRICS nations as well as other emerging economies. The idea is also to ensure adequate financing during a period of global economic uncertainty. The joint working group will submit a report at the next meeting, a joint declaration said. Read More
