Sunday, July 5, 2015

BRICS Summit Opens July 8th in Russia

The BRICS Summit held in Ufa, Russia is set to open on July 8th. This BRICSPOST article sets the stage for the Summit and also notes that Greece would like to become a member of the BRICS Development Bank (NDB). Below are some quotes from the BRICSPOST article.


"Representatives of global investment firms and bankers from the G20, the BRICS and the China-Russia-led security bloc SCO will attend a financial forum in Russia next week.
The Russian city of Ufa will host the BRICS and SCO Financial Forum where participants, including the new BRICS Bank President Kundapur Vaman Kamath, will discuss “the role of financial institutions in promoting the development of regions, supporting sustainable growth, innovation and social stability, and other important issues in global finance”, said an official statement.
The financial meet, to be held a day after the $100 billion BRICS Bank officially commences business, is being organised by Russian Vnesheconombank, which chairs the BRICS and SCO interbank associations.
The BRICS Bank will also offer loans to other middle- and low-income countries.
Membership of the BRICS Bank will be open to all members of the United Nations, subject to agreement from the bank’s board of governors, China’s Vice Finance Minister Shi Yaobin said in May.
“The establishment of the BRICS bank is a landmark event in financial cooperation, which will promote the BRICS countries and other emerging markets, and infrastructure construction and sustainable development in developing countries,” said Yaobin."
. . . . .
"Many countries, including Greece, have stated in recent weeks that they are keen to join the new BRICS development Bank, NDB.
In a new report on the Greece crisis, the IMF has argued on Thursday that a new bailout package for Greece by the EU must include debt relief.
“At a minimum, the maturities of existing European loans will need to be extended significantly while new European financing to meet financing needs over the coming years will need to be provided on similar concessional terms. But if the package of reforms under consideration is weakened further—in particular, through a further lowering of primary surplus targets and even weaker structural reforms—haircuts on debt will become necessary,” said the IMF report.
. . . . 
The New Development Bank will provide a financing alternative to the World Bank, where the five large emerging markets have sought more clout."

The Bank of Russia issues silver commemorative coins for 7th BRICS Summit in Russia [Image:]
My added comment:
It's hard to miss the less than subtle reference to the crisis in Greece in this article alongside the comment that "the New Development Bank (NDB) will provide a financing alternative to the World Bank". The World Bank and the IMF are widely viewed as western dominated financial institutions.

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