The BRICS countries agreed on the setting up of an exclusive bank for themselves and the developing world. The bank is also discussing to mobilize 4.5 trillion US dollars over the next five years to target mainly infrastructure projects in its countries. The development bank can also borrow from other banks to pitch in with much-needed capital. The final document on establishing the bank could be ready by next year and from then on it could take a few years for the bank to start its operations.
-- Besides, the BRICS nations say they will create a Contingency Agreement Fund. The Dow Jones news agency says China will contribute a share of 41 billion US dollars, followed by Brazil, Russia and India with 18 billion US dollars each, and South Africa with 5 billion. Each country's central bank is supposed to keep the fund's reserves as part of its own reserves. The money is meant to be used in emergencies only, as an alternative to the International Monetary Fund.
-- BRICS countries have launched the BRICS Business Council, the key institution expected to drive private sector investments among the five members. Analysts say the council will be crucial in boosting trade with each other from the current 360 billion U.S. dollars to 500 billion dollars by 2015. The proposed council will meet twice a year and the chairmanship will rotate every year.
Special Report:
President Xi Jinping's Four-nation Debut Tour
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