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Algeria becomes the ninth member of the New Development Bank (NDB)

With an emphasis on vital industries like clean energy and membership growth, NDB has approved investment projects totalling USD 40 billion would make these chances available to more countries

Deeksha Upadhyay 24 May 2025 12:42

Algeria becomes the ninth member of the New Development Bank (NDB)

NDB has authorized investment projects totaling USD 40 billion, focusing on essential sectors such as clean energy and expansion of membership would offer similar opportunities to additional countries.

Regarding NDB (Headquarters: Shanghai, China)

Genesis: 2015 by the BRICS nations: Brazil, Russia, India, China, and South Africa.

Purpose: It serves as a multilateral development bank aimed at mobilizing resources for infrastructure and sustainable growth initiatives in emerging markets and developing nations (EMDCs).

Participants: Brazil, Russia, India, China, South Africa, Bangladesh, UAE, Egypt, Algeria.

The membership is accessible to United Nations members, which encompasses both borrowing and non-borrowing members (Article 2 of the NDB).

Uruguay is identified as a potential member (approved by NDB’s Board of Governors but will formally join as a member), following the submission of its accession instrument).

Capital and Equity Distribution: From the total authorized capital of $100 billion, each of the five founding members possesses an equal portion amounting to $50 Billion.

Voting Authority: The collective voting authority of founding members must be no less than 55%.

Modern importance of Regional Financial Institutions Eco-friendly and Accessible

Progress: For instance, by 2024, India has approximately 20 active projects (worth $4.87 billion) backed by NDB, encompassing transport, water preservation, and so forth.

Connecting Infrastructure and Investment Shortfalls: Secure sustained funding for infrastructure. stimulate private investment, and address funding shortfalls.

Encouraging Regional Cohesion and Stability: Enable international collaboration collaboration, founding participant of NDB and AIIB has reinforced the South-South collaboration.

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