SA to host first Brics bank centre

Cape Town 101028. Deputy Finance Minister, Nhlanhla Nene is his 120 Plein Street office. PHOTO SAM CLARK, CA, Gaye Davis

Cape Town 101028. Deputy Finance Minister, Nhlanhla Nene is his 120 Plein Street office. PHOTO SAM CLARK, CA, Gaye Davis

Published Jul 17, 2014

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Johannesburg - All five Brics (Brazil, Russia, India, China, South Africa) countries would have wanted to host the bloc's development bank, Finance Minister Nhlanhla Nene said on Thursday.

“The beauty of being a collective is you need to understand, this is in the interest of all five countries,” he told reporters in Midrand.

“We all would have loved to host it (the headquarters) here but the important thing is what the bank is going to do.”

A regional centre would be located in Johannesburg and benefit South Africa and the African continent, Nene said.

“South Africa welcomes the establishment of the bank and is excited about the economic potential that this institution will bring to the continent.”

The bank was formally established at the sixth Brics summit in Fortaleza, Brazil.

It would have authorised capital of US$100 billion, and subscribed capital of US$50 billion.

Its main focus would be infrastructure investment and sustainable development projects.

The headquarters would be located in Shanghai, China, with both the headquarters and regional office to be established concurrently, before the first loan was disbursed.

Trade and Industry Minister Rob Davies had said before the summit that South Africa would lobby for the bank's headquarters to be in South Africa.

Nene said while this did not happen, all member countries had expressed confidence about the same possibility. - Sapa

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