Egypt joins BRICS' New Development Bank

Friday, December 9th 2022 - 08:24 UTC

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Egypt is alongside Argentina among the countries interested in joining the bloc

The government of Egypt announced this week that the country was joining the New Development Bank created by the BRICS bloc.

Egypt's cabinet approved during Wednesday’s meeting chaired by Prime Minister Mostafa Madbouly a draft decision from President Abdel Fatah Al Sissi greenlighting an agreement to establish the New Development Bank, affiliated to the BRICS bloc, and Egypt’s accession document to the bank.

“The cabinet approved a draft decision of the President of the Republic on the ratification of the agreement establishing the new BRICS group development bank. and the document of Egypt's accession to the bank,” Cairo said in a statement.

Egypt's Finance Minister Mohamed Maait affirmed his country's willingness to cooperate with international development partners, especially in light of the “unprecedented development movement” Cairo was witnessing.

BRICS established the New Development Bank in 2014 to finance infrastructure and sustainable development projects both within the alliance and in other developing countries. On July 21, 2015, it began operations in Shanghai, China.

In addition to the founding countries of BRICS (an acronym for Brazil, Russia, India, China, and South Africa), other nations interested in joining the economic bloc are Argentina, Algeria, Iran, Türkiye, Indonesia, Saudi Arabia, and Egypt.

The NDB works to support sustainable development and enhance regional cooperation and integration by investing mainly in the field of infrastructure, which includes various sub-sectors such as energy, transport, water, and communications, in addition to expanding its operations to include the health and social infrastructure sectors. The bank also works in digitization, due to the negative economic effects resulting from the COVID-19 pandemic crisis on the global economy.

According to Beijing, BRICS' expansion would increase the influence and representativeness of the economic-trade association and demonstrate its inclusive and open character.