Consider the following statements:
- New Development Bank has been set up by APEC.
- The headquarters of New Development Bank is in Shanghai.
Which of the statements given above is/are correct?
- 1 only
- 2 only
- Both 1 and 2
- Neither 1 nor 2
Explanation
Statement 1 is incorrect
- NDB (BRICS Bank) formally came into existence as a legal entity in 2015 on the eve of the Ufa summit.
- It was established by BRICS member states in 2016.
Statement 2 is correct
- It has its headquarters in Shanghai, China.
- In 2018, the NDB received observer status in the UN General Assembly.
- Its objective is to support the infrastructure and sustainable development projects in BRICS and other emerging economies, as well as in developing countries.
- The NDB President is elected on a rotational basis from one of the founding members, and there are four Vice Presidents from each of the other four founding members.
- K.V. Kamath from India was the first elected president of the NDB.
- All members of the United Nations could be members of the bank; however, the share of the BRICS nations can never be less than 55% of voting power.
