BRICS Bank's $500 Million Crypto Loan: A First in 2024

• New Development Bank (NDB) Grants $500 Million Loan to India
• Details About the Loan and Planned Infrastructure
• BRICS Bank Expands Membership and Secures Additional Funding
• Argentina's Decision Regarding BRICS Membership

New Development Bank (NDB) Grants $500 Million Loan to India

In January 2024, India received a $500 million loan from the New Development Bank (NDB), also known as the BRICS bank. This loan has been allocated for the development of road infrastructure in the Indian state of Gujarat. With these funds, approximately 13,500 kilometers of rural roads will be constructed, designed to withstand harsh climates and equipped with resilient and innovative features.

Details About the Loan and Planned Infrastructure

NDB Chief Operating Officer Vladimir Kazbekov confirmed that a Memorandum of Understanding (MoU) will be signed with the Indian state regarding the loan. A portion of these funds will also be employed for the production of geosynthetics, geotextiles, geogrids, and lime stabilization materials. The use of these materials, in addition to bio-engineering measures and nature-based solutions, will significantly enhance the durability of the road infrastructure and its resistance to extreme climatic events.

BRICS Bank Expands Membership and Secures Additional Funding

The NDB has been in discussions with Saudi Arabia since May 2023 about securing fresh funding from the kingdom. As of October last year, Saudi Arabia was strategically added to the BRICS alliance, giving it more leeway to provide funding given its new member status. This year, the BRICS alliance expanded to include five more countries: Saudi Arabia, the United Arab Emirates (UAE), Egypt, Iran, and Ethiopia.

Argentina's Decision Regarding BRICS Membership

In contrast, Argentina chose not to join the BRICS alliance. The country's newly-elected President, Javier Milei, expressed skepticism about the alliance and declined the invitation for membership. This makes Argentina the only country to reject BRICS membership and abstain from participating in the grouping.

Edited by Jonathan Stoker