New Development Bank — NDB

UPSC Relevance: Economy

What is NDB?

The New Development Bank (NDB) was established by the BRICS countries.

It was formerly commonly called the BRICS Development Bank.

Founding Members

  • Brazil

  • Russia

  • India

  • China

  • South Africa

The five founding members joined in July 2015.

Headquarters

Shanghai, China

Objective

To finance:

  • Infrastructure

  • Sustainable development

  • Renewable energy

  • Transport

  • Water and sanitation

  • Other development projects

Expansion

Members now include:

  • Bangladesh

  • UAE

  • Egypt

  • Algeria

  • Uzbekistan

Uzbekistan joined in June 2026.

UPSC Significance

NDB represents:

  • South-South cooperation

  • Alternative development financing

  • Greater role for emerging economies

  • Sustainable infrastructure financing

NDB vs AIIB

NDB
→ BRICS-origin institution

AIIB
→ Asia-focused multilateral development bank with broader membership