Articulating a Vision for a Progressive BRICS Development Bank

Amidst calls for reform of international financial institutions and failure of existing development banks to satisfy the development financing needs of developing countries in general, and BRICS in particular, the BRICS leadership at their 5th Summit in Durban in March 2013 announced the establishment of a BRICS Development Bank. While details regarding the mandate, governance structure, etc. of the proposed bank are still being worked out, this report tries to propose a vision for a progressive BRICS Development Bank based on case studies of two regional development banks – the Asian Development Bank (ADB) and the Development Bank of Latin America (CAF) – as well as semi-structured expert interviews. What kinds of practices and norms can the New Development Bank seek to replicate and adapt from these two banks, and what should it be doing differently? A number of proposals have been put forth in this report. The concluding part points to some of the challenges that the BRICS will have to effectively address as well as details they would have to meticulously and mutually negotiate because these would determine whether the proposed bank remains a proposal or becomes a thriving reality.