Q. Consider the following statements regarding BRICS:
1. BRICS headquarter is in Beijing, China.
2. Fortaleza Declaration created New development Bank (NDB) & Contingent Reserve Arrangement (CRA).
3. In NDB, each participant country will be assigned one vote, and none of the countries will have veto power.
Which of the above statements is/are correct?
Statement 1 is incorrect: BRICS headquartered in Shanghai, China
Statement 2 is correct: To consider the increasing instances of global financial crisis, BRICS nations signed BRICS Contingent Reserve Arrangement (CRA) in 2014 as part of Fortaleza Declaration at Sixth BRICS summit.
- Also, Agreement for establishing the New Development Bank (NDB) with 100 billion US dollars have signed under this declaration. Objective is to have equal distribution from all the BRICS countries for mobilizing resources for infrastructure and sustainable development projects
Statement 3 is correct: each participant country will be assigned one vote, and none of the countries will have veto power. This is opposite to World Bank, which assigns votes based on the capital share