New Development Bank an assertion of BRICS’ political sovereignty: Kamath

The formation of the New Development Bank of the Brazil-Russia-India-China-South Africa grouping is an assertion of the Global South and its significance would be felt beyond the economic domain, K.V. As we go along, we will clearly look at membership on a wider framework, but I think these countries can be justly proud that this was an effort from the South to start with.” The New Development Bank was not an economic instrument alone, but an initiative that also symbolised an assertion of political sovereignty of the five emerging economies, Mr. Kamat said. I think all his comes together to signpost something that is significantly more than just economic change.” Mr. Kamath said he fully supported the “Belt and Road” connectivity initiative taken by China to establish new growth engines along the Eurasian corridor. It is an economic initiative and it is an economic initiative for the good of all of us.” When asked to comment on the relationship between the NDB and the China-led Asian Infrastructure Investment Bank, of which, India is also a founding member, Mr. Kamath said the two institutions are complementary rather than competitive. So actually I don’t think the word competition should be in our vocabulary.” Mr. Kamath stressed that the NDB and the AIIB “have been very close in terms of working together at the presidential level.” “Ultimately it is how you act and behave rather than anything documented which leads to a strong working relationship.” The NDB President also praised the World Bank and Asian Development Bank for being “extremely open in terms in giving their support and help.” On neoliberal thinking that markets play a self-corrective and self-regulatory role, Mr. Kamath said that the quantitative easing phenomena, and fixation of sub-zero interest rates “are all interventions, and not market interventions”.