Putin: BRICS Bank and the AIIB will strengthen the global financial system

MOSCOW, Nov 17. The activities of the BRICS Bank and the Asian Bank of infrastructure investments will contribute to strengthening the resilience of the global financial system, said President Vladimir Putin.

“Russia actively participates in new financial institutions in the region — BRICS Bank and the Asian Bank of infrastructure investments. I’m sure their work will not only contribute to development in the Asia-Pacific region, but will also contribute to strengthening the resilience of the global financial system,” Putin writes in his article on the eve of the APEC forum.

“At the national level consistently engaged in creating the most comfortable business climate. These efforts received international estimates that over the last four years in the world Bank Doing Business ranking, Russia went up by 69 positions from 120th to 51st place”, — added the head of state.

The new development Bank created by BRICS countries in July 2014. The headquarters of the Bank located in Shanghai. The amount of paid up capital will amount to 10 billion dollars (the contribution of each of the five countries will amount to $ 2 billion), then if necessary it can be increased by 40 billion dollars.

Strap maximum possible capital was set at USD 100 billion. The main task of the Bank is to Finance infrastructure projects in BRICS and developing countries.

BRICS — an informal interstate Association of Brazil, Russia, India, China and South Africa. The total population of the BRICS countries — 2,83 billion people (42% of the global total).

The agreement establishing the Asian infrastructure investment Bank (AIIB) was signed on 29 June 2015, representatives of 57 countries-founders of the Bank. The largest share of votes in the Board of Directors of the Bank received China, India and Russia. The authorized capital of AIIB will be at the initial stage of 50 billion dollars, and then will be increased to $ 100 billion.