Analysing the BRICS new development bank's response to COVID-19

Abstract

In the main, BRICS (as an emerging global superpower) derives its strength from the New Development Bank (NDB)- the primary key driver of the economies of BRICS member states. In general, it contributes to loans and investments as the economic stimulus package of the BRICS member states and their regional partners. Despite the NDB being the principal driver of BRICS on the economic front, providing the bulk of economic growth in the BRICS community, it is exposed to COVID-19 challenges in development financing. Yet, it has to cope with the demands of the BRICS community. The main research question of this study is whether the NDB can recover from the economic loss caused by the COVID-19 pandemic and transcend these consequences to fulfil its developmental mandate, especially its contribution to Africa and other regions in the Global South. Using the NDB as a case study underpinned by economic and sustainable development, the study underscores that the NDB is susceptible to financial challenges and, therefore, it is in under economic distress to meet the demands of the BRICS member states. Based on the findings, there is a need to strengthen the resilience of the NDB to make a practical contribution to the Global South and beyond.