Ethiopia's cabinet endorses bill on BRICS New Development Bank accession

ADDIS ABABA, June 26 (Xinhua) -- The Ethiopian Council of Ministers on Friday unanimously endorsed a draft legislation that paved the way for the country's accession to the New Development Bank (NDB).

The Council of Ministers, the East African country's executive organ, said in a statement issued following its ordinary session that membership in the NDB would expand the country's access to diversified sources of development financing, particularly for infrastructure investment and priority development projects.

Accession to the bank would enhance the country's macroeconomic stability by broadening external financing options and reducing dependence on limited funding channels, it added.

The council further highlighted the NDB's role in strengthening the country's engagement with emerging South-South financial cooperation frameworks.

Following the council's unanimous endorsement, the legislation is expected to be formally ratified by the Ethiopian House of Peoples' Representatives, the lower chamber of the country's parliament, in the coming months.

Headquartered in Shanghai, the NDB was established by Brazil, Russia, India, China, and South Africa (BRICS) to mobilize resources for infrastructure and sustainable development projects in BRICS member nations, as well as in other emerging market economies and developing countries.

The bank's efforts complement those of existing multilateral and regional financial institutions dedicated to global growth and development.

Ethiopia officially joined the BRICS mechanism in January 2024. Ethiopian government officials and experts said that the country's membership in the BRICS family would enhance its access to more economic opportunities, drive growth, and address development challenges. Enditem