Former Brazilian President Dilma Rousseff has been reappointed as the President of the New Development Bank (NDB), the Shanghai-based financial institution established by the BRICS bloc. The decision follows Russian President Vladimir Putin’s endorsement, as reported by Agencia Brasil. Rousseff's term, initially set to conclude in July 2024, has now been extended for another five years.
“Congratulations, President Dilma Rousseff, on your reappointment as president of the New Development Bank. Under your leadership, the BRICS Bank has played an important role in the development of our countries,” stated Brazil’s newly-appointed Secretary for Institutional Relations, Gleisi Hoffmann, in a social media post.
Putin’s Strategic Endorsement
As per the NDB’s operational rules, the bank’s presidency rotates every five years among nationals of its founding members—Brazil, Russia, India, China, and South Africa. Russia was next in line to nominate a successor, but Putin proposed Rousseff’s continuation as a way to maintain stability within the bank amid geopolitical tensions.
During the closing ceremony of the 16th BRICS Summit in Kazan, Russia, Putin highlighted the importance of avoiding further economic pressure on Russia, stating that keeping Rousseff at the helm would ensure the smooth operation of the NDB during turbulent times.
Upcoming Major Moves by NDB
With Rousseff's leadership extended, the NDB is gearing up for a series of ambitious financial initiatives aimed at strengthening economic ties among its member states and expanding global partnerships.
Introduction of Local Currency Lending: The NDB is preparing to significantly increase loans in local currencies, reducing reliance on the US dollar and promoting financial independence among BRICS nations. This move aligns with BRICS' broader de-dollarization strategy.
Expansion to New Members: The bank is also actively pursuing new partnerships with developing economies in Africa, Latin America, and Asia. Countries like Saudi Arabia, Egypt, and Argentina have expressed interest in deepening their ties with the NDB.
Sustainability and Infrastructure Projects: A key focus will be on funding green energy and infrastructure projects across emerging economies. Investments in renewable energy, digital transformation, and climate resilience initiatives are expected to rise.
Strengthening Economic Resilience Amid Global Uncertainties: With ongoing geopolitical and economic shifts, Rousseff’s leadership will be crucial in navigating the bank through potential global financial instability and ensuring continued support for BRICS development programs.
Lula’s Endorsement of Rousseff
Brazilian President Luiz Inácio Lula da Silva originally nominated Rousseff for the role in early 2023 after assuming office for the third time. She took over from Marcos Troyjo, who was appointed during former President Jair Bolsonaro’s administration.
With her extended tenure, Rousseff is expected to play a pivotal role in reinforcing BRICS’ financial influence and pushing forward major reforms within the global economic order.
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