This refers to the report "BRICS agrees to form development bank" (March 28). The decision of the BRICS grouping of nations to establish a development bank to finance infrastructure and create a $100-billion contingency reserve are steps in the right direction for the economic stability of fast-developing countries. The member-countries have walked the extra mile during the summit by going beyond political diplomacy to imperative economic initiatives. To keep away the onslaught of the economic debacle experienced in different regions repeatedly - and on a recurring basis - progressing countries need to insulate themselves by forming workable economic forums that can contribute to their common benefit.
Their economic initiatives can do much for the developing countries, considering the fact that the five member-countries are spread across Asia, Europe, Latin America and Africa, giving a perfectly balanced representation, and with Egypt showing its willingness to join the group. The programme put forward by the BRICS forum can be a signboard to developed countries, whose sole interest will be pushing and passing their agenda. The developing countries need more funding activity in the infrastructure development for growth, and the BRICS bank working mainly as an agent in this direction is the need of the hour. This can contribute to the mitigation of the currency risk, as well.
P K Viswanathan Chennai
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