Brazil to host BRICS summit
Brazil will host Russia, India, China and South Africa on the back of the Fifa World Cup.
CAPE TOWN - Brazil's President Dilma Rousseff will host the BRICS summit this week on the back of the Fifa World Cup.
The BRICS grouping is expected to launch its own development bank amid claims either Shanghai or New Delhi will be named as the bank's possible headquarters.
Leaders of the BRICS group of nations are expected to finalise the establishment of a development bank during the summit.
The bank's main objective would be to finance infrastructure projects.
Despite their agreement on the need for a bank, the five countries Brazil, Russia, India, China and South Africa appear to be split on where it should be headquartered.
Last week, Trade and Industry Minister Rob Davies said South Africa would put forward a strong case for the bank to be located in Johannesburg.
He says reports that the bank will be located either in Shanghai or New Delhi were mere speculation, because no decision had been taken.
Davies's ambassador Anil Sooklal, who coordinates South African efforts in BRICS says, "The location of the bank is still under discussion. That is one of the issues that will be considered by the heads of state and government at the summit."
He says the new bank will complement the work of the World Bank rather than compete with these established institutions.
Meanwhile, China is confident it will provide Shanghai as the venue for the BRICS development bank to be launched.