BRICS Bank Eyes Syndicated Loan worth $1.25 Billion

The multilateral bank founded by the BRICS group of emerging market countries is eyeing its first-ever syndicated loan, according to Bloomberg.

The New Development Bank, headquartered in Shanghai, is considering raising $1.25 billion in financing through a three-year dollar-denominated loan, according to Bloomberg. 

The proceeds may be used to finance infrastructure and renewable energy projects in Brazil, China, India and South Africa, in addition to Egypt and Bangladesh, according to those familiar with the matter.

"Interested banks in Asia and the Middle East have been invited to submit their pledges by the end of November."

The New Development Bank, which sold $1.25 billion in green bonds in April, is looking to recruit members and provide more loans in local currencies. According to its website, the bank currently has 8 members. Meanwhile, other countries, including Saudi Arabia and Iran, were invited last August to join the BRICS group, which consists of 5 countries.