Zimbabwe begins formal talks to join BRICS New Development Bank
Harare, May 16
The Zimbabwean government has begun formal negotiations for membership to the BRICS New Development Bank, Minister of Finance, Economic Development and Investment Promotion Mthuli Ncube said in a statement on Saturday.
The minister said that Zimbabwe had received official communication from New Development Bank President Dilma Rousseff, confirming the start of the accession process and outlining the next steps toward full membership.
"The government of the Republic of Zimbabwe welcomes the decision by the Board of Directors of the New Development Bank authorising the commencement of formal negotiations regarding Zimbabwe's membership of the Bank," Ncube said, Xinhua news agency reported.
He noted that the landmark development represents a major milestone in Zimbabwe's engagement and re-engagement agenda, reflecting growing international confidence in the country's economic reform program, macroeconomic stability, and private sector-driven investment growth strategy.
Membership in the New Development Bank is expected to strengthen Zimbabwe's capacity to mobilise long-term development financing for key national priorities in line with the country's vision to become an upper-middle-income economy by 2030, the minister said.
"The commencement of formal negotiations also advances Zimbabwe's broader efforts to deepen South to South win-win cooperation with emerging economies and integrate into the fast-evolving global technological and financial revolution associated with BRICS," Ncube added.
Zimbabwean President Emmerson Mnangagwa announced in 2023 that the country had applied to join the New Development Bank, a multilateral financial institution established in 2015 by the BRICS members.
The bank's main purpose is to fund infrastructure and sustainable development projects in BRICS countries, as well as other emerging economies and developing nations.
Meanwhile, Last month, the International Monetary Fund (IMF) management approved a 10-month Staff Monitored Program (SMP) for Zimbabwe, aimed at anchoring macroeconomic stability and advancing the country's re-engagement with the international community.
The program is designed to help Zimbabwean authorities build a credible track record of policy implementation. This serves as a critical stepping stone toward a potential Fund-supported financial arrangement and a comprehensive roadmap for arrears clearance.
The IMF stated that the SMP will help lay the foundations for strengthening the monetary policy framework, including measures to promote the demand for the Zimbabwe Gold (ZiG). "The program will support efforts to maintain low and stable inflation and preserve progress in easing foreign exchange market pressures," the IMF said.
— IANS
Reader Comments
Interesting development. While it's good to see an African country exploring alternative funding sources, I'm a bit concerned about Zimbabwe's track record with economic governance. The IMF's Staff Monitored Program shows there are still major challenges. I hope the NDB performs thorough due diligence before committing funds. Transparency will be key.
As an Indian, I'm proud to see BRICS expanding its influence. The NDB is a great example of how emerging economies can create their own institutions. But let's be honest—Zimbabwe needs to sort out its currency issues first. The ZiG and the IMF program show they're trying, but joining a bank won't solve everything. Hope they use this opportunity wisely. 🤞
While I support multilateralism, I'm skeptical about BRICS countries' own internal economic challenges. India and China have different agendas, and Russia is under sanctions. Can the NDB really provide the kind of stable, long-term financing Zimbabwe needs? The IMF program is a step in the right direction, but this feels like a political move more than an economic one.
From an Indian perspective, this is exactly what we need more of. The West has had too much control over global finance for too long. BRICS offers a fairer alternative. Zimbabwe joining shows that the Global South is finally coming together. But I do hope they focus on sustainable projects like solar power and water management, not just flashy infrastructure. Let's see how this plays out!
I'm cautiously optimistic. Zimbabwe has immense potential—rich in minerals and agricultural land. If the NDB can
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