Skip to content 
Search

Latest Stories

BRICS bank puts all new transactions in Russia on hold

BRICS bank puts all new transactions in Russia on hold

THE New Development Bank (NDB) of the BRICS bloc has put all new transactions in Russia on hold citing the "unfolding uncertainties and restrictions", amidst the Ukraine crisis.

The NDB's move came a day after the Asian Infrastructure Investment Bank (AIIB) put on hold all its projects in Russia and its ally Belarus.

“The New Development Bank (NDB) applies sound banking principles in all its operations, as stated in its Articles of Agreement”, a statement by the bank posted on its website on Thursday (3) said.

“In light of unfolding uncertainties and restrictions, NDB has put new transactions in Russia on hold”, it said.

“NDB will continue to conduct business in full conformity with the highest compliance standards as an international institution,” it said.

The NDB was established by Brazil, Russia, India, China and South Africa (BRICS) to mobilise resources for infrastructure and sustainable development projects in BRICS and other emerging economies and developing countries.

On Thursday (3), the China-based AIIB put on hold all its projects in Russia and its ally Belarus.

The bank's decision was regarded as noteworthy considering that Russia is its third-largest shareholder behind China and India.

Former Reserve Bank of India governor Urjit Patel is the vice president for investment operations of the Beijing-headquartered AIIB. The bank is headed by former Chinese vice-minister for finance Jin Liqun.

"Our Bank is actively monitoring the situation and assessing its impact on AIIB's operations and our members' economies" as the Ukraine war unfolded, a press release posted on the bank's website said.

"We, the management, will do our utmost to safeguard the financial integrity of AIIB, against the backdrop of the evolving economic and financial situation," it said.

"Under these circumstances, and in the best interests of the Bank, Management has decided that all activities relating to Russia and Belarus are on hold and under review," the release said.

The bank has financed several projects in Russia and Belarus.

Explaining its decision to put the projects in Russia on hold, the AIIB said it is a multilateral organisation created by an international treaty, and adherence to international law lies at the very core of our institution".

"AIIB Management believes that multilateralism provides the best framework for countries to cooperate in dealing with common challenges and supporting development," it said.

"As the war in Ukraine unfolds, AIIB extends its thoughts and sympathy to everyone affected. Our hearts go out to all who are suffering," it said.

"AIIB stands ready to extend financing flexibly and quickly and support members who have been adversely impacted by the war, directly or indirectly," the release said.

"Economic spillover from commodity price shocks, financial market volatility and other factors may adversely impact our members' economic situation. We will work closely with our partner multilateral organisations to provide any needed support expeditiously," it said.

On Wednesday, the World Bank announced that it will stop all its programmes in Russia and Belarus with "immediate effect" in response to Moscow's military operations in Ukraine and "hostilities" against the people of the war-torn country.

A large number of countries, organisations and businesses are severing ties and have imposed sanctions on Russia over the country's invasion of Ukraine, and with Belarus for its support and cooperation with Moscow.

India’s largest bank, SBI, has also stopped transactions related to Russian entities under sanctions.


(PTI)

More For You

Bangladesh seeks US deal to shield garment industry from tariffs

Workers are engaged at their sewing stations in a garment factory in Savar, on the outskirts of Dhaka, on April 9, 2025. (Photo by MUNIR UZ ZAMAN/AFP via Getty Images)

Bangladesh seeks US deal to shield garment industry from tariffs

BANGLADESH, the world's second-biggest garment manufacturer, aims to strike a trade deal with the US before Donald Trump's punishing tariffs kick in next week, said the country's top commerce official.

Dhaka is proposing to buy Boeing planes and boost imports of US wheat, cotton and oil in a bid to reduce the trade deficit, which Trump used as the reason for imposing painful levies in his "Liberation Day" announcement.

Keep ReadingShow less
UK business district
The Canary Wharf business district including global financial institutions in London.
Getty Images

Bond yields ease following Starmer’s support for Reeves

THE COST of UK government borrowing fell on Thursday, partially reversing the rise seen after Chancellor Rachel Reeves became emotional during Prime Minister’s Questions.

The yield on 10-year government bonds dropped to 4.55 per cent, down from 4.61 per cent the previous day. The pound also recovered slightly to $1.3668 (around £1.00), though it did not regain all its earlier losses.

Keep ReadingShow less
modi-trump-getty
Modi shakes hands with Trump before a meeting at Hyderabad House in New Delhi on February 25, 2020. (Photo: Getty Images)
Getty Images

Indian exporters watch closely as Trump says trade deal with India likely

THE US could reach a trade deal with India that would help American companies compete more easily in the Indian market and reduce tariff rates, President Donald Trump said on Tuesday. However, he cast doubt on a similar deal with Japan.

Speaking to reporters on Air Force One, Trump said he believed India was ready to lower trade barriers, potentially paving the way for an agreement that would avoid the 26 per cent tariff rate he had announced on April 2 and paused until July 9.

Keep ReadingShow less
Kolhapuri sandal sales surge in India post Prada controversy

Customers shop for 'Kolhapuri' sandals, an Indian ethnic footwear, at a store in New Delhi, India, June 27, 2025. REUTERS/Adnan Abidi

Kolhapuri sandal sales surge in India post Prada controversy

INDIAN footwear sellers and artisans are tapping into nationalist pride stoked by the Prada 'sandal scandal' in a bid to boost sales of ethnic slippers with history dating back to the 12th century, raising hopes of reviving a struggling craft.

Sales are surging over the past week for the 'Kolhapuri' sandals that have garnered global attention after Prada sparked a controversy by showcasing similar designs in Milan, without initially crediting the footwear's origins.

Keep ReadingShow less
UK business district
The Canary Wharf business district including global financial institutions in London.
Getty Images

Economy grew 0.7 per cent in Q1 2025, fastest in a year

THE UK economy expanded at its fastest pace in a year during the first quarter of 2025, driven by a rise in home purchases ahead of a tax deadline and higher manufacturing output before the introduction of new US import tariffs.

Gross domestic product rose by 0.7 per cent in the January-to-March period, the Office for National Statistics (ONS) said, confirming its earlier estimate. This was the strongest quarterly growth since the first quarter of 2024.

Keep ReadingShow less