India and BRICS 2026
India Can Use NDB to Deepen BRICS Cooperation: The 18th BRICS Summit was held at Bharat Mandapam, New Delhi, on 12 September 2026, with India holding the BRICS chair. For New Delhi, the grouping presents both an opportunity for greater cooperation among emerging economies and a challenge because of the growing influence of China within the bloc.
India can strengthen BRICS without directly advancing Beijing’s strategic objectives by concentrating on practical economic institutions, particularly the New Development Bank (NDB).
BRICS Representation Gap
BRICS has acquired considerable economic and demographic weight, but this influence is not fully reflected in global financial institutions. In 2011, the original five BRICS members accounted for around 20% of global GDP, while their combined voting share at the IMF was only about 11%.
Following expansion, BRICS now represents nearly 40% of global GDP and around 55% of the world’s population. However, its influence in IMF voting structures has not increased proportionately.
Static GK fact: The IMF voting system determines members’ financial contributions, voting power, access to financing and allocation of Special Drawing Rights, with quotas forming the central basis of representation.
Different Visions Within BRICS
BRICS does not have a completely unified geopolitical identity. China, Russia and Iran generally favour a stronger anti-Western orientation, while India, Brazil and South Africa have traditionally supported a broader non-Western approach.
For India, directly joining a geopolitical campaign against the dollar could complicate its important economic and strategic relationship with the United States. A more practical approach is therefore to strengthen BRICS institutions that provide development benefits without turning the grouping into an explicitly anti-Western platform.
New Development Bank
The NDB was established in 2015 by the original BRICS members to mobilise resources for infrastructure and sustainable-development projects in emerging and developing economies.
It is one of BRICS’ most tangible institutional achievements. Strengthening the NDB could give the grouping greater relevance in global development finance while avoiding an unnecessary direct confrontation with existing international financial institutions.
NDB Performance Challenges
Despite operating for about a decade, the NDB remains smaller than the Asian Infrastructure Investment Bank (AIIB) in several areas. The NDB has approved around 139 projects with commitments of approximately $43 billion, compared with about 350 projects and $69 billion in commitments for the AIIB.
Only around $20 billion of NDB-approved financing has reportedly been disbursed, highlighting the challenge of converting commitments into actual development spending. China and India together account for about 51% of the active portfolio, while transport infrastructure represents the largest sectoral share.
Capital and Membership
Increasing paid-up capital from the founding members could strengthen the NDB’s lending capacity. However, Russia’s sanctions-related financial constraints make it difficult for Moscow to match larger capital commitments.
The NDB’s governance structure also requires equal voting shares among the founding members. New members can bring additional capital, but the founders’ combined voting share cannot fall below 55%.
Static GK Tip: The NDB is headquartered in Shanghai, China, while its first regional office was established in Johannesburg, South Africa.
Local Currency Lending
Local-currency financing is another area where India can shape BRICS cooperation. It can reduce borrowers’ exposure to exchange-rate volatility without requiring the complete replacement of the US dollar in international transactions.
The NDB’s 2022–26 General Strategy targets around 30% of lending and borrowing in members’ local currencies. However, much of its existing local-currency activity has been concentrated in the Chinese renminbi.
India can therefore promote greater use of the rupee through a stronger NDB rupee-bond programme. A proposed rupee bond initiative announced in March 2026 aimed to mobilise around ₹25,000 crore over five years.
India’s NDB Opportunity
The NDB has already committed nearly $10 billion across 32 projects in India, including urban transport projects and the Delhi–Ghaziabad–Meerut RRTS corridor.
For India, expanding NDB membership, increasing development lending, strengthening local-currency financing and promoting rupee-denominated bonds could provide a practical path to make BRICS more effective while maintaining its non-Western rather than anti-Western character.
Static Usthadian Current Affairs Table
India Can Use NDB to Deepen BRICS Cooperation:
| Fact | Detail |
| BRICS Summit 2026 | Held at Bharat Mandapam, New Delhi |
| NDB Established | 2015 |
| NDB Purpose | Infrastructure and sustainable-development financing |
| NDB Projects | Around 139 approved projects |
| NDB Commitments | Approximately $43 billion |
| NDB Disbursement | Around $20 billion |
| India NDB Portfolio | Nearly $10 billion across 32 projects |
| Local Currency Target | 30% of NDB lending and borrowing under 2022–26 strategy |
| Proposed Rupee Bond | Around ₹25,000 crore over five years |
| Founders’ Voting Share | Cannot fall below 55% collectively |
| Major Challenge | Limited capital, slow disbursement and concentration of local-currency activity |
| Strategic Importance | Strengthening BRICS economic cooperation without directly advancing geopolitical rivalry |
