Multiple Choice Questions

With reference to New Development Bank NDB consider following statements NDB is a BRICS initiative t...........

Finance (Phase -I & II) Financial Institutions

With reference to New Development Bank(NDB), consider following statements

NDB is a BRICS initiative to mobilize resources for infrastructure and sustainable development projects in BRICS nations.
Voting power of each member in NDB is equal with respect to the number of its subscribed shares in capital stock.

Select the correct statement.

1 only

2 only

Both

None

At the fourth BRICS Summit in New Delhi (2012), the leaders of Brazil, Russia, India, China and South Africa considered the possibility of setting up a new Development Bank to mobilize resources for infrastructure and sustainable development projects in BRICS and other emerging economies, as well as in developing countries.Hence statement 1st is correct.
Capital: The authorized capital for NDB is $100 Billion while initial subscribed capital is $50 billion. Initial subscribed capital was equally distributed among the founding members ($10 billion each). Hence statement 2nd is correct.
Voting power of each member is equal to the number of its subscribed shares in capital stock.