New Development Bank (NDB) Explained

By YESPYQ · Updated July 2026 · 5 min read
Quick answer

The New Development Bank (NDB) is a multilateral development bank established by the BRICS countries to fund infrastructure and sustainable development projects.

The New Development Bank (NDB) is a multilateral development bank established by the BRICS countries to fund infrastructure and sustainable development projects.

Origin and headquarters

Set up by Brazil, Russia, India, China and South Africa, the NDB is headquartered in Shanghai and has expanded its membership over time.

Purpose

It aims to mobilise resources for infrastructure and sustainable development in BRICS and other emerging economies, offering an alternative to Western-led institutions.

Why it matters for UPSC

The NDB's BRICS origin and Shanghai headquarters are commonly tested IR and economy facts.

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Frequently asked questions

Who established the New Development Bank?

The BRICS countries — Brazil, Russia, India, China and South Africa.

Where is the NDB headquartered?

In Shanghai, China.