New Development Bank
Question
Consider the following statements:
- 1.
New Development Bank has been set up by APEC.
- 2.
The headquarters of New Development Bank is in Shanghai.
Options
1 only
2 only
Both 1 and 2
Neither 1 nor 2
Explanation
Statement 1 is incorrect—the New Development Bank was set up by BRICS (Brazil, Russia, India, China, South Africa) in 2014, not by APEC (Asia-Pacific Economic Cooperation). This is a significant distinction in international financial institutions. Statement 2 is correct—the headquarters of the New Development Bank is located in Shanghai, China. The bank was formally inaugurated in 2015 with the primary purpose of financing development projects in BRICS countries and other developing nations, serving as an alternative to Western-dominated institutions like the World Bank and IMF. > NDB: Established by BRICS (not APEC), HQ in Shanghai. Answer: (b).
Question details
Year
2016
Paper
GS Paper 1
Question
Q67
Subject
International Relations
Sub-topic
International Financial Institutions
Type
Statement-based
Difficulty
Easy
Nature
Current-affairs-linked
Source hint
BRICS New Development Bank 2015
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