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India PM Modi pins hope on new Brics bank

Published on Jul 13, 2014 2:07 PM
Indian Prime Minister Narendra Modi speaks during the inauguration ceremony at Katra railway station in Katra, about 45km from Jammu, on July 4, 2014. -- PHOTO: AFP  

NEW DELHI (AFP) - Indian Prime Minister Narendra Modi headed to Brazil on Sunday for a meeting of the Brics group of emerging powers, hoping to seal the long-discussed deal to open a new development bank.

Modi will be the guest of Brazilian President Dilma Rousseff who also hosts the leaders of Russia, China and South Africa on Tuesday before a meeting with South American leaders the next day in Brasilia.

The countries are looking to set up a development bank to finance infrastructure projects as well as a reserve fund to fend off currency and balance of payments crises.

The bank and the reserve are being seen as a counterweight to Western-dominated financial organisations like the Washington-based World Bank and International Monetary Fund.

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