Transparency and Accountability of the New Development Bank
On Sunday, countries at the 2022 United Nations Climate Change Conference (COP27) that was held last week in Egypt adopted a final agreement that included the establishment of a fund for loss and damage to assist vulnerable communities affected by extreme weather events.
The fund will initially draw on contributions from developed countries and other private and public sources, with an option for other major economies to join in the future. The need to mobilise resources to address the world’s climate crisis continues to be of grave concern. International Financial Institutions (IFIs) have an important role as conduits for access to climate finance in their implementation of their nationally determined contributions—Climate Action Plans to cut emissions and adapt to climate impacts. This includes the New Development Bank (NDB), one of the newest IFIs, popularly known as the “BRICS Bank,”, a bank of the South, for the South.
In our latest podcast, “Transparency and Accountability of the New Development Bank,” Professor Danny Bradlow from the Centre for Human Rights at the University of Pretoria is joined by Oxfam South Africa’s Marianne Buenaventura Goldman, Leanne Govindsamy from the Centre for Environmental Rights, and Dr. Magalie Masamba from the Centre for Human Rights.
The panel unpacks concerns related to the lack of accountability and transparency of the New Development Bank (NDB), which has funded an estimated 11 projects in South Africa and Lesotho valued at around 4.2 billion dollars since the NDB Africa Regional Center was launched in 2017. The NDB has committed to spending 40% of its total approvals on projects worth around $30 billion to contribute to climate change mitigation and adaptation, including energy transition, over its 2022–2026 strategy cycle.