Russian Cabinet Backs Bill on BRICS Reserve Currency Pool

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The Russian government has approved the draft law on ratification of BRICS reserve currencies pool agreement worth $100 billion, the Cabinet's press service said in a statement on Friday.

MOSCOW (Sputnik) — Russia will contribute $18 billion to the pool.

"The bill will be introduced in the Russian State Duma [lower house of parliament] for ratification," the statement said.

BRICS is an informal interstate association of Russia, Brazil, India, China and South Africa, accounting for 14.6 percent of the world's GDP.

On July 15, 2014, the member countries signed an agreement to establish the $100-billion BRICS New Development Bank and a reserve currency pool worth another $100 billion.

Russia will contribute $18 billion to the pool, along with India and Brazil. China is expected to contribute the largest share at $41 billion, with South Africa chipping in the remaining $5 billion.

The New Development Bank is envisioned to become one of the largest multilateral development institutions in the world with an independent lending policy from its headquarters in Shanghai.

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