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BRICS Bank plans to invest in construction of roads in Russia

A number of Russian projects attracted the bank's attention

VLADIVOSTOK, September 1. /TASS/. The New Development Bank (BRICS Development Bank) experts are studying the possibility of funding road construction projects in Russia, bank’s Vice President Zhu Xian told TASS on Thursday.

"A number of Russian projects attracted our attention, especially in the transport sector. We will examine them, and then we can talk about the pace of their implementation," he said, adding "this includes roads, freeways".

The bank is preparing for placing bonds on the Russian market.

"We are planning it. So far, it is too early to talk about the time of placement, we are currently in talks with the Russian government," he said.

On July 19, NDB has placed the first series of bonds for 3 bln yuan on China Interbank Bond Market.

The bond’s maturity period is 5 years. The interest rate is 3.07%, according to the statement.

More than 30 investors participated in the bond placement. The demand for bonds exceeded 9 bln yuan.

Earlier, South African Vice-President of the bank Leslie Maasdorp said in an interview with TASS in total the bank plans to raise up to $1 bln and part of the bonds will be issued in the national currencies.

BRICS is an informal interstate association of Brazil, Russia, India, China and South Africa.

The agreement on the establishment of the New Development Bank was signed during the sixth BRICS summit in Brazil in 2014.

NDB is expected to become a platform for increasing mutual investments and trade among its member-states, as well as for financing of infrastructure projects in the BRICS countries and developing countries.

The bank’s authorized capital is $100 bln. The bank is headquartered in Shanghai.