Iran moves closer to joining the BRICS New Development Bank

18:48

By: Azzat Manal

Iran moves closer to joining the BRICS New Development Bank

Iran is moving toward membership of the New Development Bank (NDB), the multilateral financial institution associated with the BRICS group, according to Iranian Central Bank Governor Abdolnaser Hemmati.

Hemmati made the announcement during a meeting of BRICS finance ministers and central bank governors in Jaipur, India, describing closer financial cooperation among member countries as an important tool for strengthening economic stability, confidence and sustainable development.

The Iranian official said BRICS could become more effective by translating political discussions into practical initiatives and concrete mechanisms for cooperation. He also linked economic and financial stability to broader international conditions, arguing that lasting stability requires peace, respect for international law and adherence to the principles of the United Nations Charter.

Iran has participated actively in BRICS since becoming a member of the group. According to Hemmati, the Iranian Central Bank has taken part in specialized working groups dealing with cross-border payments, national currencies, financial technologies, cybersecurity, artificial intelligence and sustainable finance.

Tehran has also expressed support for initiatives designed to reduce transaction costs and financial risks between BRICS members. Greater use of national currencies and closer integration between national payment systems are among the areas Iran considers particularly important.

The New Development Bank, headquartered in Shanghai, was established by the BRICS founding members to finance infrastructure and sustainable development projects in emerging and developing economies. Its creation has been viewed as part of broader efforts by BRICS countries to strengthen financial cooperation outside traditional Western-led institutions.

For Iran, closer ties with the NDB could provide another channel for expanding economic cooperation with major emerging economies. Tehran has faced significant restrictions on its access to international financial markets, making alternative financing and payment mechanisms particularly important to its economic strategy.

Hemmati described the New Development Bank as one of the group's most significant institutional achievements and said Iran was prepared to deepen its cooperation with the institution while continuing the process toward full membership with the support of BRICS countries.

The move comes as BRICS continues to expand its membership and seek a greater role in global economic governance. The group has increasingly focused on financial cooperation, local-currency transactions and reforms aimed at creating what its members describe as a more inclusive and balanced international financial system.

Iran's potential integration into the New Development Bank would therefore represent another step in Tehran's efforts to strengthen economic links with emerging markets while contributing to the broader financial ambitions of the BRICS bloc.