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Durban - Durban - Brics finance ministers will have to consider issues of capital, location, and investments when deciding on the details of a Brics development bank, Finance Minister Pravin Gordhan said on Wednesday.
Speaking after the Brics summit concluded in Durban on Wednesday, he said: "We have been mandated to look at the establishment issues."
Gordhan said no discussions had taken place on where the proposed Brics development bank would be located, and no agreement had been reached on the amount of capital that would be used to start the bank.
Once established, the bank would have to consider finding long-term investments.
He could not say how long it would take to establish the bank, but it would be within 10 years.
He said "phenomenal progress" had been made in reaching an agreement to establish the bank, but it could not be established "overnight".
"We will enter formal negotiations to establish a Brics Bank," President Jacob Zuma said following talks held between the leaders of the five nations at the Fifth Brics Summit in Durban.
He warned that Brics nations needed to be vigilant "to underlying weaknesses" in the world economy.
The bank's establishment was proposed at the Fourth Brics Summit last year.
Brics is an acronym for the group of developing nations - Brazil, Russia, India, China, and South Africa.
Finance ministers of the five countries met on Tuesday to iron out details of the bank.
According to the Russian finance minister, agreement could not be reached on a number of issues related to the bank's formation.
These included whether voting rights would be accorded based on the size of contributions by member states, or by consensus; and the bank's location.
A statement read out by President Jacob Zuma said the Brics leaders had accepted a recommendation that a bank was indeed feasible and viable.
Gordhan said the finance ministers would report on their progress towards establishing a bank at the G20 summit set to take place in St Petersburg, Russia, in September.
Speaking after the Brics summit concluded in Durban on Wednesday, he said: "We have been mandated to look at the establishment issues."
Gordhan said no discussions had taken place on where the proposed Brics development bank would be located, and no agreement had been reached on the amount of capital that would be used to start the bank.
Once established, the bank would have to consider finding long-term investments.
He could not say how long it would take to establish the bank, but it would be within 10 years.
He said "phenomenal progress" had been made in reaching an agreement to establish the bank, but it could not be established "overnight".
"We will enter formal negotiations to establish a Brics Bank," President Jacob Zuma said following talks held between the leaders of the five nations at the Fifth Brics Summit in Durban.
He warned that Brics nations needed to be vigilant "to underlying weaknesses" in the world economy.
The bank's establishment was proposed at the Fourth Brics Summit last year.
Brics is an acronym for the group of developing nations - Brazil, Russia, India, China, and South Africa.
Finance ministers of the five countries met on Tuesday to iron out details of the bank.
According to the Russian finance minister, agreement could not be reached on a number of issues related to the bank's formation.
These included whether voting rights would be accorded based on the size of contributions by member states, or by consensus; and the bank's location.
A statement read out by President Jacob Zuma said the Brics leaders had accepted a recommendation that a bank was indeed feasible and viable.
Gordhan said the finance ministers would report on their progress towards establishing a bank at the G20 summit set to take place in St Petersburg, Russia, in September.
Slideshow: Higher investment for Brics - UN
