A new “Bank of the South” will be launched with $10 billion in startup capital.
Venezuela’s Finance Minister Ali Rodriguez said on Monday that the bank’s capital ‘could increase in the future to finance different types of projects’ in Venezuela, Brazil, Argentina, Bolivia, Ecuador, Paraguay and Uruguay.
The Bank of the South, which was officially created in late 2007 but which is yet to start operations, will also have as its members Bolivia, Ecuador, Uruguay and Paraguay, which will allocate $4 billion, to be divided in $100 million deposits, according to a press release from the Venezuelan government.
The bank, which is intended to reduce dependence on traditional sources of credit like the International Monetary Fund (IMF) and World Bank, could be launched as soon as May seven of the region’s finance ministers agreed in a meeting in Caracas on Monday.
Kilde: www.worldbank.org
