Polaris solar PV net news: BRICS Bank at this time took the lead in issuing loans, possibly in order to show their existence.
On April 15, 2016, the BRICs new development banks in United States Washington, DC released the first loan, amounting to us $ 811 million, supported by China, India, and Brazil and South Africa’s green energy projects. Marking the international financial institutions set up by emerging-market countries officially launched commercial operations.
BRIC banks are China, India, and Brazil, and Russia and South Africa jointly invested in the Bank, the Bank’s authorized capital of us $ 100 billion, the initial subscribed capital of us $ 50 billion, China, Brazil, and Russia, and India and South Africa respectively, actual pay 20%. According to brick Bank regulations, President rotates among countries, the first President of India people.
Compared with the Asian infrastructure investment bank, brick Bank has a certain closeness. Although open to all States members of the United Nations founding member commitment, but so far, there was still no public financing, so banks BRIC is a relatively closed financial institutions. BRIC Bank pioneered the first projects approved, may be intended to show its own particularity, which does not compete with the Asian infrastructure investment banking, however, BRIC banks green energy loans, remains something of a reverie.
China, India, and Brazil, and Russia and the South Africa national values quite different problems facing the economy are not the same. Russia, and Brazil and South Africa are important exporters of energy resources and, therefore, for the development of green energy projects don’t have the urgency and enthusiasm, as they see it, Russia has not been included in the first batch of loans among the list of countries, which marks Russia great difficulties in solving its economic problems, away from BRIC banks ‘ loan programs. Brazil and India are included in the list of the first batch of green energy loan program, however, Brazil faces serious inflation, energy demand does not seem to be obvious. India facing an energy shortage problem, but India loans provided by project, book appears to be a financing project instructions, India ready brick Bank loans to India’s commercial banks from India provide renewable energy project loans to commercial banks. In addition to solar rooftop power generation projects in China’s green energy development projects, green energy projects in other countries are basically special financing programs, brick Bank loans, to Brazil, and India domestic banks, and by their cooperation with the relevant financial institutions and enterprises. This model of cooperation can reduce the cost of project management, you can avoid the financial risk to a certain extent.
At present, many problems in the process of economic development in the BRIC countries, Russia economic growth in Brazil of serious inflation, South Africa although the economy did well in the African region, but little in the world economic system as a whole. China and India become the twin engines of world economic development. However, China and India are facing downward pressure on economic growth. China is working to achieve economic growth of 6.5%, India must solve the problems of infrastructure bottlenecks. They can continue to develop deeper cooperation, also need to continue to watch. BRIC Bank at this time took the lead in issuing loans, possibly in order to show their existence, trying to have their own business, to prove the necessity of the international community.
Clean energy development is undoubtedly the world’s future energy development direction. However, need strong technical support clean energy development. By relying on existing technology, the full realization of clean energy instead of conventional fossil fuels is almost impossible. And yet, precisely in the area of clean energy research, science and technology, BRIC countries lack advantages. Clean energy technologies mainly in the United States and the United Kingdom and other developed countries hand. Although catching up in recent years, China, clean energy development in the process of finding its own comparative advantage, but for now, whether it’s clean energy production and clean energy to use, still requires a lot of resources. In this sense, China’s clean energy is relative. If it is only in power generation study visits to the link, then, clean energy is a true green energy but if products from raw material production, and that clean energy is a real green energy, there exists a great deal of controversy.
However, BRIC banks first loan program for green, energy saving and environmental protection for sustainable development energy enterprises, which fully reflected the emphasis on green energy development in the BRIC countries. From this perspective, we should give highly appreciated to BRICS Bank.
(Author, Professor Department of zhongnan University)
Original title: BRIC banks first loan