adminpooled foreign exchange reserves to “support each other at times of balance of payments or currency crisis.”
Speaking one month before South Africa hosts a summit of fellow BRICS – Brazil, Russia, Indian and China – Gordhan made the suggestion during his annual budget.
Gordhan said that collectively BRICS countries hold reserves totalling US$4, 5 trillion – most belonging to China.
The minister also said that work was underway to create an insurance risk pool to provide alternatives sources of insurance and reinsurance. At the meeting BRICS nations are also expected to discuss the establishment of a joint development bank. – AFP.
Online Reporter