A new vista in multilateral development finance lending was opened over the week with the New Development Bank’s lending to South Africa as part of efforts aimed at tackling the Covis-19 pandemic in the country. South Africa it could be recalled has recorded the highest number of infections in Africa. The $1 billion loan from the new development finance bank which was established by the BRICS group of emerging nations was to South Africa to help reduce the socio-economic impacts of the pandemic, the National Treasury said on Saturday. South Africa was already in recession before the pandemic wreaked further havoc in Africa’s most industrialised economy.

The South Africa’s Treasury Department spokesperson notes in a statement that “the Covid-19 emergency programme loan to South Africa will be provided in response to the urgent request and immediate financing needs of the South African government” quoting the Finance Minister Tito Mboweni as saying that it will form part of the emergency budget with major changes to spending and revenue forecasts to be unveiled next week in parliament. The government this week further relaxed two months of tough restrictions as it looks to support the economy. After detecting its first case in March, infections and deaths have spread across South Africa. As of Friday the country had 87 715 confirmed Covid-19 cases and 1 831 deaths. Brazil, Russia, India, China and South Africa are members of the New Development Bank.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry