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BRICs’ Philosophies for Development Financing and their Implications for LICs

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  • Yongzheng Yang
  • Miss Nkunde Mwase

Abstract

Flows of development financing from the BRICs (Brazil, Russia, India, and China) to low income countries (LICs) have surged in recent years. Unlike aid from traditional donors, BRICs (excluding Russia) view their financing as primarily based on the principles of South-South cooperation, focusing on mutual benefits without attachment of policy conditionality. This paper provides an overview of the philosophies and modalities of BRIC financing and examines their implications for LIC economies and future LIC-BRIC engagement.

Suggested Citation

  • Yongzheng Yang & Miss Nkunde Mwase, 2012. "BRICs’ Philosophies for Development Financing and their Implications for LICs," IMF Working Papers 2012/074, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2012/074
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    2. Dreher, Axel & Hodler, Roland & Fuchs, Andreas & Parks, Bradley C. & Raschky, Paul & Tierney, Michael, 2015. "Aid on Demand: African Leaders and the Geography of China's Foreign Assistance," CEPR Discussion Papers 10704, C.E.P.R. Discussion Papers.
    3. Ehizuelen Michael Mitchell Omoruyi, 2016. "The Dragon's Goodwill: Examining China's External Finance and African Leaders' Preferentialism," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 7(03), pages 1-30, October.
    4. Ekor, Maxwell & Adeniyi, Oluwatosin & Saka, Jimoh, 2015. "Trade Intensity Analysis of South Africa-BRIC Economic Relations," MPRA Paper 82632, University Library of Munich, Germany.
    5. Michael Zharikov, 2016. "The Effectiveness of Direct Trade between China and Near-Border Subjects of the Russian Federation," Economy of region, Centre for Economic Security, Institute of Economics of Ural Branch of Russian Academy of Sciences, vol. 1(1), pages 189-200.
    6. Ndambendia, Houdou, 2015. "Africa trade and investment with BRIC nations in a changing economic landscape: the role of China," MPRA Paper 71675, University Library of Munich, Germany.
    7. Bob Ssekiziyivu & Rogers Mwesigwa & Mayengo Joseph & Isaac Nkote Nabeta, 2017. "Credit allocation, risk management and loan portfolio performance of MFIs—A case of Ugandan firms," Cogent Business & Management, Taylor & Francis Journals, vol. 4(1), pages 1374921-137, January.
    8. Merli Margaret Baroudi, 2017. "Innovation in Political Risk Insurance: Experience from the Multilateral Investment Guarantee Agency," Global Policy, London School of Economics and Political Science, vol. 8(3), pages 400-407, September.
    9. Austin Strange & Bradley Parks & Michael J. Tierney & Andreas Fuchs & Axel Dreher & Vijaya Ramachandran, 2013. "China’s Development Finance to Africa: A Media-Based Approach to Data Collection," Working Papers 323, Center for Global Development.
    10. Ali Mehdi, 2015. "Articulating a Vision for a Progressive BRICS Development Bank," Working Papers id:7128, eSocialSciences.

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