The BRICS Interbank Coordinating Mechanism (ICM) annual meeting took place in Moscow from 20 to 23 October 2024. The DBSA was represented by a delegation led by its Chairperson, Mr Ebrahim Rasool, and CEO, Ms Boitumelo Mosako.

At the summit, the BRICS ICM Cooperation Framework Agreement (ICMCFA), which was signed in 2011, was revised to accommodate the future inclusion of new members and was signed by current members. The ICM Cooperation Framework Agreement remains a reflection of member banks’ desire to cooperate and work closely for mutual development and meaningful economic growth. The Framework Agreement does not constitute any legal, financial or other rights or obligations on any member bank. Signed on 14th April 2011, the purpose of the Agreement is to:

• strengthen the financial cooperation among member banks and enhance the economic and trade relationship among member countries and their enterprises, and promote the flow of goods and services among the member countries;
• strengthen the cooperation in financing, guaranteeing and other financial mechanisms to support projects of interest to member banks and cross-border transactions;
• increase the variety of credit services and enhance the overall competitiveness of member banks;
• study possibilities of providing local currency financing among member banks;
• improve the member banks’ capacity of serving the real economy, mitigating exchange rate risks;
• provide assistance, to the extent possible, on the requirements of the financial institutions and enterprises in member countries of getting access to the capital markets of member countries; and
• facilitate and coordinate, as far as practically permissible under each of the member banks’ regulations, laws and policies, knowledge sharing initiatives as well as the training of personnel of member banks.

Following the signing of the ICM Cooperation Framework Agreement in 2011, several areas for cooperation were identified and agreed upon through memoranda of understanding (MOUs) and agreements by member DFIs, including:

• personnel training and experience sharing, which was signed in 2011 to facilitate capacity building and skills development; 
• cooperation as agreed to in 2013 in respect of projects and initiatives related to sustainable development; 
• innovations finance, introduced in 2014 as a key cooperation area to explore; 
• local currency credit line agreement, which was signed in 2015, to serve as a guide for member banks to make credit facilities available. However, thus far, no bilateral credit line contracts have been signed under this framework, and no credit line was signed at the BRICS Interbank Coordinating Mechanism (ICM) 2024.
• joint cooperation with the New Development Bank (NDB), which was agreed in 2015 as an area for joint and individual cooperation between members and the NDB; and 
• an emerging markets-focused credit ratings agency as an area of focus in 2016.

In closing this session of BRICS, it is essential to reflect on key touchpoints from the 2011 agreement, now framed within a global landscape marked by significant concerns. These include global developments such as geopolitical tensions, a global election year, and slow economic recovery, all of which urge DFIs to continually reassess investment risks. On the domestic front, South Africa’s economic outlook has been buoyed by a new government of national unity, along with low inflation and interest rates, driving renewed business and consumer confidence. Furthermore, energy and logistics recovery plans are laying a solid foundation for sustained infrastructure investment. Across the African continent, positive growth prospects are paving the way for increased investment opportunities.

In conclusion, the hosting of the Finance in Common Summit and G20 by South Africa in February 2025 provides an avenue, not only for dialogue but for investing in the African continent. DBSA continues to find value in participating across all workstreams in the BRICS ICM in pursuing its just cause to bend the arc of history towards shared prosperity in the African continent.