Outcome of the non-binding consultation with National Technical Commissions, experts on banking/finance, academics and civil society, to propose options for the Bank of the South in the areas of governance and administration, financial resources, instruments, investment policies, lending framework, procurement, safeguards, transparency, audits and others.
The workshop was held in Quito from 23 to 27 June 2008, with the support of the Government of Ecuador and the Department of Economic and Social Affairs of the United Nations.
Quito_Workshop (Download the full text in PDF format)
The initiative aimed at the creation of a South American multilateral financial institution or the South Bank as part of an effort to building a new regional financial architecture has run into trouble as consensus on the role of the new institution was never reached among South Bank member countries. The focal points of conflict are related to the composition of capital and the decision-making system of the new institution, which at the same time will be crucial to decide on the Bank’s finance goals – maybe the main reason for disagreement among partners.
This article on the new initiative from South America, the Bank of the South, articulates the position of ‘Jubilee South’ on this issue. It describes the nature of the South Bank, its goals, functioning and finally, its importance in the context of providing an alternative platform for south based economic development that is democratic, participatory, and economically, socially, and environmentally just.
From Development Assistance to Development Solidarity: The Role of Venezuela and ALBA
This short presentation outlines the need for a new development initiative based in the South as an alternative to the international economic architecture. Specifically, the article suggests that the combination of new ideas and political shifts is being witnessed today in the Venezuela led international collaboration scheme known as ALBA (Bolivarian Alternative for the Americas) which includes a development bank. This has been developed on the premise that a new form of regional integration and indeed greater political unity is necessary for independent development to take place.ill be an important source of hope for the rest of the developing world.
The signing of the agreement by seven South American countries to form the Banco del Sur (Bank of the South) may herald a new era in development finance. The creation of the Banco del Sur is part of a broader trend within Latin America of governments increasingly distancing themselves from the IFIs that are widely perceived as too biased in favour of US interests. Even if this plan succeeds partially, it will be an important source of hope for the rest of the developing world.