Describing the BRICS Development Bank as a significant undertaking, the World Bank has said that it will stand ready and work closely with the new bank to end poverty throughout the developing world.

BRICS Summit in Durban on Wednesday decided to launch a development bank and create a $100 billion fund for contingency reserve arrangement to tackle any emergency financial crisis in member countries.

“We welcome the announcement of the establishment of a BRICS development bank and stand ready to work closely with the new bank to end poverty and build shared prosperity throughout the developing world,” the World Bank said in a statement.

“Establishing a development bank is a significant undertaking,” the Washington-based global lender said.

“The World Bank will work closely to partner with regional development banks in a bid to enhance the effectiveness of our collective work,” it said.

Chinese Finance Minister Lou Jiwei said the BRICS (Brazil, Russia, India, China, South Africa) development bank would be “complementary” to the existing development institutions such as the World Bank and the Asian Development Bank.

“What we have now (about the development bank) is just a general picture,” Mr. Lou was quoted by China’s Xinhua news agency as saying.

Mr. Lou said the establishment of the bank “is necessary” to meet the great demand for fund to boost infrastructure development. He said the initial investment was not discussed by the finance ministers in Durban.

“We await the details related to the new bank’s financing, governance, and location and stand ready to assist this newest player in global development any way we can,” the World bank said.

“For over 60 years, the World Bank has worked around the world building its staff, knowledge, capacity, and expertise in development. We look forward to sharing the expertise we have gained,” it added.