ADIG and Brazilian bank launch over $100b development investment fund

Staff Reporter, GUlf Today

The 17th BRICS Summit concluded on strong note, attended by a delegation from the UAE led by His Highness Sheikh Khaled Bin Mohamed Bin Zayed Al Nahyan, Crown Prince of Abu Dhabi. During the summit, His Highness met with Luiz Inácio Lula da Silva, President of the Federative Republic of Brazil, during which they discussed further advancing bilateral relations, building on the deep-rooted and longstanding ties between the two nations, which form a solid foundation for expanding cooperation across vital sectors in support of sustainable development goals and shared interests.

The ongoing cooperation between the UAE and Brazil has led to the signing of the largest economic Memorandum of Understanding at the 17th BRICS Summit to launch a development investment fund valued at over $100b. The agreement was signed between Abu Dhabi Investment Group (ADIG), which established one-third of the banking sector in the UAE, and Banco do Brasil S.A., an institution with a history spanning more than 200 years, and it is the largest bank in Brazil and Latin America. The signing was attended by Zayed Bin Rashid Bin Aweidha Al Qubaisi, CEO of ADIG, and Ms. Tarciana Medeiros, President of Banco do Brasil S.A.

This agreement seeks to set up the largest development investment fund of its kind among BRICS countries to support strategic development projects across sectors such as industry, agriculture, real estate, technology, environment and recycling, energy, retail, infrastructure, healthcare, education and training, transportation, trade, public debt instruments, and more. It reflects both parties’ commitment to foster sustainable development and responsible investment at the international level.

The signing marks the first executive step following the agreement reached at the G20 Summit in Rio de Janeiro during the meeting between Zayed Bin Aweidha and President Lula da Silva, where they agreed to establish this investment fund exceeding $100 billion, which will be invested in the Brazilian economy as well as other countries, in line with BRICS’ vision to build strong and sustainable global economic partnerships.

Commenting on the event, Zayed bin Aweidha affirmed that the signing of the agreement reflects the UAE's firm commitment to strengthening international economic cooperation, particularly with BRICS countries. He praised the active role played by the UAE’s wise leadership in consolidating the country as a reliable global economic partner and a key supporter of sustainable development initiatives at the international level.

This agreement is anticipated to open new horizons for UAE-Brazilian cooperation and contribute to supporting the UAE’s efforts in global food security and high-impact investments in line with sustainable development goals, reinforcing the UAE’s presence as a key international partner in molding the future of the global economy.

Meanwhile, the United Arab Emirates, represented by the Ministry of Finance and the Central Bank of the UAE, participated in BRICS Finance Ministers and Central Bank Governors Meeting held in Rio de Janeiro, Brazil, under the 2025 presidency of Brazil.

The UAE delegation was led by Mohamed bin Hadi Al Hussaini, Minister of State for Financial Affairs, and included Ebrahim Obaid Al Zaabi, Assistant Governor for Monetary Policy and Financial Stability at the Central Bank of the UAE; Ali Abdullah Sharafi, Acting Assistant Undersecretary for International Financial Relations at the Ministry of Finance; Thuraiya Hamid Alhashmi, Director of International Financial Relations and Organisations at the Ministry of Finance; and Hamad Issa Al Zaabi, Director of the Office of the Minister of State for Financial Affairs.

The meeting agenda featured three main sessions: one focused on finance ministries, another on central banks, and a joint session that explored the global economic outlook and the role of BRICS in enhancing international economic governance. Additional topics included climate finance and coordination of economic policies.

Mohamed bin Hadi Al Hussaini stressed during his intervention that the UAE’s participation in BRICS stems from its commitment to strengthening international dialogue on the future of the global financial system and developing multilateral cooperation frameworks to address urgent development challenges.

Constructive Partnerships

Al Hussaini added: “We believe that constructive partnerships among emerging and developing economies, through platforms such as BRICS, offer an important opportunity to enhance global economic governance, expand access to innovative financing, and support long-term financial stability. We also stress the importance of reinforcing financial and monetary coordination among member states to ensure more inclusive and sustainable growth.”

He emphasised that the UAE’s contribution to drafting the joint communiqué reflects its active commitment to collaborative efforts within BRICS, aimed at promoting shared interests and aligning with member countries’ aspirations for a more balanced and cooperative global economy.

The UAE officially joined BRICS in January 2024, following the ratification of its membership request by the group’s five founding countries: the Federative Republic of Brazil, the Russian Federation, the Republic of India, the People’s Republic of China, and the Republic of South Africa.

As a BRICS member, the UAE aims to deepen economic cooperation and partnerships with fellow member states, reinforcing its role as a global economic hub and multilateral partner. The UAE also joined the BRICS New Development Bank in October 2021. Established in 2015, the Bank mobilises resources for infrastructure and sustainable development projects in BRICS nations, as well as in other emerging and developing economies.