The leaders of BRICS nations -- Brazil, Russia, India, China and South Africa -- are set to approve the establishment of a new development. Officials from the five countries, who are meeting at the South African city of Durban, also discuss pooling foreign-currency reserves to ward off balance of payments or currency crises.

Officials say that, the deepest rationale for the BRICS is almost certainly the creation of new World Bank-IMF styled institutions that are inclined toward the developing world. The new bank will provide research on emerging markets.

There’s a shift in power from the traditional to the emerging world. There is a lot of geo-political concern about this shift in the western world.

The BRICS nations, which have combined foreign-currency reserves of $4.4 trillion and account for 43 percent of the world’s population, are seeking greater sway in global finance to match their rising economic power. They have called for an overhaul of management of the World Bank and IMF and oppose the practice of their respective presidents being drawn from the U.S. and Europe.

The biggest emerging markets are uniting to tackle under-development and currency volatility with plans to set up institutions that encroach on the roles of the World Bank and International Monetary Fund.

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