A summit of five major developing nations has ended without the launch of an anticipated new development bank.
The bloc known as BRICS -- Brazil, Russia, China, India and South Africa -- was expected to announce details about the bank, meant to challenge the World Bank and IMF, at a two-day summit in the South African city of Durban.
South African President Jacob Zuma said Wednesday that the bloc has agreed to the concept of the bank, but said further talks are needed to finalize the plan.
"We have decided to enter formal negotiations to establish a BRICS-led new developmental bank, based on our own considerable infrastructure needs which amounts to around 4.5 trillion US dollars over the next five years. But also to cooperate with other emerging markets in developing countries in future."
The institution would assist with critical infrastructure needs, particularly in Africa, which needs an estimated $200 billion in infrastructure over the next 20 years.
The development bank would be the first institution of the informal BRICS forum which was started in 2009 during the global economic meltdown.
Russian President Vladimir Putin said he supported the creation of the bank. However, his deputy foreign minister Sergei Ryabkov said more research was needed.
"We want to continue very thorough and very professional study and preparation for agreeing on terms of reference, principles, modalities of the future bank. It cannot be done overnight."
Despite the failure to launch the bank, the bloc reached several bilateral accords and agreed to establish a $100 billion contingency reserve fund to help member nations experiencing liquidity problems.