BEIJING, July 1 -- The top legislature ratified an agreement on the founding of BRICS New Development Bank (NDB), which will fund infrastructure projects in the bloc and other developing economies, on Wednesday.

The approval was given at the bimonthly-session of the National People's Congress Standing Committee, which runs until July 1.

The agreement was signed by the bloc's five members -- Brazil, Russia, India, China and South Africa -- on July 15 last year during the sixth BRICS summit.

It will enter into force only when all BRICS countries have deposited instruments of acceptance, ratification or approval.

So far, the agreement over the Shanghai-based bank had been ratified by India and Russia.

The NDB will have initial authorized capital of 100 billion U.S. dollars, and its initial subscribed capital of 50 billion U.S. dollars will be equally shared among the founding members.

It will have a three-tier governance structure -- a board of governors, a board of directors and management led by the president.

As agreed by the five countries, the first chair of the board of governors will be nominated by Russia, the first chair of the board of directors by Brazil, and the first president by India.

They also agreed to set up a NDB African regional center in South Africa.

For the time being, the agreement will not apply to Hong Kong Special Administrative Region, according to the decision.