The correct option is (b) 2 only.
Explanation
The New Development Bank (NDB) is a multilateral development bank established to mobilize resources for infrastructure and sustainable development projects in emerging economies and developing countries.
- Statement 1 is Incorrect: The New Development Bank was not set up by APEC (Asia-Pacific Economic Cooperation). It was established by the BRICS nations (Brazil, Russia, India, China, and South Africa). The agreement to establish the bank was signed during the 6th BRICS Summit held in Fortaleza, Brazil, in 2014.
- Statement 2 is Correct: The Articles of Agreement of the New Development Bank specify that the headquarters of the Bank shall be located in Shanghai, China.
Key Takeaway: The New Development Bank (NDB) is a financial institution founded by the BRICS group, and its headquarters is located in Shanghai.