www.forestryanddevelopment.com
April 2007
BEWARE THE EQUATOR PRINCIPLES
22 March 2007: International banks HSBC and Credit Suisse have come
under pressure from NGOs such as Global Witness, who claim that the
institutions have breached their own sustainability guidelines.
The banks played a managerial role in the IPO for Samling, a
Malaysian-based timber company. But, as signatories to the Equator
Principles, they have made a voluntary agreement not to provide
financial assistance to commercial logging operations in primary
tropical moist forest, as defined by International Finance Corporation
guidelines.
The Equator Principles have gained popularity among international
banking institutions. Although they are voluntary and non-binding,
they increase exposure to external pressure from NGOs with respect to
environmental policy. The case involving Samling indicates that
financial institutions may not be aware of the details and
ramifications of signing up to the Principles.
Read the HSBC Forest Land and Forest Products Sector sustainability
guidelines here.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment