Joint NGO letter calling for IFC action to address damning findings of its own internal watchdog on failings to address land rights and social risks under IFC loan to the palm oil sector in Honduras (January 2014)
The investigation is one of the most damning ever issued by the internal watchdog and concludes that the Bank’s private sector lending arm, the International Finance Corporation:
- Failed to adhere to its own policies meant to protect local communities, and continued to allow the company to breach those safeguards over the past five years to the present;
- Either failed to spot or deliberately ignored the serious social, political and human rights context in which this company is operating or where it did, failed to act effectively on the information;
- Failed to disclose vital project information, consult with local communities, or to identify the project as a high-risk investment, despite public information that was widely available at the time the investment was made.