Holding HSBC to account
Part of FPP’s role is to hold the private sector to account to reduce the harm that private sector loans have on indigenous peoples.
HSBC is a key funder of the palm oil sector, acting as a principal banker for 15 of the 17 main palm oil business groups
Together with research organisation, Profundo, FPP wrote a report on HSBC’s investments in the palm oil sector, HSBC and the palm oil sector in south-east Asia: towards accountability, demonstrating that HSBC’s standards relating to the organisations they invest in are lower than those of the RSPO. Moreover, despite a claim of ‘commitment to transparency’, HSBC does not disclose which palm oil companies it funds and how they measure up against its policy and standard.
Following publication of the report, there was wide media coverage and HSBC announced that it would exit its relationship with any clients that are making no progress towards meeting the HSBC forestry policy.