EIB’s final say on its social and environmental standards
The European Investment Bank published the final version of the revised ‘EIB Statement of Environmental and Social Principles and Standards’ on their website. Fatal Transactions has participated in the consultations process organised by the EIB in 2008.
The Statement is a set of principles, referring to European and international law which should protect the environment and the people who live in developing countries where the Bank is financing large infrastructure projects. The Statement is not binding for the staff of the EIB but should serve as a ‘moral guidance’ when decisions are being made to lend European public money to investment projects in also Africa. Fatal Transactions participated in the consultation process the EIB organised in 2008 together with many other European NGOs. Fatal Transactions member IPIS submitted 2 written critiques to the Bank.
The non-binding Statement is publicised at a critical time. Last November, the European Court of Justice (ECJ) decided unequivocally that the EIB, when lending outside the European Union, must follow the development criteria written down in the European Community treaty. In other words, there is a legal framework which the EIB needs to adhere to when practising investment projects in developing countries. The Commission has reacted to the ECJ’s decision with a weak proposal of rules that again does not address development as the integral part of the EIB’s work in developing countries.
Counter Balance, the Brussels based NGO coalition challenging the EIB came up with their own legal answer to the Court’s ruling. ‘We trust that the European Parliament, which asked the Court to dig into this EIB malpractice, will make sure the right thing is done’.
Click here to read IPIS’ first critique from June 2008 >
Click here to read IPIS’ second critique from November 2008 >
More information:
The European Investment Bank (EIB) is the implementing financial lending agency of the European Union. The shareholders of the Bank are the European Member States. Basically, the Bank is investing our public money in projects in Africa, also in the mining industry. The Bank is obliged by its shareholders to follow the European policies on development and environmental issues.