The "Dutch hero" came to develop "poor Africa"

Both ENDS partner IFI Synergy has filed a complaint to the World Bank on behalf of local inhabitants about the Nachtigal dam in Cameroon. The dam is causing considerable problems for local communities and local people feel that the compensation they receive is inadequate. They also feel that they were insufficiently informed and consulted before construction of the dam started.

Update October 27th:

Today our friends have been released after five nights in detention. We welcome this great news and we are happy and relieved that Babacar Diouf and the others who were arrested will soon be back with their loved ones.

Nonetheless this was a very bad signal from Senegalese authorities and police and an indication of the growing restriction on civic space in Senegal. It is unacceptable that freedom of expression is restricted, people should not have to go to jail for peacefully expressing their opinion - especially when their livelihood is at stake.

FMO's new position statement on fossil fuel investments commits to ending new direct finance in the downstream and midstream coal and oil sectors, whilst still allowing for investments in gas-fired electricity generation under exceptional circumstances only. Both ENDS welcomes this development as a step in the right direction.

Utrecht, 5 October 2022 - Dutch development bank FMO bears responsibility for the destruction of livelihoods, economic losses and environmental damage caused by the construction of the Barro Blanco dam in Panama, according to a report by the bank's Independent Complaints Mechanism (ICM). Indigenous communities affected by the dam are pleased that their complaints have been confirmed and reiterate their call for apologies and compensation.

After a complaint filed by women's groups from Ixquisis, Guatemala, the Interamerican Development Bank (IDB) has started an investigation on several policy violations, amongst which the Gender Equality policy. This is a unique chance to create a precedent, because complaints on the IDB's gender policy are very rare. The women from Ixquisis are fighting for their rights with support of the Global Alliance for Green and Gender Action (GAGGA).

In a new Position Statement on Financial Intermediary (FI) Lending, Dutch development bank FMO argues for limited responsibility over the outcomes investments that are channeled through commercial banks, investment funds, and other financial intermediaries, representing by far the bigger sector of its portfolio. In doing so, FMO is undermining its development mission, including the protection of human rights and addressing the climate crisis. FMO intends to delegate these key responsibilities to its FI clients only, falling short of best practices of peer financial institutions. In a joint submission prepared by Both ENDS, Oxfam Novib, Recourse and SOMO, we argue that FMO can do much more to ensure the protection of human rights, the environment, and to measure the development impact of its indirect investments.

The Dutch development bank FMO is not sufficiently transparent about the projects it finances and is therefore acting contrary to its mandate. This is evident from a new report published by the International Accountability Project (IAP) and the Foundation for the Development of Sustainable Policies (FUNDEPS), endorsed by 28 organizations including Both ENDS, SOMO, and Oxfam Novib. The research assesses FMO's disclosure and access to information practices for investments proposed between January 1, 2019, and May 31, 2020. Only in 25% of the cases was it disclosed what potential negative consequences an investment by FMO would have for people and the environment.