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    CSOs: ADB must put money where its mouth is
     
    By Rommer M. Balaba
    Reporter

    KYOTO, Japan—Civil society organizations want Asian Development Bank (ADB) president Haruhiko Kuroda’s strong commitment to resolve the issues and concerns raised in some of the Bank-funded projects as well as questions on its safeguard and energy policy.

    “For years we have been concerned witnesses to and unwilling recipients of the adverse effects of Bank-assisted projects throughout the region,” the CSO delegation noted in its petition presented to Kuroda on Friday morning.

    ADB is holding its 40th annual meeting for the Board of Governors and for a few years now has been holding parallel dialogues with representatives from nongovernment organizations as part of its consultation process.

    “Undoubtedly, there is a wide gap between the Bank’s goal and on-the-ground realities. It appears the overarching ADB goal of poverty alleviation is farfetched and elusive. The influx of financial and technical assistance that comes with the so-called package of social reforms has truly come into fruition only in the form of poverty escalation, loss of livelihood and environmental degradation,” the group’s letter added.

    Kuroda in a media briefing reiterated, however, that the Bank continues to adopt a very stringent safeguards policy particularly on projects with significant social and environmental impacts.

    “We stick to [our] stringent safeguard policies… [but] it is also crucial to involve as many stakeholders as  possible in the design and implementation of projects,” he said, responding to a question posed by BusinessMirror.

    Civil society representatives in their letter expressed alarm on the impending lowering of ADB’s social and environmental standards, as reflected in its draft Safeguard Policy Update (SPU), due to pressure from borrowers who do not want any safeguard strings attached to loans.

    There are indications the SPU may simplify the requirements of the three major safeguards on environmental assessment, involuntary resettlement and indigenous peoples and consolidate them into a single policy document, they added. “If so this would be a tremendous step backward for the institutional credibility of the ADB as a public institution whose mandate is to support sustainable development.”

    On specific bank projects, the group criticized ADB’s indirect support to junta-ruled Burma, its controversial post-tsunami rehabilitation efforts in Aceh, Indonesia, its funding of destructive industrial aquaculture in Indonesia, the Mae Moh Coal project in Thailand, Highway 1 Project in Cambodia and the Phulbari Coal Mining in Bangladesh, among others.

    The group likewise sought a dialogue with the Bank on its Eminent Persons Group Report so that questions, concerns and recommendations can be inputted in response to the report.

    The Eminent Persons has recommended that the bank’s future lending support inclusive growth, environmentally sustainable growth and a shift to a regional and ultimately global focus for the Asia-Pacific region “to complete its transformation to the next stage of development.” 

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