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  • ADB: Safeguard policies stay strong
    By Cai U. Ordinario
    Reporter

    MADRID, Spain—The Asian Development Bank (ADB) has once again reiterated its commitment to keep its safeguard policies strong and responsive particularly to the needs of developing countries.

    ADB president Haruhiko Kuroda said in his last press briefing at the conclusion of the 41st Annual Governors’ Meeting here that the bank has no intention of diluting its safeguard policies on environment, involuntary resettlement and indigenous peoples.

    “We intend to combine all these policies into one policy to make operations more efficient and effective. Management has decided to conduct a second round of consultations with the second draft of the safeguards update,” said Kuroda. “The second draft will be uploaded on the site and consultations in Manila will ensue.” 

    The issue on the ADB’s safeguard policies have re-escalated mainly due to the plans of the bank to increase its private-sector lending to 50 percent of the bank’s portfolio.

    Civil-society organizations (CSO) warned that if the safeguards are weakened, many Asians will be exposed to social and economic risks due to flawed projects and the lack of accountability on the part of the ADB and the private sector.

    “Asia’s vulnerable communities and environment will continue to be at risk if the ADB fails to improve its existing safeguards that are currently being revised,” stated the “NGO Forum on ADB” in a statement.

    “Further, the ADB’s safeguard policies on the environment, involuntary resettlement, and indigenous peoples should protect the poor and not any kind of business interests,” added the group.

    The safeguards panel comes at a critical point in the ongoing safeguards review process that the ADB initiated in 2005. The civil society groups have criticized the draft safeguard policies statements released in 2007, which became the basis for a series of multistakeholder regional consultations that concluded the safeguard policies statements are weak and regressive.

    Criticisms included those that said the policy review process lacked terms of reference and absence of an operations manual for the safeguards.

    “The ADB and donor countries might think they are doing a service to developing countries. However, development went beyond economic indicators and included protection of livelihoods and an intact environment. These could not be achieved without strong safeguard policies in place,” said Titi Soentoro from the Indonesian civil organization Nadi. 

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