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Article

18 Mar 2016

Author:
Lars Løvold, Rainforest Foundation Norway, in Guardian (UK)

Commentary: Norway's govt. pension fund sets example to screen companies based on human rights criteria

"Norway takes pathway to ethical investment with human rights policy", 18 Mar 2016

The human rights strategy adopted by the world’s largest sovereign wealth fund shows that long-term gain relies on social and environmental sustainability...[T]hanks to a new policy on human rights adopted by Norway’s sovereign wealth fund [the Norwegian Government Pension Fund Global (GPFG)]...a substantial segment of the palm oil industry and the buyers of their product have adopted strong forest conservation policies, often described as “No deforestation, no peat, no exploitation”...Norges Bank Investment Management (NBIM), manager of the wealth fund, has since introduced a human rights policy called “Human rights – expectations towards companies”... It says all companies  in which the GPFG invests are expected to respect human rights, integrate a human rights strategy into their operations and risk management, and report on their performance in a comprehensive and accessible manner...Given NBIM’s demonstrated willingness to take action should international companies fail to live up to expectations, the new human rights stipulations could be a game changer in getting the private sector to respect the rights of indigenous people and communities.