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4 Sep 2020

Indonesia: Organization in North Sumatra sent letters to Chinese banks and firms to express community concerns over mining project

In July 2020, BAKUMSU, a legal service for communities in North Sumatra, Indonesia, sent out letters to a few Chinese banks and companies as legal representatives of residents of Batak Toba communities in the Dairi Regency, who are concerned about the potential environmental and social impacts caused by a mining project operated by Dairi Prima Minerals (DPM). In late 2019, two communities in Dairi filed a formal complaint with the Compliance Advisor/Ombudsman (CAO) of the International Finance Corporation (IFC) regarding their well-founded fear of environmental and social harms likely to ensue from the mine’s development. In late March 2020, CAO found the complaint to be eligible and will soon commence its assessment process.

The letters were sent to the Bank of China, China Development Bank, China Investment Corporation, Export-Import Bank of China, Industrial & Commercial Bank of China, China Nonferrous Metal Industry’s Foreign Engineering and Construction Co., Ltd. and China Export and Credit Insurance Corporation to alert them to the complaint and ask for their assistance in addressing community concerns.

Business & Human Rights Resource Centre reached out to these banks and companies to respond to the letters, but none of them has responded.

Company Responses

Bank of China

No Response

China Development Bank

No Response

China Investment Corporation

No Response

China Exim

No Response

Industrial & Commercial Bank of China (ICBC)

No Response

China Non-ferrous Metal Industry’s Foreign Engineering & Construction (part of China Nonferrous Metal Mining)

No Response

China Export and Credit Insurance Corporation

No Response

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