More

    ‘Responsible investment’ fuels Myanmar junta, claim rights groups

    Civil societyAccreditation‘Responsible investment’ fuels Myanmar junta, claim rights groups
    - Advertisment -

    ‘Responsible investment’ fuels Myanmar junta, claim rights groups

    Big corporations with financial stakes running into billions of dollars are closely tied to Myanmar’s military junta, says a financial investigation by rights groups.

    An investigation by rights groups has revealed that environmental, social and governance (ESG) investments have funnelled billions into companies arming, funding and legitimising the Myanmar military junta.

    Big corporations with financial stakes running into billions of dollars are closely tied to Myanmar’s military junta, says a financial investigation by Inclusive Development International and ALTSEAN-Burma, the findings reveal.

    Their report, “The Myanmar ESG Files: How ‘responsible investment’ is enabling a military dictatorship,” by the human rights advocacy groups documents how hundreds of ESG (Environmental, Social and Governance) funds reflect in the shares in 33 corporations linked to the military junta. Implicitly, the corporations and the ESG funds have enabled the regime’s grip on the country.

    - Advertisement -

    Myanmar’s military junta has been accused of overthrowing a representative, democratic government in February 2021 and crimes against humanity.

    “Funds carrying the ESG label hold at least $13.4 billion worth of shares in 33 companies linked with the Myanmar military,” says the group’s findings.

    Some $40 trillion of professionally managed assets globally consider ESG factors. That is on track to exceed $53 trillion by 2025. With fees for ESG funds typically higher than conventional funds, consumers have been willing to pay a premium for these products.

    This “sustainable investment” received by big business in the strife-torn country includes weapon dealers supplying arms to the regime and tech services serving the military-controlled national police force and aid the government’s surveillance over its opponents and violently crush dissent.

    “Activists on the ground have been risking their lives and liberty to stop the flow of money, weapons and other resources that has allowed the military to maintain its illegitimate grip on power,” said Debbie Stothard, founder and coordinator of ALTSEAN-Burma. “It’s shocking and devastating to see so-called ‘responsible investment’ doing the opposite.”

    According to data compiled by Inclusive Development International, ESG-labelled funds continued to hold shares in these companies even after Myanmar’s military was found involved in the genocide perpetrated against the Rohingya. Similarly, the companies held the shares after the bloody coup and subsequent crackdown on pro-democracy protesters in February 2021.

    “That dozens of companies with ties to Myanmar’s genocidal regime are included in ESG portfolios shows just how large the gulf is between ‘responsible investment’ marketing claims and reality,” said David Pred, executive director of Inclusive Development International. “The foundation of this fraudulent industry is a deeply flawed ESG ratings system, which is in urgent need of regulation.”

     

    Image: Wikimedia

    - Advertisement -

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here

    Latest news

    Alliance for Global Good – Gender Equity and Equality: Logo and Website Launched

    The Alliance is supported by the Bill & Melinda Gates Foundation and anchored by the CII Centre for Women...

    SDGs in Asia – Mind the Widening Gap

    Asia Pacific now seriously lagging on all 17 SDGs. The region is reversing on climate action, stagnant on clean...

    Climate Change will Further Strain the Resilience of Small Farmers

    The unsustainable nature of farming operations and the escalating climate change have worsened the situation of the Indian farmer....

    Pakistan’s Election Outcomes Leave Many Unhappy

    Given these constraints, and the near impossibility of holding physical rallies, PTI used online opportunities. Khan kept up a...
    - Advertisement -

    Security Council Hears Gaza Famine ‘Almost Inevitable’ Unless Aid is Massively Scaled Up

    Some Council members proposed action plans to potentially end hostilities beginning with an immediate ceasefire and hostage releases while...

    Universal Connectivity Gets a $9 Billion Private Sector Boost

    ITU has called for $100 billion in overall investments by 2026 to provide the expertise and resources required to...

    Must read

    Alliance for Global Good – Gender Equity and Equality: Logo and Website Launched

    The Alliance is supported by the Bill & Melinda...

    SDGs in Asia – Mind the Widening Gap

    Asia Pacific now seriously lagging on all 17 SDGs....
    - Advertisement -

    More from the sectionRELATED
    Recommended to you