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Opinion: Why is IFC contributing to poverty in Guinea?

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Market in Guinea

While most of the world was sheltering in place due to the COVID-19 pandemic in March, a hundred families were uprooted from their lush, centuries-old village in western Guinea and relocated to a barren hilltop to make way for a sprawling bauxite mine, backed by the International Finance Corporation.

Residents of the Hamdallaye village say the Compagnie des Bauxites de Guinée, or CBG, moved them to an unfinished resettlement site that lacks adequate housing, water, and arable land to replace the farmland that the company has taken from them over the past decade.

Three months later, World Bank President David Malpass responded to the Black Lives Matter movement by committing to tackle racial injustice and inequality, including within the World Bank Group. A banner reading “#EndRacism” was draped across the façade of the bank’s headquarters in Washington.

If these words are to be more than just a hashtag, the bank should take a hard look at how it is deepening inequality by contributing to the plunder of African resources, at the expense of African lives, to help some of the wealthiest corporations accumulate more wealth.

One of the world’s largest bauxite miners, CBG is a joint venture of the Guinean government and three multinational mining companies — Rio Tinto, Alcoa, and Dadco — and supplies the raw material for aluminum in an array of consumer products, from Ford trucks and BMW luxury cars to Campbell’s soup and Coca-Cola cans.

In 2016, the company received a package of loans estimated at $795 million from IFC, the U.S. Overseas Private Investment Corporation, and a syndicate of commercial banks to expand its bauxite production. The German government guaranteed a portion of the financing through its untied loan guarantees program.

Last year, the residents of Hamdallaye joined 12 other villages in filing a complaint with IFC’s independent watchdog, the Compliance Advisor Ombudsman, or CAO, saying CBG had grabbed their ancestral land, polluted their water sources, and caused long-term damage to their livelihoods with IFC’s acquiescence.

The company responded to the complaint, as well as others, by saying that it has adopted and adhered to IFC’s environmental and social performance standards over the past four years but that it “wishes to learn more about the concerns expressed in the complaint and initiate a process to resolve the disputes with the Complainants.”

The communities and the company were scheduled to begin mediations in April 2020 under the auspices of CAO. The people of Hamdallaye expected to have this opportunity to negotiate their resettlement terms on a fair footing. Mediations were postponed due to the coronavirus pandemic, yet CBG plowed ahead with the resettlement of the village regardless. The company has since issued a statement about this.

To help Hamdallaye and the other communities prepare for mediations, my organization, Inclusive Development International, supported them to conduct a participatory mapping exercise and to analyze Earth observation data from 1974 to 2019. This mapping documented and geolocated the impacts of CBG’s operations on 17 villages.

The results were staggering, suggesting that the residents of these villages — which make up only a small fraction of the roughly 230 villages affected by CBG’s expansion — collectively lost more than 100 water sources and more than 80 square kilometers of cropland to CBG’s mining activities. The company has yet to pay a cent in compensation for this land.

What’s worse, CBG is not rehabilitating most of the land it exploited. Bauxite mining strips vast areas of fertile topsoil to access the minerals underneath, creating “dead zones” that are useless for agriculture without proper rehabilitation. An analysis of satellite imagery indicates that over the lifetime of the mine, the company has rehabilitated only about 10% of the land that it has exploited, and large portions have been re-mined since the IFC-backed expansion began in 2016.

The land that CBG and other bauxite miners are destroying underpins the economic and food security of some 400,000 farmers in the Boké region. Far from bringing development to this corner of West Africa, this investment threatens to cause impoverishment on a massive scale.

So why is a member of the World Bank Group, along with the U.S. and German governments, fostering poverty in what is already one of the world’s poorest nations?

The project backers said that CBG’s expansion would benefit social development and stimulate economic growth in Boké. IFC acknowledged the investment’s significant risks but justified them on the basis of the environmental and social “additionality” that it would bring, pledging to “support the Company in areas such as biodiversity, resettlement and water management.” The loan package is predicated on CBG’s commitment to comply with its environmental and social performance standards.

CBG has not only failed to acknowledge and redress its 30-year legacy of harm, but it is still not complying with IFC’s standards as it expands its operations over vast new areas of land. That is not just our analysis but also the conclusion of the project’s independent environmental and social monitor.

CBG’s unwillingness to remediate and avoid further harm may have been tolerated by the lenders so far, but it is causing enormous frustration among the local population. In 2017, Boké saw large-scale riots by thousands of young people protesting bauxite mining in the region, resulting in multiple deaths of protestors at the hands of security forces. The protesters weren’t saying no to mining; they were simply demanding a fair share of the benefits.

CBG’s multinational owners do not actually need IFC’s advice on how to mine bauxite more responsibly. After a lengthy legal battle, Rio Tinto reached an agreement with Indigenous landowners to lease the site of its Gove mine in Australia’s Northern Territory. Rio agreed to pay the communities between $15 million and $18 million a year in rent over a 42-year period, along with a range of other development and employment benefits.

The people of Guinea deserve nothing less. And we expect no less from a “development” project that has benefited greatly from the largesse of our public tax dollars.

 Original Post: Devex

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Nearly 90 mln displaced people face severe climate risks

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According to UNHCR’s latest report, No Escape III: Displaced Voices on the Frontlines of the Climate Crisis, three in four forcibly displaced people globally face high to extreme exposure to climate-related hazards. Many have already fled conflict, violence and persecution, only to encounter further threats in places where resources to adapt are limited.

The report features the experiences of eight members of displaced communities, highlighting their resilience and the importance of including their voices in climate-related decisions.

“Refugees face a double injustice. Forced to flee conflicts they did not cause, they are now on the frontlines of a climate crisis they have contributed least to,” said Antón Leis García, UNHCR’s Assistant High Commissioner for Operations.

Climate change is also undermining the prospects for lasting solutions. More than two-thirds of refugees who returned home in the first half of 2026 did so to countries highly vulnerable to climate hazards, raising concerns about the sustainability of their return.

In Syria, where nearly 4 million displaced people have recently returned, declining groundwater levels and severe climate shocks are threatening recovery. Flooding along the Euphrates River in May 2026 damaged homes and forced thousands more people to flee.

Extreme heat poses another growing challenge. By 2050, one in three refugee settlements in sub-Saharan Africa could face at least 100 days of dangerous heat annually. In some settlements in Ethiopia, including Helaweyn, dangerous heat could persist for more than 200 days a year, threatening residents’ health and livelihoods.

Weather-related disasters have triggered more than 255 million internal displacements worldwide over the past decade, equivalent to approximately 70,000 movements a day. In East Africa, severe flooding associated with a very strong El Niño could displace up to 3 million people in Somalia, Kenya, South Sudan and Uganda by the end of 2026, depending on the severity of the floods.

Climate hazards also increase the risk of statelessness. Nearly 90% of the world’s 4.7 million reported stateless people live in countries facing high to extreme exposure to climate risks. Without legal recognition, many struggle to access disaster relief and adaptation support.

Despite these growing threats, fragile and conflict-affected countries receive only around 10% of global climate finance, even though many host large displaced populations and face severe climate impacts. UNHCR says greater investment in adaptation, particularly in areas of return, is essential to support reintegration and make returns safe, voluntary and sustainable.

Displaced people and host communities are already developing climate solutions, including solar-powered water systems in the Sahel, climate-resilient agriculture in Uganda, and land and mangrove restoration in Colombia.

At COP31, UNHCR will urge governments and climate finance institutions to include displaced people in national climate plans, increase long-term adaptation funding for fragile and displacement-affected areas, and support locally led solutions beyond short-term humanitarian assistance.

The agency says the conference, hosted by Türkiye, one of the world’s largest refugee-hosting countries, offers an opportunity to ensure that displaced people and host communities are included in global climate action.

Earlier, Qazinform News Agency reported that the year 2026 could become one of the four warmest years on record, as ocean temperatures continue to rise, glaciers lose ice and global sea levels reach new highs.

Source: europesays.com

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Negotiations are in motion to forge new international principles that will finally hold oil companies accountable for the scars they leave on people and the planet.

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By the Witness Radio team

When oil companies pack up after years of drilling, the pollution, scarred landscapes, and shattered livelihoods often linger long after the last rig is gone.

Communities in oil-producing regions are often left to grapple with poisoned water, rusting skeletons of abandoned infrastructure, and lost income from farming, fishing, and other ways of life. Meanwhile, the question of who will foot the bill for restoring the environment hangs in the air.

Now, three international civil society organizations are raising their voices, demanding that oil and gas companies take real responsibility when they shut down operations or hand over their assets to new investors.

The Stakeholder Democracy Network (SDN), the Interamerican Association for Environmental Defense (AIDA) and the Center for Research on Multinational Corporations (SOMO) have submitted the International Principles for Responsible Divestment from Fossil Fuels to the United Nations Working Group on Business and Human Rights.

These principles arrive at a time when countries are under mounting pressure to break free from coal, oil, and gas in the fight against climate change. Yet the organizations warn that companies must not use this transition as an excuse to abandon communities or leave their mess behind.

“Rapid closure and responsible closure of the fossil fuel industry are not mutually incompatible agendas. Both are vital to achieve climate and environmental justice and a just energy transition,” the principles state.

The proposed standards lay out a clear roadmap for what companies must do before walking away from fossil fuel projects, and what governments should demand in return.

According to the principles, companies are expected to inform communities about plans to close operations or sell assets, including when the changes will happen and what environmental and financial obligations remain outstanding.

They should also involve affected people in decisions about their own future, rather than making choices in secret boardrooms.

“This information must include divestment timelines and modalities, as well as full disclosure of all outstanding environmental and financial liabilities. Companies should proactively create spaces for participation and dialogue, so that affected people, regulators and government authorities receive relevant information and can meaningfully influence corporate decision-making.” The principles further state.

Another key demand is that companies must pay for the harm they have caused, from cleaning up polluted lands and waters to safely dismantling infrastructure and restoring damaged ecosystems.

The organizations are also pushing for companies to compensate those whose livelihoods, health, culture, and communities have suffered. This could mean financial payments, restoring sacred cultural sites, and publicly admitting the harm they have done.

When companies sell off their assets, the principles insist they must ensure that new owners have both the resources and expertise to run operations safely and cover all future closure and restoration costs.

The principles also highlight the fate of workers and communities whose lives depend on oil. They call for new livelihood opportunities, job transition programs, and social safety nets for those facing job loss when the wells run dry.

The principles also place the onus on governments, urging them to ensure oil companies do not walk away from environmental damage or leave obligations unresolved when they shut down or sell off their assets.

They urge states to craft clear, transparent plans for phasing out fossil fuel extraction, with affected communities and workers at the table for every decision that could reshape their lives.

Governments are also expected to overhaul their laws and regulations, closing loopholes that let companies slip away from projects without cleaning up pollution, restoring ecosystems, or compensating those harmed.

“States should ensure that their existing legal and regulatory frameworks related to fossil fuel divestment, including investment laws and treaties, are aligned with these Principles and that these Principles are made obligatory for companies by enshrining them in law and effectively enforcing them.” The 4-page document reads

Before any asset sale or project closure gets the green light, the principles say governments should demand independent environmental and social assessments, plus thorough reviews of infrastructure and decommissioning costs.

They also urge states to ensure companies set aside enough money for environmental clean-up and infrastructure dismantling before approving any closure plans.

When assets change hands, governments should scrutinize whether the new buyers have the money, know-how, and management skills to run the facilities safely and meet all environmental obligations left on the table.

The principles sound the alarm against letting companies hand over assets to brand-new businesses or operators with no track record of safe management, which could leave governments and communities footing the bill when disaster strikes.

They also tackle cases where previous owners have already left a trail of environmental damage. Here, governments should ensure new owners handle the clean-up while protecting affected communities’ right to seek compensation and justice from those who caused the original harm.

The organizations are also pressing governments to publish yearly updates on all proposed, approved, and rejected oil and gas asset sales and project closures, including whether companies have kept their environmental and social promises.

These concerns are painfully clear in Nigeria’s Niger Delta, where decades of oil extraction have left communities battling pollution and the collapse of their livelihoods.

Oil spills have poisoned water sources, ruined farmland, and shattered fishing livelihoods, forcing many residents to bear the high cost of an industry that has reaped enormous profits.

A United Nations Environment Program (UNEP) assessment of Ogoniland in 2017 documented extensive oil contamination and recommended a long-term environmental clean-up.

Meanwhile, some international oil companies that once operated in the region are selling off their stakes to new investors, sparking urgent questions about who will shoulder responsibility for pollution and other lingering obligations.

In March 2025, Shell completed the sale of its Nigerian onshore subsidiary, the Shell Petroleum Development Company (SPDC), to Renaissance Africa Energy.

TotalEnergies followed with an agreement announced in January 2026 to sell its 10 percent non-operated interest in the Renaissance joint venture’s licenses to the Nigerian consortium Vaaris.

On October 27, 2026, TotalEnergies announced that it had completed the sale for US$800 million.

The company said it would retain its full economic interest in three gas licenses – OML 23, OML 28 and OML 77 – which currently account for 50 percent of Nigeria LNG’s gas supply. The transaction therefore covers its interest in the joint venture’s oil assets, rather than a complete withdrawal from its Nigerian operations.

Civil society organizations are raising doubts about whether these deals offer enough transparency on outstanding environmental damage, clean-up plans, and compensation for the communities left in the wake.

Dr Isaac ‘Asume’ Osuoka, Director of Social Action, said the people living in oil-producing areas should not be forgotten when companies negotiate the sale of their assets.

“This case is about people, not just oil assets. It is about children growing up with poisoned water, families breathing polluted air, and communities losing their health and livelihoods while international oil companies walk away with decades of profits,” Osuoka said.

He insisted that affected communities must not become corporate sacrifice zones and urged TotalEnergies to prove that its exit will not deepen existing human rights abuses.

Mr. Simon Taylor, co-founder of Hawkmoth, also questioned the transparency surrounding the transaction.

Taylor pointed to TotalEnergies’ previous involvement in the Extractive Industries Transparency Initiative, arguing that the company should be transparent about the public-interest implications of its asset sale.

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Development finance faces growing scrutiny as industrial livestock farming rapidly spreads across Africa.

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By the Witness Radio team.

As investment in large-scale agricultural enterprises surges across Africa, the spotlight is turning to development finance institutions and their power to determine which farming systems thrive and which are left behind.

Multilateral development banks and other financial institutions are playing a bigger role in shaping Africa’s agricultural landscape, funding everything from business models to infrastructure and production systems. Industrial livestock farming stands at the center of heated debate, with experts warning that its rise could sideline smallholder farmers, pastoralist communities, and agroecological food systems.

These pressing concerns took center stage during a webinar hosted by the Stop Financing Factory Farming (S3F) coalition, where participants explored how financing industrial livestock farming in Africa impacts farmers, the environment, climate, and public health.

The S3F Africa Regional Coordinator, Mariann Bassey-Olsson, said financial decisions made by development institutions have consequences beyond the businesses receiving the money.

“Since public money shapes food futures, what banks fund today decides what people eat and their livelihoods,” she said.

She pointed out that Africa’s livestock production is a tapestry of pastoralism, mixed crop-livestock farming, and commercial ventures. She urged that agricultural investment should honor this diversity instead of pushing industrial production as the default path.

“We must strengthen our diverse, locally appropriate and sustainable livestock systems, not replace them with industrial models,” she said.

Miriann also challenged the surge in support for agribusinesses, highlighting the stark contrast with the limited financing that reaches agroecological and community-led food systems.

“Factory farming is a finance story that depends on capital, infrastructure and policies that enable its expansion, yet public and private finance increasingly support agribusinesses while far less reaches agroecological community-led food systems,” she said.

Ms. Lizah Makombore of the University of Vermont said existing patterns of industrial production and consumption are pressuring ecosystems and making it difficult to achieve sustainable development goals.

“Because our food systems play such a monumental role in this crisis, they are now undeniably a growing cause for deep transformation,” she said.

Makombore called for a stronger embrace of agroecological farming, emphasizing that agricultural approaches must be rooted in local cultures, wisdom, and environmental realities.

She also highlighted the alarming decline in soil health and stressed the importance of weaving indigenous knowledge and cultural values into sustainable food systems.

“We therefore need to think about how we can shape the context using our cultural values and how we can reclaim our cosmovision, such as Ubuntu,” she said.

Citing an assessment by the Convention on the Elimination of All Forms of Discrimination Against Women (CEDAW) on financing for agroecology through the Green Climate Fund, Makombore said 79% of the funding assessed supported factory farming and other non-agroecological agricultural systems.

She added that agroecological systems received 10.3%, while agroecology received 10.6%.

Mr. Michael Farrelly of the Alliance for Food Sovereignty in Africa (AFSA) cautioned that investment figures alone cannot reveal whether farmers are truly gaining control over their production or reaping the rewards of funded businesses and programs.

“More finance doesn’t automatically mean more power or better incomes for farmers,” he

said.

Farrelly pointed to the Comprehensive Africa Agriculture Development Program (CAADP), the African Union framework guiding agricultural development across member states, as an important influence on investment priorities.

He said the program’s 2026–2035 implementation period has a $100 billion investment target combining public and private financing.

He also referred to regional agricultural policy platforms and summits where governments are seeking to attract private investment into the sector.

Farrelly urged closer scrutiny of the fine print of these investments, especially when they fuel the growth of large commercial agricultural enterprises.

He warned that as corporate agribusinesses gain ground, small-scale producers risk becoming more dependent on commercial buyers, facing mounting debt, and losing their grip on livestock production and marketing.

“The World Bank is helping shape both the businesses and the rules under which they operate. The authors of the report warn that farmers can become more dependent on corporate buyers and debt with less control over their livestock. Some programs aim to reduce the share of people working in agriculture.” He said.

Ms. Nne Nelly Umoren of the Green Leaf Advocacy and Empowerment Center voiced concerns about the hidden social and environmental costs that often accompany large industrial investments, such as fertilizer production.

Citing the Nduruma fertilizer industry, she questioned whether the economic promises of industrial projects truly reflect the realities faced by surrounding communities.

She noted that while such investments are often touted as engines of job creation, increased production, and economic growth, it is crucial to weigh these benefits against the environmental and social burdens local communities’ shoulder.

“They make us believe that investment is for production and for economic growth, food security, and also for the future food of Africa, especially the Nduruma fertilizer,” she said.

“The question behind this is: does industrial growth genuinely improve people’s lives and strengthen food systems? Does it really create economic benefit for investors while transferring environmental and social costs to the local communities?” she asked.

Umoren called for a sharper focus on the lived experiences of communities impacted by industrial projects and a closer look at how the benefits and costs of these investments are shared.

The experts urged that agricultural and development finance should prioritize approaches that empower local food systems and uplift small-scale producers.

They argued that Africa’s food security cannot be achieved through a one-size-fits-all model. Still, they must instead honor the continent’s rich tapestry of farming systems and ecological landscapes.

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