Dear journalists and editors,
Greenpeace International today releases a major report outlining how HSBC
is a major funder of companies involved in forest destruction in
Indonesia.
Greenpeace International’s 'Dirty Bankers' report is available for
download here,
and press release and photos are available below.
Please reach out to the press desk to set up interviews.
Best regards,
Tristan
------------------------
HSBC exposed as the banker behind Indonesia’s
deforestation crisisJakarta, 17 January, 2017 - Greenpeace
International exposed in a new report today how HSBC, Europe’s largest bank,
loaned hundreds of millions of US dollars to some of the most destructive palm
oil companies in Indonesia. [1]
In the past five years alone, HSBC has
been part of banking syndicates that arranged US$16.3 billion of loans (and
nearly US$2 billion of bonds) to six companies whose palm oil operations have
destroyed vast areas of rainforest, peatland and orangutan habitat in Indonesia.
[2]
Deforestation and peatland destruction by Indonesia’s palm oil and
pulp sectors is widely acknowledged as a root cause of forest fires and haze. A
study by Harvard and Columbia universities estimates that over 100,000 adults
across Southeast Asia died prematurely as a result of the 2015 haze crisis.
[3][4]
The report documents loans and financial services from HSBC to
palm oil companies responsible for:
- destroying rainforest, including orangutan habitat
- seizing land from local people
- operating without legal permits
- abusing workers and using child labour
- forest fires
- draining and developing carbon-rich peatland
Many of these actions
breach the laws and regulations that govern Indonesia’s plantation sector.
Lending to these companies also breaches HSBC’s sustainability policies. [5] The
financial support provided by HSBC and other international banks contrasts
sharply with public opinion and consumer companies demanding responsibly
produced palm oil.
“HSBC claims it’s a respectable bank with responsible
policies on deforestation. But somehow these fine words get forgotten when it’s
time to sign the contracts. Deforestation causes devastating fires that threaten
the health of millions across Southeast Asia, and our global climate. So why is
HSBC helping to raise billions for the companies fanning the flames?” said
Annisa Rahmawati, Senior Forest Campaigner for Greenpeace Southeast
Asia.
Companies in Indonesia’s palm oil sector use deliberately
complicated corporate structures to avoid scrutiny. But by analysing corporate
financial data and company accounts, as well as through field research,
Greenpeace International has traced those responsible for forest destruction
back through their parent companies to HSBC and a host of other international
banks.
“The smoke that comes from clearing forests and draining peatlands
puts my family in danger, year after year. The banks and companies driving this
crisis must take responsibility for polluting our air,” said Nilus Kasmi Seran,
an indigenous Dayak and volunteer firefighter from Ketapang, West
Kalimantan.
Last year the IUCN changed the classification of the Bornean
orangutan from ‘endangered’ to ‘critically endangered’, citing ‘destruction,
degradation and fragmentation of their habitats’ including conversion to
plantations, as a main reason for the decline in population.
[6]
Greenpeace analysis of figures released by the Indonesian Ministry of
Environment and Forestry suggest 31 million hectares of Indonesia’s rainforest
has been destroyed since 1990 - an area nearly the size of Germany. [7]
Indonesia has now surpassed Brazil as the country with the world’s highest rate
of deforestation, and today less than half of its peatlands remain
forested.
ENDS
Note to Editors:
[1] Greenpeace
International’s Dirty Bankers report is available for
download
here[2] The six companies are: Bumitama, Goodhope, IOI, Noble, POSCO
Daewoo and the Salim group / Indofood.
Total amount of loans involving HSBC
since 1/1/2012 (including matured) for these six palm oil groups:
US$16,341,898,120.
Total amount of bonds involving HSBC since 1/1/12
(including matured) for these six palm oil groups: $1,996,087,395
[3]
https://www.seas.harvard.edu/news/2016/09/smoke-from-2015-indonesian-fires-may-hav
e-caused-100000-premature-deaths
4. The financial toll has also been
enormous. The World Bank estimates the cost of the 2015 fires to Indonesia at
US$16 billion – twice the estimated value added from Indonesia’s 2014 gross palm
oil exports.
http://www.worldbank.org/en/news/feature/2015/12/01/indonesias-fire-and-haze-crisis[5]
HSBC’s Forestry and Agricultural Commodities policies can be viewed on its
website:
http://www.hsbc.com/our-approach/sustainability/finance[6]
International Union for Conservation of Nature.
http://www.iucnredlist.org/details/17975/0[7]
Mapping analysis from Greenpeace International’s Under Fire report, available
here:
http://www.greenpeace.org/international/en/publications/Campaign-reports/Forests-Reports/
Under-Fire/
Images are available from
http://bit.ly/2ix0w5IMedia
contacts:
Greenpeace Southeast Asia press office,
+62 811 7503 918
and
+62 811 1923 721Greenpeace International Press Desk,
pressd...@greenpeace.org,
phone:
+31 (0) 20 718 2470 (available 24 hours)
--
Tristan Tremschnig
Communications Hub Manager | Asia
Pacific
Ecological North West
Line * St. Petersburg, Russia