IFC, as the leading development financial institution promoting sustainable private sector investments in emerging markets, applies environmental and social standards to all of its lending activities to minimize and manage potential negative impacts on the environment and on affected communities. These environmental and social standards are embodied in IFC’s Sustainability Framework, including the Performance Standards and the EHS Guidelines. They are acknowledged as a benchmark for sustainability in private sector investments globally. The Performance Standards define clients’ roles and responsibilities for managing their projects and the requirements for receiving and retaining IFC support. The Performance Standards have catalyzed the convergence of standards for private sector financing and this convergence has leveled the playing field for financial institutions. As an example, to date, 70 financial institutions have adopted the Equator Principles, which are based on the Performance Standards, in order to ensure that the projects they finance are developed in a manner that is socially responsible and reflect sound environmental management practices. The Equator Principles have become the global standard for project finance. The Principles have transformed the funding of major projects around the world, representing 80 percent of global project finance. In addition, 32 export credit agencies of the OECD countries and 16 European Development Financial Institutions also benchmark private sector projects against the Performance Standards. IFC is currently reviewing its experience in implementing the Performance Standards with a broad stakeholder consultation. The review is expected to improve the effectiveness of the Performance Standards and capture new developments and trends in the marketplace.
Conducting social and environmental surveys, community consultation; community based events.
Preparation and monitoring of Resettlement Action Plan (RAP); Ethnics Minority Development Plan (EMDP); Livelihood restoration Plan.
Preparation and implementation of livelihood restoration program (Trung Son hydropower project and Nui Phao mining project as outstanding examples) applied for project affected communities focusing on rural, mountainous and coastal areas.
Preparation and implementation of capacity building program for community development including rasing awareness change of behaviors and skill upgrading.
Preparation of environmental impact/risk assessment (EIA), environmental management plan; monitoring on environmental compliance.
Preparation and implementation capacity building program on environmental protection, climate change adapting and adjustment, sustainable usage and management of natural resources.
Conducting trainings course for raising awareness of community on environmental protection.