January 14, 2019
Finnfund’s human rights statement, aiming is to better integrate the UN Guiding Principles for Business and Human Rights (UNGP) into investment operations throughout the whole life cycle of an investment, is ready.
Respecting and promoting human rights are at the very core of Finnfund’s work as a development financier and responsible impact investor. Responsible companies can have a direct or indirect positive impact on human rights, such as on decent work, gender equality, freedom of association, through their own operations; as an employer, a corporate citizen and as a neighbor for local communities. As a development financier Finnfund is committed to encourage and strengthen this positive impact.
The nature and complexity of the financed activities in challenging geographies, imply that while there is great potential for positive development impact, there are adverse human rights risks and impacts that can be severe.
Finnfund endeavours to actively and continuously identify, avoid, mitigate and manage potential and actual adverse human right impacts related to its transactions, and take actions to address them using the UN Guiding Principles for Business and Human Rights (UNGPs) as a practical framework.
The use of the IFC Performance Standards (IFC PS) and the International Labour Organisation’s (ILO) Declaration on Fundamental Principles and Rights at Work as the reference framework for Finnfund’s environmental and social management means that assessments of human rights impacts of investments have been carried out to a certain extent for more than 10 years. The Human Rights Statement continues to support and strengthen this and is an integral part of Finnfund’s Environmental and Social Policy.
Discussions and consultations of stakeholders and experts have played a key role in the preparation of the statement. In addition to various smaller meetings and events, two larger roundtable discussions were held last year. Representatives of NGOs, companies, authorities and research institutes were involved. The development of human rights management tools and processes continues.
“Respecting and promoting human rights is at the core of Finnfund’s work, and the new statement will further strengthen this work. The discussions that took place as part of the preparation have played an important role, so I would like to thank everyone involved for their good and constructive cooperation,” says Jaakko Kangasniemi, CEO of Finnfund.
The statement is effective from 1 January 2019 and applies to investments approved thereafter, and where applicable, to investments already in Finnfund’s portfolio.
More information available here.
- Finnfund invites comments on the human rights statement draft (News 1 Nov 2018)
- Human rights
- Environmental and social policy
- Ownership steering
- Exclusion list
Senior Environmental and Social Adviser, Sylvie Fraboulet-Jussila, tel. +358 40 587 6467, sylvie.fraboulet-jussila(a)finnfund.fi
Senior Environmental and Social Adviser, Karoliina Lindroos, tel. +358 40 577 2203, karoliina.lindroos(a)finnfund.fi