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17 Jul 2000
A cross-party group of MPs and leading campaigning groups has today published a
Memorandum [1] calling on Ministers to urgently reform the Export Credits Guarantee
Department (ECGD).
The ECGD is an arm of the Department of Trade and Industry that assists British exporters
by granting insurance cover for high risk business ventures overseas. Cover is routinely
granted for projects including large dams, arms deals and polluting power stations.
The need for ECGD reform was highlighted last week when MPs published their views on
the British Government's announcement that it was 'minded' to grant insurance cover to
Balfour Beatty for its leading role in the construction of the Ilisu Dam in Turkey. The MPs'
report demonstrated how Ministers presently have no procedures or standards to assess
the environmental, human rights, development or regional security issues linked to projects
like the dam [2].
Commenting, Tony Juniper the Policy and Campaigns Director at Friends of the Earth, said:
"The present system of export credits assists British companies to damage the
environment, support corrupt and undemocratic regimes, abuse human rights and
undermine peace and security. It is amazing that a Government which says it has an
ethical dimension to its foreign policy has not done more to sort out this problem. The
case of the Ilisu Dam in Turkey shows that the issues are urgent and demand priority
attention. The Prime Minister can play a role this week by making sure that standards
for Export Credit Agencies is high on the agenda of the G8 meeting".
MPs Joan Ruddock, Peter Bottomley and Andrew Stunell have written to Mr Blair, the
Environment Minister and six Cabinet members urging that action be taken to ensure that
ECGD properly considers concerns ranging from human rights to the environment. The
MPs are backed by many campaign groups including WWF, Oxfam, the World
Development Movement, the Campaign Against the Arms Trade and Friends of the Earth.
Copies of the Memorandum are available from FOE's press office.
[1] UK Export Credits Guarantee Department (ECGD) Minimum Conditions for Reform: A Memorandum
from Concerned Non-Governmental Organisations and Parliamentarians.
[2] House of Commons International Development Committee: ECGD, Development Issues and the Ilisu
Dam. 12th July 2000.
Contact details:
Friends of the Earth
26-28 Underwood St.
LONDON
N1 7JQ
Tel: 020 7490 1555
Fax: 020 7490 0881
Web: www.foe.co.uk/feedback.html
Media team
