This blog examines the importance of ESG and accountability to communities – the third component of our DFI Transparency Tool. It reviews how the rights-based approach for access to information has affected the ESG disclosure of development finance institutions. It welcomes the shift towards presumption of disclosure from DFIs, and discusses why a commitment to pro-active disclosure of all ESG information is needed for openness and accountability to the public and project-affected communities.
The DFI Transparency Initiative is about to release its latest working paper on environmental, social and governance (ESG) and accountability to communities. Fran Witt (Economic Justice and Climate Change Consultant) and Fidanka Bacheva-McGrath (EBRD Policy Officer, Bankwatch) provide a CSO perspective on the transparency and accountability challenges for public development banks (PDBs). They argue that PDBs have much work to do in order to meet their commitments to the rights of project-affected communities.