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dam-l LS: Peoples' Forum on ADB - Rights of People to refuse ADB loans

THAI NGO FORUM ON ADB

INTERNATIONAL MEDIA PHONE: 01 472 7940; 053 211028 #368
http://jump.to/adbinthai (N.B. We hope to have English-language updates on 
this website today)

Open Letter
Regarding the Rights of the People to Refuse Asian Development Bank Loans

The ADB Must Review Its Role and Stop Its Activities

3 May 2000, Chiang Mai Phucome Hotel, Chiang Mai

We, a network of nongovernmental organisations (NGOs) and a network of 
people’s organisations, in the name of the Working Committee to Monitor the 
Impacts of ADB Loan Projects, have come to meet in the Chiang Mai Phucome 
Hotel to conclusively show to the ADB, the government, and the public, that 
ADB loan projects have resulted in severe impacts on Thailand’s economic 
system by shifting the burden of these loans onto the people, and to 
centralise economic power in the hands of foreign investors.  This has 
resulted in economic and cultural disparities and an ever-increasing gap 
between the rich and poor.  Finally, ADB loans have resulted in the 
destruction of ecological systems, genetic resources, and in severe 
environmental pollution in Thailand.

During this meeting, colleagues from our alliance of international NGO have 
described in detail the failures of the ADB.  For example, an ADB-funded 
waste water treatment plant in Pakistan has adversely impacted local 
communities to the extent that local people are now demanding the project be 
removed from the area. In Bangladesh, local communities are resisting the 
destruction of mangroves by industrial shrimp farming supported with funds 
from the ADB. Both of these examples are in many ways similar to the 
experience of local communities in Thailand, including local opposition to 
the ADB-funded Klong Dan Wastewater Treatment project in Samut Prakarn 
province, and the proposed water tax that would be imposed on farmers by the 
ADB-funded Agriculture Sector Structural Reform programme.

For the past 30 years, the ADB’s main policy has been the focus on economic 
growth.  This policy has been unsuccessful as the Bank is responsible for 
creating poverty and serious conflicts between the people and the 
governments receiving ADB loans.  Nevertheless, the ADB has never improved, 
listened, or reviewed its main policy.  And while the ADB constantly speaks 
of solving problems through a participatory process, in fact the Bank 
ignores the views of the people that have been suffered the impacts of ADB 
loan projects ­ the people do not receive a response from the ADB.

The ADB proclaims the benefits of its loan projects for the poor, but in 
reality there are only the enormous benefits that accrue to the donor 
countries of the ADB. For example, our colleague from Australia stated that 
Australia is the fifth-largest donor to the ADB, but has received millions 
of dollars in return ­ and in excess of ­ its financial contributions to the 
Bank as a donor.

We, Working Committee to Monitor Impacts of ADB Loan Projects, condemn the 
hypocritical manner of the Asian Development Bank.  The Bank places the 
burden of development on the backs of the poor ­ in Thailand and in many 
other poor countries.  We demand that the ADB review its role and practices. 
  Otherwise, the people affected by the impacts of ADB loans will arise in a 
movement of protest and resist the ADB to the utmost.


Working Committee to Monitor Impacts of ADB Loan Projects
"Development must come from the people"


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