A number of Indonesian and international civil society organizations have held a “People Summit on Alternative Development” meeting in response to the International Monetary Fund (IMF) and World Bank Meeting, held from Oct. 12 to 14 in Bali. The People Summit aimed to consolidate voices of national and international civil society in order to determine patterns of development that are useful for the community.
A direct result from the People Summit, was a communique signed by multiple civil society organisations. Read the full text of the communique below.
Voices on Equality of Justice: From the Past to the Future
As CSOs, we realize that there are no shortcuts in the development process. High and sustainable economic growth can only be achieved if the process of economic empowerment have gone to all levels of society – not only a portion of the society. Therefore, through the People Summit on Alternative Development, the CSOs is passing on their notions to the IMF-WB in the form of 5 resolution points, as the following:
1. The World Bank (WB) need to establish an accountability mechanism for its performance — which is inclusive, material, responsive and accountable for the impact — including for projects that have been completed in the past.
2. All countries need to ensure that in every project financed by the World Bank / IMF, the main beneficiaries are the community, and not only investors and project implementers.
3. The Government of Indonesia need to carry out project audits and / or policies on debt to find out which debt is effective and not — and seek renegotiation of payments for ineffective debts, including the possibility of debt write off.
4. The WB / IMF and the Indonesian Government need to remove impunity from all project implementers financed by the WB / IMF.
5. To stop using one size fits all approach in designing policy as it has been proven to be ineffective, even dangerous.
6. To request member states to consistently strengthen and implement human rights, anti-corruption and environmental standards as a condition for receiving and stopping development funding from both WB, IMF and other international financial institutions.
People’s Summit on Alternative Development resulted in the form of recommendations as the following:
1. Call on all countries, especially industrialized countries to truly demonstrate commitment to the achievement of the objectives of the Paris Agreement, and consider the IPCC Special Report on 1.5 degree Celsius and develop a significant decarbonization strategy to ensure an average increase in global temperatures does not exceed 1.5 degree Celsius while respecting the human rights and ecosystem integrity.
2. Urge all countries to have financial systems and regulations that can sustain the achievement of the Sustainable Development Agenda (SDGs) and the Paris Agreement, specifically ensuring respect for the human rights and ecosystem integrity and encouraging SDGs and the Paris Agreement to be deciphered throughout country into clear and details program and financing needs.
3. Demand the IMF and the World Bank to commit to fair fiscal reform to redistribute wealth and reduce inequality.
4. Demand the IMF and the World Bank to make serious efforts and lead the way to tackle illicit financial flow.
5. Demand the IMF, the World Bank and other multilateral institutions to have a commitment to finance sustainable development that respects the principles of human rights.
6. Requesting countries to provide clear indications about the amount of contribution to sustainable development financing expected from government spending, the private sector, the public, international assistance, and multilateral financial institutions.
7. Emphasizing the importance of proper calculation of economic, social and environmental costs — but not limited to the social cost of carbon — from all sectors that produce greenhouse gas emissions and to include these calculations in financing decisions.
8. Encourage countries to transparently report policies, strategies, programs and performance of all issues related to sustainability of all financial service institutions; and to seek an international treaty that binds it.
9. Call on all civil society groups and other stakeholders to continue to strengthen the advocacy efforts on social responsibility of transnational corporations and international financial institutions at international, national and local levels
10. Urge the UN to immediately complete a binding agreement to require the accountability of transnational companies and international financial institutions for the negative economic, social and environmental impacts they have caused.
11. Support countries to include accountability clauses for the impact of contracts and investment licenses to transnational companies and international financial institutions, and enforce them when violation occurs
12. Affirming that past violations by transnational companies and international financial institutions need to be investigated in depth and the results will be used to demand accountability from those who break them.
13. Emphasizing the importance of a fair and transparent remediation mechanism for the accountability of transnational companies and international financial institutions, proportionate with the negative impacts they have caused.
14. Mainstreaming the principles of gender equality in all policy recommendations and projects financed by the World Bank.
15. Remind anti-corruption drivers at the national, regional and international levels and the private sector that the enforcement approach will not be enough if the system, regulations and incentive and disincentive structures are not improved.
16. Demand the Government of Indonesia and the countries signing the UNCAC to impoverish the corruptors and their families, so that they become one of the sources of development financing.
17. Urge the WB-IMF to encourage the Indonesian government to improve the governance of procurement of goods and services, and specifically to implement open contract approach, before providing financial assistance.
18. IMF and World Bank policies and conditionalities should not impede governments from providing gender response public services which they are obliged to do as per global human rights covenants that they have ratified.
• debtWATCH Indonesia
• Wahana Lingkungan Hidup Indonesia
• Public Services International (PSI)
• Migrant Care
• Koalisi Perempuan Indonesia (KPI)
• Transparency International Indonesia
• Taring Babi – Marjinal
• Publish What You Pay (PWYP)
• TuK Indonesia
• Asian Democratic Network (ADN)
• Forum Masyarakat Adat Pesisir
• PPNI (Persaudaraan Perempuan
• LBH APIK, Bali
• Sawit Watch
• IDEA Yogyakarta
• PERDU Manokwari
• Friends of the National Parks
• Diskusi Warga Medsos.
• Fight Inequality Alliance