ALERT – PAX releases a report denouncing global investments in banned weapons. | June 16, 2016
Today, the NGO PAX publishes the seventh edition of its report “Worldwide Investments in Cluster Munitions: A shared responsibility”. By monitoring the practices of financial institutions and countries between June 2012 and April 2016, PAX found out that 158 institutions, from fourteen countries, invested more than US$28 billion in seven producers of cluster munitions. 20 […]
Today, the NGO PAX publishes the seventh edition of its report “Worldwide Investments in Cluster Munitions: A shared responsibility”.
By monitoring the practices of financial institutions and countries between June 2012 and April 2016, PAX found out that 158 institutions, from fourteen countries, invested more than US$28 billion in seven producers of cluster munitions.
20 financial institutions that have invested in producers of cluster munitions are from countries that have joined to the Convention on Cluster Munitions (CCM)*, which prohibit the use, production, stockpiling and transfer of these weapons: Canada, France, Germany, Japan, Spain, Switzerland and United Kingdom. Although investment is not explicitly banned by the CCM, financing the production of these weapons is a serious violation of the spirit of the convention, as its first article prohibits to assist, encourage or induce others to produce cluster munitions. Furthermore, it is clear that investing in a cluster munitions producer contributes to the widespread harm caused by these weapons. Cluster munitions have killed and injured thousands of civilians for decades and continue to do so today. They remain dangerous long after a conflict has ended.
Along with PAX and the other members of the Cluster Munition Coalition, Handicap International condemns this practice.
«Cluster munitions producers are receiving loans and financial services too easily. The financial institutions concerned and the invested amounts are still very high. We have to stop it now! It is against the spirit of the Oslo Treaty to let financial institutions do business with cluster munitions producers. States should take their responsibilities to end these practices» says Marion Libertucci, Deputy to the Director of Advocacy of Handicap International.
The vast majority of the financial institutions (138) still investing in cluster munitions are from countries that have not joined the Convention on Cluster Munitions: 74 are from the United States, 29 from China and 26 from South Korea.
These weapons are currently used in conflicts, for example, in Yemen, where the Saudi Coalition is using cluster munitions produced by US company Textron since 2015.
Handicap International calls States and financial institutions to end this practice and to rally behind a simple rule “Disinvest from producers of cluster munitions now!”. It is essential that more countries take action by joining the Convention on Cluster Munitions and adopting binding legislation against investments in these weapons.
Read more on this topic:
- PAX report: http://www.stopexplosiveinvestments.org/report
*The Convention on Cluster Munitions entered into force on 1 august 2010, and has been signed by 119 countries (100 are States Parties).