ABN AMRO lending policy excludes ‘land grabbing’
- Sustainability
ABN AMRO is strongly opposed to land grabbing. The term ‘land grabbing’ points to the negative effects that can result when foreign companies invest in land, such as agricultural land, in third world countries.
The Fair Banking Guide (FBG) has investigated to what degree Dutch banks try to prevent land grabbing. In this study, ABN ABMRO scores 4 out of 5 for its lending policies.
ABN AMRO clients who want to acquire land outside of the EU must meet specific criteria and requirements. This prevents investments in land having a negative effect on the local population and the local environment. If clients don’t meet these criteria, they won’t be granted a loan. ABN AMRO also applies this requirement to the investment funds it advises.Because this has not been set out in a policy (although the policy framework is in development), ABN AMRO received a lower score for asset management. ABN AMRO itself does not invest in land or in companies that carry out land acquisition.
A press release on the FBG’s investigation that was distributed under embargo stated that ABN AMRO scored poorly (3) on lending policies around land acquisition. This is not correct: ABN AMRO’s score was 4.