Demand Accountability from Banks: Stop Funding Dirty Palm Oil Industry

The palm oil industry continues to thrive at the expense of environmental destruction and the violation of local communities’ rights, all with financial support from major banks. A glaring example is PT Agro Nusa Abadi (ANA), a subsidiary of Astra Agro Lestari (AAL), which has been implicated in land conflicts and ecosystem damage in Central Sulawesi. It’s time to demand banks to stop funding companies with such poor track records. Together, we can push for a shift toward a sustainable financial system that respects both the environment and human rights.

One of many banks financing AAL is Bank Mandiri. Ironically, Bank Mandiri positions itself as a “First Mover on Sustainable Banking,” a commitment to support environmentally friendly and socially responsible financing. However, by continuing to fund companies involved in deforestation and violations of local community rights, Bank Mandiri contradicts the very principles of sustainability it claims to champion.

This highlights the gap between their claims and their real actions. Large banks like Mandiri must take accountability for their investment decisions and ensure that the funds they provide do not contribute to environmental and social harm.

As customers, we entrust our money to banks with the expectation that it will be managed wisely, ethically, and responsibly. When banks like Bank Mandiri continue to finance companies like AAL, they indirectly partake in environmental destruction and human rights violations. This is a betrayal of the trust customers place in them, as customers hope their investments will support sustainability, not destruction.

We, as customers, cannot remain silent. We have the right to demand that banks take responsibility for the social and environmental impact of their investment decisions. This is not just a matter of business ethics but also about safeguarding our future, our environment, and the communities we support. Don’t let your money fund irreversible damage. Let’s demand transparency and real commitments to sustainability from the banks we trust with our funds.

#JanganTanggungSendiri. Together with TuK INDONESIA, let’s #DesakMandiri to uphold its commitment to creating sustainable finance. Currently, TuK INDONESIA has filed a lawsuit against Bank Mandiri at the South Jakarta District Court, demanding the bank cease financing companies involved in environmental destruction and rights violations, such as AAL. This lawsuit is a firm step to hold Bank Mandiri accountable for actions that contradict its proclaimed commitment to environmentally friendly financing.

Through this legal action, TuK INDONESIA and its supporters aim to remind Bank Mandiri that, as a major financial institution, it carries moral and social responsibilities that cannot be ignored. Customers and the broader public have the right to know that their entrusted funds are not used to finance environmental destruction or violate the fundamental rights of local communities. Now is the time for Bank Mandiri to prove that its commitment to sustainability is not just a slogan but a tangible effort reflecting its care for Indonesia’s and the world’s future.

#JanganTanggungSendiri, Let’s #DesakMandiri.

Original link: https://www.tuk.or.id/en/desak-mandiri/