Bank not responsible for “evident harm”

24 July 2002

A Papuan NGO, the Center for Environmental Law and Community Rights, attempted to halt the release of a $17 million World Bank loan, claiming that the PNG government had failed to stop illegal logging and road construction, and that the Bank had failed to supervise compliance with the conditionalities. After an initial eligibility review, the Inspection Panel has recommended against a full investigation, concluding that, while the claimants had suffered “evident harm,” it was not related to an act or omission by the Bank, and therefore not eligible for review by the Panel.

World Bank Inspection Panel site