Norway’s KLP divests NOK 9m from Adani Ports due to Myanmar military connection

Norwegian pension fund, KLP, has divested NOK 9m from Adani Ports and Special Economic Zone Limited on the basis of the company's connection to Myanmar's military, which breaches the fund's responsible investment policy.

KLP said careful withdrawals have been made on the grounds that Adani's operations in Myanmar and its business partnership with the country's military pose an unacceptable risk of contributing to breaches of KLP's guidelines for responsible investment.

Adani Ports, India's largest port operator, has been scrutinised by international investors for its project to build a container port in the city of Yangon on land leased from a military-owned conglomerate in Myanmar.

A military coup in Myanmar on 1 February and a subsequent attack on mass protests in which hundreds have been killed have led to international condemnation and sanctions against military personnel and military-controlled units.

KLP Kapitalforvaltning senior analyst, Kiran Aziz, said: “Adani's operations in Myanmar and its business partnership with the country's armed forces pose an unacceptable risk of contributing to breaches of KLP's guidelines for responsible investment.”

KLP believes is an "imminent danger" that the armed forces could use the port to import weapons and equipment, or as a naval base.

“In this way, the port can be used by the army to continue its violations of human rights,” Aziz explained.

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