Financing of a pulp mill project in Uruguay
Lead NCPSweden
Supporting NCP(s)Norway
DescriptionSpecific instance notified by the Argentinian NGO CEDHA regarding the activities of Nordea operating in Uraguay.
Theme(s)General policies
Date12 Jul 2006
Host country(ies)Uruguay
Industry sectorFinancial and insurance activities

Read the public statement issued by the Swedish NCP, and endorsed by the Norwegian NCP, concluding the specific instance. 

In July 2006 the Swedish NCP and the Norwegian NCP received a request for review from the Argentine environmental and human rights NGO CEDHA (Center for Human Rights and Environment), which was also signed by the Norwegian environmental organisation Bellona, alleging that Nordea had breached the general policies provisions of the Guidelines by its part-financing of the Finnish company Botnia’s pulp mill project in Uruguay.

The complaint was dealt with via consultation between the Swedish and Norwegian Contact Points, but was agreed that the main responsibility for the specific instance should lie with the Swedish NCP as Nordea’s head office is in Stockholm.

Founded partly on meetings that were held with the aim of contributing to a solution by means of discussion and dialogue, and partly on questions and answers that were exchanged between the parties concerned, with the NCP acting as facilitator and intermediary, the Swedish NCP has not found indications to support the allegations made about Nordea having violated the Guidelines in its part-financing of Botnia’s pulp mill in Uruguay. Moreover, the International Finance Corporation’s (IFC) environmental study on the project and visits made to Uruguay by trade union organisations have strengthened this assessment.