Oxfam assails World Bank arm for rights violations

The World Bank''s private-sector finance unit supported development projects in numerous countries that involved grave violations of human rights, anti-poverty group Oxfam alleged in a new report Thursday. Oxfam said the World Bank''s International Finance Corporation has increasingly channelled its funds through other financial institutions, like local banks and private-equity funds, sacrificing close oversight of projects that have a harmful impact on impoverished populations.
The IFC "has little accountability for billions of dollars'' worth of investments into banks, hedge funds and other financial intermediaries, resulting in projects that are causing human rights abuses around the world," Oxfam said.
Citing its own research as well as reports by the World Bank''s internal watchdog, Oxfam said that the IFC has taken a "hands off" strategy to pumping $36 billion into poor countries via other private-sector financial intermediaries over the past four years.
But Nicolas Mombrial, head of Oxfam International''s Washington office, said that the IFC does not know where much of its money under the new lending model goes and how it really impacts people in the field.