5.2: Free, prior and informed consent (FPIC)
Does the bank’s policy commitments reference the right to Free, Prior and Informed Consent (FPIC), and require clients and investee companies to provide evidence of FPIC wherever applicable?
The BankTrack Global Human Rights Benchmark is an independent assessment of the world’s largest commercial banks, measuring how they respect human rights in their policies, practices, and business relationships. Built on the UN Guiding Principles on Business and Human Rights, the benchmark evaluates banks across key themes, including policy commitments, due diligence, remedy, and specific issues such as the protection of human rights defenders, free, prior, and informed consent, and environmental rights.
Why this metric is important: Free, Prior and Informed Consent (FPIC) is a fundamental and inalienable right of Indigenous Peoples, protecting their collective rights, cultural identity and self-determination. The right of Indigenous Peoples to provide or withhold FPIC is protected by international human rights law, and is elaborated in global authoritative instruments such as the UN Declaration on the Rights of Indigenous Peoples (UNDRIP). Without a clear commitment to respect FPIC, banks run the risk of financing activities – especially in high-risk sectors such as mining or energy – that endanger Indigenous People’s rights and livelihoods. Banks should embed FPIC considerations in policies and processes, and expect their business relationships to do the same, to fulfil their responsibility to protect human rights as outlined in the UN Guiding Principles.
Why this metric is important: Free, Prior and Informed Consent (FPIC) is a fundamental and inalienable right of Indigenous Peoples, protecting their collective rights, cultural identity and self-determination. The right of Indigenous Peoples to provide or withhold FPIC is protected by international human rights law, and is elaborated in global authoritative instruments such as the UN Declaration on the Rights of Indigenous Peoples (UNDRIP). Without a clear commitment to respect FPIC, banks run the risk of financing activities – especially in high-risk sectors such as mining or energy – that endanger Indigenous People’s rights and livelihoods. Banks should embed FPIC considerations in policies and processes, and expect their business relationships to do the same, to fulfil their responsibility to protect human rights as outlined in the UN Guiding Principles.
Requirements for full and half score:
Full score: The bankʼs policy commitment includes reference to the right to Free, Prior and Informed Consent, and requires that clients and investee companies, regardless of sector, provide evidence of FPIC to the bank wherever it is applicable.
Half score: The bankʼs policy commitment includes reference to the right to Free, Prior and Informed Consent.
Full methodology can be found in the report.
Full score: The bankʼs policy commitment includes reference to the right to Free, Prior and Informed Consent, and requires that clients and investee companies, regardless of sector, provide evidence of FPIC to the bank wherever it is applicable.
Half score: The bankʼs policy commitment includes reference to the right to Free, Prior and Informed Consent.
Full methodology can be found in the report.