NEW DELHI: Norwegian pension fund KLP is divesting from Adani Ports and Special Economic Zone Limited citing the company’s links with the Myanmar military.
“Adani’s operations in Myanmar and its business partnership with that country’s armed forces constitutes an unacceptable risk of contributing to the violation of KLP’s guidelines for responsible investment,” says Kiran Aziz, senior analyst in KLP Kapitalforvaltning.
Adani Ports has been under scrutiny from international investors over its project to build a container terminal in the city of Yangon on land leased from a Myanmar military-owned conglomerate. A military coup in Myanmar on February 1 and an ensuing crackdown on mass protests in which hundreds have been killed has drawn international condemnation and sanctions.
The fund said that there is an “imminent danger” the armed forces could use the port to import weapons and equipment, or as a naval base, continuing human rights violations. KLP had an investment worth $1.05 million in APSEZ.