CONSEJO INTERNACIONAL DE TRATADOS INDIOS

The World Bank
Draft Policy on Indigenous Peoples  (OP/ BP 4.10)
Bank Strategy for
Consultations with External Stakeholders

1.    Background

1.1    The World Bank was the first multilateral financial institution to introduce a special policy for the treatment of indigenous or tribal peoples in development projects.  As far back as 1982, the Bank issued Operational Manual Statement (OMS 2.34) on “Tribal People in Bank-financed Projects.”  In 1991, based upon the experience with OMS 2.34, the Bank issued a revised policy (Operational Directive 4.20).  The main objectives of the policy are to ensure that World Bank-financed development projects do not cause adverse impacts upon indigenous peoples, and that they provide them with culturally compatible social and economic benefits.

1.2    The World Bank is now carrying out a revision of its indigenous peoples policy.  The process of revising the existing World Bank policy on indigenous peoples, which began in 1998, is now at its final stage.  Prior to finalizing the new indigenous peoples policy, the Bank is conducting a final round of consultations with external stakeholders.

2.   Objectives of the Policy Revision

2.1    The revision of World Bank's indigenous peoples policy is part of a larger, Bank-wide process of converting policies from Operational Directives (ODs) that combine mandatory policy, Bank procedures and “good practice” into an Operational Policies / Business Procedures (OP/BP) format that distinguish “policies” and “procedures”, both of which are mandatory. The conversions of Bank policies are part of an effort to promote better understanding of and compliance with the Bank's policies.

2.2    The policy revision has been carried out to clarify ambiguities and processing requirements in OD 4.20 and to facilitate implementation of the policy.  The revision process has also incorporated lessons learned from implementing the policy over the past two decades.

The policy revision is not intended to alter the key objectives, principles and requirements of the existing OD 4.20.

3.   Process of the Policy Revision

3.1    Between July 1998 and June 1999, the Bank held consultations on an Approach Paper that discussed the issues associated with the revision of the Indigenous Peoples policy.  The consultations were carried out in the Andean countries (Argentina, Bolivia, Chile, Colombia, Ecuador and Venezuela), Brazil, the Central American countries (Belize, Costa Rica, El Salvador, Guatemala, Honduras, Mexico, Nicaragua and Panama), the East African countries (Tanzania, Kenya, Rwanda, Congo and Uganda), India, Philippines, Russia, Vietnam, USA and West African countries (Nigeria, Niger, Burkina Faso, Cameroon, Senegal, Mali and Guinea Bissau).  The consultations involved Borrower governments, representative indigenous organizations, NGOs and academic experts.  The relevant documentation on consultations held in Latin America, India and Washington DC has been posted in the Bank's external web: www.worldbank.org/indigenous

3.2   Bank-wide discussions were conducted between October 1999 - January 2001 involving regional operational staff, networks and sectors.

3.3   Based on the external and internal consultations, the policy draft was revised.   In February 2001, the draft was discussed and endorsed for external consultations by the Executive Director's Committee on Development Effectiveness (CODE).

3.4   The Bank is now seeking comments on the final draft policy (OP/BP 4.10).

3.5    Parallel to the policy revision process, Bank's Operations Evaluation Department (OED) is currently assessing the outcome (relevance, efficacy and efficiency) of Bank assistance to indigenous peoples under the current operational policy, OD 4.20.  The evaluation comprises of a desk review of Bank assistance in 34 countries and field assessments in selected countries.  OED is expected to present its first process report on applicability and implementation of the policy to CODE in January 2002.
    
The findings of the OED evaluation will feed into the policy revision.

4.   Objectives of Consultations with External Stakeholders

4.1   This final round of consultations on the draft policy is being carried out with two key objectives in mind:

i) To update external stakeholders on the process of drafting the revised policy, particularly since the 1998 Bank Consultations on the Approach Paper; and
    
ii) To seek feedback from external stakeholders on the extent to which the revised draft policy (OP/BP 4.10) helps clarify ambiguities in the existing Operational Directive and would facilitate policy implementation in the future.

4.2   The Bank recognizes that the scope of the discussions during the consultations may go beyond the specific content of the draft policy.  However, the Bank is committed to systematically documenting the issues raised by participants and preparing a summary report including Bank's response to these issues.

5.   Modes of Consultations

5.1       External consultations will target the policy's primary stakeholders - the Borrower Governments and indigenous peoples organizations.  Additionally, Bank will consult NGOs and academic experts with experience in indigenous peoples issues.

5.2       The external consultations will be conducted using three parallel processes:
·    Electronic Consultations
·    Global "Institutional" Discussions
·    Regional and In-Country Consultations

5.3       Electronic Consultations will be conducted by posting the draft policy on the Bank's external web site.  Comments can be provided in English, Spanish or French.  

5.4       Global "Institutional" Discussions will be carried out with United Nations (UN), the European Union, Organization of American States, NGOs, Multilateral Development Banks and donor governments, which have indigenous peoples programs and policies.  Presentation of the draft policy will also be made at “third-party” fora (UN Working Group on Indigenous Populations, International Day of the World's Indigenous People, General Assembly of the Fondo Indígena, Amazon Alliance, etc.).

5.5      Regional and In-Country Consultations:  Given the importance of taking into account the specific context of indigenous peoples in a particular geographical region, consultations will be held at the regional and/or in-country level.  These consultations are expected to involve government representatives and selected indigenous peoples organizations as well as NGOs and academic experts with experience in indigenous peoples issues.

In a limited number of countries, the external consultations may be held “back-to-back” with the planned Operations Evaluation Department's evaluation of the implementation of the Bank's current policy on indigenous peoples, OD 4.20.

6.   Outputs from Consultations with External Stakeholders

6.1    Comments received during consultations with external stakeholders will be collected, analyzed, and documented.  A summary of the consultations will be prepared listing the comments received and the Bank's response to these comments.

6.2    Brief updates on the consultation process will be posted on the Bank's external web at regular intervals to inform participants of the progress in consultations.  The final report summarizing the comments and the Bank's response will also be posted.  

6.3    The comments from external stakeholders will be considered along with other inputs (such as the OED evaluation of Bank implementation of OD 4.20) in revising the current draft policy (OP 4.10 and BP 4.10).  The revised draft policy will be submitted to the Bank's Board of Executive Directors for approval.

6.4    To guide future implementation of the policy, a Sourcebook on Indigenous Peoples will be prepared by June 2002.  The Sourcebook will take account of the comments received during the consultation process as well as the findings of the OED evaluation.

7.   Time-Table for Consultations with External Stakeholders

7.1   Consultations with external stakeholders will be completed by October 2001.

7.2    The revised draft policy will be submitted to the Committee on Development Effectiveness by January 20, 2002 and to the Bank's Board of Executive Directors by February 28, 2002.

To comment on draft indigenous peoples policy, please visit: www.worldbank.org/indigenous

For additional information, send an e-mail to: Indigenouspeoples@worldbank.org

Or write to:
    Indigenous Peoples Policy
    MSN 5-509
    The World Bank, 1818 H Street, NW
    Washington, DC 20433


Navin K. Rai
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