Amundi, Norges Bank Investment Management (NBIM) and Union Investment have called for an end to the export of weapons to Israel – or risk being complicit in serious international law violations.
Responding to engagement from the Business & Human Rights Resource Centre, which asked companies and investors about their reaction to the UN’s call for arms companies to immediately cease the transfer of weapons to Israel, Amundi and NBIM noted a need for “heightened human rights due diligence” by companies in the war zone, and that exclusion of weapons companies from their portfolios remained an option.
Meanwhile, Union Investment pointed out that BAE Systems, Boeing, General Dynamics, Lockheed Martin, Northrop Grumman and RTX – named in the UN’s statement – are already excluded from their investment portfolios.
Of the 15 companies and 21 investors invited to respond to the UN’s call, only 20% responded – highlighting “ongoing failure by the private sector to engage with escalating human rights risks and the plausible risk of genocide in Gaza”, according to the Resource Centre.
This is despite the UN Experts’ characterisation of the ongoing Israeli military assault as “indiscriminate and disproportionate attacks on the civilian population and infrastructure, including through extensive use of explosive and incendiary weapons in densely populated areas…”.
Phil Bloomer, executive director of the Business & Human Rights Resource Centre, said: “The UN’s call to action on the provision of arms to Israel at this time highlights the urgent need for the private sector to reassess its role and responsibilities in the context of the war on Gaza.
“In this light, we reached out to key investors and companies with operations linked to the region, asking them to respond to the UN’s call – and received some encouraging, detailed responses from investors, including regarding the exclusion of weapons companies from their portfolios as an option and a clear expectation of heightened human rights due diligence by these companies in this context. We also welcome investors’ commitment to ethical investment practices and the cessation of arms transfers.
“However, the overall response rate was disappointingly low. Given the gravity of the situation in Gaza, it is deeply concerning that 29 companies and investors we reached out to have not yet acknowledged the need for immediate and decisive action. Those who fail to take immediate action are not only risking the lives of millions, but they also risk the personal liberty of individuals working in these entities, who may face criminal liability for alleged complicity in the crimes against humanity occurring in Gaza.
“We need an urgent end to the sale of arms, ammunition, military equipment and dual-use technologies fueling this appalling humanitarian suffering.”
Alongside the three investment firms, four companies – BAE Systems, Maersk, Rolls-Royce Power Systems and ThyssenKrupp – also responded.
BAE Systems and Maersk recognised the terrible consequences of the war in Gaza. However, neither company provided specific information on whether or how they conducted enhanced due diligence in relation to Gaza.
Maersk, meanwhile, stated it carries out human rights due diligence when operating in conflict-affected areas and applies standards and principles to ensure the company does not carry out any shipments of weapons or ammunition to countries or areas currently involved in armed conflicts, or that are subject to an arms embargo.
