Why is it called Equator Principles?
Why is it called Equator Principles?
The initial founders of the Equator Principles (EPs) wanted the adoption of the EPs to be a globally applicable (to financial institutions in the northern and southern hemispheres) and the equator seemed to represent that balance perfectly – hence the name, Equator Principles.
What is the impact of Equator?
The Equator Principles have greatly increased the attention and focus on social/community standards and responsibility, including robust standards for indigenous peoples, labour standards, and consultation with locally affected communities within the Project Finance market.
What is Equator Principles 4?
The Equator Principles (EPs) is a set of ten voluntary principles or guidelines established to assist financial institutions with identifying, assessing and managing environmental and social risk in international and domestic project finance.
Is Equator principle a voluntary code?
The adoption of the Equator Principles is completely voluntary. However, once a financial institution has decided to adopt the EP and become an EPFI, it is expected to meet all the principles’ requirements including public annual reporting on implementation process and experience.
Why is it hotter at the equator?
Because the sun’s rays hit the earth’s surface at a higher angle at the equator. Because the sun is always directly overhead at the equator.
Who developed the Equator Principles?
World Bank’s International Finance Corporation
What are they? The Equator Principles were first established in association with the World Bank’s International Finance Corporation (IFC) in 2003 and since then have been adopted by nearly 50 banks around the world, covering in excess of 85% of the global project finance market.
What countries are on the equator?
The Equator passes through 13 countries: Ecuador, Colombia, Brazil, Sao Tome & Principe, Gabon, Republic of the Congo, Democratic Republic of the Congo, Uganda, Kenya, Somalia, Maldives, Indonesia and Kiribati. At least half of these countries rank among the poorest in the world.
What do you mean by term equator?
An equator is an imaginary line around the middle of a planet or other celestial body. It is halfway between the North Pole and the South Pole, at 0 degrees latitude. An equator divides the planet into a Northern Hemisphere and a Southern Hemisphere. The Earth is widest at its Equator.
What is approach to the equator?
The Equator Principles (EPs) is a risk management framework adopted by financial institutions for determining, assessing and managing environmental and social risk in projects. The scope of the EPs has also been extended to capture more project-related transactions.
Is the equator the hottest place on Earth?
So the concept that the hottest place on earth is around the equator and the coolest is on the poles is wrong. It is hotter in the desert than around the equator because the weather in the desert is very dry so when the temperature rises and it doesn’t rain the temperature will rise even higher ….
What do you need to know about the Equator Principles?
Equator Principles. Equator Principles Financial Institutions (EPFIs) commit to implementing the EP in their internal environmental and social policies, procedures and standards for financing projects and will not provide Project Finance or Project-Related Corporate Loans to projects where the client will not, or is unable to,…
When was the third version of the Equator Principles published?
The Equator Principles have recently been revised and the third iteration of the Equator Principles was launched on 4 June 2013. The reviewed fourth iteration of the Equator Principles [1] were published in July 2020.
When to use the Equator Principles in EPFIs?
Equator Principles. While the Equator Principles are not intended to be applied retroactively, EPFIs apply them to the expansion or upgrade of an existing project where changes in scale or scope may create significant environmental and social risks and impacts, or significantly change the nature or degree of an existing impact.
How are financial institutions involved in the Equator Principles?
Equator Principles Financial Institutions (EPFIs) commit to implementing the EP in their internal environmental and social policies, procedures and standards for financing projects and will not provide Project Finance or Project-Related Corporate Loans to projects where the client will not, or is unable to, comply with the Equator Principles.