The CCM entered into force on 1 August 2010. So far, 108XV countries have signed and 56XVI have ratified the convention. The universal adoption and implementation of the Convention on Cluster Munitions are critical steps toward enhancing human security during and after armed conflict and toward providing assistance to survivors. Article 1(1)c of the Convention on Cluster Munitions states, “Each State Party undertakes never under any circumstances to assist, encourage or induce anyone to engage in any activity prohibited to a State Party under this Convention.”12 Financing is clearly an act of support: financing a cluster munitions producer facilitates production. Several states and civil society organisations have confirmed that the CCM prohibits investment in companies that produce cluster munitions.13 “Financing and investing are active choices, based on a clear assessment of a company and its plans. Investing in a cluster munitions producer therefore is a choice to support the production of these weapons that cause unacceptable harm.” A CMC policy paper on disinvestment explains, “States should explicitly acknowledge that the treaty prohibits investments in producers of cluster munitions and should install legislation that prohibits investments in companies that develop and/or produce cluster munitions or key components thereof.”14 As we will see in Chapter 3, several states have passed legislation prohibiting investment in companies that produce cluster munitions. Since our first publication in this series in October 2009, we see that more and more states have taken action to prevent investments in cluster munitions as a means to cease the production of these weapons elsewhere. We encourage other states to do the same and provide clear guidelines for financial institutions (FIs) operating within their territory. In the end, however, financial institutions will have to be the ones to ensure that investments in companies that produce cluster munitions cease. This publication presents an inexhaustive state-of-the-art report (SOAR) on financial institutions’ investments in companies that develop or produce cluster munitions and on legislative measures to prevent investments in cluster munitions. In presenting this information we want to encourage financial institutions, state actors and civil society to engage in a constructive discussion and work towards a world free of cluster munitions.
Financial Institutions’ Power and Responsibility A wide range of financial institutions operate in our globalised world. These include privately owned companies and state-owned institutions. Banks, insurance companies, investment funds, investment banks, pension funds, export credit agencies, multilateral financial institutions, government funds and XV
By 2 April 2011, the following countries had signed the CCM: Afghanistan, Albania, Angola, Antigua & Barbuda, Australia, Austria, Belgium,
Benin, Bolivia, Bosnia and Herzegovina, Botswana, Bulgaria, Burkina Faso, Burundi, Cameroon, Canada, Cape Verde, Central African Republic, Chad, Chile, Colombia, Comoros, Congo, Democratic Republic of Congo, Republic of Cook Islands, Costa Rica, Côte d’Ivoire, Croatia, Cyprus, Czech Republic, Denmark, Djibouti, Dominican Republic, Ecuador, El Salvador, Fiji, France, Gambia, Germany, Ghana, Guatemala, Guinea, Guinea Bissau, Haiti, The Holy See, Honduras, Hungary, Iceland, Indonesia, Iraq, Ireland, Italy, Jamaica, Japan, Kenya, Lao PDR, Lebanon, Lesotho, Liberia, Liechtenstein, Lithuania, Luxembourg, Macedonia FYR, Madagascar, Malawi, Mali, Malta, Mauritania, Mexico, Moldova Republic of, Monaco, Montenegro, Mozambique, Namibia, Nauru, Netherlands, New Zealand, Nicaragua, Niger, Nigeria, Norway, Palau, Panama, Paraguay, Peru, Philippines, Portugal, Rwanda, Saint Vincent and the Grenadines, Samoa, San Marino, São Tomé and Principe, Senegal, Seychelles, Sierra Leone, Slovenia, Somalia, South Africa, Spain, Sweden, Switzerland, Tanzania, Togo, Tunisia, Uganda, United Kingdom, Uruguay and Zambia.
XVI
By 2 April 2011 the following countries had ratified the CCM: Albania, Antigua and Barbuda, Austria, Belgium, Bosnia and Herzegovina,
Bulgaria, Burkina Faso, Burundi, Cape Verde, Chile, Comoros, Croatia, Denmark, El Salvador, Ecuador, Fiji, France, Germany, Ghana, Guatemala, Guinea-Bissau, Holy See, Ireland, Japan, Lao PDR, Lebanon, Lesotho, Lithuania, Luxembourg, Macedonia FYR, Malawi, Mali, Malta, Mexico, Moldova, Monaco, Montenegro, Mozambique, Netherlands, New Zealand, Nicaragua, Niger, Norway, Panama, Portugal, St. Vincent and the Grenadines, Samoa, San Marino, Seychelles, Sierra Leone, Slovenia, Spain, Tunisia, United Kingdom, Uruguay and Zambia.
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