[Reader-list] 'Widespread support for Kerala Anti ADB campaign'

[Anivar Aravind]

Peoples Forum Against Asian Development Bank (PFAAD)
www.asianpeoplesforum.net <http://www.asianpeoplesforum.net>

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MEDIA RELEASE
27 February 2007
Thiruvanathapuram

WIDESPREAD SUPPORT FOR KERALA ANTI ADB CAMPAIGN

Kerala's anti-ADB campaign received a shot in the arm as activists from
outside the state under the banner of Peoples Forum Against ADB (PFAADB)
came out in support at a press conference in Thiruvanathapuram today.
Speaking about the disastrous experience with Asian Development Bank (ADB)
loans in Karnataka, Chattisgarh, Madhya Pradesh and West Bengal activists
warned that a similar experience was in store for Kerala.

The press conference was held at a crucial time. On 22 February 2007 the
ruling Left Democratic Front (LDF) state committee meeting came to the
conclusion there was nothing wrong in sanctioning the ADB supported 1422
crore rupee Kerala Sustainable Urban Development Project (KSUDP). 2 days
later the 'Anti ADB loan campaign committee' filed a legal notice to the
Government of Kerala citing several violations in the signing of the loan by
Kerala Resident Commissioner Inderjit Singh in New Delhi on 8 December 2006.
The Government is yet to respond to the notice.

'Karnataka has the dubious distinction of receiving India's first ADB loan
in the urban sector', said Vidya Dinker, Coordinator of the Citizens Forum
for Mangalore Development, an alliance of concerned citizens.

The ADB funded Karnataka Urban Infrastructure Development Project (KUIDP)
was sanctioned in 1995 and amounted to $ 105 million (472.5 crores). Another
loan, the Karnataka Urban Development and Coastal Environmental Management
Project (KUDCEMP) was sanctioned in 1999 for an amount of $ 175 million
(Rupees 787.5 crores).

Dinker termed the experience of ADB loans in Karnataka as dismal and a
wasteful expenditure of hundreds of crores. ' We were told that the ADB
would bring in world-class urban expertise but it fell far short on planning
and implementation. Of course the ADB ensured that consultants received
world-class fees of several lakh rupees a month, but all we have now are
shoddy projects with acute design flaws, she added. ADB project towns are
now struggling to repay the loan due to faulty calculations by consultants
on raising resources through new taxes and cost recovery in water
distribution.

In Chattisgarh peoples groups such as Nadi Ghati Morcha are campaigning
against the ADB's Chattisgarh Irrigation Development Project. 'This project
will benefit agribusiness companies at the cost of peoples livelihood. It
will also adversely impact agro diversity in the region and lead to food
insecurity, explained Gautam Bandhopadyay, the group's Coordinator.

Bandhopadyay also spoke about the dangers inherent in the 900 crore ADB
funded Urban Water supply and Environment Improvement Project in Madhya
Pradesh. 'Conditionalities dictated by the ADB will gradually lead to
privatisation of water distribution in the 6 largest urban centers in the
state, he warned.


National Forum of Forest People and Forest Workers Steering Committee member
Mohan Kothekar elaborated on the anti-people conditionalities present in the
ADBs Kolkata Environment Improvement Project (KEIP). 'An examination of the
loan agreement show a slew of conditionalities which include the
establishment of a water supply and sewerage utility on corporate
principles, gradual phasing out of trash sorters and reorganization of the
Municipal Council of Kolkata, clarified Kothekar.

T Peter State President of the Kerala Swathantra Matsythozhilali Federation
(KSMTF) chaired the discussion. 'It is vital that people's movements across
the country come together and jointly strategise on alternatives to
institutions such as the ADB, he said.

Peter also informed the press that the Anti ADB loan campaign committee
would hold a massive statewide convention on 3 March 2007 at Ashir Bhavan in
Ernakulam. Narmada Bachao Andolan activist Medha Patkar, Justice Krishna
Iyer and writer Sara Joseph will address the meeting.

Plans are also underway to have a national convention on 'Alternatives to
the ADB and World Bank' in Thiruvanathapuram in the last week of April 2007.


The PFAADB is a broad and diverse collective of over 100 social movements,
struggle groups and civil society groups from across India and Asia,
including the National Hawkers Federation, National Fishworkers Forum,
Plachimada Solidarity Committee, New Trade Union Initiative, National
Alliance of Peoples Movements, Indian Social Action Forum and National Forum
of Forest People & Forest Workers.
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For more information please contact T Peter at 0471-3012196 or
ksmtf at fishworkers.org <mailto:ksmtf at fishworkers.org>
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