Why did the Equator Principles need to be revised?
The IFC completed the review and updating process undertaken to replace their existing Safeguard Policies when its Board of Directors approved new “Performance Standards” on February 21, 2006. Because the original Equator Principles were based on IFC’s environmental and social Safeguard Policies, it was necessary to revise the Equator Principles in order to reflect, and be consistent with, these changes. The new, revised set of Equator Principles also have incorporated learning from implementation, and comments from a variety of external stakeholders (including clients and NGOs) over the past 3 years. The final draft of these revised Principles also benefited from an external comment process with clients, NGOs and Official Agencies (e.g., Export Credit Agencies). The revised Equator Principles have now incorporated, and are fully consistent with, IFC’s environmental and social “Performance Standards” ensuring that there is one, consistent standard for private sector project financing.
