Increase the capacity of CSOs and private sector in realizing more sustainable and responsible business practices 

The PRAKARSA 28/7/2022 held a “Training on Human Rights Due Diligence and Risk Assessment”. This training is part of the Fair Finance Asia (FFA) program for its member countries. The online training was attended by 38 participants consisting of CSOs and the private sector. 

In his remarks Ah Maftuchan as the Director of The PRAKARSA as well as the coordinator of ResponsiBank Indonesia said that this activity is one of ResponsiBank Indonesia's commitments to encourage sustainable and responsible business practices towards human rights and social aspects in society.

"PRAKARSA together with several other organizations that are members of ResponsiBank Indonesia are committed to encouraging business practices in Indonesia to be more sustainable and responsible for human rights and social aspects in society," explained Maftuchan.

Business and human rights have become a common agenda. The UN and the UN already have the United Nations Guiding Principles on Business and Human Rights (UNGP) which is a step forward for the world community and in 2011 it was adopted as a resolution to guide UN members to apply business and human rights principles in their respective countries. 

In Indonesia, the Ministry of Law and Human Rights (KUMHAM) has also encouraged the practice of institutionalized due diligence risk assessment. In 2022, the Director General of Human Rights KUMHAM RI has developed a PRIMA application designed with civil society for private companies or BUMD/BUMN to conduct self-assessmentto their business practices carried out in their respective locations. But what needs to be done is also monitoring the implementation of the use of this application.

“But what we need to look at further is that we need to check whether the data they provide is in accordance with the practice in the field. Because this is a self-assessment, we need to monitor the implementation of the PRIMA application that has been developed by KUMHAM, but we need to appreciate this because it shows one step forward to encourage duediligence and risk assessment to business activities in Indonesia,” said Maftuchan.

In today's training we hope to get input and knowledge from ERM related to policies and good practices that exist in other countries related to human rights and duediligence and risk assessment so that we at responsibank are equipped to strengthen responsible business practices.

Maftuchan also said the importance of collaboration to reduce the gap and have an impact on the business being carried out.

“I hope it doesn't stop at this training, all participants from the private sector or CSOs can continue to communicate and collaborate. Because this collaboration is important towheatger business and human rights are more appropriate.”

The speakers who attended today were Dr. Hanh Nguyen as senior social consultant and Rizky Ananda as social performance and sustainability from Environmental Resource Management (ERM). 

Rizky said that human rights can basically be divided into four categories, namely civil & political, social & cultural economy, labor rights and collective rights.

Then Hanh also explained related to various international standards that already exist to be adopted in business policies and practices. These standards include the United Nations Guiding Principles on Business and Human Rights (UNBHR), International Finance Corporation (IFC) Performance Standards, EU Directive on Non-Financial Reporting, Sustainable Development Goals (SDGs), and the Equator Principles (EP4). .

Han at the end of his presentation emphasized the importance of risk assessment and the involvement of all stakeholders in monitoring and ensuring that business policies and practices are responsible.

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