The global trend of establishing environmental and social standards for project financing and institutional investments continues to gain momentum. For example, the Equator Principles, originally adopted in 2003, provide a voluntary framework for financial institutions to assess environmental and social issues in project financing. The principles, which are based on the International Finance Corporation's environmental and social standards, have been adopted by over 40 financial institutions active in the project finance market. The principles are intended to ensure that projects financed by Equator banks are developed in a manner that is socially responsible and reflects sound environmental management practices. As the Equator banks collectively represent some 80 percent of global project finance, the principles are generally regarded as the industry standard for assessing environmental and social issues in project financing. The principles were recently revised by the Equator banks
