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Corruption and Governance Risks

The experiences of poor but resource-rich countries around the world provide a stark reminder that translating natural resources into public wealth is a very risky business — one that often fails. Even in high income countries, industrial-scale mining has contaminated water, increased security threats, forced thousands of people from their homes, and damaged ecosystems. In poor countries like Haiti, the record is even worse. Given the unique vulnerabilities Haiti faces, in part due to centuries of colonialism and exploitation by foreign governments and businesses, mining could deal the country’s environment and economy a blow from which it would never recover.

Corruption among Haiti’s government officials and business elite is a serious problem. Since 2018, several high-ranking government officials have been implicated in the embezzlement of more than US$3.8 billion from PetroCaribe, a Venezuelan oil fund meant for socio-economic development. This led to years of protests and a movement organized around the refrain Kote kòb la? Where is the money? The divide between the rich and the poor in Haiti is extreme, and the poor majority has long struggled to hold the government accountable.


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Legal and Regulatory Challenges

Haiti’s weak legal and regulatory framework significantly increases the social, environmental and human rights risks of metal mining. Both the current and proposed laws on mining do not adequately safeguard the rights of impacted communities and the environment. They also create a regime of confidentiality, barring critical information about mining from the public. Haitian law does not protect communities that are most directly affected by mining activities and the government is neither willing nor capable of enforcing the law and monitoring companies.

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Corruption

High levels of corruption in Haiti make it especially vulnerable to mining sector abuses. The mining industry is often characterized by secrecy, which, according to Global Witness, “entrenches corruption and props up kleptocratic regimes.” Haitian people have taken decisive action to fight corruption in Haiti, including by shutting down the country for months in 2018 and 2019 in protest of the embezzlement of over $2 billion in fuel subsidies. Widespread corruption and a belief that mining will not provide substantial benefits to Haitians have led to strong opposition to mining in Haiti.

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“We do not have a state that can defend us or regulate the companies.” 

- Sabine Lamour, Sociologist and coordinator of feminist organization, Solidarite Fanm Ayisyèn (SOFA)

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