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22 Mar 2023

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Government Pension Fund Global's Council on Ethics

Norwegian Government Pension Fund Global' s Council on Ethics recommends Norges Bank to terminate observation of Kirin after end of business relationship with Myanmar military conglomerate

"Kirin Holdigs Co Ltd" 22 March 2023

The Council on Ethics recommends that the observation of the Japanese company Kirin Holdings Co Ltd be terminated.

Kirin is a holding company with several subsidiaries operating primarily in the beverage and pharmaceutical production sectors. In March 2021, Kirin was placed under observation pursuant to the criterion concerning serious violations of the rights of individuals in situations of war and conflict. In Myanmar, the company was a partner in two joint ventures with the military conglomerate Myanmar Economic Holdings Public Company (MEHPCL). The Council on Ethics considered that a business partnership with MEHPCL represented a high risk of contributing to serious abuses by the country’s armed forces.

The Council recommended observation of the company because Kirin disclosed that it was considering making changes to its business operations in Myanmar. Kirin has now terminated its partnership with MEHPCL and no longer operates in Myanmar. The Council concludes that the observation of Kirin be ended.

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