Norges Bank’s Executive Board has decided to end the observation of Kirin Holdings Co after the company ended its business relationship with an organisation with ties to the military in Myanmar.

The firm was placed under observation in March 2021 due to the “unacceptable risk” that it contributes to violations of individuals’ rights in situations of war or conflict.

This was due to Kirin’s business relationship with an organisation linked to the military in Myanmar, but this relationship has now ended and the company no longer has any activity in the country.

Therefore, the Council on Ethics decided that there were no longer grounds for having the company under observation.

Norges Bank made its decision based on a recommendation from the Council on Ethics on 2 February 2023.

Meanwhile, the Executive Board has decided to extend the observation of Pan Ocean Co, which has been under observation since January 2018 due to a recommendation from the Council on Ethics.

The background for the decision to observe the company was that it had disposed of obsolete vessels by sending them to be broken up for scrap on the beaches of Bangladesh and Pakistan, where working conditions are “extremely poor”, Norges Bank stated.

Pan Ocean has recently adopted a new policy aimed at ensuring that obsolete vessels are disposed of in a more sustainable way.

The Council on Ethics recommended to extend the observation by four years to assess the implementation of the new policy.

The decision was based on a recommendation from the Council on Ethics on 20 December 2022.

“The Executive Board has not conducted an independent assessment of all aspects of the recommendation but is satisfied that the observation and exclusion criteria have been fulfilled,” Norges Bank said.

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