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This memorandum from World Bank President James D. Wolfensohn, dated September 28, 2001, proposes the adoption of Operational Policy and Bank Procedure (OP/BP) 4.12 on Involuntary Resettlement. The document outlines the conversion of the previous Operational Directive (OD 4.30) into the new format, detailing revisions aimed at removing ambiguities and incorporating implementation lessons. It describes the consultation process with internal and external stakeholders, the specific policy changes regarding displaced persons and indigenous peoples, and the reasons why certain external recommendations—such as a mandatory 'prior, informed consent' for indigenous peoples—were not adopted.

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  • The draft OP/BP 4.12 is a conversion of the previous OD 4.30, intended to remove ambiguities and incorporate implementation lessons without altering the policy's core objectives and principles.
  • The policy introduces specific protections for indigenous peoples practicing traditional, land-based production, requiring borrowers to explore all viable alternative designs to avoid physical displacement and to prefer land-based resettlement strategies compatible with their cultural preferences if displacement is unavoidable.
  • The draft policy distinguishes between displaced persons with formal legal rights to land, who are eligible for compensation, and those without legal rights, who are eligible for 'resettlement assistance' provided they occupied the area before the project's cut-off date.
  • To improve oversight, the policy requires a review of resettlement planning and implementation during early stages, and mandates that both the borrower and the Bank's Implementation Completion Report (ICR) assess whether resettlement objectives were achieved at project completion.
  • The World Bank rejected the proposal to require 'prior, informed consent' from indigenous peoples for resettlement, arguing that the concept is difficult to operationalize, is not reflected in national legal frameworks, and contradicts the principle of eminent domain.
  • The policy maintains a preference for land-based resettlement for those with land-based livelihoods but allows for cash compensation in specific circumstances, such as when land is not the preferred option of affected people or when active markets for land and housing exist.

Cite the original document

APA
Center for International Environmental Law (n.d.). wolfensohn_28sep01_memo-ff896c807230e287.pdf. https://www.ciel.org/wp-content/uploads/2015/05/wolfensohn_28sep01_memo.pdf
Chicago
Center for International Environmental Law. wolfensohn_28sep01_memo-ff896c807230e287.pdf. n.d. https://www.ciel.org/wp-content/uploads/2015/05/wolfensohn_28sep01_memo.pdf.
Wikipedia
{{cite report |author=Center for International Environmental Law |title=wolfensohn_28sep01_memo-ff896c807230e287.pdf |url=https://www.ciel.org/wp-content/uploads/2015/05/wolfensohn_28sep01_memo.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{centerforinternationalenvironmentallawndwolfensohn28sep01memoff896c807230e287pdf, author = {{Center for International Environmental Law}}, title = {{wolfensohn\_28sep01\_memo-ff896c807230e287.pdf}}, institution = {Center for International Environmental Law}, url = {https://www.ciel.org/wp-content/uploads/2015/05/wolfensohn_28sep01_memo.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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