The government provides support for companies through subsidies, loans and export credit guarantees. It also provides support through less tangible instruments, such as offering participation in trade missions or providing advice from embassies. This support should be conditional on companies complying with certain levels of Corporate Accountability.
For financial support instruments, the Dutch Ministry of Foreign Affairs usually sets corporate accountability conditions. However, the implementation of these conditions is not the same for all instruments. In the case of financial support, the Dutch government requires companies to meet the standards set out in the OECD Guidelines, but the implementation of this requirement varies for each instrument and is not watertight.
In spite of the requirements set out in the OECD Guidelines, companies that have received financial support from the Dutch government are regularly linked to serious violations of these Guidelines. The government should therefore implement these Corporate Accountability conditions in a better and more consistent manner.
Clearly defined Corporate Accountability conditions should also be in place for all forms of government support, including support from other ministries. This should be reinforced by monitoring compliance with the standards, and companies should face consequences when they fail to comply.
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