On March 24, 2026, the World Bank’s Board of Executive Directors (the “Board”) approved the Inspection Panel’s recommendation to investigate the Mozambique: Cyclone Idai & Kenneth Emergency Recovery and Resilience Project (P171040).

On October 14, 2025, seven individuals from the Municipality of Beira, Sofala Province, Mozambique (the “Requesters”) submitted a Request for Inspection, claiming that they were adversely affected by civil works carried out under the Project.

The Request describes allegations concerning a range of Project impacts on the Requesters’ land and structures. These include an inadequate resettlement process; lack of participation, consultation, and disclosure of Project-related information; and successive alterations to a drainage canal alignment resulting in unforeseen impacts on previously unaffected individuals. The Requesters also alleged that they were pressured—sometimes through intimidation—to sign compensation agreements.

The Panel registered the Request on December 2, 2025, and Management submitted its response to the Request on January 23, 2026. Management asserted that the issues raised by two of the seven Requesters had been reviewed and addressed in accordance with Bank policy, but that they were not given a reasonable opportunity to assess the concerns of the remaining Requesters. It further stated that the Project’s safeguard instruments were consistent with Bank policies; standardized eligibility and compensation criteria had been applied; a series of consultations had been conducted; and relevant information pertaining to Project impacts and compensation had been properly disclosed. Management also noted that concerns about retaliation and intimidation were raised with senior government officials and reiterated that the Bank does not tolerate such actions.

The Panel team visited Mozambique from January 22 to 29, 2026 to inform the Panel’s eligibility assessment. At this time, the Requesters and other community members raised additional concerns regarding community health and safety, which were brought to the attention of Management on January 28, 2026. Management responded by providing an Addendum to the Management Response on February 18, 2026.

On March 11, 2026, the Panel submitted its Report and Recommendation to the Board, recommending an investigation into the serious alleged harm and potential non-compliances with applicable World Bank standards. The Panel also noted that the issues raised could reflect broader systemic challenges in the implementation of the Project’s safeguards. Specifically, the Panel recommended an investigation into the Bank’s compliance with its Environmental and Social Standards (ESSs), particularly ESS1– Assessment and Management of Environmental and Social Risks and Impacts; ESS4 – Community Health and Safety; ESS5 – Land Acquisition, Restrictions on Land Use and Involuntary Resettlement; and ESS10 – Stakeholder Engagement and Information Disclosure.

Per the World Bank Accountability Mechanism process, the Head of the Dispute Resolution Service will now offer the complainants and the Borrower the option of dispute resolution and inform the Board, the Panel and Bank Management within 30 business days whether the parties voluntarily agree to pursue dispute resolution.

Learn more about the case here.