Pitfalls and Pipelines - Philippine Indigenous Peoples Links

Chapter 1.2: Financial Innovations and the Extractive Industries
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Chapter 1.2
Financial Innovations and the
Extractive Industries
The following chapter is a paper written by the researcher
Roger Moody. 1
The paper analyzes the situation of global mining finance
after 2008’s financial crisis.
This is a crucial issue for mine-affected—and potentially
mine-affected—communities. In general, Moody casts doubt
on any expectation of a resumed minerals boom, based on increased
commodities demand. In this respect he pays particular
attention to the situation in China, and to a lesser extent
India. The social impacts of Chinese investment overseas have
been a key concern of many mining activists, and Moody challenges
the view that such investment is uniquely destructive.
Finally, the author summarizes some of the more complex
investment tools that have contributed to the recent global
credit crisis, explaining the role of derivatives and Exchange
Traded Funds (ETFs).