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Indonesia

Indonesia largest recipient of U.S. government tsunami aid

More than $400 million obligated to USAID for recovery efforts in Indonesia
By Todd Bullock, Washington File Staff Writer

Washington - Indonesia currently is the largest recipient of U.S. government tsunami assistance, according to the United States Agency for International Development (USAID).

The United States has obligated more than 60 percent of the Tsunami Recovery and Reconstruction Fund -- or $400.1 million out of the $656 million authorized by Congress in May -- for USAID Indonesia's relief and reconstruction efforts in the wake of the December 2004 earthquake and tsunami. Total U.S. tsunami aid to the region -- including funds spent by the Department of Defense on emergency recovery assistance and relief aid, as well as food aid provided by USDA, comes to $841 million.

According to USAID, the United States has helped establish an online tracking project tracking system for the government of Indonesia and donors to monitor assistance and program results.

The U.S. government also signed an agreement with Indonesia in June to defer and reschedule debt payments due to the United States to free Indonesian government resources for tsunami victims.

"This will enable Indonesia to provide over $20 million in reconstruction services for its citizens including constructing 40,000 houses and providing housing vouchers," a USAID fact sheet says.

HEALTH CARE AND SANITATION

In the days immediately following the disaster, swift action by the U.S. government, in cooperation with other donors and private organizations, enabled more than 100 mobile teams to provided primary health care to 13,000 people in Indonesia. This dramatically reduced post-tsunami health risks, USAID said.

Since that time, the United States has repaired 14 health clinics, one sewage treatment plant and 93,000 meters of sewage systems. U.S. funds also have provided for the construction of 1,500 water systems and 2,015 latrines.

BASIC HOUSING AND COMMUNITY CENTERS

In Northern Sumatra and Aceh, 14 percent of the buildings were destroyed totally and 20 percent were damaged by the earthquake and tsunami, according to USAID.

USAID initially focused on the provision of emergency shelters and has been involved in mapping and spatial planning efforts needed for housing reconstruction.

"The process followed by the U.S. government in these projects has brought people from diverse communities together to work for the common good, which helps solidify peace and contribute to the long-term success of the larger-scale reconstruction programs," the fact sheet says.

USAID also has built community centers and offices for village authorities, providing the space needed for "re-establishing village leadership and allowing community members to settle land and tenure disputes and to create community development plans."

MARKET STALLS/KIOSKS

USAID also has provided assistance to Indonesian traders.

As a result of the earthquake and tsunami, Banda Aceh's largest trading center -- Pasar Aceh -- was destroyed by fire, leaving hundreds of Acehnese traders who survived the devastation with no venue to engage in small trading.

"At the request of the Mayor of Banda Aceh, USAID agreed to provide funds to the International Organization for Migration (IOM) to construct 1,200 market stalls/kiosks in strategic locations throughout Banda Aceh," the fact sheet says.

ROADS

U.S. funds also have helped to rebuild roads throughout Indonesia. According to USAID, 60 percent of all asphalt roads and 99 percent of bridges in Northern Sumatra were destroyed by the tsunami.

To date, the United States has reopened 80 kilometers of road in Indonesia, plans to build another 16 kilometers in the next six months and will complete the design for an additional 220 kilometers, according to USAID.

"The road project will provide mobility, improve communication, create local jobs, and serve as the lifeline for economic growth in the tsunami-devastated region," USAID said.

CASH FOR WORK

USAID is working closely with many Acehnese community organizations to carry out relief and reconstruction projects.

Reconstruction efforts in the village cluster of Meunasah Mesjid Lampu'uk are an example of this cooperation, according to the USAID fact sheet. "These villages lost many thousands of residents and survivors witnessed the absolute destruction of their communities' physical infrastructure -- everything was destroyed except for the Mosque in the center of the village," the fact sheet says.

Now, though, the community is participating in cash-for work activities to rebuild vital infrastructure such as a water storage tank, wire net fencing, residential huts and rehabilitation of agricultural land.

GRANTS AND LOANS

Rebuilding the economy in affected areas is one of the greatest challenges in Indonesia, USAID said.

To assist in this task, the United States government provided 17,500 small business/livelihood grants to restart businesses, create 141 new businesses and repair 445 fishing boats, according to USAID.

Additional assistance is planned to ensure integration of female entrepreneurs into the local economy through increased access to capital and local community-managed loans for training in livelihoods, the fact sheet says.

USAID also has worked with Bank Danamon, a private Indonesia financial institution, to lend about $6.5 million to micro- and small businesses.

Aceh province's economy suffered a 14 percent decline in 2005; and unemployment, projected between 25 percent and 30 percent is well above the national average, according to USAID.

"USAID is generating employment and reviving businesses through loans and training, especially for women," the fact sheet says. "This also includes grants to replace lost assets and hire apprentices as well as community-managed loan funds."

GOOD GOVERNANCE AND JOB TRAINING

The United States government is also funding efforts to improve and rebuild local governance capacity through USAID's Local Governance Support Program (LGSP), a 4.5-year, $61.8 million program to provide good governance to 100 local governments throughout eight provinces in Indonesia, including Aceh.

This program "will strengthen the capacity of local governments and provide improvements in basic services delivery to poor segments of the population," the fact sheet says.

Contributing to the reconstruction effort, Chevron, a U.S. oil company, provides scholarships to Acehnese students for a three-month skill-building course at Chevron's vocational facility. More than 100 students have been trained in masonry, house construction, electrical instillation, welding, computer applications and bookkeeping.

For additional information, see U.S. Response to Tsunami.

(The Washington File is a product of the Bureau of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)