Press Release from the Department of the Treasury, April 8, 2010Footnote 1
Today, the United States abstained on the vote by the World Bank's Board of Directors on the Eskom Investment Support Project. This reflects concerns about the climate impact of the project and its incompatibility with the World Bank's commitment to be a leader in climate change mitigation and adaptation. At the same time, the United States recognizes South Africa's pressing energy needs and the lack of near-term feasible low-carbon alternatives.
South Africa and the region face urgent energy needs to promote economic growth and address critical challenges, such as poverty, education and health. This project would provide significant energy capacity to meet these essential needs. We recognize that South Africa faces limited options that could provide the required energy base for South Africa and the region in lieu of the project, and that there is a lack of alternative private financing options in the wake of the financial crisis. We also recognize that, if South Africa's base load power needs are not met, the country's economic recovery will suffer, adversely impacting electrification, job creation, and social indicators.
Despite these benefits, the United States is concerned about the project since it would produce significant greenhouse gas emissions, and uncertainty remains about future mitigation efforts. Without actions to offset the carbon emissions of the Medupi plant, the project is incompatible with the World Bank's strategy to help countries pursue economic growth and poverty reduction in ways that are environmentally sustainable. We also remain concerned about other facets of the project, including the inconsistency of Eskom's procurement process with the World Bank's Procurement Guidelines, deficiencies in the environmental impact assessment, and potentially inadequate efforts to mitigate local pollution. The project is also inconsistent with new guidelines on coal lending adopted by the United States in December 2009.
Over the course of several months, the United States has engaged with the World Bank and the Government of South Africa to encourage resolution of these issues. We welcome the renewable energy and efficiency components of the project and recognize both the Bank's and the South African Government's commitment to pursue a lower carbon path in the future.
We are encouraged by the South African Government's commitment to use $1.25 billion of World Bank funds to support future emission reduction measures. We are also encouraged by the government's ambitious carbon mitigation targets, and by its vision of low-carbon development.
Considering all of these issues, the United States chose to abstain on today's vote. Looking ahead, we will continue to seek World Bank engagement with countries to develop low-carbon energy projects and make climate change mitigation and resilience a core part of the Bank's mission. We expect that the World Bank will not bring forward similar coal projects from middle-income countries in the future without a plan to ensure there is no net increase in carbon emissions. We also look forward to seeing a growing pipeline of clean energy projects throughout sub-Saharan Africa.
Press Release from the U.S. Agency for International Development, April 9, 2010Footnote 2
A new private sector initiative designed by the U.S. Agency for International Development to create employment opportunities for young Iraqis was initiated March 25 by the USAID-Tijara Provincial Economic Growth Program. The project hopes to expose young Iraqis living in underserved or impoverished areas to essential business skills and entrepreneurial opportunities.
“Inspired by the U.S. Ambassador's Targeted Development Program, this youth initiative will provide young entrepreneurs with personalized business training, access to apprenticeship programs in their local business communities and financial services previously unavailable to them in Iraq,” said Raymond Mendenilla, the director of the USAID-Tijara program.
More than 5,000 youths between the ages of 18 and 35 will benefit from the program, which is expected to create 2,500 full-time jobs. To insure the initiative's success, more than $4.45 million is budgeted in individual and group loans for people who need financial assistance to start a business.
“The Youth Initiative seeks young business-minded individuals who can make it through the rigorous selection process and complete intensive training programs,” said Mendenilla. “Training will include classroom workshops, one-on-one consultations, mentoring by experienced business planners and guidance from microfinance officials who can approve youth friendly loans.”
At close to 30 percent, Iraq has theregion's highest rate of unemployment. More than half of Iraq's young urban males are unemployed and 19 percent of Iraqi women. Finding meaningful employment is critical to the creation of a more prosperous and stable society.
“This initiative will create jobs for new graduates and assist young entrepreneurs who currently don't have access to finance,” said Ali Al-Hussainy, a private sector and finance development specialist with USAID. “Gainful employment and a stable business environment allow young people to start families and build better lives.”
Implemented through USAID-Tijara's existing network of Microfinance institutions and Small Business Development Centers, the youth initiative has several components. A Youth Employment Program will recruit 1,600 individuals, of which 1,000 will be placed into apprenticeships while 500 receive permanent jobs. Those remaining will be trained for opportunities outside the program.
A total of 3,600 Iraqi youths will be invited to attend the Youth Entrepreneurship Resource Center, where training to become a business owner will be given. Around 1,800 who excel at their studies and demonstrate a clear idea of the businesses they want to create will be invited to apply for an individual or group loan via the Youth Entrepreneurship Access to Finance program.
A total of $4.45 million in loans will be provided by microfinance institutions scattered throughout the country. Overall direction will come from ten SBDCs. The USAID-Tijara youth initiative is a nationwide program. Baghdad, Najaf and Kirkuk will be the first governorates to receive funding.
Press Release from the Millennium Challenge Corporation, April 14, 2010Footnote 3
Daniel W. Yohannes, Chief Executive Officer of the U.S. Government's Millennium Challenge Corporation (MCC), testified today before the U.S. House Appropriations Subcommittee on State, Foreign Operations about the agency's poverty reduction progress and results to date, as well as the Administration's budget request of $1.28 billion for FY2011.
“With so many priorities competing for limited resources during these challenging times, we all have to be prepared to make tough choices,” said Mr. Yohannes in his testimony before the committee. “Congress created MCC to be innovative. We must live up to those expectations and build on our performance-based, transparent, country-driven model.”
Earlier this year, MCC signed a $262 million compact with Moldova, and in FY2010 plans to sign compacts with the Philippines and Jordan. Additionally, the agency is working with Indonesia, Malawi, and Zambia on developing poverty reduction compact proposals. MCC anticipates signing compacts with these partners, as well as a second compact with Cape Verde, in FY2011.
Mr. Yohannes added, “My priority as CEO is to show how MCC's programs are delivering results and changing people's lives. We must make smart investments that will produce significant returns in the fight against global poverty. We must adapt programs based on implementation challenges. I am committed to communicating with you as we work through these processes.”
“Getting the biggest bang for our MCC investment will require more creative partnerships with other U.S. Government agencies, the private sector, civil society, philanthropic organizations, NGOs, and multilateral institutions,” said Mr. Yohannes.
To date, MCC has signed 20 compacts and has funded 21 threshold programs, committing over $7.5 billion to worldwide poverty reduction through results-driven programs built on measureable and transparent objectives. Some of MCC's progress to date includes over 105,000 farmers trained to boost productivity and food security, and the ongoing construction of more than 1,500 kilometers of roads to facilitate access to markets, schools, and health clinics.
Press Release from the U.S. Agency for International Development, April 15, 2010Footnote 4
The U.S. Agency for International Development is donating $100,000 worth of medical supplies to help hospitals that are treating victims of the April 7-8 civil unrest in the Kyrgyz Republic.
The medical supplies will be presented in an April 16 ceremony to the Bishkek City Trauma and Orthopedics Scientific and Research Center. The donation was procured by USAID's grantee CitiHope International.
The donation includes bandages, syringes, various surgical supplies, and other materials used for emergency treatment of patients. The medical supplies will be delivered to a total of 10 hospitals in Bishkek City as well as to Chui, Naryn, and Talas provinces.
USAID is donating medical supplies at the request of Kyrgyz Republic's Ministry of Health and it is based on the needs of the local hospitals.
The donation ceremony will be attended by USAID's Country Director Pat Shapiro, U.S. Ambassador Extraordinary and Plenipotentiary to the Kyrgyz Republic H.E. Tatiana C. Gfoeller, Kyrgyzstan's Acting Minister of Health Damira Niyazalieva, Deputy Minister of Health Madamin Karataev, and Bishkek City Trauma and Orthopedics Scientific and Research Center's Director Sabyrbek Djumabekov.
Press Release from the Millennium Challenge Corporation, April 15, 2010Footnote 5
The U.S. Government's Millennium Challenge Corporation (MCC) and the Alliance to Save Energy hosted an event today highlighting the innovative $47.2 million renewable energy and energy efficiency project that MCC is funding as part of its compact with the Government of Mongolia. The event featured keynote remarks by MCC Chief Executive Officer Daniel Yohannes and a panel discussion with regional and sector experts including Mongolian Ambassador Khasbazaryn Bekhbat, MCC Implementation Director Courtenay Engelke, and Alliance to Save Energy Director Laura Van Wie McGrory.
MCC recognizes that environmental stewardship and conservation are essential components of reducing poverty through sustainable economic growth. Mongolia's MCC compact is working to create long-term growth through critical investments in the country's environmental sector.
“MCC is proud to collaborate on innovative projects with our partner countries, such as Mongolia, that share MCC's commitment to a cleaner global environment,” said MCC CEO Daniel Yohannes. “MCC works with partner countries to design effective poverty reduction and economic growth strategies, which not only increase incomes and improve social well-being, but also provide incentives for adopting environmentally sustainable practices” Mr. Yohannes added.
The MCC compact program in Mongolia includes projects in clean energy, health, education, and property rights. The compact's clean energy component, discussed at today's event, funds consumer subsidies and awareness campaigns that promote the introduction of energy efficient products to Mongolian consumers. The project supports products, including as heat-only or low-pressure boilers, and thermal heating, insulation, as well as mortgages for new efficient homes.
Press Release from the U.S. Agency for International Development, April 16, 2010Footnote 6
Fresh from his first trip to Afghanistan and Pakistan as Administrator, Dr. Rajiv Shah noted that the U.S. Agency for International Development (USAID) is partnering with civil society and government officials in the region to build a better future for its people.
“USAID is working in partnership with the Afghan government to support its efforts to build a stable, secure and prosperous country,” Shah said. “President Barack Obama's strategy in Afghanistan is to disrupt, dismantle and defeat Al Qaeda and to prevent its return—ever. And in Pakistan, consistent with President Obama's strategy, we are committed to a longer-term development relationship— one that will emerge in greater depth and detail with additional momentum from the Strategic Dialogue.”
In both countries Shah gained a full, upclose and personal appreciation of the complexities and opportunities in a region that is critical to all aspects of U.S. foreign policy.
“I want to take special note of the dedicated, tireless staff in these two countries, both American and our foreign national partners,” Shah emphasized. “They've struggled to overcome steep odds, involving everything from the big issues of personal security to technical challenges with communications to finding sufficient living space.”
During his trip, Shah met with President Hamid Karzai and signed a partnership agreement with the Afghan government to work on development and governance in key districts through the new District Delivery Program. This Afghan-led, national enterprise will help provide much-needed healthcare, agricultural support and technical know-how at the district level.
Speaking with local farmers, Shah came to see how Afghanistan's agriculture pricing system makes it difficult for them to stay afloat. He observed first-hand how the USAID-funded Afghanistan Vouchers for Increased Production in Agriculture (AVIPA) Plus program lets farmers buy fertilizer and seeds at reduced prices from local shops, making them better-equipped to produce export-quality crops.
Shah also spent time with educators participating in a USAID program that addresses Afghanistan's critical shortage of qualified instructors. Last year alone, USAID helped train an estimated 54,000 Afghan teachers.
In Pakistan, Shah met with key government officials, including President Asif Ali Zardari, to discuss the U.S.-Pakistan Strategic Dialogue. Shah believes in the need to enter into a full partnership on a five-to-ten-year roadmap for development that is done strategically, not haphazardly.
Shah noted, “We need to seize this moment to consider not only what needs to be done in the short term to bring relief to the people of Afghanistan and Pakistan, but also to ensure the success of long-term development that will make both countries stronger partners with the United States to bring about a more secure world.”
Remarks by Millennium Challenge Corporation CEO Yohannes, April 19, 2010Footnote 7
CEO Daniel Yohannes delivered these remarks in San Ignacio, El Salvador at the Inauguration of the National Institute of San Ignacio
CEO Yohannes. President Funes,
Distinguished guests,
Muchas gracias por su bienvenida a El Salvador! Que bello pais!
It is a pleasure and a privilege to be here to see firsthand the progress unfolding as a result of the partnership between El Salvador and the U.S. Government's Millennium Challenge Corporation. This is my first trip to the Americas as MCC's CEO. It is fitting that I should come to a country that clearly understands what it takes to create a climate for growth and a culture of opportunity that will improve the lives of its citizens.
I welcome working with you, President Funes, and your Administration. Your support for the compact's projects and the principles of good governance create conditions for growth that will change the lives of El Salvador's poorest people.
El Salvador is a model partner for MCC.
*Here in El Salvador, we are seeing how a country is leading its own development and implementing its own homegrown solutions. We are seeing results that are making sustainable improvements in the lives of the poor, both men and women.
*We are seeing a commitment to sound policies of good governance that respect the rule of law, fight corruption, and transcend politics. We welcome El Salvador's ongoing efforts to improve its policies. In fact, we continue our dialogue with El Salvador about its commitment to investing in its people. The school we inaugurate today is proof of progress.
I commend the tremendous strides El Salvador has taken—and continues to take—to ensure the full and timely implementation of its 461 million dollar MCC compact to reduce poverty and stimulate economic growth. I also commend the professionalism that FOMILENIO, and its Executive Director Jose Angel Quiros, continue to demonstrate in implementing the compact. Your achievements, so far, confirm your dedication to the success of El Salvador's MCC compact.
As a result of your work and dedication:
*Rural residents in the North are benefitting from electrification lines and solar panels.
*More than 6,300 individuals in the tourism, artisan, dairy production, fruits and horticulture sectors are benefitting from MCC-funded technical assistance.
*El Salvador's Northern Zone will be better integrated with the rest of the country through the Northern Transnational Highway.
Teachers and students are benefitting from training and scholarships that will equip them with the skills to succeed.
Today's ceremony to open the National Institute of San Ignacio is another celebration of the milestones in education that have been made possible through El Salvador's MCC compact.
So far:
*20 middle technical schools have been rehabilitated and are re-opening. Today, we mark the inauguration of this technical school.
*1,568 scholarships have been awarded to deserving students.
*And, school teacher and administrator training, that began last November, will be expanded next month to encompass a total of 500 participants from Northern Zone schools.
The people of El Salvador decided to invest part of their MCC compact in education. This decision reflects an understanding of the importance of education to a family's well-being and a country's economic prosperity.
Sustainable economic development starts with human development. Citizens need the skills and training to be productive members of society and contribute to a thriving economy. By learning the right skills, Salvadorans are making a crucial investment in their abilities to:
*find good paying jobs,
*contribute to key sectors of the economy,
*promote economic growth in their country, and
*reduce poverty.
As someone who put myself through school—from high school to graduate school—I know firsthand how vital education is to a future of hope and opportunity. That is why I am especially honored to be part of today's ceremony. Every investment in education is an investment in El Salvador's future—and its economic growth.
And, in our interdependent global community, growth in El Salvador contributes to the growth of the region and to the hemisphere. From San Salvador to Washington, D.C., we are linked by a shared vision of prosperity for ourselves and our children.
We must build on the progress we are seeing unfold today, and I invite Salvadorans to stay engaged and to continue tracking results in the fight against poverty.
El Salvador and the United States share a very special bond of friendship that unites our citizens. The MCC compact reflects that friendship. Let us now recommit to delivering on the full promise of every compact project, including investments in education and other vital community services. Doing so will expand tangible opportunities for growth and prosperity that could transform the lives of those in the Northern Zone and throughout El Salvador for the better. Muchas gracias y sigamos adelante!
Remarks by Millennium Challenge Corporation CEO Yohannes, April 20, 2010Footnote 8
CEO Daniel Yohannes delivered these remarks in Chalatenango, El Salvador at the Inauguration of the Technical Institute of Chalatenango
CEO Yohannes. Distinguished guests, Mayors,
Leaders and staff of FOMILENIO,
Muchas gracias por su bienvenida a El Salvador! This is my first trip to the Americas as MCC's CEO, and I am proud to be in a country that is a model partner of the U.S. Government's Millennium Challenge Corporation. Here in El Salvador, we see a commitment to sound policies, to accountability, and to results that is critical to maximizing the impact of MCC's 461 million dollar compact investment.
This compact is an expression of the friendship and cooperation between our two countries. As Secretary of State Hillary Clinton said when she was in San Salvador last June for President Funes's inauguration, the U.S.-El Salvador partnership is committed to finding “common solutions for our common challenges.” Our partnership to fight poverty is one such common solution.
Yesterday, I had the great privilege of joining President Funes to inaugurate the National Institute of San Ignacio. The rehabilitation of this technical school was made possible through the MCC compact. Today, I am equally honored to be in the Northern Zone to mark the start of another MCC-funded project: the construction of this community college here in Chalatenango.
When the people of El Salvador partnered with MCC, they determined that their long-term development depends on investments in education in the short-term. That is why El Salvador's MCC compact includes funding for:
*student scholarships for technical and vocational education,
*teacher training, and
*school rehabilitation and construction.
And, that is why 6.1 million dollars is being invested in this community college, to expand educational opportunities for the students in the Northern Zone—young men and young women.
Citizens need skills and training to be productive members of society and to contribute to a thriving economy. By learning the right skills, Salvadorans are making a crucial investment in their abilities to
*find good paying jobs,
*contribute to key sectors of the economy,
*promote economic growth in their country, and
*reduce poverty.
The college we begin to construct today is more than just a building; it is a gateway to opportunity for the students who study here. This is especially true for students in the Northern Zone, where the average level of schooling is 3.6 years, more than 1.5 years lower than the rest of the country. Estimates show that a technical education will increase job opportunities and raise incomes by as much as 30 percent or more.
El Salvador's commitment to education through its MCC compact is part of a much larger, integrated development strategy to change the lives of the poor for the better. The compact also invests in other public services, agricultural production, rural business development, and the Northern Transnational Highway. These development priorities transcend politics to deliver tangible results that will improve the quality of life for El Salvador's poor, today and well into the future. They create a stronger economy in El Salvador, and an anchor of growth for the region and for the Western Hemisphere.
The hard work and commitment to accountability that brought us this far in the completion of El Salvador's compact must continue—with the same drive, determination, and focus. The pace of progress must continue toward the compact's full implementation.
I commend the people of El Salvador for keeping their government accountable for delivering results from the compact.
I welcome working with President Funes and his Administration. Support for the compact and the principles of good governance create conditions for growth.
I appreciate the support from local mayors and councils for El Salvador's MCC compact. Your vigilance ensures that the compact delivers what it promises.
I also applaud the hard work of FOMILENIO—its board, its management, and its staff—for implementing El Salvador's compact in such a timely and effective way.
Today's groundbreaking for the construction of the community college of Chalatenango shows how the compact is making a difference in the lives of Salvadorans—a difference that will increase their economic opportunities, their incomes, and their future prosperity. That is the hope of the entire compact, and MCC stands in partnership with El Salvador to translate that hope into the genuine reality of sustainable prosperity.
Muchas gracias y les deseo todo lo mejor! Sigamos adelante!
Testimony by USAID Administrator Shah, April 20, 2010Footnote 9
Administrator Rajiv Shah delivered this testimony on the Fiscal Year 2011 Budget Request in Washington, DC before the Subcommittee on State, Foreign Operations, and Related Programs Committee on Appropriations, United States Senate
Administrator Shah. Chairman Leahy, Ranking Member Gregg, Members of the Subcommittee, I am honored to join you here today in support of the President's Fiscal Year (FY) 2011 Foreign Operations Budget Request.
It has been less than four months since I was sworn in as Administrator for the U.S. Agency for International Development. As you know, just days after my swearing-in, the people of Haiti were struck by a tragedy of almost unimaginable proportions. The United States—and the American people—responded swiftly and aggressively to this unprecedented disaster—a response that reflected the leadership and compassion of our nation.
In the immediate aftermath of the earthquake in Haiti, President Obama designated me as the Unified Disaster Coordinator and charged our government with mounting a swift, aggressive and coordinated response. In that capacity, USAID coordinated the efforts of the Departments of State, Defense, Homeland Security, and Health and Human Services. We worked collaboratively with the Government of Haiti and a host of other governments, the United Nations, other international organizations, NGOs, the private sector, and with thousands of generous and concerned individuals. Together we have provided a comprehensive response to a complex disaster whose scope far exceeds any other that the Administration has faced internationally and one that requires a continued aggressive and unique approach.
Our unprecedented level of coordination in response to these challenges has shown results on the ground. With our partners, we launched the largest, and most successful international urban search-and-rescue effort ever—with more than 135 lives saved by over 40 countries’ search and rescue teams in Haiti. In coordination with Haitian authorities, our military, the United Nations, and NGO colleagues, we created a fixed distribution network to surge food distribution to nearly 3 million people—the most robust urban food distribution in recent history. Within thirty minutes of landing on the ground, the U.S. military secured the airport, and in the hours that followed, rapidly expanded its capacity to well beyond pre-earthquake levels. The United States also helped to restore a critical sea port, thereby scaling up the delivery of essential goods and restoring commercial capacity. And our partners at the Department of Health and Human Services provided medical assistance that enabled an additional 30,000 patients to receive treatment.
Nevertheless, we all know that Haiti faces a long and steep road to recovery. Reconstruction will take time and will require the shared commitment and resources of our international partners, working in concert with the Government and the people of Haiti.
We are requesting a total of $1.6 billion for the Department of State and USAID in supplemental funding for efforts in Haiti. Of that, approximately $501 million will be used to reimburse USAID for the emergency humanitarian response already provided through International Disaster Assistance and Food for Peace Title II. Of the funding requested in the supplemental for reconstruction, $749 million is requested for the Economic Support Fund to support Haiti's critical recovery and reconstruction needs, including rebuilding infrastructure, supporting health services, bolstering agriculture to contribute to food security, and strengthening governance and rule of law. Finally, we have requested an additional $1.5 million for USAID's Office of the Inspector General to ensure greater oversight of these funds.
II. GUIDING PRINCIPLES AND OVERVIEW
Recovery in Haiti will continue to be a major focus for the foreseeable future. But we will not lose sight of the important work of strengthening USAID and helping other countries achieve their development goals. Investment in development has never been more strategically important than it is today. Even in the midst of difficult economic times domestically, helping nations to grow and prosper is not only the moral obligation of a great nation; it isalso in our national interest. The investments we make today are a bulwark against current and future threats—both seen and unseen—and a down payment for future peace and prosperity around the world.
As Members of this Subcommittee know very well, development is an essential pillar of our foreign policy. As President Obama said in Oslo last December, “Security does not exist when people do not have access to enough food, or clean water, or the medicine and shelter they need to survive.” Building the capacity of countries to meet these basic needs—and in turn, increasing dignity and opportunity for their people—is what guides our work and the resources we put behind it.
While the scope and complexity of the world's challenges have grown—from the food crisis to the global financial crisis, terrorism to oppression, climate change to pandemics—we have never had the technology, tools and global imperative for action that we have today. Together with other government departments and agencies, USAID is examining our policies, resources, and capabilities to determine how best to achieve our development objectives through the Presidential Study Directive on U.S. Development Policy and the Quadrennial Diplomacy and Development Review. And already, we are moving to face these challenges, guided by the following important principles:
*Working in partnership, not patronage with the countries we serve;
*Coordinating across U.S. agencies and among donors and partners for maximum impact;
*Ensuring strategic focus with targeted investments in areas where we can have the greatest impact with measurable results and accountability;
*Embracing innovation, science, technology and research to improve our development cooperation; and
*Enhancing our focus on women and girls.
The FY 2011 budget request will support development priorities that contribute directly to our national security. Specifically, our request is focused on three priority areas:
*Securing Critical Frontline States— $7.7 billion in State and USAID assistance will support U.S. development efforts in Afghanistan, Pakistan, and Iraq.
*Meeting Urgent Global Challenges— $14.6 billion in State and USAID assistance will support local and global solutions to national and transnational problems, including global health, food security, poverty, disasters, and threats of further instability from climate change and rapid population growth.
*Enhancing Aid Effectiveness and Sustainability—$1.7 billion will support the ongoing rebuilding of USAID personnel and infrastructure.
III. SECURING CRITICAL FRONTLINE STATES: AFGHANISTAN, PAKISTAN, AND IRAQ
By far the largest component of our requested budget increase is dedicated to the critical states of Afghanistan, Pakistan and Iraq. We have made some progress in each of these countries, but we realize that significant challenges remain.
Over the past several years, our focus in Afghanistan has been achieving greater stability and security. Working within a fully integrated civilian-military plan, our goal is to create space for economic investment and to lay the foundation for a more representative, responsible and responsive government. We believe these investments are key to providing sustainable security and stability in Afghanistan.
We are gradually delivering more of our resources through public and private Afghan institutions and these efforts have been successful so far. We are performing careful and diligent oversight and directing resources to local institutions and partners who perform well.
We are beginning to see major improvements in the Afghan health care system. In 2002, just eight percent of the population had access to some form of health care, but by 2009, that number had increased to 84 percent.
We have also made significant strides in education. Under the Taliban, only 900,000 boys and no girls were officially enrolled in schools. As of 2009, more than six million children were enrolled, 35 percent of whom are girls. One of our biggest economic accomplishments in Afghanistan has been to begin to rejuvenate the agricultural industry. In November of last year, with USAID support, Afghan provincial farmer associations sent to India the first shipment of what is expected to be more than 3,000,000 kilograms of apples this season.
USAID has also been active in developing a coordinated Afghan energy policy, and helped advance new electricity generation capacity and provide 24-hour power for the first time in cities including Kabul, Lashkar Gah, and Kandahar City. With additional resources, we expect a half million people will benefit from improved transportation infrastructure.
In Pakistan, our request supports ongoing efforts to combat extremism, promote economic development, strengthen democratic institutions, and build a long-term relationship with the Pakistani people. We are focusing on programs that help demonstrate the capacity of local civilian governance to meet the Pakistani people's needs, and channeling assistance to less-stable areas to rebuild communities and support the Government of Pakistan's counterinsurgency efforts.
USAID and our partners in Pakistan have made progress in several areas. In 2009, we expanded educational opportunities, rebuilt schools and increased support for higher education. We trained 10,852 health care providers, 82 percent of whom were women, and provided essential care to nearly 400,000 newborns. Over the life of our program, we have helped treat 934,000 children for pneumonia, 1.6 million cases of child diarrhea, and provided DPT vaccines to 731,500 babies through training programs for health care workers.
We have also focused on generating economic opportunities for the people of Pakistan, contributing to the country's stability. USAID programs generated more than 700,000 employment opportunities in 2009, including training more than 10,000 women in modern agricultural techniques.
The funding increase in FY 2011 for Pakistan will help USAID reach approximately 60,000 more children with nutrition programs, increase enrollment in both primary and secondary schools by over one million learners, and support 500,000 rural households to improve agricultural production.
Finally, turning to Iraq, we have transitioned to a new phase in our civilian assistance relationship—shifting away from reconstruction toward the provision of assistance to bolster local capacity in line with Iraqi priorities. Indeed, we are working in partnership with the Government of Iraq whose investment in their own development matches or exceeds at least 50 percent of U.S. foreign assistance funds.
Specifically, USAID is promoting economic development, strengthening the agricultural sector, which is the largest employer of Iraqis after the Government of Iraq, and increasing the capacity of local and national government to provide essential services. For example, USAID is strengthening public administration, strategic planning and project management in critical Iraqi ministries by supporting 180 international post-graduate scholarships in programs related to public administration for Iraqis at universities in Cairo, Amman, and Beirut. The additional funding requested will also promote small and medium enterprise growth, strengthen the Iraqi private banking sector and increase access to lending for entrepreneurs engaged in new market opportunities resulting from improved stability.
IV. MEETING URGENT GLOBAL CHALLENGES
In addition to supporting these critical frontline states, we are targeting investments to assist with urgent global challenges that—if unmet—can compromise the prosperity and stability of a region or nation.
First, global health, where we are requesting $8.5 billion in State and USAID assistance. Our request supports President Obama's Global Health Initiative, which builds on the President's Emergency Plan for AIDS Relief (PEP-FAR), launched by the Bush Administration, and other U.S. global health programs and will help our 80 partner countries strengthen health systems and sustainably improve health outcomes, particularly for women, children and newborns. This initiative will be carried out in collaboration with the Department of State and the Department of Health and Human Services to ensure our programs are complementary and leave behind sustainable health care systems that are host-country owned.
With additional funding, we will build on our strong record of success in HIV/AIDS, TB and malaria, and achieve results where progress has lagged, in areas such as obstetric care, newborn care and nutrition. The initiative will include a special focus on up to 20 countries where we will intensify efforts to ensure maximum learning about innovative approaches for working with governments and partners, accelerating impact and increasing the efficiency and effectiveness of U.S. government investments.
Second, to support global food security, we propose investing $1.2 billion for food security and agricultural programs, in addition to the $200 million set aside for nutrition programs that support the goals of improved global health and food security. These funds are in addition to the emergency and non-emergency food assistance we provide. There is a strong link between security and hunger, made clear in 2008 when the global food price crisis led to a dramatic rise in food riots in more than 30 countries around the globe. With these additional funds, we will work in countries in Africa, Central America, and Asia to combat poverty and hunger. Our work will draw upon relevant expertise across the United States government to deliver the most effective programs possible.
Our third principal challenge is climate change. We propose to invest $646 million in our programs, part of the Administration's overall request of $1.4 billion to support climate change assistance. USAID will support implementation of adaptation and sustainable landscape investments, as well as low-carbon development strategies, market-based approaches to sustainable energy sector reform and emission reductions, capacity-building and technologies to enhance adaptation and local resilience to climate change in partner countries. We plan to expand renewable energy programs in the Philippines, improving electric distribution systems in Southern Africa, and support high-level bilateral climate change partnerships with major economies like India and Indonesia.
Finally, we remain focused on humanitarian assistance, including emergency and non-emergency food aid, where USAID and the Department of State propose to use $4.2 billion. The tragedy in Haiti brings clarity to both the critical need for America's leadership on humanitarian assistance and the strong support from the American people that such efforts enjoy. This funding allows us to assist internally displaced persons, refugees, and victims of armed conflict and natural disasters worldwide.
With the combined investments proposed in global health, food security, climate change and humanitarian assistance, we will build the capacity of countries to save lives and, through economic growth, help make people less vulnerable to poverty and the threat of instability that extreme poverty can represent. In so doing, we honor our basic values, strengthen our national security and promote our national interests.
V. ENHANCING AID EFFECTIVENESS AND SUSTAINABILITY
All of the priorities I have outlined require well-trained personnel and robust infrastructure. We must treat development as a discipline. This requires strong capacities in evaluation, planning, resource management, and research to ensure we are incorporating best practices. At the same time, we must be able to recruit, hire and retain best in class development professionals.
As we build our workforce, we must reclaim the Agency's historical leadership in science and technology. We must also strengthen USAID's capacities to identify, implement, and rigorously evaluate new and existing approaches that reward efficiency, effectiveness, and sustainability. We must have the capacity to analyze, plan, and invest strategically for the long term. And most important, we must stay relentlessly focused on results—which means establishing baseline data, measuring progress, being transparent about both our successes and our failures—learning from both and improving our approach as we go forward.
Our Fiscal Year 2011 budget request represents a vital investment in our human resources, and I want to thank the Committee for its foresight and support for the Development Leadership Initiative. The additional resources requested will allow us to bring on 200 new Foreign Service Officers, furthering our goal of doubling the size of our Foreign Service Corps. Fields of particular focus are education officers, economists, agriculturalists, stabilization, governance and reconstruction officers, global health officers and evaluation experts.
This long-term investment in human resources is critical to help fill a shortage of experienced middle- and senior-level technical experts and managers. Equally important, by reducing our reliance on contractors to design and evaluate programs, we will not only save taxpayer dollars but also enable greater oversight andmore effective program implementation.
Through these critical investments, we can achieve the development goals we have set around the world and restore USAID's standing as the world's premiere development agency.
VI. CONCLUSION
Our objective each day is to seek out these best practices, learn from them, and adapt them to everything we do. We are committed to transparency in both our successes and our failures -viewing both as opportunities to learn and improve.
I know this is a time of great economic strain for so many Americans. For every dollar we invest, we must show results. That is why this budget supports programs vital to our national interests. The United States must be able to exercise global leadership to respond to crosscurrents of a complex world. This requires the effective use of all instruments of our national security—including development. We agree strongly with President Obama and Secretary Clinton's vision of embracing development as indispensable to American foreign policy and national security.
It is through this relentless dedication to results that we do justice to our motto, “from the American people.” We do this not just by extending a helping hand, but by sharing the hopefulness of the American dream in places where hope remains shrouded by poverty, oppression and despair.
In many cases, the balance between a future filled with fear and a future filled with hope is fragile. Every day, USAID tips the scale toward hope and opportunity.
Thank you very much.
Press Release from the Millennium Challenge Corporation, April 21, 2010Footnote 10
Patrick Fine, Millennium Challenge Corporation (MCC) Vice President for Compact Implementation, traveled to Senegal from Monday, April 19 to Tuesday, April 20, to meet with senior officials of the Government of Senegal to discuss MCC's $540 million program, which is designed to unlock Senegal's agricultural productivity through the rehabilitation of major national roads and strategic investments in irrigation and water resource management infrastructure.
Mr. Fine met with Minister of Agriculture Fatou Gaye Sarr to discuss MCC-funded irrigation activities, which aim to improve the productivity of the agricultural sector by: 1) extending and enhancing the quality of the irrigation system in the Senegal River Valley; and 2) developing up to 10,500 hectares of additional irrigated land by increasing the volume of irrigation water. These activities will also reduce the risk of abandonment of up to 26,000 hectares of existing irrigated land.
Mr. Fine also met with the Minister of Budget within the Ministry of Economy and Finance, Mr. Abdoulaye Diop, who, together with his team, outlined steps the Government of Senegal is taking to increase budget transparency and enforce internal controls on the management of public funds. Mr. Fine also accompanied United States Under Secretary of State for Political Affairs William Burns on his courtesy call to Prime Minister Souleymane Ndene Ndiaye. “I am pleased with the open and frank discussions I've had with senior officials within the Government of Senegal,” Mr. Fine said. “We agree that good governance and a demonstrated effort to combat corruption will attract private sector investments, boost economic activity, and reduce poverty.”
As part of his official visit, Mr. Fine, together with U.S. Ambassador Marcia Bernicat, participated in a roundtable discussion with the Millennium Challenge Account (MCA)-Senegal's Board of Directors. The roundtable discussion addressed compact progress and next steps as MCA-Senegal finalizes its staff arrangements and prepares for implementation. “The meeting with Ambassador Bernicat and Patrick Fine allowed for a very fruitful exchange on important aspects related to our compact's implementation,” said Colonel Alhousseynou Diallo, chairman of MCA-Senegal's Board of Directors. “The Board was very happy to receive a senior official from MCC at a crucial time when MCA-Senegal is finalizing its institutional framework.”
Press Release from the Department of the Treasury, April 22, 2010Footnote 11
Today, a core group of finance ministers from the United States, Canada, Spain and South Korea, as well as the leadership of the Bill & Melinda Gates Foundation, met at the U.S. Department of the Treasury to announce an initial contribution of $880 million for a new fund to tackle global hunger and poverty and to discuss ways to foster additional contributions from the public and private sectors around the world.
The new fund, the Global Agriculture and Food Security Program, will include a U.S. commitment of $475 million, a key element of the Obama Administration's initiative to enhance food security in poor countries. As fellow inaugural fund contributors, Canada pledged $230 million, Spain $95 million, South Korea $50 million and the Bill & Melinda Gates Foundation $30 million.
“As we work to build a stronger, more stable and balanced global economy, we must renew our commitment to tackle global hunger and poverty,” said Treasury Secretary Tim Geithner. “A global economy where more than one billion people suffer from hunger is not a sustainable one. At a time of limited resources and large global challenges, this fund will leverage support from around the world to achieve lasting progress against hunger and bolster agricultural productivity and growth.”
The fund was created in response to a call by G-20 leaders in Pittsburgh last year for the World Bank Group to work with interested donors to set up a multi-donor trust fund to help implement some of the $22 billion in pledges made by G-8 leaders at their meeting in L'Aquila.
The United States has already contributed $67 million to the fund and has requested $408 million in President Obama's FY 2011 budget, which is subject to Congressional appropriation. This investment is a key element of the Administration's initiative to enhance food security, raise rural incomes and promote stability in poor countries and will complement the bilateral food security activities of U.S. Agency for International Development (USAID) and the U.S. Departmentof Agriculture.
“With the global number of chronically hungry reaching 1 billion, working together to put an end to the status quo and improve on past efforts is both a moral and economic imperative,” said Agriculture Secretary Tom Vilsack. “The financial commitments to the Global Agriculture and Food Security Program announced today will help address this critical issue in a meaningful and comprehensive way.”
With the aim of boosting agricultural assistance to poor countries, the fund will have both public and private sector accounts to provide financing to countries that have robust agriculture strategies. The public sector account will provide aid for better irrigation systems, linking farmers to markets and building post-harvest storage infrastructure. The private sector account will provide innovative financing to increase the commercial value of small and medium-sized agri-businesses and farmers.
“Investing in small farmers is an incredibly effective way to combat hunger and extreme poverty—history has proved it many times,” said Bill Gates, co-chair of the Gates Foundation, which has committed $1.5 billion to date to agricultural development. “The launch of this fund is an important step forward, but only a first step. Other countries meeting at the European, G-8 and G-20 summits in June and at the U.N. Summit in September should join the four founding partners and make good on their pledges. If we all sustain focus until the job is done, hundreds of millions of people will lead better lives.”
The fund aims to improve the income and food security of poor people in developing countries. It is estimated that the sudden increase in food prices in 2008 drove 100 million people into poverty. Even before the food price spikes, 850 million people in poor countries were chronically malnourished. Agriculture, seen as vital for development, has also been affected by low levels of investment over the past few decades and issues like climate change.
“At a time when practical and effective solutions are required, Canada is pleased to be among the first to help fund such a valuable program,” said Jim Flaherty, Canada's Minister of Finance. “Our $230 million contribution builds on Canada's ongoing efforts to improve sustainable agriculture for the world's poorest. It also ensures international institutions have the resources they need to help countries tackle increasingly difficult challenges. None are as basic, as urgent or as unacceptable as global hunger.”
“We have to maintain our degree of commitment with the poor,” said Elena Salgado, Second Vice-President and Minister of Economy and Finance of Spain. “We cannot forget the 75 percent of the world's poor that live in rural areas. Sustaining food security requires a comprehensive approach that encompasses increasing agriculture productivity, fostering rural development and guaranteeing access to markets, especially for small farmers. Vulnerable populations would benefit from surpluses thus generated, through food safety nets.”
“Korea experienced a severe food shortage and poverty at the initial stages of its economic development in the 1960s,” said Korean Finance Minister Yoon Jeung-Hyun. “The experiences made Korea recognize the importance of food security. In this regard, we will spare no effort in supporting developing countries’ economic development and helping to strengthen their agriculture sector with empathy rather than sympathy, deep down in the heart.”
Hosted by the World Bank Group, a number of agencies, including the African Development Bank, the World Bank and the International Fund for Agricultural Development, will implement the projects financed by the fund. The fund will embrace a transparent governance structure by ensuring that recipient countries and civil society organizations, as well as donors, have a voice in the operation of the fund.
“Malnutrition and hunger afflicts millions of vulnerable people in Africa who cannot afford to grow and buy sufficient food,” said Jean Ping, the Chairman of the African Union Commission. “Last year, the international community pledged resources to help the world's poorest farmers. The establishment of this fund is an important signal that donors intend to meet their commitments and help African countries implement their comprehensive agriculture strategies. We urge other countries to come forward and make good on their promises.”
“With a sixth of the world's people going hungry every day, the crisis in food remains very real, posing a severe economic burden on developing countries, especially in Sub-Saharan Africa,” said World Bank Group President, Robert B. Zoellick. “Co-operation and coordination are vital to boost agricultural productivity and connect farmers to markets, as agriculture is the main lifeline today for about 75 percent of the world's poor.”
Press Release from the U.S. Agency for International Development, April 24, 2010Footnote 12
At a high-level nutrition roundtable today co-hosted by Canada, Japan, the United States, through the U.S. Agency for International Development (USAID), and the World Bank, USAID Administrator Dr. Rajiv Shah announced the 20 focus countries of the U.S. Government's Feed the Future, initiative that targets the causes of hunger and aims to reduce poverty, hunger, and undernutrition.
“One billion people worldwide are hungry,” noted Dr. Shah. “Each year, inadequate nutrition contributes to 3.5 million deaths among children under five. Undernutrition robs the developing world of critical human capital and capacity, and undermines other development investments in health, education, and economic growth. It also perpetuates the cycle of poverty and hunger by leading to poor health, lower levels of educational attainment, and reduced productivity and lifetime earnings.”
In 2008, the Lancet identified just 36 countries that are home to 90 percent of all children whose growth was stunted for lack of adequate food. Based on this global burden of undernutrition and other criteria that examined the prevalence and dynamics of poverty, country commitment, and opportunities for agriculture-led growth, the 20 Feed the Future focus countries are: Ethiopia, Ghana, Kenya, Liberia, Mali, Malawi, Mozambique, Rwanda, Senegal, Tanzania, Uganda, and Zambia in Africa; Bangladesh, Cambodia, Nepal, Tajikistan in Asia; and Guatemala, Haiti, Honduras, and, Nicaragua in Latin America.
These countries experience chronic hunger and poverty in rural areas and are particularly vulnerable to food price shocks. At the same time, they demonstrate potential for rapid and sustainable agriculture-led growth, good governance, and opportunities for regional coordination through trade and other mechanisms. USAID will work with strategic partners Brazil, India, Nigeria, and South Africa to harness the power of regional coordination and influence in these focus countries.
President Obama has requested the support of Congress to more than double USAID's nutrition assistance in 2011 in these countries. This dramatic increase in funding signifies our country's commitment to scale up nutrition interventions.
Feed the Future will build upon strong existing foundations to make improvements in global health, poverty reduction, and the overall development of our focus countries. In order to achieve high-level impact and long-term sustainability, all partners in the country—from national and local government to civil society to the private sector—need to converge around a comprehensive country-led approach to improve nutrition.
Feed the Future also represents an opportunity to harness the contributions of civil society and bolster private sector investments to spur economic growth, agriculture sector growth, and improved nutrition in food insecure countries. Private sector engagement and investment are fundamental for making markets sustainable and accessible to the very poor.
Addressing undernutrition is key to both the President's Global Health Initiative (GHI), and Feed the Future.
Press Release from the U.S. Agency for International Development, April 26, 2010Footnote 13
In conjunction with the Presidential Summit on Entrepreneurship, USAID announced 13 new partnerships to advance entrepreneurship and economic growth in countries with significant Muslim populations.
“Policies and programs that nurture entrepreneurship build a foundation for economic growth, job creation, and poverty alleviation,” said Dr. Rajiv Shah, Administrator of USAID. “Economic growth based on private sector development has the potential to transform developing societies, enabling them to emerge from dependence on foreign aid and generate the resources necessary to finance their own development. That has direct benefits for all people of the world, including in the United States—which is why President Barack Obama chose to open our doors to share some American entrepreneurial spirit with people from around the globe.”
On June 4, 2009, President Obama delivered a groundbreaking speech in Cairo that laid the foundation for a new beginning with countries with significant Muslim populations worldwide. One of the seven goals he discussed was advancing economic opportunity. As a building block, the President announced that the United States would host the Presidential Summit on Entrepreneurship. This two day gathering (April 26-27) will provide an unprecedented opportunity to highlight the importance of economic and social entrepreneurship within those communities throughout the world.
USAID has a long-standing commitment to working in partnership with government reformers, entrepreneurs, associations, nongovernmental organizations, media, and other stakeholders to help countries establish the foundation to achieve rapid, sustainable, and comprehensive economic growth. Our commitment to this objective is both broad and deep. In FY09, USAID engaged in projects supporting entrepreneurship in more than 80 countries.
USAID projects have translated into resources that entrepreneurs around the world have used to expand businesses, enter new markets, and hire new employees. With our assistance, reform-minded governments have reduced red tape, including dramatic drops in the time and cost to register a business in Egypt, streamlined customs procedures for exporters in Jordan, and capital market development in Kazakhstan. In Pakistan, USAID is working through local organizations to assist 120,000 of the country's micro and small entrepreneurs, with a focus on rural and female producers, as well as communities affected by conflict.
Building on our sustained commitment to advance entrepreneurship and economic growth, USAID is proud to announce thirteen new partnerships, including the four highlighted below:
Middle East and North Africa (MENA) Investment Fund—USAID is entering into a new partnership with Silatech, a not-for profit social enterprise based in Qatar, to set up an investment fund to facilitate access to finance for micro-, small- and medium-size enterprises (MSMEs) in the Middle East and North Africa. USAID intends to issue a credit guarantee to help attract private capital which will be invested in innovative start-ups, as well as existing businesses to help them scale up and become sustainable. Silatech's equity investment, along with the planned USAID guarantee and technical assistance, is expected to leverage $250 million in financing for entrepreneurs in countries with a significant Muslim population.
World Bank Doing Business Report— USAID plans to partner with the World Bank and at least 15 reform-minded governments over the next two years to introduce reforms that will provide direct financial benefits to thousands of firms throughout the region. The project will benchmark performance on the quality of business regulation in a country, provide demand based technical assistance to reform business regulations, and hold annual regional conferences to recognize reforming countries. Countries will be selected based on demand and demonstrated commitment to reform.
Cisco Entrepreneur Institute—USAID's partnership with Cisco will provide entrepreneurship education in up to ten countries initially. The content will be localized and translated to local languages, as well as delivered over an open source, Web and media enabled platform to allow for in-person and remote learning. The content will range from starting and growing a business to the use of Internet technologies to drive business growth. The partnership targets women, youth, and other underserved populations.
Global Impact Investing Ratings System (GIIRS)—USAID, the Rockefeller Foundation, Prudential, Deloitte and other partners will support the development of a global impact investing ratings system with potential to unlock significant investment capital for social enterprises. By providing comparable data and judgments about the social and environmental performance of private or mission-driven enterprises, GIIRS will allow companies, entrepreneurs, and fund managers to raise capital based on the social and environmental impact of their underlying businesses or portfolio companies. USAID is developing additional partnerships in the areas of strengthening the business enabling environment, expanding capacity and knowledge, catalyzing market opportunities and access to capital, and building connectedness and business support. Please see the attached information for complete information on new USAID partnerships to advance entrepreneurship and economic growth.
USAID is an independent agency that provides economic, development and humanitarian assistance around the world in support of the foreign policy goals of the United States.
Press Release from the U.S. Trade and Development Agency, April 28, 2010Footnote 14
Due to persistent water shortages in Algeria that have dramatically affected agricultural productivity, the United States Trade and Development Agency (USTDA) provided a grant today to support the Algerian Ministry of Water Resources as it pursues environmentally beneficial technologies and modernizes its water infrastructure. The grant will fund a feasibility study to assess different technologies and find cost-effective solutions for wastewater reuse at the El Karma Wastewater Treatment Plant (WWTP) in Oran.
The Government of Algeria currently considers wastewater reuse for agricultural irrigation a priority in order to enhance agribusiness development opportunities. Introducing new technologies in the wastewater treatment sector in Algeria will help to increase agricultural production, promote economic growth, enhance food security and provide export opportunities for U.S. businesses.
U.S. Ambassador David Pearce, who conferred the $256,741 grant to the Algerian Ministry of Water Resources in Algiers, said that the project provides an opportunity to foster human capacity building through the creation of new and more skilled jobs in the wastewater management sector.
“Upgrading these facilities will improve the quality of 201,440 cubic meters of reclaimed water per day, so that it can be used for the irrigation of nearby agricultural land and industrial sites,” said Pearce.
“The project aligns with the Government of Algeria's current water conservation policies and strategic plan to reduce dependency on overexploited local water resources,” he continued. “The upgrade is necessary to increase water supply and ease shortages in this water scarce region.”
The study will assess the technical, economic, financial and regulatory feasibility of the necessary improvements to the El Karma WWTP, and evaluate the environmental and developmental impacts associated with wastewater reclamation at the facility.
U.S. Ambassador David Pearce signed the grant on behalf of the United States and Secretary General Zidane Merah signed on behalf of the Algerian Ministry of Water Resources.
The opportunity to provide the USTDA-funded assistance under the grant awarded today will be competed on the Federal Business Opportunities (FBO) website. A link to the FBO announcements will be posted on USTDA's website at www.ustda.gov. Interested U.S. firms should submit proposals according to the instructions in the FBO announcement. The Algerian Ministry of Water will select a U.S. firm to provide the assistance associated with their grant.
Press Release from the U.S. Trade and Development Agency, April 30, 2010Footnote 15
The United States Trade and Development Agency (USTDA) awarded a grant today to the Ceara State Government in Brazil to determine the technical and financial viability of the construction of a new cargo airport in the state of Ceara.
The aviation sector continues to expand rapidly in Brazil. To support this growth, USTDA conferred a $480,000 grant to create an implementation plan for a new air cargo facility that will increase the efficiency of air cargo transport and complement the expansion currently underway at the port. A cargo airport would foster transportation linkages between the port, rail and road systems in the state.
“USTDA believes that this project will generate a number of business opportunities for U.S. suppliers,” said USTDA Country Manager Gabrielle Mandel. “The new facility will require specialized engineering services, a small air traffic control tower, as well as airside navigation equipment, including precision approach path indicators, lights, glide slopes and localizers.”
The signing ceremony was held at the offices of the Ceara State Agency for Development (ADECE). USTDA Country Manager Gabrielle Mandel and Francisco Zuza de Oliveira, President of ADECE signed the grant agreement on behalf of the U.S. and State of Ceara governments, respectively. Rodrigo Mota, USTDA Brazil Country Representative, signed as a witness to the grant agreement.
The opportunity to conduct the USTDA-funded work for Ceara State Agency for Development will be competed on the Federal Business Opportunities (FBO) website. A link to the FBO announcement will be posted to USTDA's website at www.ustda.gov. Interested U.S. firms should submit proposals according to the instructions in the FBO announcement. Ceara State Agency for Development will select the U.S. contractor that will complete the study.
Press Release from the U.S. Agency for International Development, May 7, 2010Footnote 16
The U.S. Agency for International Development (USAID) hosted a diverse group of private sector representatives in San Salvador today, encouraging them to join the sea turtle conservation effort. Sea turtles, which are an endangered species, nest along the Salvadoran coastline.
U.S. Embassy Charge d'Affaires Robert Blau and representatives from USAID participated in a breakfast with business leaders and members of environmental conservation groups, along with two special guests: Biologist Wallace J. Nichols and Oceanographer and Environmental Economist Fabien Cousteau (grandson of Jacques Cousteau, the celebrated French sailor and researcher).
“The U.S. Government is pleased to support the efforts to protect and restore these important natural and economic resources. Blau said, with the financial support of USAID, studies have been carried out which reveal that this country is the most important country in all of Latin America for the survival of the Hawksbill turtle.”
The goal is to establish public-private partnerships to finance both the management of marine resources and the conservation of the turtle species, by raising $1.2 million over the next five years. These funds will aid in the collection, incubation, and release of at least 80 percent of the sea turtle eggs laid on the beaches in El Salvador.
Even just two years ago, human beings had consumed more than 95 percent of the turtle eggs in El Salvador. In February 2009, the Ministry of Environment and Natural Resources established a complete and permanent ban on the sale and consumption of sea turtles and sea turtle products. As a result, diverse sectors of society are working together more effectively to increase the number of hatcheries in the country. These USAID-supported actions have resulted in the incubation of more than one million turtle eggs. Nevertheless, the challenges continue. Experts estimate that the species remains on the brink of extinction.
Within the sea turtle conservation component of the USAID Improved Management and Conservation of Critical Watersheds Project, USAID has supported the setup and operation of more than 30 hatcheries on beaches which are crucial for sea turtle reproduction. The program's achievements include: the protection of over 120 kilometers of coastline, the release of 900,000 newborn turtles, the development of ecotourism, and the awarding of a $400,000 direct economic incentive to tortugueros (poachers) who now work as beach keepers and are paid for egg collection and beach protection services. Additionally, the project has contributed to diminishing the demand for turtle eggs though a mass media campaign and has promoted a national strategy for the conservation of El Salvador's sea turtles.
It is because of these efforts that Fabien Cousteau is visiting the country. He forms part of the third generation of explorers in his family. Cousteau has proposed innovative solutions to achieve a balance between regional environmental problems and market realities. Together with his father, Jean-Michel Cousteau, he works to explore the oceans and raise awareness about the need to conserve the planet. Cousteau has also launched the Nature Entertainment program to share conservation efforts via the media. This year, he will support sea turtle conservation, motivating various countries to participate in order to release one billion baby turtles into the ocean. El Salvador will be the starting point of this effort, beginning with the inauguration of the hatchery season that is planned for May 7 at San Diego Beach, La Libertad.
Press Release from the U.S. Agency for International Development, May 17, 2010Footnote 17
The U.S. Government, acting through the United States Agency for International Development (USAID), today launched a new agricultural program in partnership with the Government of Southern Sudan (GOSS). The launch ceremony was led by the Minister of Regional Cooperation, General Oyai Deng Ajak; the Minister of Agriculture and Forestry (MAF), Dr. Samson L. Kwaje; USAID Administrator Dr. Rajiv Shah; U.S. Chargé d'Affaires Robert E. Whitehead; and USAID/Sudan Mission Director William Hammink.
The Food, Agribusiness, and Rural Markets (FARM) program is an agricultural initiative that will be implemented over five years in partnership between MAF and USAID, with a total budget of $55 million. The program will initially focus on select counties in southern Sudan's ‘green belt zone,’ which spans Western, Central, and Eastern Equatoria states, and where conflict destroyed much of the local capacity for agricultural production during Sudan's civil war. This area has high agricultural potential and will soon be connected through new road construction to fast-growing markets for farm goods. The FARM program will provide technical assistance and related support to the GOSS Ministry of Agriculture and Forestry, as well as state ministries of agriculture.
“USAID is proud to work with the Ministry of Agriculture and Forestry on this innovative and promising project,” said USAID Administrator Shah. “The FARM program marshals a variety of resources in a re-emerging agricultural area and will inspire others to join as partners in reducing hunger in southern Sudan. This is a solid, high-impact use of U.S. support that will save lives and develop livelihoods.”
The program will focus on smallholder producers to rapidly increase their production of selected staple crops, such as maize and sorghum. The program seeks to increase farm productivity, trade, and the capacity of people engaged in the agricultural sector in southern Sudan, including producers and those in the private and public sectors.
Agriculture is the backbone of economic development in southern Sudan, employing the majority of the population of more than 8 million, 80 percent of whom live in rural areas. More than 90 percent of southern Sudanese live on less than $1 per day and according to the World Food Program, more than 52 percent of the people face food insecurity. Southern Sudan is highly dependent on expensive food imports from neighboring Uganda and Kenya.
By fostering inclusive economic growth, the FARM program will help reduce poverty and food insecurity in southern Sudan.
Excerpts of Remarks by USAID Administrator Shah, May 20, 2010Footnote 18
Administrator Rajiv Shah delivered these remarks in Washington, DC at the Chicago Council Symposium on Agriculture and Food Security
Administrator Shah. Last year, the number of people that—suffering from chronic hunger topped 1 billion, increasing for the first time in decades, but it has been consistently increasing for the last few years.
The food crisis, the global financial crisis, have all contributed to this rise in chronic hunger. But let's be honest: so did years of drift and lack of attention from the global community and from the donor community, including the United States of America.
The Chicago Council report, which has served as very much a road map for this effort, asks the U.S. to lead a second Green Revolution. And we completely agree. The first Green Revolution, a term coined by a USAID administrator, William Gaud, succeeded in lifting incomes and lessening hunger in large parts of the world.
In 1979, agricultural programs made up 18 percent of all foreign assistance. By 2007, that number was 3.5 percent. In the early ‘80s, agricultural productivity growth in developing countries topped 3 percent per year. By a few years ago, that number was below 1 percent, and not enough to keep up with the rate of population growth in precisely the places that were most affected.
The human effects of this neglect are clear. Increasing hunger, chronically undernourished children who are unable to learn and who suffer from a lifetime of lost opportunity because of what happens to their nutritional status in the first two years of their life.
But these effects also threaten our own global stability. We've seen time after time, examples of food riots, instability and conflict as communities fight over scarce productive resources.
I came most recently from Darfur, arriving back last night. And every single person I spoke to, of the hundreds of thousands that were in the IDP camps I visited, had agricultural backgrounds and sought again an agricultural future, but their access to viable, productive resources has been limited severely by the conflict.
So we know agricultural development is a springboard for broader economic development and we know food security is the foundation for peace and opportunity, and therefore, our own national security.
This administration's plan and this president's plan for a more peaceful world center on enhancing prosperity in our partner countries by elevating development and better integrating it with diplomacy and defense as part of our foreign policy.
That is why President Obama pledged in his inaugural address that we would work alongside the people of lower-income countries to make their farms flourish.
And that is why Secretary Clinton together with Sec.-Gen. Ban Ki-Moon last September drew together leaders from more than 130 countries around the world for a special session at the U.N. General Assembly, asking each of them to make commitments to this global cause. And that's why we're here today.
Through this Feed the Future initiative, we are investing the talents of experts throughout our government, working closely with the State Department, the Millennium Challenge Corporation, the USTR and the Peace Corps in this effort.
Secretary Vilsack will be here later today to tell you about new partnerships with the U.S. Department of Agriculture. His personal leadership of food security at home and aboard and USDA's strong commitment is critical to this effort.
Through Feed the Future, we will be investing at least $3.5 billion over a three-year period to reprioritize agriculture and malnutrition and to reduce hunger and insecurity.
And directly combined with the investments of our partner countries, we believe this will reach 40 million people over 10 years, increasing their incomes significantly—by more than 10 percent a year. And we expect to reach 25 million children directly with nutritional interventions that will prevent stunting in 10 million kids.
And these numbers are conservative estimates. They don't count potential gains from agricultural research, they don't count the outcomes of potential increased private-sector investment and they don't count the tremendous welfare gains that can be experienced when food prices go down in countries where populations spend 70, 80, sometimes 90 percent of total income securing food for their families.
This initiative seeks to create a modern aid mechanism whose architecture is based on a set of principles articulated first by President Obama at L'Aquila last year, and then endorsed by 192 member-states in Rome.
The food crisis, the global financial crisis, have all contributed to this rise in chronic hunger. But let's be honest so did years of drift and lack of attention from the global community and from the donor community, including the United States of America.
The most important principle is the first one: that we will follow country-led and country-owned plans. We know even the most expert donor work is limited in its ability to create transformative impact. Country-led efforts are the only way to amplify the impact of donor projects and reach real scale.
For years there's been talk about country-led planning, so when I first got here, I asked, well, what's new about this? How is this actually different?
The truth is, we're now beginning to see results. In Rwanda, they recognized they needed a comprehensive approach to agriculture, so they assembled key stakeholders, developed a plan and completed a thorough technical review just this December.
As of April 15th, Rwanda's $848-million proposal is substantially funded, with $275 million in assistance from international partners.
I don't think it's a mere coincidence that, since 2006, when this planning process began in Rwanda, that they've experienced real increases in agricultural sector growth, real increases in agricultural total production and a nearly 50 percent increase in domestic and in expenditure investment in the agriculture sector.
Liberia is similarly off to a fast start, from a very tough starting point, and I believe President Sirleaf will be here later today to describe that progress.
By the end of 2010, we should have 15 African country investment plans. These plans will represent countries with a total population of almost 650 million people, and these must serve as the basis for our engagement.
We see similar progress in other parts of the world. I look forward next week to visiting Bangladesh and visiting with Prime Minister Sheikh Hasina as she leads the final stages of their planning process.
My colleague Cheryl Mills, who will be here shortly, has worked closely with Haiti's top leaders as they've made agricultural development a core part of their reconstruction and their future.
These plans and this political leadership show the signs of strength that we are looking for. Clear investment priorities: Countries are showing that they pick specific breadbaskets, specific areas within a country and specific crop value chains and say that those are the investment priorities everybody should organize themselves around.
Strong commitment from the highest level of leadership: agriculture ministries and ministers, but also ministers of finance, vice presidents, prime minister and heads of state.
Transformational goals: The goal cannot simply be to reach X number of farmers through project implementation, but to create viable and energetic market-oriented agricultural economies.
And most importantly, the involvement of all stakeholders, especially civil society, NGOs and the private sector. For us, these plans are the basis for increased investment.
But we all know that it's not just about increased investment. It's about the quality and the focus of how those resources are spent, which brings me to the second principle agreed to at L'Aquila: taking a comprehensive approach to food security across the whole value chain from—I think the term is—from the research lab to the table.
That comprehensive approach starts with a restructured research agenda. To that end, we are already working with other donors to support the CGIAR in its critical reform effort. Its new mega-programs will focus on priority staple crops, reinvest in core breeding, which is its core area of expertise, and integrate systems research for production systems such as East African highland systems and South Asian cereal-based systems.
We support this effort fully. As Secretary Vilsack will discuss later today, we are leveraging USDA's research capabilities as well, by expanding our direct funding partnerships with the Agricultural Research Service and co-funding research through the new National Institute of Food and Agriculture in areas such as wheat stem rust, livestock diseases and abiotic stress such as drought and heat tolerance.
And we are asking our land-grant university partners to push the frontiers of productivity through greater focus. Our current eight CRISP programs cover over 115 research activities and we seek to focus this work on a smaller set of core Feed the Future research priorities even as we significantly increase our investment to these partners.
In countries, we will expand efforts to develop robust country regulatory systems so farmers themselves can choose which technologies are most appropriate and which ones they need to feed their families and lift their communities out of poverty.
But to really reach farmers with the fruits of these efforts, we are directing each of our country teams to prioritize investments in national agricultural research systems—where AGRA has been a real leader—and in modern extension systems, with a focus on training and hiring female extension workers to reach women farmers.
But increasing agricultural productivity will only get us so far. Last week, I was in Kenya, and I opened the paper, and on the second page in color photographs was pictures of unhappy Kenyan farmers who had worked hard to get a bumper maize crop this year, but now because of heavy rains, poor drying conditions and a lack of market access have high levels of aflatoxin contamination that could wipe out the gains that they expected from their hard work.
In fact, an initial USAID survey of draft African agricultural plans shows that developing effective markets is their top priority.
We have considerable capabilities in this area, and we've done a lot of project work to solve this problem. But too often, our investments have resulted in a collection of projects that fail to transform a value chain and leave a lasting, market-oriented agricultural system.
So we will do things differently. First, we're getting feedback from the private sector on our investments, and aligning investments in grain storage, market-information systems and feeder roads with private-sector priorities.
Second, we will refocus efforts to increase agricultural business investments in priority countries. We have a range of tools, including philanthropic or corporate partnerships; the use of the Development Credit Authority, which provides expanded access to bank-lending; and grant mechanisms that effectively allow us to provide small-and medium-sized firms with equity finance.
The DCA alone, the Development Credit Authority, has unlocked more than $2 billion in private-sector lending, and could be used far more aggressively in agriculture. So we are recruiting local banks and local agricultural businesses to participate.
Third, we are encouraging more creative partnerships with large-scale buyers of food to create the type of durable market demand and supply-chain management that could be the basis for greater investment. Examples range from Wal-Mart's efforts to help Central American farmers improve post-harvest handling to similar programs that link cocoa buyers to small farmers through the West African Sustainable Tree Crop Program.
Fourth, and last but certainly not least, is our effort to use regional investments to actually implement the trade and investment corridors that so many African partners have asked for and called their top integrated, regional agriculture priority.
But we know the people who matter most aren't the financiers or the agriculture ministers or the assistance workers and partners. They are the women farmers who are the untapped solution to this problem.
Women produce 60 to 80 percent of the food in countries where we work. And when women control gains in income, they're far more likely to spend those gains improving their families’ access to health, education and nutrition.
For years, we've talked about the importance of women. We all have. But now, with leadership from Secretary Clinton and Ambassador Melanne Verveer, we are focusing on women in everything we do.
We start by focusing on those crops such as sweet potatoes and legumes that we know disproportionately enhance women's standing, women's production and women's incomes.
And we're working to ensure that women get equal access to services and support, such as financial services that preferentially target women and extension services delivered by female extension workers.
To make this happen, we've asked each of our country teams to expand investments in women's producer networks and expand fellowship programs, such as the award program in Kenya for women who pursue degrees in agriculture and research careers thereafter.
But we also are including nutrition interventions that target women and children with high-intensity feeding programs for children in the minus-9-to-24 high-risk age group with micronutrient supplementation that includes both supplementation programs and biofortification programs through the HarvestPlus effort, and school feeding efforts through new partnerships with our Global Health Initiative and the McGovern-Dole school feeding programs.
Excerpts of Remarks by U.S. Trade and Development Agency Director Zak, May 24, 2010Footnote 19
Director Leocadia Zak delivered these remarks in Cairo, Egypt at MENA Power 2010: A Middle East and North Africa Technology and Projects Forum
Director Zak. Good morning and welcome. It is great to see so many attendees here for MENA Power 2010. I must say that I was extremely impressed when I read the roster of Forum participants, both by the level of participation by our MENA partners and the number of U.S. companies represented. Your participation is clearly a testament to the importance we all place on the development of clean energy and also to the vitality of the longstanding USTDA-MENA relationship.
A year ago, here in Cairo, President Obama laid out his vision for a “new beginning” in the relationship between the United States and our Muslim partners around the world. That vision includes sharing advances in science and technology and increased partnerships for economic development in Muslim countries. I believe that this gathering exemplifies the kinds of activities envisioned by the President.
The development of the energy sector, particularly the quest for cleaner sources of power, increasingly unites government and business leaders. The opportunities for such cooperation abound and it is imperative that we pursue them, not only for the current benefits they can yield, but also as a continuing commitment to leave a safer environment to future generations.
Of course, the achievement of an improved supply of clean energy is as much a challenge in the United States as it is in this region. In response, U.S. companies are working diligently to develop new technological solutions that address the need to diversify our energy sources to meet the ever increasing demand of our citizens and businesses. Some of those U.S. companies are here with us this week. If you have not done so already, I encourage you to meet with as many of these companies as possible to learn about their technology and to share your ideas so that we are able to learn from each other and achieve our mutual goals.
That is precisely what this conference is about: participants learning from each other about the challenges and potential solutions in the energy sector and exploring opportunities for forming partnerships to achieve specific results. As the co-host of this event, USTDA has brought together leaders in the region who are sharing near-term project opportunities, U.S. businesses that are presenting the latest in technological innovations for a variety of needs, and financiers who can provide advice on financing options. Our intent is to connect you—to facilitate relationships between regional leaders and U.S. providers of the right goods, services and technologies to advance your energy development goals.
USTDA has long been involved with development projects in the MENA region, including support for over $75 million in activities during the past two decades. Our recent investments include support for a pilot project for solar energy in Jordan and a geothermal project to provide heating and cooling for a planned affordable housing development in the West Bank. Through our grant funding, USTDA also played an important role in the design of two successful waste-to-energy projects in Morocco.
Looking to the future, we will sign agreements today after this plenary that will support new solar development in Egypt, Lebanon, and Jordan. We will also be announcing an upcoming reverse trade mission on renewable energy for delegates from Egypt, Morocco, and Lebanon.
As you will hear later this morning, USTDA has a variety of means for helping countries achieve their development objectives. I hope our presentation stimulates your interest in looking into ways we can be useful to you.
Of course, it is well known that the MENA region has a wealth of energy resources, the development of which can contribute significantly to the long-term economic growth and social welfare of the region. That fact alone leads me to believe that there will be many opportunities for USTDA to partner in the region on some exciting new ventures.
Press Release from the Millennium Challenge Corporation, May 27, 2010Footnote 20
The Millennium Challenge Corporation (MCC) Board of Directors, chaired by U.S. Secretary of State Hillary Rodham Clinton, today approved an approximately $15 million threshold program grant for Liberia to support the country's ongoing efforts at reform. The grant, which is subject to a 15-day congressional notification period, will focus on land rights, girls’ education and trade policy. During Liberian President Ellen Johnson Sirleaf's visit to Washington, D.C., MCC CEO Daniel Yohannes joined Senator Jack Reed, Representative Jesse Jackson Jr., and additional Members of Congress at a reception on Capitol Hill honoring President Johnson Sirleaf for her efforts to set a high standard for good governance, accountability, and sustainable development.
“When President Johnson Sirleaf visited the United States in 2008 she said Liberia was striving to meet MCC benchmarks in hopes of joining the MCC family. I am pleased to announce that MCC plans to partner with Liberia to help deliver stability and create the conditions for long-term economic growth,” said Mr. Yohannes. “We are looking forward to working with our colleagues in Congress and moving toward an official ceremony to sign the grant.”
Subject to congressional notification and consultation, the United States Agency for International Development, the U.S. government agency administering the program will sign an approximately $15 million, three-year MCC threshold program agreement with the Government of Liberia, investing in three areas: land rights and access, girls’ education, and trade policy. These areas were identified by Liberians themselves as part of their national development strategy. The program will:
*Help promote equitable access to land and increased land security through increased understanding of property rights issues and improved land administration and land registration capacity;
*Improve girls’ primary education enrollment and retention through a scholarship program for girls, grants to communities to improve the school environment, and grants supporting mentoring programs and awareness campaigns; and;
*Support efforts to improve trade policy and practices, specifically in harmonizing tariffs, engaging regional and global bodies, and strengthening the regulatory environment.
“With vital support from Congress for MCC's budget and critical legislative fixes, we will continue to have the ability to partner with reform-minded countries committed to wisely investing American taxpayer resources in sustainable development that benefits us all in our interconnected global marketplace,” said Mr. Yohannes.
MCC's threshold program is designed to assist countries that are on the “threshold” of eligibility for MCC compact assistance. Threshold program assistance is used to help countries address the specific policy areas for improvement indicated by their scores on 17 policy indicators in three categories —Ruling Justly, Investing in People, and Encouraging Economic Freedom. These policy indicators are central to the criteria and methodology for determining compact eligibility and are products of respected international institutions and national data. Each indicator is selected based on its utility in removing impediments to growth and poverty reduction, the number of countries it covers, its transparency and availability, and its analytical rigor.
The United States Agency for International Development will administer the Liberia threshold program and will be responsible for coordination, contracting, and financial management. MCC will maintain oversight of Liberia's threshold program.
Press Release from the U.S. Trade and Development Agency, May 27, 2010Footnote 21
During the first plenary session of the U.S.-China Strategic and Economic Dialogue on Monday, Director Leocadia I. Zak announced that the U.S. Trade and Development Agency (USTDA) would award grants to assist China in its efforts to meet its growing energy demand.
Demonstrating progress since the Hu-Obama Summit in November 2009, the grants were awarded in support of China's National Energy Administration's (NEA) goals under USTDA's U.S.—China Energy Cooperation Program, which leverages private sector resources for clean energy project development in China in order to increase awareness of technology, product standards, regulatory processes, and services that can assist China develop its clean energy sector. The ceremony was held at the opening of the US-China Renewable Energy and Advanced Biofuels Forums at Diaoyutai State Guesthouse in Beijing on Wednesday.
Director Zak said that the combined heat and power, aviation bio-fuels and smart grid standards projects take into consideration the potential for clean energy to contribute to a sustainable economic recovery. Valued at over $1.3 million, these USTDA grants will help China respond to rapid economic growth.
“USTDA is committed to working with China's National Energy Administration to set up a demonstration project that will lead to significant follow-on commercial opportunities for U.S. companies as China's heating, humidity control, air conditioning and a range of thermal energy market develops,” said USTDA Director Zak when she described the $465,482 grant that will fund the combined heat and power feasibility study. “U.S. companies are world leaders in the supply of components used in distributed energy and combined heat and power plants, including reciprocating engines, gas turbines, steam turbines, fuel cells, generators, chillers, and energy consulting services.”
The use of sustainable aviation biofuel in China will reduce the emission of criteria air pollutants and greenhouse gases even as the country's aviation sector expands. A Memorandum of Understanding between USTDA and NEA announced USTDA funding for technical assistance to encourage the commercialization of aviation biofuels in China.
“In preparation for the continued expansion of the airline industry in China, USTDA is enthusiastic about supporting the planning and development of an aviation biofuel supply chain economic model and feasibility study,” Zak added. “An aviation biofuel test flight will be conducted to demonstrate its technical viability and to facilitate certification of aviation biofuel in China. Several U.S. companies, including The Boeing Company, United Technologies Corporation and Honeywell International Inc. will contribute to the test flight.”
Developing a smart grid is a major priority of both the U.S. and Chinese governments. A grant for $150,661 was awarded to the China Electrical Equipment Industry Association (CEEIA) to help develop Chinese standards for smart meters that is in harmony with U.S. standards. The National Electrical Manufacturers Association will serve as the sole source contractor.
Press Release from the Millennium Challenge Corporation, May 28, 2010Footnote 22
The Millennium Challenge Corporation (MCC) Board of Directors today approved a three-year, nearly $10.5 million MCC threshold program that will assist Timor-Leste with its national childhood immunization strategy and with efforts to curb corruption.
The program, proposed by the government of Timor-Leste, is intended to build functioning and effective anti-corruption institutions by strengthening capacity, increasing coordination, and improving processes and procedures to detect, deter, and prosecute corruption. The program also will create a more capable and effective community health system in Timor-Leste by strengthening local community health units, improving vaccine-preventable disease surveillance capacity and immunization, and increasing the number of qualified health service providers.
“This program enhances Timor-Leste's commitment to improve the health of its children and reduce corruption,” said MCC Chief Executive Officer Daniel Yohannes. “Reliable health services and an environment of transparency and accountability are both essential to sustainable development. MCC looks forward to partnering with Timor-Leste in implementing this threshold program.”
MCC's threshold program is designed to assist countries that are on the “threshold” of eligibility for MCC compact assistance. Threshold program assistance is used to help countries address the specific policy areas for improvement indicated by their scores on 17 policy indicators in three categories —Ruling Justly, Investing in People, and Encouraging Economic Freedom. These policy indicators are central to the criteria and methodology for determining compact eligibility and are products of respected international institutions and national data. Each indicator is selected based on its utility in removing impediments to growth and poverty reduction, the number of countries it covers, its transparency and availability, and its analytical rigor.
Following MCC Board approval, there is a 15-day congressional notification period before the United States Agency for International Development (USAID), as the primary U.S. Government implementer of the threshold program, may enter into negotiations and sign a threshold program agreement with the government of Timor-Leste. USAID will manage the threshold program and be responsible for coordination, contracting, and financial management. MCC will maintain oversight of Timor-Leste's threshold program.
Remarks by Millennium Challenge Corporation CEO Yohannes, May 28, 2010Footnote 23
CEO Daniel Yohannes delivered these remarks at the inauguration of Tanga-Horohoro Road in Tanzania
Introductory Remarks Omitted
CEO Yohannes. Thank you for your warm welcome to Tanzania! I welcome this opportunity to see for myself the progress underway as a result of Tanzania's partnership with the U.S. Government's Millennium Challenge Corporation.
President Kikwete, I applaud your vision and leadership to improve the lives of Tanzanians. Tanzanians are pursuing homegrown solutions and investments to create opportunities for progress. And, MCC is proud to partner with you and your fellow citizens to achieve sustainable development. Mr. President, I commend your personal commitment to the full implementation of Tanzania's MCC compact.
The Tanzania-MCC partnership manages a results-driven program—designed by and for the people of Tanzania—to promote sustainable economic growth, increase household income, and, ultimately, raise the quality of life in meaningful and sustainable ways. Tanzania's 698 million dollar MCC compact is investing in targeted infrastructure in three key sectors: transportation, energy, and water. And, these strategic investments will go a long way to: expand economic opportunities, better connect communities to markets, schools, and health clinics, stimulate private sector activities, and reduce waterborne diseases, which increase healthcare costs and decrease the productivity of the workforce.
We also recognize Tanzania's commitment to co-finance projects for sustainable development.
Reflecting the strong bonds of friendship and cooperation between the United States and Tanzania—and with East Africa as a whole—I am proud that MCC is partnering with Tanzania to open up new opportunities for lasting prosperity.
Today's groundbreaking on the rehabilitation of the Tanga-Horohoro road—made possible through Tanzania's MCC compact—is proof of our shared commitment to deliver on the promise of opportunity. And, this road rehabilitation is significant for the people of Tanzania for three main reasons.
First, the rehabilitation plans respect the people who live along the road. The plans to improve this road from Tanga to Horohoro included—not ignored—the wishes of Tanzanians involved in the necessary resettlement. MCC recognizes that the sustainability of any project we fund, including this road rehabilitation, must consider environmental and social factors. It must pursue resettlement efforts with great sensitivity and transparency. And, our partner—MCA-Tanzania—acted in these responsible ways.
Nearly 1,000 people, who had to be resettled to make room for the upgraded and enlarged road, were compensated for the value of their land. We know of Tanzanians who used their resettlement money to build bigger and better homes for their families. As a model of country-led development, Tanzanian officials worked with faith communities to construct mosques and churches, which had to be moved away from the road's path. They also used the Government of Tanzania's own funds to do this. Here we see truly responsible, community-based, country-driven resettlement.
Second, the rehabilitation plans promote trade and business development. Commerce fuels growth, and this road will become the engine of positive change, driving private enterprise and job creation. It will improve the connection between the seaport of Tanga and the border town of Horohoro. It will boost trade between Tanzania and Kenya, reducing transportation costs between these two markets and improving access to Kenya's major port of Mombasa. This road is more than asphalt; it will become a national and regional asset for greater economic productivity.
And, third, the rehabilitation plans create a link to vital community services. This is the road that will move Tanzanians to schools, health clinics, and marketplaces. It will connect the countryside with the city. I learned of a coconut retailer, for example, who now leaves his home at six in the morning to make the difficult, hour-and-a-half journey by bicycle to Tanga. For him—and for so many other entrepreneurs—the rehabilitation of this road will allow multiple trips to town with greater ease.
We are inaugurating more than just a road today. This is, indeed, a highway to opportunity. It reflects the highest standards of responsible resettlement, and will open new routes to commerce and community development.
Full implementation of this road project is the priority moving forward. While I am counting on the professionalism of MCA-Tanzania to lead this important process, we must now work together as close partners.
MCC and Tanzania are partners in development, and our partnership will deliver on the full promise of the Tanga-Horohoro road.
I look forward to returning to Tanzania to drive on this completed road and to see for myself the start of a new chapter of opportunity.
Tutasonga mbele pamoja! [“Let's go forward together!”]
Thank you very much.
Press Release from the U.S. Trade and Development Agency, June 2, 2010Footnote 24
As one of the most vulnerable basins to flooding in Morocco despite several major dams, the United States Trade and Development Agency (USTDA) affirmed its support for the improvement of the Sebou Basin's water resource management by awarding a grant today to the Secretariat of State in Charge of Water and Environment. The grant will assist the Secretariat in enhancing water quality monitoring and flood control networks, to improve overall efficiency in this fragile water catchment area particularly given the importance of regular irrigation for Morocco's agricultural sector.
The $497,253 grant was conferred in a signing ceremony today at the headquarters of the Secretariat of State in Charge of Water and Environment in Rabat by U.S. Ambassador to Morocco Samuel L. Kaplan. He said that the grant will provide key infrastructural upgrades to existing systems for water resource management and flood control in the Sebou Basin.
“The United States is pleased to provide this technical assistance grant, which will help ensure that Morocco is equipped with the necessary tools to optimize water resource management and promote sustainable development,” said Ambassador Kaplan.
On behalf of Morocco, Secretary General Mustapha Geanah of the Secretariat of State in Charge of Water and Environment signed the grant agreement, which will help increase the functionality of the existing water monitoring system in the Sebou Basin.
Reinforcing the need for the project, Secretary General Geanah told Ambassador Kaplan, “The effective control of water resources is vitally important in Morocco, particularly in the agriculturally significant Sebou Basin area.”
By implementing new technology to improve forecasting, strengthen alert systems, and increase water quality data collection and analysis, the grant will help promote economic growth and mitigate the effects of climate change on water resources. Additionally, the project is expected to serve as a template for improvements to other basin areas in Morocco.
Press Release From the Millennium Challenge Corporation, June 3, 2010Footnote 25
“I am pleased to visit Tanzania, and mark my second trip to the African continent as MCC's CEO. I am very impressed with Tanzania's commitment to sustainable development,” said Mr. Yohannes. “This road will provide easier access to markets, schools, and health centers. It will also open new opportunities for commerce and business development, including with neighboring Kenya. We look forward to a wonderful continued partnership with President Kikwete and the people of Tanzania.”
While in Tanzania, Mr. Yohannes met with President Jakaya Kikwete to discuss the U.S.-Tanzania partnership through MCC to promote sustainable economic growth, increase household income, and, ultimately, raise the quality of life for Tanzanians. Mr. Yohannes met with local residents and business people expected to benefit from the Tanga-Horohoro road, as well as from MCC-funded improvements to Tanga's electricity infrastructure. Tanga is one of six regions that will benefit from a rehabilitation and extension of the transmission and distribution system. Mr. Yohannes also toured a landing site in Zanzibar for the future 100 megawatt submarine power cable, which will improve the reliability and quality of electric power. Finally, he visited the Lower Ruvu Water Treatment Plant, the main source of water for Dar es Salaam and the site for an MCC-funded project to increase the quantity and quality of potable water for domestic and commercial use. This project will improve health and advance productivity.
In February 2008, MCC signed a five-year, $698 million compact with Tanzania aimed to reduce poverty and stimulate economic growth by increasing household incomes through targeted investments in transportation, energy, and water.
Press Release from the U.S. Trade and Development Agency, June 7, 2010Footnote 26
To meet the need for reliable power as a means to develop the private sector, the U.S. Trade and Development Agency (USTDA) furthered its support to Nigeria by awarding over $850,000 in grants last week to identify clean and sustainable sources of energy.
In a signing ceremony at the U.S. Consulate in Lagos, Nigeria, U.S. Ambassador Robin Sanders conferred a $404,000 grant to the Digital Bridge Institute (DBI) and a $460,000 grant to LADOL Integrated Logistics Free Zone Enterprise (LiLE). Ambassador Sanders described both grantees’ commitments to the innovative use of renewable energy technologies and how these projects reinforce the cooperative relationship between the U.S. and Nigeria.
“These USTDA-funded feasibility studies will assist Nigeria with its efforts to evaluate renewable energy alternatives and create an environment conducive to business and investment,” said Ambassador Sanders after she signed the grants on behalf of the United States. “U.S. technology can be a driving force behind these projects.”
The first grant was awarded to the Digital Bridge Institute to support the expansion of its Oshodi training campus in Lagos. The study will make recommendations on the needed energy and ICT infrastructure required for a Science and Technology Park. The second grant will assist the LiLE as they develop an on-site power plant which will use a combination of renewable energy resources to meet the company's growing electricity needs.
The Digital Bridge Institute, an information and communications technology training center, was established by the Nigerian Communications in 2004 to provide engineers and ICT workers with advanced technology training. DBI's Oshodi campus has several decisive advantages which make it attractive for the development of a Science and Technology Park.
“In addition to our on-campus training facilities, DBI has direct access to the SAT-3 undersea fiber optic cable, existing right-of-way for new submarine cables, existing facilities, and direct access to the large and rapidly developing market in Lagos,” said President and CEO Raymond Akwule who signed the grant on DBI's behalf. “We look forward to cooperating with USTDA on this venture.”
LiLE, a private sector logistics provider, offers support services to Nigeria's offshore oil and gas industry from their operating base east of Lagos.
“As LiLE looks to significantly expand the scope of its operations in the face of steadily growing demand, a captive source of clean, reliable, and affordable power solutions is of the utmost importance to the long-term sustainability of LiLE's operations,” said Sarah Jadesimi, LiLE's Executive Manager of the Legal Department, who signed the grant for LiLE. “The recommended solution will likely consist of a hybrid of waste-to-energy, solar, and conventional generation technologies.”
Press Release from the U.S. Trade and Development Agency, June 11, 2010Footnote 27
In order to address some of the most significant barriers to investment in the power sector and to encourage the implementation of renewable energy solutions in Nigeria, the U.S. Trade and Development Agency (USTDA) awarded a grant today to the Nigerian Electricity Regulatory Commission (NERC) to develop a regulatory framework designed to provide investment incentives to independent power producers (IPPs) utilizing renewable energy resources in Nigeria.
USTDA Director Leocadia I. Zak conferred the $323,000 grant at the U.S. Department of State during the first meeting of the Energy and Investment Working Group of the U.S.-Nigeria Binational Commission where the two countries furthered their collaboration in support of renewable energy production.
“This grant agreement represents a mutual commitment by both the United States and Nigeria to continue cooperation to facilitate investment and improve the transparency, administration, and performance of Nigeria's power sector,” Zak remarked during the signing ceremony.
“Establishing clear and transparent requirements for renewable independent power producer investments in Nigeria will enable an environment for the U.S. private sector to compete for business in a growing market and create green jobs here at home.”
Nigeria has tremendous renewable energy resource potential, including solar, biomass, wind, and hydroelectricity, all of which are currently underutilized.
“This project will facilitate private investment in renewable energy as Nigeria addresses escalating demand for power,” declared Mrs. Ifeyinwa Ikeonu, the head of NERC's Strategy & Project Management Office.
“The implementation of a regulatory framework conducive to IPPs will enable us to propel private sector investment in Nigeria's renewable energy sector and help us meet our country's rapidly growing energy needs,” said Ikeonu.
The objective of USTDA's technical assistance is to drive investment that will result in mutual economic benefits for the United States and Nigeria. This project will also unlock a tremendous market for U.S. companies that provide renewable energy technologies, equipment and services.
The U.S.-Nigeria Binational Commission, a strategic dialogue designed to expand mutual cooperation across a broad range of shared interests, is a collaborative forum composed to build partnerships for tangible and measurable progress on issues such as good governance, transparency, and integrity; energy and investment.
Press Release from the U.S. Trade and Development Agency, June 15, 2010Footnote 28
Introducing new, efficient water maintenance and operations capabilities will positively impact Romania's environment, limiting pollution caused by sewage seepage and reducing energy usage and water losses. To achieve these goals, the U.S. Trade and Development Agency (USTDA) awarded a grant today to S.C. RAJA S.A. (RAJA Constanta), one of the largest water companies in Romania, for a pilot project to design and implement a Supervisory Control and Data Acquisition (SCADA) system.
The pilot project is intended to demonstrate the capability of a SCADA system to reduce RAJA Constanta's operational and maintenance costs and monitor and control its water supply.
David Hester, USTDA's Acting Regional Director for Europe and Eurasia, signed the grant on behalf of the U.S. government in Constanta, Romania. His counterpart, General Manager Felix Stroe, signed on behalf of RAJA Constanta. Hester said that the grant will contribute to the commercial viability of U.S. exports while assisting Romania with its development efforts.
“This $871,719 grant will fund a pilot project that will provide an integrated, effective, and efficient water management system, and highlight the capabilities of Motorola's SCADA technology,” said Hester. “The pilot SCADA project will provide substantial benefits for Romania by strengthening its infrastructure and increasing its productivity.”
“The U.S. is pleased to assist Romania with its efforts to meet its environmental commitments to the European Union under the Urban Waste Water Directive,” he continued. “These efforts will ensure that both discharges from wastewater treatment plants and receiving waters are monitored.”
USTDA funding will support radio frequency and coverage assessments; technical project design and training; and SCADA applications including software customization, programming, and equipment configuration and testing.
Press Release from the Millennium Challenge Corporation, June 16, 2010Footnote 29
The Millennium Challenge Corporation (MCC) Board of Directors met today to review the progress of its global partnerships to reduce poverty.
“The MCC Board is committed to ensuring that every MCC project delivers results. For MCC, fighting global poverty means investing in results for both the world's poor and American taxpayers,” said Daniel W. Yohannes, MCC Chief Executive Officer.
To date, MCC-funded project results include: over 1,500 kilometers of roads contracted, over 109,500 farmers trained, over 44,400 hectares of land under production, and over 45,000 rural parcels of land mapped.
“While these initial results are important, they are not enough. MCC is committed to leveraging its assistance dollars to reduce poverty through sustained economic growth. We will continue to effectively use our resources in this time of financial constraint to fulfill MCC's mission and produce tangible results,” Mr. Yohannes said.
The MCC Board, which is chaired by U.S. Secretary of State Hillary Rodham Clinton, reviewed the agency's portfolio of investments in low income and lower middle income countries. The Board expects to consider grant agreements with the Philippines, Jordan, and Malawi in calendar year 2010, and Indonesia, Zambia, and Cape Verde in calendar year 2011.
The Board received an update on discussions with the incoming Philippines administration on the proposed compact program. The Board reiterated its desire for a commitment by the new administration to the ideals and principles of MCC, including fighting corruption, and to the compact's objectives and implementation.
The Board also discussed refinements to MCC's Threshold Program. MCC will be working over the next months to further develop and design the program. To date, MCC has launched 21 threshold programs in 19 countries totaling approximately $470 million. The Board recently approved threshold programs with Liberia and Timor-Leste.
“Moving forward, I want to make sure that the Threshold Program continues to help candidate countries become compact eligible and advances MCC's mission. We will work with USAID, other U.S. Government agencies, and other partners to make this new approach an operational success,” said Mr. Yohannes.
Press Release from the U.S. Agency for International Development, June 17, 2010Footnote 30
The United States supports international efforts to facilitate peace and order in the Kyrgyz Republic and the affected border regions of Uzbekistan and supports the provision of humanitarian assistance coordinated by the United Nations and the Organization for Security and Cooperation in Europe. As a key part of these efforts, the U.S. Agency for International Development (USAID) has provided $24.6 Million to assist the people of the Kyrgyz Republic during this humanitarian crisis.
Through the newly created Complex Crises Fund (CCF), $15.1 million will be provided by USAID for immediate assistance in the southern part of the Kyrgyz Republic and rapid community improvement and stabilization projects throughout the country. The CCF is a new mechanism that enables the Administrator of USAID, in consultation with the Secretary of State, to respond to emerging or unforeseen complex crises overseas.
$3.65 Million has been authorized for immediate expenditure by USAID for humanitarian assistance to the Southern part of the Kyrgyz Republic for the purchase and delivery of medicines, medical supplies, shelter and hygiene items. And $5.85 Million has been authorized for immediate expenditure by USAID for community improvement and stabilization projects, including a broad range of community defined projects that may include construction of small scale infrastructure, assistance to improve government operations, creation of employment opportunities and the provision of training programs for disenfranchised populations.
In addition to monetary assistance, USAID disaster experts are in Bishkek to liaise with U.N. agencies, NGOs and USG representatives and also to help identify emergency humanitarian needs and help coordinate relief efforts in cooperation with the U.S. Embassy in Bishkek and the U.S. Embassy in Tashkent.
The United States overall has committed $32.267 million to programs to the Kyrgyz Republic for humanitarian relief, reconstruction, and community stabilization, and expects additional efforts to be announced in the near future. The $32.267 million will be directed to meeting immediate humanitarian needs, providing assistance to displaced and returning families, and also to address the roots of the conflict through community development and conflict mitigation programs in the Southern part of the Kyrgyz Republic.
Press Release from the U.S. Agency for International Development, June 17, 2010Footnote 31
The United States Agency for International Development (USAID) has made its first award under the new Emergency Food Security Program. This nearly $5 million grant to Mercy Corps, a U.S. nongovernmental organization, will help them assist 130,000 individuals affected by drought by providing them with locally purchased food and vouchers for the purchase of food in local markets.
The Emergency Food Security Program is a new initiative managed by USAID's Office of Food for Peace that provides grants for local or regional procurement of food commodities, or the use of cash or vouchers for the purchase of food in response to an emergency. It complements the use of traditional U.S. food aid when food purchased in the United States cannot arrive fast enough to respond to the emergency, when local procurement, cash transfers or voucher programs may be more appropriate than in-kind food aid from the United States, or, in exceptional circumstances when significantly more beneficiaries can be served through the use of local, regional procurement, cash or vouchers.
As a result of severe drought, Niger's last harvest could meet less than a quarter of the country's annual food requirements. A recent Niger household food security survey estimates that 3.3 million people in Niger, representing approximately 22 percent of the overall population, will be highly or extremely food insecure and require emergency food assistance to meet basic food needs through September 2010. USAID started to order U.S. food aid in November 2009 based on early warning of the crisis, but later assessments indicated that more food would be needed, and the complexity of the situation required different approaches.
“Our local procurement program has given us the flexibility to fill a critical gap in USAID's Niger response,” said Jon Brause, USAID's Deputy Assistant Administrator for Democracy, Conflict and Humanitarian Assistance.
USAID is the largest provider of food assistance in the world, with the Food for Peace Title II food aid program providing 2.4 million tons of food, valued at $2.6 billion, benefiting over 60 million people in 44 countries worldwide in 2009.
Press Release from the U.S. Agency for International Development, June 18, 2010Footnote 32
The United States Agency for International Development (USAID) has pledged $1.2 million in support for national poliomyelitis (polio) vaccination campaigns across Central Asia to fight the first outbreak of polio in the region since 2002.
“Working together we can, and must, make sure that each child is immunized and thus protected from polio,” said Deputy Regional Director of the USAID Mission for Central Asia Erin E. McKee about this initiative.
This current polio outbreak is one of the largest outbreaks worldwide in recent years. The 239 cases of confirmed polio cases in Tajikistan account for as much as 80 percent of all confirmed cases in the world this year. So far, Central Asia has reported 717 cases of acute flaccid paralysis (AFP), a polio outcome that affects approximately 1 percent of all polio victims. This indicates that there are likely thousands of active infections throughout the region.
Polio mainly affects children under 5 years of age, and there is no treatment available to stop the progression of the disease or reverse the bodily damage. Vaccination is the only means to prevent it.
USAID is channeling its funds through grants to WHO and UNICEF, which work with the ministries of health to plan, conduct, and monitor national vaccination campaigns for children in all five countries.
In addition to emergency response to the polio outbreak, USAID has also programmed funds to help the five countries create effective routine immunization and surveillance systems to prevent future reemergence of polio.
Under the U.S. Government's Global Health Initiative, USAID support for polio immunization is one of the many assistance projects the American people support in Central Asia. USAID's assistance is also directed towards development of the economic and agricultural sectors, education and health care systems, and democratic initiatives.
Press Release from the U.S. Trade and Development Agency, June 21, 2010Footnote 33
Namibia's economic growth since independence has begun to put a strain on its supply of electricity. To sustain that level of development, the United States and Namibia furthered their cooperation when the U.S. Trade and Development Agency (USTDA) awarded a grant today to the Namibia Power Corporation (NamPower) that will allow it to support clean, sustainable energy sources.
The USTDA grant will fund a feasibility study that will support the rehabilitation of the Van Eck power plant in Namibia, a 120 megawatt coal-fired power plant, which was built in 1972 and is in dire need of repairs.
At the signing ceremony in Windhoek, U.S. Ambassador to Namibia Gail Dennise Mathieu said that the U.S. looks forward to working with Namibia to help it expand the country's electricity generation capacity, both through the rehabilitation of existing facilities and the construction of new power plants.
“Hopefully, a plan for rehabilitation will lead to the use of modern, clean energy technologies that will reduce emissions of greenhouse gases and other harmful pollutants, while ensuring that Namibia has the electricity resources it needs for sustained economic growth,” said Ambassador Mathieu who conferred the $400,000 grant at NamPower Center.
Signing the grant agreement on behalf of NamPower was its Managing Director Paulinus Shilamba who said that the feasibility study will consider various choices for rehabilitating the Van Eck power plant.
“I want to express my sincere appreciation for the financial assistance by USTDA and assure the U.S. Government that the money will be put to good use to the benefit not only Namibians but the global community in our endeavor to address global warming. The effects of global warming through emissions affect everybody and every effort to minimize and or eliminate emissions will contribute positively to climate change,” said Shilamba.
Press Release from the Treasury Department, June 23, 2010Footnote 34
Partners in the Global Agriculture and Food Security Program (GAFSP), a new fund to tackle global hunger and poverty, this week announced that five developing countries will receive the fund's first grants totaling $224 million. The grants— approved for Bangladesh, Haiti, Rwanda, Sierra Leone and Togo—will help each country increase food security, raise rural incomes and reduce poverty. These investments will help transform the lives of more than two million people in rural areas.
Launched in April 2010 with $880 million in commitments from the United States, Canada, South Korea, Spain, and The Bill & Melinda Gates Foundation, GAFSP represents a global effort to aid vulnerable populations afflicted by hunger and poverty and is a key element of the Obama Administration's initiative to enhance food security in poor countries. In the run up to the G-8 and G-20 Leaders Summit, today's announcement demonstrates the commitment of the international community to forge a strong, swift and coordinated response against global food insecurity.
“Today we are making real progress toward our promise to fight global hunger and poverty,” said Treasury Secretary Tim Geithner. “These investments will help transform rural communities by empowering them to grow more and earn more. At a time of limited resources and with more than one billion people undernourished, this fund leverages our contributions to tackle one of the most pressing challenges of our time.”
Based on country proposals for the grants, the fund will make investments in: Bangladesh ($50 million): To enhance the productivity and resilience of smallholder farmers against tidal surges, flash floods and frequent droughts, the fund will finance the adoption of improved seed varieties and better water management techniques.
Haiti ($35 million): The fund will raise the productivity of smallholder farmers, especially women, by improving access to seeds, fertilizers and technology.
Rwanda ($50 million): With 90 percent of Rwanda's arable land on hillsides, the GAFSP investments will transform hillside agriculture by reducing erosion and bolstering productivity in an environmentally sustainable manner.
Sierra Leone ($50 million): GAFSP will finance commercialization of smallholder farmers through better inputs, farm management training and linking farmers to market.
Togo ($39 million): The fund will bolster yields in rice, maize and cassava through the provision of improved seed varieties, technical assistance for smallholder farmers and better smallholder access to affordable credit.
It is estimated that the sudden increase in food prices in 2008 drove 100 million people into poverty. Even before the food price spikes, 850 million people in poor countries were chronically malnourished. GAFSP seeks to improve food security and reduce poverty by delivering rapid and predictable financing for the agriculture sector in low-income countries.
“GAFSP is aligned with our vision of a world free from hunger,” said Begum Matia Chowdhury, Bangladesh's Minister for Agriculture. “We are pleased by the rapid progress GAFSP has made to date since G-20 leaders’ call for creation of a Trust Fund for Agriculture and Food Security. We thank the development partners for their contributions to the GAFSP and urge all to do more in order to help bring the poor people of the world out of hunger and poverty as quickly as possible.”
The GAFSP's Steering Committee is composed of an equal number of voting members from donor and recipient countries, as well as three representatives from civil society organizations in a non-voting capacity. Based on technical reviews, it selected five countries out of several competing proposals. Successful country proposals demonstrated a high level of need, a supportive policy environment and a comprehensive plan for agricultural development.
“The grants for these five developing countries represent an important first step towards achieving food security by giving poor people the opportunity to grow enough food to ensure that their families do not go hungry,” said World Bank Group President Robert B. Zoellick. “I would like to thank donors to this fund for their generous support and look forward to working with them to fulfill our promises to boost agriculture and food security in developing countries. We cannot have one billion people around the globe chronically hungry and, even worse, to have this number continuing to grow.”
The fund was created in response to a call by G-20 Leaders in Pittsburgh last year for the World Bank Group to work with interested donors to set up a multi-donor trust fund to implement some of the $22 billion in pledges made by G-8 Leaders at their meeting in L'Aquila.
White House Press Release, June 25, 2010Footnote 35
The G-8 Muskoka Summit: Saving Lives Through the New G-8 Maternal and Child Health Initiative,
The Muskoka Initiative: Under Canada's leadership, the G-8 has launched the Muskoka Initiative on maternal and child health (MCH), a comprehensive and integrated approach to accelerate progress towards Millennium Development Goals 4 and 5, which seek to reduce by two-thirds the under-five child mortality rate, and reduce by three quarters the maternal mortality ratio, respectively. The Initiative will reduce the number of maternal, newborn and under-five child deaths in developing countries by supporting strengthened country-led national health systems in developing countries, to enable delivery of key interventions along the continuum of care. The Muskoka Initiative includes an initial, two-year commitment by the United States of $1.346 billion covering fiscal years 2010 and 2011, subject to Congressional appropriations.
President Obama's Global Health Initiative: Four months into office, in May 2009, President Obama placed increased emphasis on U.S. programming for maternal and child health and family planning when he announced his six-year, $63 billion Global Health Initiative (GHI). The Muskoka Initiative complements the President's GHI, which partners with countries to improve health outcomes through strengthened health systems, increased and integrated investments in HIV/AIDS, TB, malaria and neglected tropical diseases, and through a particular focus on improving the health of women, newborns and children.
While the GHI will be implemented in all countries receiving U.S. health assistance, eight “GHI Plus” countries, Bangladesh, Ethiopia, Guatemala, Kenya, Malawi, Mali, Nepal and Rwanda, will receive additional technical, management, and financial resources to quickly implement GHI's approach, including integrated programs and investments across the spectrum of infectious diseases, maternal and child health, family planning, and health systems activities. GHI Plus countries will provide enhanced opportunities to build upon existing public health programs; improve program performance; and work in close collaboration with partner governments, across U.S. government agencies, and with global partners.
The GHI set out ambitious targets for improving maternal and child health to inspire an intensive effort. They include: Reducing maternal mortality by 30 percent across assisted countries; Reducing under five mortality rates by 35 percent across assisted countries; Ensuring every partner country with a generalized HIV epidemic has both 80-percent coverage of testing for pregnant women at the national level, and 85-percent coverage of antiretroviral drug prophylaxis and treatment, as indicated, of women found to be HIV-infected; Doubling the number of at-risk babies born HIV-free, from a baseline of 240,000 babies of HIV-positive mothers born HIVnegative during the first five years of PEPFAR;
Reducing child undernutrition by 30 percent in food-insecure countries in conjunction with the President's global food security initiative, Feed the Future; and Reaching a modern contraceptive prevalence rate of 35 percent across assisted countries by 2015, compared to a baseline of 27 percent in 2008.
To achieve these goals, the GHI implements a business model that builds on these principles:
It emphasizes integrated systems-based approaches to infectious diseases, maternal and child health and voluntary family planning to ensure sustainability;
It uses proven, evidence-based interventions, and phases out strategies that have not produced positive impact on health outcomes;
It seeks to measure the outcomes and impact of our assistance, rather than funding inputs.
It innovates for results by identifying, implementing, and rigorously evaluating new approaches that reward efficiency, effectiveness, and sustainability; and
It supports developing country ownership, assisting them to build domestic capacity to manage their health systems, while leveraging all sources of funding, including their domestic resources, for development.