17 April 2002
Text: Averting Conflict is Focus of USAID Central Asia Strategy
(Gold says economic, civil society development are key) (1890)
To prevent potential conflict in Central Asia the U.S. Agency for
International Development (USAID) is supporting the development of
civil society, promoting employment and income growth, and helping
improve health, education and the environment, a USAID official says.
Speaking April 17 to the American-Uzbekistan Chamber of Commerce in
Washington, Richard Gold, deputy director of USAID's Eurasia office,
said the agency is working to expand small businesses and trade,
promote nongovernmental organizations (NGOs) and a more open media
sector, and encourage better environmental management in each of the
five former Soviet republics: Kazakhstan, the Kyrgyz Republic,
Tajikistan, Turkmenistan and Uzbekistan.
Gold said that after the terrorist attacks of September 11 USAID
recognized the need to "reemphasize" conflict prevention by addressing
the root causes of conflict, including poor economic opportunities,
competing claims on natural resources, and authoritarianism.
At the same meeting, Fred McDonald, USAID's Eurasia director, said
grants for developing Central Asia's small and medium-sized enterprise
(SME) sector are expected to be made "within a month." He added that
those grants will fund basic business training and accounting reform,
regional trade promotion, and the establishment of local firms to
supply oil companies in Kazakhstan.
Gold said Uzbekistan's government will be challenged to meet
commitments made in recent agreements with the United States, but that
"our support will facilitate these efforts."
He said USAID gave $37 million in supplemental funding for programs in
Uzbekistan following September 11, and will request a $27 million
supplement for the country for the fiscal year beginning October 1 (FY
2003).
The agency is prepared to work with government authorities to improve
the investment climate in Uzbekistan if the government follows through
on promised currency reform.
Following is the text of Gold's prepared remarks:
(begin text)
ADDRESS TO THE AMERICAN-UZBEKISTAN CHAMBER OF COMMERCE
Richard Gold
Deputy Director, Eurasia Office, USAID
Washington, D.C.
April 17, 2002
I am pleased to have the opportunity to speak with you about USAID's
approach to Uzbekistan both before and after September 11, 2001. While
our program for Uzbekistan is adapted to the special conditions of the
country, it is within an overall program focusing on the five Central
Asian Republics.
In Central Asia under the Soviet Union, Communist officials chosen by
Moscow practically eliminated opportunities for the development of
civil society and the private sector. Citizens of the newly
independent republics are challenged with the need to fight lingering
tendencies toward authoritarianism in the face of a deteriorating
socio-economic situation. USAID developed its five-year (2000-2005)
strategy for Central Asia to address these issues.
In view of the potential for instability, conflict and state failure
in the region, USAID is helping to mitigate the potential for conflict
by encouraging active dialogue with civil society, promoting
employment and income growth, and helping to improve health, education
and environmental conditions. The goal of the strategy is to expand
opportunities for the citizens of the five nations to participate in
improving their governance, their livelihoods, and their quality of
life.
To achieve this goal, USAID has set four primary objectives for each
country. First, we seek the growth of small-scale enterprise and
trade, through support for activities in finance, regulations and
education. Second, we are promoting a more open, democratic culture,
through the strengthening of non-governmental organizations,
electronic media and parliamentarians. Third, we are encouraging
better management of environmental resources, through support for
activities in regional water management and energy regulation and
efficiency. Fourth, we are promoting improved primary healthcare
through activities encouraging community and family practices,
fighting infectious diseases and promoting social marketing. These are
region-wide objectives. They are tailored in different ways to the
unique situation in each of the five countries.
These six objectives are supplemented by several objectives cutting
across the entire strategy. USAID is fighting corruption, minimizing
gender biases, and increasing opportunity for alienated youth.
Following September 11, we recognized the need to reemphasize the
elements of the CAR [Central Asia Region] strategy focusing on
conflict prevention and mitigation. The objective of USAID's conflict
strategy is to avert crises through addressing the root causes of
conflict -- poor economic opportunities, high unemployment, inadequate
social services, conflicting claims on uses of natural resources,
authoritarianism, inadequate opportunities for public debate, lack of
conflict mitigation skills, and limited religious freedom.
Recognizing the importance of education to preventing and mitigating
conflict, USAID is assessing the state of basic education systems
throughout the region to more appropriately target and expand its
assistance.
In response to the cooperation of Uzbekistan in the war against
terrorism, we allocated funds from the post-September 11 supplemental
budget, and we are requesting a second supplemental budget and
increased funding for Uzbekistan in FY 03.
Recently signed memorandums of understanding between the U.S.
Government and the Governments of Uzbekistan establish the frameworks
for new bilateral relationships in support of economic and democratic
reform and improved human rights. While it will be a challenge for the
Uzbek Government to live up to such commitments, our support will
facilitate these efforts.
Under the First supplemental, Uzbekistan is receiving $37 million for
water management, health and community level projects. Health projects
include expanding efforts to improve primary health care, fighting
infectious diseases such as TB and HIV/AIDS, and developing a medical
disaster preparedness capability. Community-level services focus on
health and education infrastructure, job creation activities and
support for micro enterprises.
The Second Supplemental requests another $27 million for Uzbekistan.
Programs will address critical needs, such as:
Small and Medium Enterprises [SMEs]: Supplemental assistance would be
used to provide credit and business advisory services that will
encourage the establishment and growth of SMEs, which will provide
employment and the basis for sustained economic growth. If the
government does follow through on its announced intention to implement
currency reform, we would be prepared to work with local and national
authorities on introducing measures to improve the climate for private
sector growth and investment.
Community Development and Infrastructure Improvement: Our Community
Action Investment Program (CAIP) funds local infrastructure
improvements (including schools, clinics, sewer and water systems,
etc.), through a community-led process, and in the process improves
social services and creates several thousand new jobs.
Irrigation/Water Management: Supplemental funds would enable us to
help the Uzbeks improve water resources management, and rehabilitate
existing irrigation systems.
Macro-Economic Reform: If the Uzbek government follows through on its
announced intention to conduct serious and comprehensive reforms, we
would support these efforts by funding technical assistance programs
in a variety of areas, including budget, tax, banking, and land
privatization.
Democratic Development and Human Rights: Supplemental funding would
allow us to increase our support for NGOs, including those that
monitor human rights observance by the government. Equipment and
training would also be provided for independent media outlets in
Uzbekistan's regions.
Education, Training, and Internet Connectivity: Supplemental
assistance would fund the repair and reconstruction of rural schools,
provision of equipment and supplies, and teacher training.
(end text)
(Distributed by the Office of International Information Programs, U.S.
Department of State. Web site: http://usinfo.state.gov)
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