21 July 2004
United States Details $230 Million Pledge to Help Haiti Rebuild
Money will go for job creation, improved security, better health care
By Eric Green
Washington File Staff Writer
Washington -- A $230 million aid package that the United States has pledged to Haiti will be used for job creation and economic growth, budget support to Haitian government ministries, security improvements and judicial reform, support for conducting free and fair elections in the country, and for improved health care, nutrition, and education activities.
The U.S. Agency for International Development (USAID) said in a July 20 statement that the $230 million pledge, announced that day by U.S. Secretary of State Colin Powell at an international donors' conference for Haiti, will be offered in addition to the current U.S. contribution to international peacekeeping efforts in the Caribbean nation.
In an itemized breakdown of the pledge, USAID said $22 million will go for job creation through community development activities, such as cleaning streets, canals and gullies; improving sanitation; providing potable water; rehabilitating schools and public buildings; and reconstructing roads. Longer-term efforts will focus on expanding access to credit, advancing agricultural technology, improving the climate for trade and investment and increasing job training.
Because Haiti lacks sufficient funds to meet its immediate needs, $45 million will be used to help the Haitian government meet educational needs for the upcoming school year, supply fuel for electricity generation and waste collection, fight corruption, and rehabilitate port security, customs and key government ministries.
Another $26 million will be targeted to provide security by improving overall administration of justice in Haiti. The re-establishment of security throughout Haiti is one of the country's most critical needs, said USAID. The agency said a team of U.S. advisers is currently in Haiti, working to improve the country's national police force, institute prison reform, and develop training for judges and prosecutors.
Some $122 million also will be provided to avert a humanitarian crisis in Haiti by addressing urgent needs in health care, nutrition, and education, USAID said. The agency said that improving food security, preventing the spread of disease, and avoiding displacements of people are critical needs. USAID said Haiti is one of the countries targeted under President Bush's Emergency Plan for HIV/AIDS relief, with about $22 million in HIV/AIDS funds currently being programmed.
A final piece of the $230 package is $15 million for use in the international effort to help Haiti's Provisional Electoral Council organize, conduct and observe free and fair elections in the near future. USAID said Haiti needs a "secure environment, not only for elections, but also for economic development and the growth of democratic institutions."
Meanwhile, the U.S. Department of Treasury's John Taylor said in a July 21 speech in Washington that the Bush administration continues to look for ways to help Haiti expand its trade with the United States, especially in the textile and apparel industry, which comprises over 80 percent of Haiti's exports.
Taylor, the Treasury Department's under secretary for international affairs, noted the U.S. Senate passed the Haiti Economic Recovery Act on July 16. The official said that the legislation, if ultimately approved by both chambers of the U.S. Congress, would allow Haiti "duty-free entry for apparel assembled from third-country inputs," and would potentially provide a "significant boost to economic activity" in Haiti.
Taylor said the July 20 donors' conference for Haiti, held at World Bank headquarters in Washington, proved very successful, raising over $1 billion in aid from the international community for the next two years.
But he described that conference as only the "first step" in helping Haiti. History has shown that the effect of financial assistance for Haiti "often falls far short of expectations," Taylor warned.
"The challenge going forward," he said, "is to learn from our mistakes to ensure that this [current] donor effort translates rapidly into tangible improvements" for Haitian citizens.
The donors' conference, co-hosted by the European Union, the Inter-American Development Bank, the United Nations, and the World Bank, drew representatives from 30 countries and 32 international organizations. It sought $924 million to support the Haitian government's Interim Cooperation Framework (ICF) outlining Haiti's priority needs and programs over the next two years. The ICF had identified $924 million as the two-year funding gap in an overall needs assessment totaling $1.37 billion.
Secretary of State Powell described the funds raised at the donors' conference as a "testament to the importance that the international community places on Haiti's return to the path of democracy, stability, and prosperity." Powell welcomed the new interim leaders of Haiti as "partners who are determined to seize this opportunity to shape a better future for their country."
Commenting on the amount raised, Haiti's interim Prime Minister Gerard Latortue said that he is "delighted with the result of this conference which demonstrates the level of solidarity of the international community with the people of Haiti."
He added that "on behalf of the people of Haiti ... I heartily thank the friends of Haiti, and I repeat here the [Haitian] government's commitment to work in close collaboration with all sectors of Haitian society to make sure that these funds are used efficiently and transparently."
World Bank President James D. Wolfensohn said: "We must measure our success not by the total amount raised today, but by our ability to translate these funds into tangible improvements in the everyday lives of the millions of Haitians who are pinning their hopes on all of us here. We must not fail them."
(The Washington File is a product of the Bureau of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)
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