Press release number: IFAD 14/03

Rome, 16 February 2005 - Despite several weeks of intense emergency work, the situation in Indonesia’s worst affected areas remains critical.

“By working closely with the local communities, IFAD is trying to identify the needs on the ground,” says Rossella Bartoloni, IFAD Country Programme Manager for Indonesia, who spent six weeks in the country’s tsunami-affected areas. “Together, we can make things happen with the proper means and appropriate institutions.”

Local institutions and self-help groups will be the direct beneficiaries of the various IFAD-supported projects and programmes.

Livelihood development, community infrastructure development, programme management and institutional strengthening will be the pillars of IFAD’s recovery work. Indonesia’s national government, as well as international and local non-governmental organizations will be IFAD’s key partners in this bottom-up process.

“IFAD has a long-term commitment to Indonesia and is prepared to stay as long as necessary,” Bartoloni stated. “The important issue is that the job gets done. Bridging the gap between the emergency and reconstruction is crucial.”

Some 450,000 people in Aceh province will benefit from IFAD interventions. To be able to assist these people additional financial assistance from donors will be required.

IFAD is committed to mobilize an initial US$100 million in new resources for rural communities in countries affected by the tsunami. The funds will be deployed through new and established projects and programmes and through new regional, country and community grants.

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IFAD is a specialized agency of the United Nations dedicated to eradicating rural poverty in developing countries. Seventy-five per cent of the world's poorest people – 900 million women, children and men – live in rural areas and depend on agriculture and related activities for their livelihoods. Through low-interest loans and grants, IFAD works with governments to develop and finance programmes and projects that enable rural poor people to overcome poverty themselves.

There are close to 200 ongoing IFAD-supported rural poverty eradication programmes and projects, totaling US$ 6.5 billion. IFAD has invested about US$ 3 billion in these initiatives. Co-financing has been provided by governments, beneficiaries, multilateral and bilateral donors and other partners. At full development, these programmes will help more than 100 million rural poor women and men to achieve better lives for themselves and their families. Since starting operations in 1978, IFAD has invested US$ 8.5 billion in 676 projects and programmes that have helped more than 250 million poor rural men and women achieve better lives for themselves and their families.