LIBERIA

	FY 1998 Actual	FY 1999 Estimate	FY 2000 Request
Development Assistance	$6,500,000	$5,000,000	---
Development Fund for Africa	---	---	$7,300,000
Child Survival and Disease	$1,000,000	$2,771,000	$2,250,000
Economic Support Funds	---	---	$1,500,000
P.L. 480 Title II	$30,286,000	$8,278,000	$6,479,000

Introduction.

Liberia's seven-year civil war ended with free and transparent elections on July 19, 1997. The United States has an interest in seeing the current fragile peace in Liberia hold, its democratic institutions and practices grow stronger, its battered economy return to sustainable economic growth and human suffering reduced. The United States' support for Liberia's economic recovery program will help reduce the likelihood of the United States Government needing to bear the cost of supporting future humanitarian and peacekeeping activities, which tend to require high levels of U.S. emergency assistance. A politically stable and economically viable Liberia will support the U.S. objective of promoting stability in the West Africa region.

The Development Challenge.

Liberia has two broad-based development challenges: (1) establishing a stable and effective democracy, and (2) rehabilitating and reforming the country's economy. In his public statements, President Charles Taylor has promised to give high priority to national reconciliation, human rights, rule of law, and curbing corruption, thus ensuring a stable environment for economic development. These are worthy objectives, but Government of Liberia (GOL) performance in 1998 was marked by mixed results. Progress has been made in reducing the number of refugees and internally displaced persons (IDPs), with about 280,000 of the estimated 480,000 refugees and 75,000 of the 700,000 IDPs returning. However, after an encouraging start, the human rights situation continues to be a major concern. There are frequent reports of violent attacks on opposition groups, harassment of the press, intimidation of individuals critical of the GOL, and irresponsible police actions. Concerns about human rights violations and GOL efforts to limit freedom of expression have been raised repeatedly and in a variety of settings, including comments and statements by concerned Liberians and the international community. Despite these efforts, these concerns remain and must be addressed.

On the economic front, there are a number of positive signs, including progress in pursuing a macro-economic program monitored by the International Monetary Fund and major donor participation at the April 1998 Donor's Roundtable where more than $240 million was pledged in support of Liberia's two-year National Reconstruction Program. However, fighting that occurred in September 1998 between GOL and opposition forces neutralized much of the momentum achieved at the Roundtable. Liberia still is at the early stages of beginning the work that is needed to overcome the destruction of the civil war and years of mismanagement prior to the war. The country has a high unemployment rate and owes approximately $3 billion in foreign debt. The crippled economy and social infrastructure make it impossible for Liberia to address the requirements for a population needing housing, jobs, and social services without outside help.

Given the level of poverty resulting from the civil crisis, U.S. assistance proved critical in maintaining internal stability; supporting the return of refugees and internally displaced persons; continuing primary health and child survival activities; training ex-combatants and others disadvantaged by the war; reestablishing health and educational institutions, and feeding vulnerable groups. In addition, over

120,000 farmers and 700,000 family members benefited from the agricultural activities, including the Seeds and Tools Program, and over 320,000 school children participated in school feeding programs.

Other Donors.

The United States and the European Union were the two largest donors in 1998 with each providing over $40 million. Other major bilateral and multilateral donors include the Netherlands, Sweden, the Netherlands, Denmark, France, Britain, Japan, China, Taiwan, Canada, the United Nations, The World Bank and the International Monetary Fund. Donor activities include assistance to develop fiscal and monetary policies, food aid, seeds and tools distribution, community-based projects, and public works activities.

FY 2000 Program.

USAID will continue to build on the partnerships established with international and local non-governmental organizations and will continue to assist Liberia's transition from dependence on emergency assistance to sustainable development. Reintegration and resettlement will remain a major factor in determining priorities and activities. USAID will continue to provide humanitarian assistance and food aid to vulnerable groups. Strengthening democratic institutions and promoting human rights, including freedom of expression, will remain a cornerstone of the USAID effort to help the country lay the groundwork for an enabling environment that favors sustainable economic growth and sustainable development.

To achieve the objective of promoting and strengthening democratic institutions and practices in Liberia, USAID will carry out a comprehensive democracy and governance program designed to enhance the balance of powers by strengthening the judicial and legislative systems. Economic Support Funds will be used for the rule of law program implemented by the U.S. Department of Justice's Overseas Prosecutorial Development, Assistance and Training office. The role of civil society will be enhanced through programs assisting non-governmental organizations (NGOs) involved in civic education, organizing elections, human rights, rule of law, and the media.

USAID's support for Liberia's repatriation and resettlement programs includes small-scale, labor-intensive projects implemented by local communities. These quick turnaround activities focus on food production, water supply, establishment or rehabilitation of market places, repairing schools and refurbishing health clinics. Programs that generate employment, training, education and rehabilitating the estimated 33,000 ex-combatants and civilians will also be continued. USAID's micro-project activities will be complemented by activities that will finance inputs needed to rehabilitate the rubber plantations. With a modest investment, these activities have enormous potential to generate employment, income, and foreign exchange in a short period of time.

USAID will continue child survival activities and primary health care activities that include maternal and child health care, nutritional surveillance, and child immunization. The United States, European Union and United Nations agencies are working closely with international and local NGOs and government ministries in implementing these activities.

Humanitarian assistance will focus on health and agriculture, and P.L. 480 assistance will be used in conjunction with Title II food aid assistance to further support repatriation and resettlement and improve food security. Assistance will continue for cash-crop farmers to increase food crop productivity, while food-for-work programs will be implemented by international NGOs to generate employment and support infrastructure-rehabilitating activities, such as restoration of rural roads and/or construction of primary school classrooms and primary health care clinics.

LIBERIA

FY 2000 PROGRAM SUMMARY
(in thousands of dollars)

USAID Mission Director, Rudolph Thomas

USAID Strategic and Special Objectives	Economic Growth & Agriculture	Population & Health	Environment	Democracy	Human Capacity Development	Humanitarian Assistance	TOTALS
S.O 1. Successful democratic transition including free and fair elections - DFA - ESF	--- ---	--- ---	--- ---	2,000 1,500	--- ---	--- ---	2,000 1,500
S.O. 2 Successful transition from relief to recovery through a community reintegration program - DFA - CS - P.L. 480/II	5,300 --- ---	--- 2,250 ---	--- --- ---	--- --- ---	--- --- ---	--- --- 6,479	5,300 2,250 6,479
Totals: - DFA - CS - ESF - P.L. 480/II	5,300 --- --- ---	--- 2,250 --- ---	--- --- --- ---	2,000 --- 1,500 ---	--- --- --- ---	--- --- --- 6,479	7,300 2,250 1,500 6,479

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ACTIVITY DATA SHEET

PROGRAM: Liberia
TITLE AND NUMBER: Democratic Transition Support, 669-S001
STATUS: Continuing
PROPOSED OBLIGATION AND FUNDING SOURCE: FY 2000: $2,000,000 DFA; $1,500,000 ESF
INITIAL OBLIGATION: FY 1997; ESTIMATED COMPLETION DATE: FY 2001

Summary: Liberia's current elected Government is less than 18 months old and is faced with the challenge of building a viable democracy. To achieve a successful transition, the country must strengthen its democratic institutions and enhance local participation in the management of the nation's affairs. The role of the executive, legislative, and judicial branches of government, and civil society, including the media, must be defined, publicly discussed, and agreed to by key players in order to develop strong democratic institutions and respect and tolerance of opposing views. USAID assistance addresses these concerns and the need to create greater balance among the branches of government and strengthen the separation of powers. USAID assistance seeks to balance the dominant powers of the executive branch by providing training and technical assistance to the legislative and judicial branches, promoting the rule of law, offering training and guidance to journalists, improving the competence and independence of the Elections and Human Rights Commissions, and strengthening the role of civil society through civics and human rights education.

Key Results: USAID's main objective is to strengthen democratic institutions by: (1) training magistrates and judges to improve their understanding of procedures; (2) renovating court room facilities; (3) strengthening the Elections Commission through the introduction of administrative procedures and policy manuals, development of voter registration and polling workers manuals; and training of Election Commission members; (4) supporting an objective and independent press through the establishment of a locally owned FM and short wave radio station; (5) strengthening the legislative system through technical assistance to increase the use of legislative skills in parliament, and increased opportunities for civic participation in the legislative process; (6) improving human rights monitoring through the provision of technical assistance to the Human Rights Commission and local NGOs that monitor human rights; and (7) strengthening the media by training journalists to improve the quality of reporting and establishing a private and independent printing press.

Performance and prospects: Performance over the past year has been adversely affected by fighting in September 1998 between Government and opposition forces, which led to an evacuation of non-essential Embassy personnel for the remainder of the year. Many of the USAID grantees were also evacuated, their travel plans were delayed, and implementation of some government-to-government activities has been delayed. The entire democracy and governance portfolio remains critical, but Government appears to be a part of the problem as well as the solution. The Government continues to harass the press, challenge the operation of Star Radio, (an objective news station financed by USAID), and security forces intimidate individuals who are critical of the Government. Star Radio was closed for a month at the beginning of 1998 and has since been under attack by three different ministries for various technical and administrative reasons. Star Radio's Internet news service was canceled and later reinstated.

USAID considers it critical to promote the independence, accountability and effectiveness of the legislature, judiciary, electoral commission and governmental human rights organizations -- those checks on executive power and guarantors of human rights and civil liberties. In the wake of the current political situation, however, USAID and its partners are closely monitoring all activities with these institutions to ensure that political will and/or potential for independence and accountability exist. USAID will continue to work to promote human rights and free speech through civil society and non-governmental organizations.

Possible Adjustments to Plans: The U.S. Embassy and USAID/Liberia will continue to work with the Government to resolve outstanding issues and resume normal working relations, including short-wave access for STAR Radio and concerns raised regarding human rights violations. USAID will continue support for the legislature, elections and human rights commissions, and the Ministry of Justice, but will monitor programs closely for potential for multi-partisanship, professionalism, independence and accountability within these organizations. Support will also continue to promote civic education and respect for human rights, and support for freedom of speech.

Other Donor Programs: Government policies and practices of harassment and intimidation of the public and media affect assistance provided by other donors. The Netherlands has joined USAID in providing assistance to STAR Radio, and the European Union continues to work with the judicial system by providing support for the renovation of district court houses.

Principal Contractors, Grantees or Agencies: Current grantees and contractors include the National Democratic Institute, the International Foundation for Election Systems, the Carter Center, the International Republican Institute, and the U.S. Department of Justice.

Selected Performance Measures:

	Baseline	FY 2000	Target (FY2001)
Star Radio's FM/short-wave Radio station operational	0	1	6/99
Star Radio is locally owned and financially sustainable	0	0	6/01
An independent private printing press established and operational	0	1	6/99
Judges and magistrates trained	0	TDB	TBD
Human rights grants awarded to local NGOs	3	3	3
Eighteen election offices renovated	18	17	18

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ACTIVITY DATA SHEET

PROGRAM: Liberia
TITLE AND NUMBER: Successful transition from relief to recovery through a community reintegration program 669-SO02
STATUS: Continuing
PROPOSED OBLIGATION AND FUNDING SOURCE: FY 2000: $5,300.000 DFA, $2,250,000 CS, $6,479,000 P.L. 480 Title II
INITIAL OBLIGATION: FY 1997; Estimated Completion Date: FY 2001

Summary: Hundreds of thousands of Liberians have been completely dislocated and most of the country outside the capital city of Monrovia devastated by the seven-year civil war. The humanitarian assistance provided during the course of the crisis has been intended to reduce the dislocation and other suffering resulting from the conflict. Now that there is transition to peace, the focus of USAID's assistance has shifted to aiding the transition to rehabilitation, recovery and, ultimately sustainable development. Pre-war Liberia was essentially an agrarian society and economy, and rural revitalization primarily through investments in community-based, productive-sector micro-projects are crucial to peace, stability, and recovery. Support for the resettlement, reintegration, and repatriation effort continues to be the main thrust of USAID programs for FY 2000 and the medium term thereafter.

Key Results: The FY 1998 humanitarian assistance program included short-term interventions to: (1) stabilize nutrition levels of vulnerable groups; (2) provide adequate response to life threatening health and shelter emergencies; (3) address food security issues with agricultural assistance through seeds and tools distribution and (4) make it possible for displaced persons and refugees to return to their homes. Demobilization, reintegration, repatriation support included the provision of vocational training, skills development, trauma counselling, primarily focussed on demobilized fighters, including child soldiers.

Performance and Prospects: This activity will help reduce human suffering and contribute to the success of Liberia's resettlement program. Implementation of this activity was delayed by the September 1998 conflict between Government and opposition forces. A normalization of relations with the Government of Liberia would lay the groundwork for progressive cooperation and collaboration among all concerned parties including Government officials, donors, local and international NGOs, and local communities. The Government of Liberia's budget constraints will also virtually eliminate the possibility that the government will be able to absorb the cost of providing assistance for this activity in the near future.

Possible Adjustments to the Plans: Since project activities have been delayed and are still in the planning phase, there is currently no need for major adjustments. Activities will be developed and implemented in the second half of FY 1999 to continue funding ongoing activities.

Other Donor Programs: Major donors include the Netherlands, the European Union and United Nations agencies. Other donors include Denmark, the United Kingdom, Japan, Canada, and China.

Principal Contractors, Grantees or Agencies: Current grantees and contractors include Africare and United Nations Children Fund, World Health Organization, Center for Disease Control, Opportunities Industrialization Center, Phelps-Stokes Fund, International Foundation for Education and Self-help, United Nations Development Program, International Rescue Committee, Save the Children, and Lutheran World Services, World Vision, and Equator Bank. Selected Performance Measures:

	Baseline *	FY2000	Target
Number of beneficiaries	TBD	100,000	500,000
Number of professionals trained	TBD	100	500
Vaccination coverage	TBD	40%	75%
Number of people resettled	TBD	150,000	250,000
Number of exfighters assisted	TBD	10,000	25,000

*Baseline data are unavailable because activities began during the height of the civil war, making it impossible to collect accurate data.

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