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Eritrea formalized its independence from Ethiopia by popular  d(#Lreferendum in 1993 after a costly 30year struggle. The long struggle for independence left Eritrea with  d(#ka neglected and devastated physical and institutional infrastructure; however, it also forged a strong  d(#determination to build a selfreliant new nation, economically and politically. It is a small, arid and  d(#Nrugged country located north of the Horn of Africa along the southwestern coast of the Red Sea  d(#{neighboring Saudi Arabia, Sudan, Ethiopia, Djibouti, and Yemen. Its multiethnic population (divided  d(#equally between Muslim and Christian religions) is estimated at three million. Even though  d(#predominantly rural and agropastoral, Eritrea is important to U.S. interests because it possesses major  d(#trade routes and Red Sea ports and islands. Eritrea's two deep water ports and shipping lanes in the  d(#Red Sea and the size and volatility of its neighbors give it strategic importance in the Mideast and Horn  d(#=of Africa region. It is also a principal life line for humanitarian assistance to the Horn region, where war and famine recently threatened 25 million people.  d(#Its incomeproducing natural resources include deposits of gold, copper, gas and oil, a large marine fishery, salt flats, broad grazing land, and potential tourist sites.  d(#\Eritrea's primary economic goals are rebuilding energy and transportation infrastructure, establishing  d(#sustainable education, health and pension systems, developing a broadbased private sector, and  d(#promoting foreign investment. Foremost among its political goals are a strong local and national  d(#government, a democratic constitution, and revitalized regional structures. The successful reintegration of excombatants and refugees has also been an important concern.  d(#kEritrea presents a unique, determined effort to develop a stable society and selfreliant, broadbased  d(#/economy in a region characterized by political extremes, instability, and collapse. USAID assistance  d(#to Eritrea supports U.S. interests by promoting both the recovery and growth of a marketbased  d(#economy and the emergence of democratic governance to underpin national stability in this historically volatile region.  }KX- The Development Challenge.  }K- d(# Eritrea's severe poverty has been exacerbated by decades of war. Even by African standards, Eritrea's  d(#health and nutrition indicators are poor. Infant mortality is 135 deaths per 1,000 and underfive  d(#mortality is 203 deaths per 1,000. Life expectancy is approximately 46 years. The population growth rate is a high 3%.  d(#{Most Eritreans depend on agriculture for their survival, but Eritrea's northern location in the erratic  d(#Sahelian rainfall zones limits foodgrain production. There are opportunities for export crop production,  d(#however. Food security is constrained by difficult physical conditions as well as a lack of income due  d(#Nto a paucity of enterprise. The capabilities of government and the private sector, notwithstanding dedicated personnel, are limited by a lack of education, training, and experience.  d(#Despite these constraints, the potential for rapid rebuilding and development in Eritrea is high. The  d(#country was once the most industrialized in Africa and has the legacy of a hardworking labor force and  d(#good public and private management. Its location at the crossroad of the Middle East and Africa is  d(#advantageous to trade. Eritreans are united in their commitment to rebuild their country, and considerable remittances from Eritreans abroad demonstrate it. "h)0*0*0*z+"Ԍ d(#!A careful steward of limited resources, the new government is determined to build a new nation  d(#avoiding the mistakes of other African countries. With no country debt, a commitment to the principles  d(#>of an open economy, and progress made in attracting foreign investment, Eritrea could achieve selfreliance within a decade.  d(#Eritrea's leadership looks to East Asia rather than to Africa or the West for its development models.  d(#It is strongly supportive of (and a key participant in) the Greater Horn of Africa Initiative (GHAI) and the  d(#kprinciples of African leadership, regional integration, conflict prevention, and food security. Given its  d(#strategic position geopolitically and in terms of trade and the high potential for instability in neighboring  d(#/states, strong support of Eritrea's determined effort for selfreliance is in the U.S. national interest in the region.  d(#LUSAID has been successful in helping Eritrea resolve two of the most sensitive issues in the region: the  d(#demobilization of thousands of exfighters and the resettlement of tens of thousands of refugees and  d(#internallydisplaced through provision of considerable food and agricultural inputs. Recognizing that a  d(#healthy, productive population is Eritrea's most important resource, USAID also initiated a broad  d(#Mprogram to strengthen its primary health care system. Most recently, USAID is providing training and institutional partnerships linkages to build democratic governance and private enterprise.  }K-   }K- Other Donors .  d(#kA formal mechanism for donor coordination is not yet established in Eritrea, and there has not been a  d(#Consultative Group meeting for Eritrea since 1994. Overall donor assistance for 1995 was on the order  d(# of $150 million, of which the United States provided about 12%. Italy, Germany, the European Union  d(#(EU), and the United States, respectively, are currently the largest donors. The Scandinavian countries,  d(#the United Nations Development Program (UNDP), and the United Nations Children's Fund (UNICEF)  d(#also have sizeable assistance portfolios. The World Bank has recently negotiated its first major loana  d(#kcommunity development fundand is considering loans for regional hospitals, primary education, and port rehabilitation.  d(#USAID has been effective in collaborating with the World Bank, UNDP, and UNICEF in strengthening  d(#Eritrea's health system and building administrative and financial management capabilities. In the last  d(# two months, USAID was particularly successful in facilitating multidonor concern leading to a major reform of food policy in Eritrea.  }K-  }KX-FY 1997 Program .  d(#\Supportive of U.S. interests and the GHAI, USAID's strategy is to help Eritrea achieve its goal of self d(#reliance within a decade. This will involve, above all, building the human capital and key institutions  d(#which underpin successful nationhood. Of particular concern are those problems which involve the most  d(#=acute human need and the potential for crisis such as chronic food deficits, debilitating health problems,  d(#{and limited government capabilities problems which are worse in the predominantly Muslim, and potentially destabilizing, lowlands.  d(#To respond to Eritrea's determination and needs, USAID is entering into a "development partnership"  d(#/with the Eritrean government to improve rural food security, mother and child health, and democratic  d(#governance. Food security was the earliest area of USAID involvement due to the large amounts of  d(#P.L.480, Title II assistance and agricultural inputs provided to assist the postconflict recovery,  d(#demobilization, and resettlement. USAID plays a major role in dialogue on food policy and supports several smaller agricultural productionenhancing activities.  d(#Last year, USAID initiated considerable health and population assistance which is now focused on  d(#primary health care services in the central zones of the country. Most recently, in response to the"(0*0*0**"  d(#government's expressed needs, USAID launched a sizeable governance capacitybuilding effort through university, management institute, constitutional commission, and ministerial training.  }KX- Agency Goal: Encouraging Broadbased Economic Growth  d(#/With Eritrea's liberal investment climate and a tradition of (and location for) commerce, the prospects  d(#are good for rapid economic growth in Eritrea's urban areas and their trade corridors. However, rapid  d(#Mgrowth in these areas without complementary growth and linkages in lowland, predominantly Muslim  d(#Lwestern areas of the country would leave half the population in poverty with likely destabilizing effects. Physical conditions also limit food production in these lowland areas.  d(#Thus, consistent with U.S. economic interests and the GHAI, USAID's primary strategic objective in  d(#Eritrea is to help make food more available in these rural areas through increased enterprise and trade.  d(#{USAID is building on the experience of its food and agricultural assistancefor example, breeding  d(#ylivestock for dispossessed farm householdsto stimulate rural income growth. A combination of bilateral  d(#and GHAI resources are being programmed to support the formation of rural associations, cooperatives, and enterprises, and thus expand rural income and trade.  d(#USAID assistance has contributed to several important achievements towards national and household  d(#food security: the successful repatriation of tens of thousands of refugee families from Sudan and the  d(#demobilization of thousands of exfighters; limiting the locust damage to the 1995 grain harvest; and  d(#spurring a shift away from government food handouts in order to create a cash food economy and  d(#safety net. Notwithstanding these achievements, Eritrea remains critically and structurally food deficient.  d(#LThe primary guarantor of food security in Eritrea will be a robust and diversified rural economy. To have  d(#any catalytic impact on rural economic growth, even in selected areas of Eritrea, considerable resources will be needed for pilot interventions over the next several years. , Strategic Objective 1: Increased Rural Income Through Growth of Rural Enterprise in Target Areas  }K8- X` hp x (#%'0*,.8135@8:in three rural zones. While disbursement of USAID assistance has been slow, primarily due to a lack"h)0*0*0*z+"  d(#zof professional staff, substantial expenditures on technical assistance, training, and commodities are anticipated in 1996. , Strategic Objective 2: Improved Access to Primary Health Care Services  }K -  }K-Agency Goal: Building Democracy  d(#Since the popular referendum in 1993 to affirm the Eritreans' desire for independence from Ethiopia,  d(#Eritrea's leadership has moved convincingly, if cautiously, toward the establishment of democratic  d(# structures of government. While the government retains some tendencies towards authoritarianism,  d(#centralization, and distrust due in part to the proceduralism inherited from the earlier dictatorship and  d(#in part to the newness of government administration to former fighters the commitment to democracy  d(#.is strong among those who fought for independence. This commitment is demonstrated by recent steps  d(#taken to ensure public education and debate on a constitution (with representative elections scheduled for 1997) and to strengthen local government and the judiciary.  d(#USAID, in support of U.S. political interests and in close collaboration with the Embassy, the United  d(#States Information Service and the UNDP, has initiated a substantial "governance capacitybuilding"  d(#keffort to support and reinforce the establishment of a democratic government in Eritrea. The focus of  d(#this effort is training at all levels: a university linkage to build the faculties of law, public administration,  d(#zjournalism, and political science; grants to enable broad education and outreach by the Constitutional  d(#Commission; costsharing for the establishment of an Eritrean management institute; incountry training  d(#!for judges and local officials; and a broad participant training program. This broad effort, and the  d(#jpossibility of additional assistance to establish a legislature, indigenous nongovernmental organizations,  d(#jand other elements of a democratic system, will require significantif incrementalfunding over the next several years.  }KP-  d(#\Although USAID's efforts in this area are relatively recent, intermediate results are already evident: a  d(#training agreement between a major American university and Eritrea's only university, and a broad and  d(#zsuccessful outreach effort by the Constitutional Commission. Nevertheless, USAID involvement in the  d(#democracybuilding process in Eritrea can be sensitive, particularly to its proud and determined  d(#leadership. Thus, USAID must continue with a range of capacitybuilding assistance over a broad front  d(#Land often through intermediaries such as the UNDP. This broader approach also requires adequate and skilled USAID staffing. , Strategic Objective 3: Increased Capacity for Democratic Governance  }K- Agency Goal: Protecting the Environment  d(#_Eritrea faces the environmental degradation common to many countries in Sahelian Africa:  d(#zdeforestation, marginal land agriculture, unprotected coastal resources, urban sprawl, etc. The new  d(#Eritrean government is keenly aware of these problems and has taken actions primarily through the  d(#Ministries of Agriculture and Marine Resources to mitigate them. These actions include largescale  d(#reforestation and watershed treatment, research on and policing of coral reefs, and environmental education, planning and assessments.  d(#\While USAID has not defined a specific objective for environmental protection in Eritrea, the Strategic  d(#Objectives for food security and governance support this goal. U.S. food assistance has provided  d(#yresources for considerable conservation work in upstream watersheds, improvements in food systems,  d(#whether actual production or storage, while taking pressure off of marginal lands. Local organizations  d(#and cooperatives provide a grassroots institutional structure for environmental awareness, planning and protection. "(0*0*0**"Ԍ d(#MGovernance activities are particularly supportive of environmental protection. Increasing knowledge  d(#and professionalism in law, journalism, and public administration will improve understanding and  d(#resolution of environmental issues. Building capacity of government officials in key ministries (including  d(#/Agriculture and Marine Resources) through short and long term training will improve the capabilities of those ministries.  d(#MTwo successes are already evident: The Ministry of Marine Resources has been able to effectively  d(#lprotect coastal areas from overfishing; and the Ministry of Agriculture and targeted farmers have  d(#reduced per hectare application of locust control pesticides by 15%. Both achievements were largely due to USAIDfunded training. , Strategic Objective 1: Increased Rural Income Through Growth of Rural Enterprise in Target Areas  }K( - Agency Goal: Providing Humanitarian Assistance  d(#Until recently, Eritrea needed and was a recipient of considerable humanitarian assistance ($49 million  d(#\from the United States. in 199394) to help sustain its population after the war and through a drought  d(#year. Eritrea is now completing this transition from emergency to development. Emergency Title II food  d(#aid is used for ongoing refugee repatriation and resettlement, a crucial component of Eritrea's transition  d(#to a stable and selfreliant society. USAID's regular Title II food assistance, as discussed above under  d(#.Economic Growth, is now focused on helping Eritrea achieve food security over the longer term, as the  d(#yneed for emergency food assistance decreases. Nonfood humanitarian assistance has been effectively  d(#\utilized to control locust outbreaks at their inception, a threat to food security, not only for Eritrea, but also for the entire Horn region.  }K- , Strategic Objective 1: Increased Rural Income Through Growth of Rural Enterprise in Target Areas  "P0*0*0*T"  X-#Xz_ p^7c1X#&mERITREA -FY 1997 PROGRAM SUMMARY h ddx !ddx8HZ h    &&   `Fc#O P7ZP# J  w Encouraging  Broadbased Economic  Growth   `F 4TAStabilizing#O P7ZP#у TJWorld Population <TBGrowth & Protecting TFHuman TGHealth  Protecting the Environment  Building Democracy  S^Providing Humanitarian A^Assistance   `FQ_ f TOTALS ă   &&   `F  USAID Strategic  `F Objectives g  g  g  g  g  g      &&  Special 1: Primary Health Care for Women and Children Dev. Fund for Africa     `_J3,511,946           `"{3,511,946   g  &&  1. Increased Rural Income Through Growth of Rural Enterprise in Target Areas Dev. Fund for Africa P.L. 480, Titles IIM  ` D6,067,349M  `mM  `7d1,260,587  `F`dd LC2,700,000ԃM  M  `L  `F`%3, LC 7 LC  LC0 00,000M  `"w7,327,936 `"w3,700,000 z   &v&  2. Increased Capacity for Democratic Governance Dev. Fund for Africa v  v v v  `H587,853v v  `J "~587,853z   M &v&   `FO Totals Dev. Fund for Africa P.L. 480, Title IIq  ` D 6,067,349 q  `_J3,511,946 (TS q d d71,260,587 d LC2,700,000q  `H587,853 q  L %3,700,000q  v11,427,735 w3,700,000    ~Jc-#J2PQTP#  ~J+-` `  / / hhCq`(#USAID Mission Director: Glenn Anders "0*0*0*" DOACTIVITY DATA SHEET  J- PROGRAM: ERITREA  JZ- TITLE AND NUMBER: Improved Access to Primary Health C )Cc are Services, 661SP01  J$- STATUS: Continuing  J- PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1997: $3, )C 5 )C  )C7  )C 1 )C  )C4  )C 1 )C  )C7 ,946 DFA  J- INITIAL OBLIGATION: FY 1995; ESTIMATED COMPLETION DATE: FY 2000  ~J-  ~JJ- d(#Purpose: To improve access to integrated primary health care services in focus regions through high  d(#quality services delivery; effective information, financial, logistical, and personnel systems; and increased awareness and utilization of the services by families.  ~Jj - d(#Background: Maternal, child, and infant mortality rates are extremely high in Eritrea due to poverty and  d(#\ignorance, and the deterioration of health infrastructure during the war. However, the independence  d(#movement proved adept at initiating health services in the field with "barefoot doctors" and minimal  d(#technology. The government is institutionalizing this approach in rebuilding the primary health care system.  d(#In 1994, USAID developed a major bilateral project and has since approved grants to U.S. private voluntary  d(#organizations (PVOs) and to the United Nations Children's Fund (UNICEF) to provide technical specialists,  d(#training, equipment, and renovations to assist the government in establishing an effective and sustainable  d(#yprimary health care system with a concomitant awareness and demand among local communities for the  d(#services delivered. The magnitude of the health problems, the number of donors, PVOs, and interested  d(#!parties involved, and the limited capacity of a recentlydownsized Ministry of Health (MOH) have  ~J:-complicated the startup of USAIDfunded activities.  ~J- d(#USAID Role and Achievements to Date: Although there are many donors and PVOs assisting Eritrea in  d(#the health sector, USAID is now the MOH's primary donorpartner. USAID is providing the critical inputs  d(#Knecessary for MOH and associated organizations to develop effective and sustainable primary health care.  d(#kAchievements to date include a 30% expansion in child immunization, the streamlining of central MOH staffing, and an increase in service fees to cover, in a first phase, from 1% to 25% of total costs.  ~J-  ~Jz- d(#Description: The major activity to achieve this Objective is the $15 million Eritrea Health and Population  d(#Project. This project provides nine personyears of specialized assistance, 300 personmonths of training,  d(#supporting vehicles (12), medical and office equipment with related supplies, and selected building  d(#renovations. These inputs, primarily for the MOH but also for women and youth groups, will be  d(#concentrated in the three centralwest zones of the country over a period of five years. They will enable  d(#the development of the requisite management systems, institutional structure, technical capacity, and client  d(#awareness for effective and sustainable primary health care. This project is supplemented by several grants  d(#to U.S. PVOs and one to UNICEF to support smaller, complementary activities that improve individual  d(#zhealth centers in rural areas, provide iodization facilities for the salt industry, and expand vaccination  d(#coverage. The MOH's cautious use of resources, prudent recurrent costs, and cost recovery policy ensures  d(#sustainability of these activities. The substantial capital investment in building and equipping new rural health care facilities by the government and other donors will also contribute to achieving this Objective.  ~J -  ~J!- d(#Host Country and Other Donors: The MOH provides the total cost of its central and local staff, as well as  d(#salaries for medical staff at health centers and stations. The MOH also covers the major portion of its other  d(#operating costs. Several donors Germany, Italy, the European Union, and the World Bank provide  d(#Kconcessional funding to build health facilities, particularly in the rural areas. Several international PVOs with  d(#whom USAID maintains close contact (e.g., Save the Children and Christian Outreach) provide assistance  d(#{for the improvement and operation of individual rural health facilities. USAID has established close  d(#collaboration with the World Bank to facilitate a $10 million loan for regional hospitals and regional planning  ~J'-which will complement USAID's assistance in the centralwestern zones.  ~J'-"'0*0*0*)"Ԍ ~J- d(#Beneficiaries: Approximately 1,000,000 mothers and children under five in the centralwestern zones are  d(#the primary direct beneficiaries of these activities, although it is expected that these activities will have nationwide impact, benefitting an additional 500,000 mothers and children.  ~JX-  ~J - d(#Principal Contractors, Grantees, or Agencies: Basic Support for Institutionalizing Child Survival and Family  d(#KPlanning Service Expansion And Technical Support (SEATS) Consortia, Macro International, Africare, World Vision, International Eye Foundation, and UNICEF.  ~J@-Major Results Indicators:/ /   ~J-` `  / / hhCqBaselineppTarget  ~J-National health policy adoptedhhCqN/A] J( <ԍ#J2PQP#Not available.]ppLate 1996  ~J-Operating costs recovered/ / hhCq1%pp25% by 1998  ~J` -Health centers/stations trained/equippedq(TBD) pp100% by 1999  ~J( -Increased utilization of primary health care q(TBD)pp300% by 2000 services " c0*0*0*/ "  ~J- X01Í ÍX01Í Í IOACTIVITY DATA SHEET  J- PROGRAM: ERITREA  JZ- d(# TITLE AND NUMBER: Increased Rural Income Through Growth of Rural Enterprise in Target Areas, 661S001  J- STATUS: Continuing  J- d(# PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1997: $7,327,936 DFA; $3,700,000 P.L. 480, Title II  JH- INITIAL OBLIGATION: FY 1995; ESTIMATED COMPLETION DATE: FY 2005  ~J- d(#Purpose: To increase the ability of the rural population to access food in targeted rural areas through increased production, external trade, marketing, and distribution.  ~J2 - d(#Background: Eritrea suffers from chronic food deficits and subsistencelevel agriculture. Accordingly, for  d(#-a country with a large rural population, agriculture contributes a surprisingly small share to national income:  d(#about 25%. Nevertheless, it is the source of sustenance and livelihood for almost threefourths of the  d(#population, and thus, is of critical importance to the rural economy. With a view to this importance, USAID  d(#has, since 1993, provided significant amounts of food and agricultural assistance to sustain the livelihood  d(#of rural populations (particularly demobilized fighters and returning refugees) affected by the war and, later, drought.  d(# The experiences gained from this assistance and USAID's considerable expertise with food aid and  d(#agricultural development led to the support of a number of other food and agriculturerelated activities  d(#jrequested by the Ministry of Agriculture (MOA) and the Eritrean relief and rehabilitation agency (ERREC).  d(#While USAID assistance will not be able to have a substantial effect on largescale foodgrain production,  d(#there are opportunities for USAID assistance to make a significant difference through the support of catalytic  d(#intervention and dialogue in several critical areas of the rural economy, including food policy analysis, crop  d(#protection, storage and processing, horticultural development and the formation of associated organizations,  d(#enterprises, and cooperatives. The linkage with the food security objectives and activities in the Greater  d(#Horn of Africa Initiative (GHAI) will be important. The use of P.L.480 food resources, combined with small  d(#jamounts of Development Fund for Africa, have proven particularly effective as demonstrated by USAID d(#supported food monetization and the changes in government food aid policy. Nonetheless, the sector is  d(#ylarge and subject to multiple physical variables such as weather and pestilence, complex socioeconomic interactions, and severe resource constraints.  ~Jb- d(#LUSAID Role and Achievements to Date: USAID is a small, but key donor in the improvement of rural food  d(#security. When faced with critical issues, Eritrean decisionmakers often request USAID support, most  d(#recently in locust control and food monetization policy. USAID assistance has facilitated the repatriation of  d(#25,000 refugees from Sudan and provided livestock, seeds and tools which enabled 2,500 resettled refugee  d(#Nfamilies to earn a livelihood. USAIDfunded training and supplies helped contain a massive locust  d(#xinfestation to only 20% of the area planted this year, likely saving as much as a quarter of the grain harvest.  d(#USAID support has also enabled exfighters (55 women and 70 men) to develop food and agricultural  d(#enterprises. Finally, U.S. food assistance provided supplemental nutrition to approximately 200,000 needy  d(#beneficiaries about onethird of the most vulnerable rural households. USAID dialogue also spurred a  d(#=major shift in Eritrea's food policy away from distortive feeding programs and towards monetization and targeted cash benefits.  ~J$- d(#KDescription: USAID has supported a range of diverse activities to help Eritrea achieve food security. These  d(#-have included large USAIDOffice of Foreign Disaster Assistance and Economic Support Fund grants ($6.7  d(#Nmillion) for construction, agricultural inputs and equipment, and other assistance in support of the  d(#.government's resettlement and demobilization programs; P.L.480 Title II monetization grants ($9.5 million)  d(#to two U.S. private voluntary organizations for agricultural and school projects; a number of pilot activities  d(#to test microenterprise and irrigated farming models; and several centrallyfunded collaborative research"( 0*0*0**"  d(#and training grants to resolve agricultural problems. USAID's assistance is now being focused on rural  d(#enterprise and trade in the centralwestern zones of Eritrea. The new activities currently being designed will  d(#build on the previous activities. Resources will be used to support the formation of rural associations,  d(#[cooperatives, and enterprises involving food production, processing, storage and marketing; associated policy formulation; and local currency costs.  ~J- d(#Host Country and Other Donors: Eritrea has mobilized considerable domestic and external resources for  d(#Zprojects and imports to improve food security. Several donors, including Germany, Italy, the European Union  d(#z(EU), and the World Bank are also providing considerable concessional assistance for rural road and  d(#-agricultural development projects. Due to the number of donorassisted activities in rural areas and the lack  d(#of any formal coordination mechanism, USAID has collaborative working relationships with other donors in  d(#zthe areas of food policy (EU) and irrigated farming (Israel). While USAID is now a comparatively small  d(#.donor, it retains an importance due to its previous largescale food assistance and the effectiveness of several of its current assistance programs.  ~J - d(#Beneficiaries: The direct beneficiaries of USAID assistance will be approximately 10,000 rural households.  d(#[However, the entire rural population of the centralwestern zone of approximately 1 million will ultimately benefit from greater food availability.  ~J-  ~J- d(#Principal Contractors, Grantees, or Agencies: U.S. Department of Agriculture, Africare, World Vision, Virginia  d(#Polytechnic Institute and Virginia State Universities, Centre for International Cooperation of Israel's Ministry of Foreign Affairs, and Agricultural Cooperative Development International.  ~J0-  ~J- d(#Major Results Indicators: As the scope and specification of this Strategic Objective is not yet finalized,  ~J-indicators and baselines are still under consideration and not yet determined.   ~JP-Major Results Indicators:  ~J-` `  / / hhCqBaselineK8 ~Jp-ԍXTo be determined. (#KppTargetX8   ~J-` `  / / hhCqTBDppTBD "8 0*0*0*}" IOACTIVITY DATA SHEET  J- PROGRAM: ERITREA  JZ- TITLE AND NUMBER: Increased Capacity for Democratic Governance, 661S002  J$- STATUS: Continuing  J- PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1997: $587,853 DFA  J- INITIAL OBLIGATION: FY 1995; ESTIMATED COMPLETION DATE: FY 1997  ~JJ- d(#Purpose: To build the skills and knowledge necessary to establish and administer the institutions of democratic government.  ~J- d(#Background: As a newly independent nation, Eritrea is now building the institutions and processes of  d(#democratic governance. This effort is well informed by the organizational experience of the long struggle  d(#for independence; by the sizeable, professional Eritreans in Europe and the United States; and the lessons  d(#of other nation building experiences. The success in building democratic institutions and processes of  d(#igovernance will determine the future of the Eritrean state. After considerable dialogue with the government  d(#at several levels, the U.S. Embassy, and the United States Information Service, USAID assistance was  d(#sought, both to support the constitutionwriting process and capacitybuilding through several institutions.  d(#[Currently, this assistance is being provided through the Technical Assistance Project, as amended. The  d(#-difficulties that have arisen are due to the sensitivity and concerns over sovereignty of the new nation and the weakness of its new institutions.  ~Jr-  ~J:- d(#=USAID Role and Achievements to Date: USAID's involvement in Eritrean democracybuilding is less than  d(#a year old; however, USAID's role as part of the Embassy country team will grow as activities are more  d(#fully implemented. As USAID's role is primarily that of "capacity building", the influence of this assistance  d(#]will likely be widespread and longterm. While USAID's activities are new, two achievements are  d(#noteworthy: the establishment of a an influential, U.S.Eritrea university partnership in the critical areas of  d(#jlaw, journalism, and public administration; and a countrywide civic education and outreach effort by the Constitutional Commission, which has now submitted a draft Constitution for public debate.  ~Jz- d(#Description: USAID is supporting multiple "capacitybuilding" activities: (1) )C  a $1.3 million partnership  d(#between the University of North Carolina and the University of Asmara featuring the exchange of faculty  d(#/and graduate students in law, journalism, and public administration, )C  and )C  a fund to improve University  d(#facilities and equipment in these areas; (2) a $1 million fund for governance capacitybuilding that supports  d(#>incountry training programs for judges, officials and village leaders and the new Eritrean Institute of  d(#Management; (3) a broad $2 million participant training fund to send selected officials and leaders to the  ~J*- d(#United States and third countries for specialized training; (4) $1 million in grant support through the United  d(#NNations Development Program (UNDP) to support the Constitutional Commission's educational and  d(#[outreach activities; and (5) a $1.35 million grant to train and advise Eritrea's new Central Bank. Over the  d(#next few years, as the structure of the democratic government develops, additional activities may include  d(#assistance for the national legislature, strengthening indigenous nongovernmental organizations (NGOs),  d(#jand the development of other institutions of democracy. Training activities supported by the government  d(#and other donors, complementary to USAID's activities and Objective 2, also enhance the existing capacity  ~J!-within  )C government institutions.  ~J2#- d(#0Host Country and Other Donors: The United States, although often providing assistance through  d(#intermediaries such as the UNDP and U.S universities, is now the leading donor in this broad sector of  d(#xbuilding democratic governance. Other bilateral donors such as Germany, Norway and Italy provide training  d(#zand equipment in selected governance areas. The World Bank has piloted a Community Development Fund which involves aspects of democratic governance. "' 0*0*0*)"Ԍ ~J- d(#Beneficiaries: The direct beneficiaries are the 3,000 officials who are expected to receive training and other  d(#assistance. However, the entire nation should benefit from more competent, democratic governance, with the establishment of the rule of law.  ~J -Principal Contractors, Grantees, or Agencies: University of North Carolina, EnCorps, and World Learning.  ~J-Major Results Indicators:  ~Jx-` `  / / hhCBaselineKx8 ~J-ԍXTo be determined. (#KppTarget  ~J@-Press Law` `  / / hhCTBDqppMid 1996  ~J-Constitution Ratified / / hhCTBDqppLate 1996  ~J-Representative Elections/ / hhCTBDqppMid 1997  ~J-Judiciary Trained and EquippedhhCTBDqppMid 1998