Note: This document may not always reflect the actual appropriations determined by Congress. Final budget allocations for USAID's programs are not determined until after passage of an appropriations bill and preparation of the Operating Year Budget (OYB).
INDIA
FY 1997 FY 1998 FY 1999 Actual Estimate Request Development Assistance.............. $38,180,000 $37,381,000 $42,000,000 Child Survival & Diseases.......... 11,170,000 13,969,000 14,500,000 P.L. 480 Title II........................... 93,712,000 91,874,000 91,752,000
IntroductionUSAID's program in India responds to three key U.S. foreign policy interests: global problems of environmental degradation, population growth and emerging diseases; expanded trade and investment; and humanitarian concerns about alleviating poverty and reducing malnutrition. With nearly a billion people, India is the world's largest democracy. Also, a country vital to successfully addressing the global issues of climate change, population growth and emerging diseases. It is the sixth largest and second fastest growing producer of greenhouse gases. Its growing population, concentrated increasingly in urban areas, contributes to the spread of communicable diseases--HIV/AIDS, malaria, TB and polio. India has the largest concentration of poor in the world, more than 300 million. Despite food production gains, half of its children are malnourished. India's effectiveness in dealing with these concerns will depend in large part on its ability to maintain a strong economic growth rate.
The United States is India's largest trade and investment partner. In 1996-97, trade between the two countries was nearly $10 billion, direct investment $560 million and portfolio investment $1.2 billion. India's external debt situation has improved markedly in recent years falling from a peak of $99 billion in 1995 to $90.85 billion in 1997. Obtaining and maintaining a growth rate of 7-8 percent, India's target, will not only enable them to reduce poverty and deal more effectively with social and environmental concerns, it also expands trade and investment opportunities. USAID's program supports economic reform, promotes pollution prevention and environmental protection, enhances food security, encourages women's initiatives, and strengthens social services in health and family planning.
Development Challenge
To achieve a sustained economic growth rate of 7-8 percent, the Government of India (GOI) needs to make a renewed commitment to the reform process begun in 1991. It must strengthen capital markets and financial institutions, and establish a policy environment capable of marshalling $300 billion over the next ten years for investment in infrastructure. USAID technical assistance strengthens regulation, supervision and enforcement in the capital market and encourages self-regulation by key players. With USAID assistance, the capital market's overall efficiency, transparency and accountability improved this year with the start-up of the National Depository and paperless trading. We also work with municipalities and local governments to develop urban infrastructure projects--water and sewerage--that can be taken to the capital market. In 1998, Ahmedabad offered the first municipal bond in south Asia. Now 12 other cities are interested in similar programs. USAID supports non-governmental organizations (NGOs) working to increase access to bank credit for their members and is preparing a program to increase the ability of the formal banking system to expand loans to small borrowers.
India's ability to achieve sustainable development and reduce poverty depends substantially on its ability to stabilize population growth. Its population will reach one billion by the year 2000, and not long after India will become the world's most populous country. USAID's work in population focuses on improving the quality of and access to family planning services in Uttar Pradesh, India's most populous state with 140 million people. In the pilot areas, contraceptive usage increased from 16 to 36 percent in three years. Improved family planning will also help address India's high rates of infant and child mortality--attributable in large part to poverty-related malnutrition. To respond to malnutrition, USAID is working with the Cooperative for Assistance and Relief Everywhere (CARE) and Catholic
Relief Services (CRS) to feed and deliver health services to seven million poor persons daily.
Of great concern is India's rising incidence of HIV/AIDS. Cited as one of the global focal points for HIV/AIDS, India now has an estimated 3-5 million people who are HIV positive, more than any other country in the world. USAID helped inform 90 percent of the high-risk population in Tamil Nadu on how to prevent HIV/AIDS transmission and plans to expand its program into Maharashtra, the source of 50 percent of India's reported HIV cases.
India's economic growth and its efforts to control population have important implications for the environment. The growing demand for power, fueled largely by high ash coal, makes India a key player in dealing with global climate change. USAID is working with India on practical approaches to cutting greenhouse gas emissions. A USAID-funded pilot activity has helped the National Thermal Power Corporation cut carbon dioxide emissions by 18,000 tons annually and has the potential to eliminate three million tons system-wide. Environmental pollution in India costs the country billions of dollars each year. Three of India's large cities rank among the ten worst polluted cities in the world. Pollution in cities is causing premature deaths, chronic respiratory disease and the emergence of communicable diseases due to crowding and lack of access to clean water and sanitation. USAID is assisting cities to reduce pollution by improved urban planning and management, including the development of urban environmental infrastructure projects. USAID technical and capital assistance through the Urban Environment Credit Program (UE) helped create a $200 million build-operate-transfer water and sewerage project in the city of Tirupur.
The low status of Indian women is a pervasive problem hurting economic development and poverty reduction. India's 1991 census shows a sex ratio of 927 females per 1,000 males and a female literacy rate of 39 percent versus 64 percent for males. Data from 1994 shows 43 percent of eligible girls enrolled in primary school compared with 62 percent of boys. A pilot activity is underway to increase enrollment and retention of girls in primary schools. Also, USAID's programs seek to increase women's decision-making power and access to resources by strengthening local private voluntary organizations to reduce violence against women and improve access of low income women to finance.
A key issue for USAID in India is the allocation of limited resources in an extremely large and diverse country with a staggering array of economic and social problems. The choices present a tremendous opportunity to influence India's development problems and to affect global issues. Repeatedly, USAID has demonstrated that limited but well-targeted assistance can have a significant impact on economic reform, health and family planning, food security and environment, through demonstration of new approaches and introduction of new technologies and ideas. USAID assistance can act as a catalyst, demonstrating the feasibility of activities and approaches that can then be scaled up, leveraging investment from the private sector or from other donors.
Other Donors
Some seven multilateral and 13 bilateral donors provide assistance to India. The United States is the sixth largest donor after the World Bank, the Asian Development Bank, the European Union, Japan and Germany. We collaborate closely with other donors on economic reform, population and health, and environment. Regulatory reform within the capital market, power sector reform and restructuring, increased efficiency in industry, better delivery of family planning services, urban planning and infrastructure development are areas where USAID introduced projects attracted support to scale-up approaches.
FY 1999 Program
The FY 1999 program will promote economic liberalization; stabilize population growth and improve health; cut pollution in power generation, manufacturing and cities; reduce transmission of HIV/AIDS; and meet humanitarian needs of India's poorest populations.
ACTIVITY DATA SHEET
PROGRAM: INDIA
TITLE AND NUMBER: Increased Mobilization of Capital through Financial Sector Reforms, 386-SO01
STATUS: Continuing
PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1999: $7,700,000 DA
INITIAL OBLIGATION: FY 1995; ESTIMATED COMPLETION DATE: FY 2003
Purpose: To increase mobilization of capital through financial sector reforms.
USAID Role and Achievements to Date: USAID's economic growth strategy targets activities that have broad impact through policy reform or demonstrate ideas and approaches that can have widespread impact through replication. For example, USAID helped establish the first securities depository, the National Securities Depository Limited, a critical step in improving the efficiency, transparency and accountability required to attract increased investment from the global capital market. USAID assistance has helped the stock exchanges introduce "screen-based" trading, reducing settlement times from 21 to seven days and increasing security in trading. The changes and reforms influenced by USAID technical assistance have reduced transaction costs, improved disclosure standards, and heightened market oversight and enforcement. USAID's support also helped establish a methodology for credit-rating of municipal corporations--12 cities are now seeking to be rated--and develop the first municipal bond in south Asia. The result is an opportunity for cities to finance on a commercial basis badly needed urban environmental infrastructure, particularly water and sewerage facilities for their dramatically overpopulated and undeserved cities.
Description: USAID's program offers technical assistance to improve securities market policies, regulations, enforcement and oversight while modernizing the market infrastructure. USAID is working with the Securities and Exchange Board of India (SEBI) to raise the transparency and regulatory efficiency of India's equity and bond markets to international standards. USAID assistance also introduces new technologies and best practices required to boost investor confidence in the integrity and fairness of the market and attract greater participation by both domestic and international investors. Last year these markets raised more than $7 billion, including significant sums ($1.2 billion) from U.S. portfolio investors.
The USAID program also works with municipal and local governments on the development of commercially viable, self-sustaining debt market and innovative private-public financing arrangements for basic infrastructure such as water supply, sewerage and solid waste disposal systems critical to environmental health in cities. The program provides $125 million in loan guarantees (Urban Environmental Credit Program funds), as well as technical assistance and training. Its first activity--an initial $85 million portion of a $200 million water and municipal sewerage system in Tamil Nadu--is approaching a loan closing on the AID-guaranteed credit and will start implementation as a build-operate-transfer (BOT) project in 1998. In the second such activity, USAID's support was instrumental in obtaining a credit rating (the first for a municipality in India) for the Ahmedabad Municipal Corporation (AMC) which was used subsequently to access capital markets by issuing bonds valued at about $25 million. USAID assisted AMC in structuring the bond and in developing and packaging the infrastructure for which the bond proceeds will be used. The third activity, a water supply and wastewater system initiative, has been developed with USAID assistance by the Pune Municipal Corporation (PMC) in the state of Maharashtra. The PMC has received an investment-grade rating from India's premier credit rating agency and is in the process of finalizing bid documents with assistance from USAID.
USAID's new Community Infrastructure Financing initiative is developing improved linkages between the "community-based financial institutions" that serve lower-income families and formal finance institutions to facilitate the incorporation of slums and informal settlements into city-wide infrastructureactivities. Linking currently unserved communities and families to the city-wide systems mobilizes additional resources, contributes to the financial viability of the activities themselves, and delivers badly-needed basic services to a rapidly-growing sector of families in India's cities and towns. In addition, USAID also plans to assist India's extensive network of Regional Rural Banks (RRBs) with 37 million accounts to develop their capacity to extend access to microfinance to millions of rural households on a self sustaining basis.
Host Country and Other Donors: The Asian Development Bank (ADB) has provided a $250 million program loan to support reforms in India's capital market. This and other multilateral bank loans directly support USAID efforts. USAID assistance to Infrastructure Leasing and Financial Services (ILFS) has leveraged the sanctioning of a line of credit of $200 million by the World Bank to ILFS for investment in infrastructure. The host country contributes well above the total amount of assistance provided by USAID.
Beneficiaries: Beneficiaries include new employees of start-up and expanding companies which create jobs as a result of increased availability of debt and equity capital; Indian and foreign institutional investors (including U.S. investors) who benefit from access to an efficient and transparent capital market; and low-income urban dwellers, including many women, who benefit from improvements in urban sewage and water supply.
Principal Contractors, Grantees, or Agencies: USAID implements this strategic objective through two U.S. contractors, Price Waterhouse and Community Consulting International. Principal Indian counterpart organizations include the Securities and Exchange Board of India, the National Institute of Urban Affairs, Infrastructure Leasing and Finance Services, Ltd., and the Housing and Urban Development Corporation. USAID also works closely with brokers' associations, national and regional stock exchanges and local governmental and nongovernmental organizations.
Major Results Indicators:____________________________________________________________
Baseline Target
Increased amount of new capital 244 (1993/94)1 250 (1998/99)
(equity and debt) raised through the
securities markets (Rs. billion)
Increased foreign indirect 1.63 (1993/94)1 4 (1998/99)
institutional (portfolio) investment
($ billion)
Increased amount of private capital 0 (1993/94)2 3.75 (1998/99)
used to finance commercially-viable urban
environmental infrastructure (Rs. billion)
1 Source: Securities & Exchange Board of India discussion paper
2 Source: Regional Housing & Urban Development Office
National Institute of Urban Affairs
Infrastructure Leasing and Financial Services
Housing & Urban Development Corporation
ACTIVITY DATA SHEET
PROGRAM: INDIA
TITLE AND NUMBER: Reduced Fertility and Improved Reproductive Health in North India, 386-SO02
STATUS: Continuing
PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1999: $20,000,000 DA and $3,400,000 CSD
INITIAL OBLIGATION: FY 1995; ESTIMATED COMPLETION DATE: FY 2002
Purpose: To reduce the current high level of fertility and improve women's reproductive health by increasing quality of, access to, and demand for a broad range of reproductive health and family planning services and to address related fertility parameters, including the status of women in north India, with an emphasis on India's most populous state of Uttar Pradesh.
USAID Role and Achievements to Date: USAID is playing a major role in introducing new service approaches and technologies to improve the quality of reproductive health services, increase access and stimulate demand. In 1993, USAID's program successfully established and staffed an autonomous agency in the state of Uttar Pradesh to implement USAID's largest reproductive health program world-wide, the Innovations in Family Planning Services (IFPS) activity. This autonomous agency funds and oversees improvements in quality and access to services through the Government and a range of private sector groups. To date in Uttar Pradesh, 120 grants to 100 private organizations and 60 grants to government organizations are being programmed, with an emphasis on broadening of services in 28 priority districts to serve 72 million people.
Description: USAID's strategic focus supports broadened access to quality family planning and reproductive health services and improvements in the status of women through engagement and funding of the public and non-government sector, i.e., private voluntary organizations (PVOs), cooperatives, employers groups and private practitioners in the provision of community-based family planning and reproductive health services. A critical element of the strategy is use of commercial networks to promote, market and sell contraceptive products, introduce new technologies, improve product quality and stimulate policy reforms supporting the commercial sector. The IFPS activity, working in the state of Uttar Pradesh, aims to support a more comprehensive reproductive health program for couples to space and plan their families and improve care during pregnancy and delivery outcomes to protect the mother and the new born.
Complementary to the IFPS activity is the Program for the Advancement of Commercial Technology/Child and Reproductive Health activity (PACT/CRH) that stimulates private sector participation and commercial partnerships for the production, distribution and marketing of quality reproductive health products and services. PACT/CRH, which contributes to USAID's work on child survival and HIV/AIDS as well as to IFPS, has served as the major intervention to stimulate commercial participation in provision of reproductive health products and services. While this is an all-India activity given its commercial nature, emphasis is being given to promoting commercial efforts in north India. Through an arrangement with the Industrial Credit and Investment Corporation of India (ICICI), concessional loans have been made to two large condom manufacturers who together sell about 210 million condoms annually in India, supplying almost 60% of condom users in the country. Similar loans have also been made to two large intrauterine device (IUD) manufacturers who currently sell 1.3 million IUDs mostly to the Government, but also directly to private physicians.
Host Country and Other Donors: The World Bank, United Nations Population Fund (UNFPA), United Nations Children's Fund (UNICEF), and the United Kingdom's foreign aid program provide complementary donor support in reproductive health, safe motherhood and child survival. USAID's program has introduced a number of innovative approaches to supporting both public and private sector efforts, some of which have been incorporated into a major new billion-dollar initiative in reproductive health being launched by the World Bank. Most donor efforts are channeled through the existing government program. Thus, USAID's support to the private sector is a unique contribution
in the Indian context. The GOI contributes substantial resources through its existing personnel and massive infrastructure to provide health and family welfare services to the general public and serves an important need in reaching the large numbers of extremely poor clients who are unable to purchase health services from the private sector.
Beneficiaries: The direct beneficiaries of this strategic objective are women of child-bearing age( 15-49) of Uttar Pradesh, totaling approximately 30 million women. Couples of reproductive age throughout India will benefit from broader commercial availability of family planning and other reproductive health products that broaden choice and access. Secondary beneficiaries are the children under age five, in particular, female children whose survival will be enhanced by the activities in this program.
Principal Contractors, Grantees, or Agencies: The major grantees are the State Innovations in Family Planning Services Agency (SIFPSA) and the Industrial Credit and Investment Corporation of India Limited (ICICI). USAID supported cooperating agencies include: The Association for Voluntary and Safe Contraception (AVSC), Cooperation for Assistance and Relief Everywhere (CARE), the Center for Development and Population Activities (CEDPA), Johns Hopkins University/Population Communication Services (PCS), the Futures Group - SOMARC and Policy Projects, the University of North Carolina International Training in Health - PRIME Project, MACRO International Inc., the Program for Appropriate Technologies in Health (PATH), and John Snow, Inc.
Major Results Indicators: Baseline Target Percent of IFPS activity trained medical officers who meet quality standards for sterilization services + 54% (1997) 62% (2002) Percent of public sector clinics which meet quality ratings+ 3% (1997) 62% (2002) Number of public sector family planning 303,000 (1997) 555,000 (2002) acceptors+ Number of private sector oral contraceptive pill 11,000 (1997) 32,000 (2002) and condom acceptors + Contraceptive Sales ( subsidized and commercial) oral contraceptive pills (million cycles)* 4.2 (1997) 8.2 (2002) condoms (million pieces)* 104 (1997) 161 (2002) Percent of pregnant women receiving two doses of tetanus toxoid + 43% (1997) 48% (2002) Percent of pregnant women receiving 100 Iron and Folic Acid tablets + 32% (1997) 37% (2002) Percent of deliveries attended by trained provider + 17% (1997) 30% (2002)
+ in 28 priority IFPS Activity districts; * in Uttar Pradesh
Source: a and b- special provider/clinic surveys; c, f, g, h - Government statistics adjusted for reliability; d- project NGO MIS; e- Operations Research Group Retail Audit Report
ACTIVITY DATA SHEET
PROGRAM: INDIA
TITLE AND NUMBER: Improved child survival and nutrition in selected areas of India, 386-SO03
STATUS: Continuing
PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1999 $5,100,000 CSD; $91,752,000 P.L. 480
Title II
INITIAL OBLIGATION: FY 1995; ESTIMATED COMPLETION DATE: FY 2003
Purpose: To reduce high levels of infant, child and maternal mortality among the poor in selected areas through integration of development assistance and P.L. 480 Title II supplementary feeding into health, nutrition, and other services.
USAID Role and Achievements to Date: USAID supports the Government of India (GOI) and non-governmental organizations (NGO) to improve child survival in the states, primarily north India, where malnutrition, fertility, illiteracy and mortality rates are high. P.L. 480 Title II commodities provide nutrition and serve as an entry point for provision of services in health and education to seven million children and women daily. The Cooperative for Assistance and Relief Everywhere (CARE) and the Catholic Relief Services (CRS) have developed systems to reach underserved and high-risk groups in villages across India. These PVOs have an established system of supply, allowing the program to move large quantities of food to desperately poor people in remote areas. Last year 10,900 officers were trained in commodity and results-oriented program management. More than double these numbers of health and nutrition workers are being trained now to integrate health and nutrition services at the community level. Through the PVO programs, USAID has also been able to respond rapidly to needs of 50,000 people dislocated by two severe cyclones and related flooding, 33,000 people made homeless by the earthquake in Madhya Pradesh and 300,000 people suffering as a result of persistent drought in Orissa. In addition, since 1995, USAID has supported India's polio eradication initiative--one of the largest polio eradication drives in the world. In 1996-97, more than 90% of India's 125 million children under five received polio vaccine.
Description: USAID's program to support child survival includes a number of activities. The largest and most important is the nearly $100 million P.L. 480 Title II food assistance program. The Title II program, through CARE, supports the Integrated Child Development Services (ICDS) program--India's equivalent of Head Start. The program reaches some 6.5 million beneficiaries in 140,000 villages, and CARE complements Title II food with an integrated nutrition and health program to improve child survival. CRS, working through private registered social service societies, including programs managed by Mother Teresa's and the Dalai Lama's organizations, reaches 710,000 beneficiaries.
The Program for Advancement of Commercial Technology/Child and Reproductive Health (PACT/CRH), in addition to supporting SO02 in reproductive health and SP01 in HIV/AIDS, provides support for technologies to improve child survival. Implemented through the Industrial Credit and Investment Corporation of India (ICICI) Ltd., the program increases commercial marketing and distribution of quality child survival products and services. The ICICI is negotiating with commercial producers of oral rehydration salts (ORS) to increase marketing, distribution, and use of ORS. ICICI is entering into an agreement with the premier vaccine manufacturer in India, the Serum Institute, for production and marketing of the Mumps, Measles and Rubella vaccine through commercial channels, and has reached an agreement for development of a low-cost electronic scale for growth monitoring of children.
Under the Quality Control of Health Technologies (QCHT) activity, the National Institute of Biologicals is being constructed to expand India's capacity to ensure quality vaccines, blood products and other biologicals. Also, USAID's large family planning activity in the state of Uttar Pradesh promotes contraception to space births, which greatly increases child survival.
Host Country and Other Donors: The GOI funds all the ICDS personnel--including workers in the nearly
140,000 centers reached by CARE, infrastructure, in-country transportation (for both CARE and CRS) and storage costs for P.L. 480 Title II commodities. CARE provides technical assistance, training and logistic support. The World Bank is the largest donor for child survival, providing $300 million in loan assistance to the national ICDS program (with plans for an additional $310 million) and assistance to the Reproductive Child Health program. USAID's contribution to ICDS through P.L. 480 assistance, valued at $68 million annually, provides critical support to ICDS in the neediest states. Other donors for child survival include UNICEF, CIDA, SIDA, UN World Food Program (WFP), and AusAid. Japan is a co-donor with USAID for the QCHT.
Beneficiaries: Direct P.L. 480 beneficiaries are 7.2 million children under six years of age and pregnant and lactating women and several million other women and children reached by other USAID child survival assistance.
Principal contractors, Grantees and Agencies: USAID implements the P.L. 480 Title II India program through CARE and CRS. The PACT/CRH is implemented through the ICICI and with help from SOMARC for social marketing. Indian organizations implement USAID grants to improve child survival services.
Major Results Indicators: Baseline Target Reduced Under-five mortality (number dying/1000 children) 119 (1993) 95 (2002) Improved nutritional status of young children 561 (1993) 50 (2002) (defined as percent of children 622 (1996) under three years who are more than two standard deviations below the median weight-for-age index for the WHO international reference population)
1 Source: National Family Health Survey
2 Source: CARE's baseline survey in assisted areas which are poorer than the national average
ACTIVITY DATA SHEET
PROGRAM: INDIA
TITLE AND NUMBER : Increased environmental protection in energy, industry and cities, 386-SO04
STATUS: Continuing
PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1999: $11,600,000 DA
INITIAL OBLIGATION: FY 1995; ESTIMATED COMPLETION DATE: FY 2003
Purpose: USAID's environment program seeks to increase efficiency and decrease pollution in energy supply and use through development of effective policies, clean generation technologies, and efficient energy practices; reduce pollution in industry through adoption of environmental management systems and clean technology practices for industry; and strengthen local government's management capacity and ability to finance environmental investments through long-term debt instruments.
USAID Role and Achievements to Date: Progress attributable to USAID action during the past year spans the spectrum from grass roots activities to changes in federal policy. For example, the Government of India (GOI) decreed that steam coal for power generation must be clean of impurities starting in 2001. This should lead to reduced air and water pollution from India's very dirty coal and decreased greenhouse gas emissions by as much as 53 million metric tons in the next decade. Developments in urban infrastructure finance in Tirupur and Ahmedabad, already cited under SO01, also have important implications for the environment by increasing the supply of water and sewerage facilities to India's overcrowded cities. In Haryana, USAID has been asked to lead the energy efficiency program as part of the Haryana State electricity reforms and to assist with privatization of the State Electricity Board's transmission, generation and distribution operations. USAID's energy efficiency demonstrations with the National Thermal Power Corporation have led it to invest $2.5 million this year that will save millions in annual coal purchases, while generating a huge reduction in pollution. In another demonstration, USAID financed 72 high tension US manufactured meters that led to a significant drop in power theft and the purchase by one utility of another 2600 meters. This program, as well as the program to save water and energy by municipalities, is ready for nationwide adaptation.
USAID grants and technical assistance aimed at supporting renewable energy technologies have resulted in increases in the installed generation capacity of renewable energy sources to 900 MW as of March 1997. The signing of new partnership agreements between leading Indian and U.S. power utilities and regulatory agencies under the USAID-funded Utility Partnership Program provide a long-term mechanism for transfer of U.S. technology and experience to Indian organizations, while opening the door for U.S. exports of goods and services.
Under USAID's clean industry program, technical assistance and funding assisted industry to adopt environmentally sound practices while promoting Indo-US environmental business linkages. USAID's relatively small investment has helped establish a U.S. environmental technology and service market of about $635 million in India. One recent collaboration between Kothari Sugar and Chemicals Ltd, India and Amcane International, Minnesota, for extracting sugarcane juice decreased effluents by 66%. Additionally, USAID is promoting incentives for industry to adopt certified environmental management systems and enhancing the capacity of Indian industry to incorporate best technologies and practices into their operations. Under this approach, USAID is facilitating the development of an ISO 14000 accreditation scheme enabling India to achieve international environmental quality standards.
Description: USAID has two major activities to achieve increased financial and environmental sustainability in the energy sector. Working with major development banks, the Energy Management Consultation and Training activity uses technical assistance and training to address critical issues affecting the Indian power sector: identifying and supporting policy reforms related to power sector regulation and restructuring, increasing investments in energy efficiency and demand-side management,and promoting innovative financing of energy efficiency activities. The Greenhouse Gas Pollution Prevention program combines the strengths of Indian industry with the technological prowess of the U.S. to reduce greenhouse gas emissions by facilitating investments in advanced coal combustion technologies and bagasse co-generation and providing specialized technical assistance for efficiency improvement in existing coal-fired power plants.
The Trade in Environmental Services and Technologies activity provides technical assistance to promote adoption of international environmental quality standards by industry and to increase investment in cleaner technologies leading to decreased pollution per unit of output in key industrial sectors.
Activities described under SO01 to introduce new approaches to municipal finance of urban infrastructure also improved India's urban environment by financing potable water systems and waste-treatment facilities.
Host Country and Other Donors: Host country agency and industry contributions exceed $1 billion. Multilateral and bilateral programs are offering well over $3 billion in new energy efficiency and environmental programs. Under USAID-financed programs, Indian industries receiving financial assistance through the Industrial Credit and Investment Corporation of India will provide the equivalent of $10.8 million, the Industrial Development Bank of India will lend up to $80 million for bagasse co-generation investments, and the National Thermal Power Corporation will provide $10 million investment in energy efficient equipment as part of its contribution. The Housing and Urban Development Corporation and Infrastructure Leasing and Financial Services Limited together will mobilize from domestic sources an amount equivalent to at least $275 million for investment in urban environmental infrastructure projects, and the World Bank has plans for a major new loan to finance urban infrastructure which will draw heavily from USAID's experience.
Beneficiaries: The program's prime beneficiaries are independent power producers, national and state level utilities, private power utilities, selected high energy intensity industries, energy audit and service companies, sugar industries, agricultural biomass providers, development financial institutions and consumers--both urban and rural--who all need access to power for everything from irrigation to lighting. Also included are Indian companies and municipalities, primarily in urban areas, benefiting from clean air and improved access to water and sewerage; Indian technology and service firms; industry and business associations; financial institutions, power utilities, sugar industry, municipalities, and lower-income communities.
Principal Contractors, Grantees, or Agencies: Principal U.S. partners include: International Resources Group, Institute of International Education, United States Energy Association, Community Consultants, Inc. Principal Indian partners include: Ministry of Power, Power Finance Corporation, Industrial Development Bank of India, Industrial Credit and Investment Corporation of India, National Thermal Power Corporation, National Institute of Urban Affairs, Housing Urban Development Corporation and Infrastructure Leasing and Financial Services.
Major Results Indicators: Baseline Target Plant Load Factor in coal-fired power plants 60 (1995) 68 (2002) increased (percentage) Increased share of power from clean technologies 0.2 (1995) 6 (2002) (percentage of total installed capacity) Increased number of industries that meet 0 (1998) 70 (2002) international environmental quality standards Increased access to improved drinking water, 0 (1995) 5 (2002) waste water and solid waste services through commercially viable systems (population in million) Urban environmental management tools applied by 1 (1995) 14 (2002) local government (no. of city governments)
ACTIVITY DATA SHEET
PROGRAM: INDIA
TITLE AND NUMBER: Reduced transmission of HIV infection, 386-SP01
STATUS: Continuing
PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1999: $6,000,000 CSD
INITIAL OBLIGATION: FY 1995; ESTIMATED COMPLETION DATE: FY 2003
Purpose: To assist the states of Tamil Nadu and Maharashtra to control the spread of the human immunodeficiency virus (HIV) and the acquired immunodeficiency syndrome (AIDS).
USAID Role and Achievements to Date: USAID'S AIDS Prevention and Control (APAC) activity has financed the establishment of a new AIDS unit at Voluntary Health Services (VHS), Madras, a well respected Indian non-governmental organization (NGO), as the implementing agency to manage the activity. Among its activities, VHS provides sub-grants and technical assistance to NGOs working with high-risk groups, their spouses, children and communities. In the last two years, 46 NGOs have been funded to work with high-risk groups on HIV/AIDS prevention. Among these are 11 NGOs who work at strategic locations on interstate highways, and provide behavior change education to approximately 1.5 million truckers who transit through these locations each month. A training module has been designed for training physicians in diagnosis and management of sexually transmitted diseases (STDs). Five institutions in Tamil Nadu have been supported to train 1400 physicians, over the next three years, in providing high quality care for STDs--250 physicians have been already been trained. A comprehensive research study on the availability and quality of condoms at retail outlets in Tamil Nadu was completed in 1996 and follow-up action undertaken with private sector manufacturers to improve both the distribution and the quality of condoms. A significant collaborative venture with a major private sector manufacturer of condoms resulted in sales volumes doubling in a 12-month period between November 1996 and November 1997. The collaboration demonstrated that investments in expanded distribution systems lead to both increased sales volumes and to reduction in the cost of sales.
The Program for Advancement of Commercial Technology/Child and Reproductive Health (PACT/CRH), in addition to its contributions to reproductive health (described under SO01) and child survival (described under SO03), has made a significant contribution to HIV/AIDS prevention. It has provided loans to private sector manufacturers to expand the marketing and distribution of condoms, and to manufacture and market condom vending machines. To improve the quality of condom production in India, an issue of central importance to HIV/AIDS prevention, PACT-CRH has assisted manufacturers to improve their internal quality control procedures. PACT-CRH technical experts are also assisting the Drug Controller of India to strengthen the Government's quality control monitoring capacity and to work with manufacturers to improve condom packaging in India. PACT-CRH has provided a grant to the Confederation of Indian Industry to develop and market educational packages for prevention of HIV/AIDS in the work place setting in Indian industries. Over 260 industries with 400,000 employees have purchased the packages.
Description: USAID through the APAC activity supports NGOs with both funds and technical assistance to design and implement community-based prevention programs which target high-risk populations, including prostitutes and their clients, and STD patients. NGOs educate target populations, promote condom use, and enhance STD services and counseling. The APAC activity in Tamil Nadu focuses on prevention and control of sexual transmission of HIV among groups engaging in high-risk behavior. It uses proven strategies of education for behavior change--expanding access to and utilization of high quality condoms; expanding access to and utilization of quality STD treatment, especially for women; and supporting behavioral and operational research to improve program planning to shape intervention strategies and to measure impact. USAID plans to extend the HIV/AIDS prevention program under the APAC to Maharastra, a state with 50 percent of India's total reported HIV positive cases. The PACT/CRH activity provides financial support (including concessional loans,small grants and conditional grants) and technical assistance to commercial and private sector organizations. The loans support expanded distribution and marketing of existing technologies; the introduction of new reproductive and child health technologies and services; quality control and policy reform in the commercial sector; and the creation of demand through financing generic, social advertising campaigns.
Host Country and Other Donors: The Government of India's (GOI) World Bank-funded $100 million, seven-year, National AIDS Control Program (NACP) assists the government health system in Indian states to work on HIV/AIDS prevention. A second phase program is presently being negotiated for a 1999 start, when the Phase I program ends. The British Overseas Development Agency has launched a country-wide intervention with truck drivers to promote behavior modification and STD treatment. The European Union is supporting NGO activities in several Indian states. Most other donors contribute funds to the GOI's NACP. UNAIDS coordinates the response of the UN agencies to HIV/AIDS in India.
Beneficiaries: Though high-risk sexual activity takes place mostly between female commercial sex workers and their male clients, infection is transmitted to the female partners of clients. In addition to commercial sex workers and their clients, women and their children who are family members of clients are 50% of the beneficiaries.
Principal Contractors, Grantees, or Agencies: Under APAC from 1995 to 1997, USAID's worldwide AIDSCAP activity provided technical support to Voluntary Health Services, Madras, which is the nodal voluntary agency entrusted with APAC activity implementation. Now that the AIDSCAP program has ended, assistance will be provided by IMPACT, USAID's new global program of field support to country missions working in HIV/AIDS.
Under PACT-CRH the Industrial Credit and Investment Corporation of India (ICICI), Program for Appropriate Technologies in Health (PATH), SOMARC managed by the Futures Group, BASICS and Health Technology are the agencies involved.
Major Results Indicators: Baseline Target Percentage of individuals belonging to high-risk 37% (1997) 62% (2002) groups who report condom use in most recent sexual encounter with a non-regular partner Percentage of the population seeking 52% (1997) 77% (2002) care from qualified medical practitioners for symptomatic STDs in Tamil Nadu Cumulative number of APAC grants for 0 (1996) 100 (2002) AIDS prevention in Tamil Nadu
ACTIVITY DATA SHEET
PROGRAM: INDIA
TITLE AND NUMBER : Increased investment in agribusiness by private firms, 386-SPO2
STATUS: Continuing
PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1999: $1,000,000 DA
INITIAL OBLIGATION: FY 1995; ESTIMATED COMPLETION DATE: FY 2002
Purpose: The purpose of the Agricultural Commercialization and Enterprise (ACE) program is to accelerate competitive agribusiness development through increased investment flows and strengthened Indo-U.S. business linkages.
USAID Role & Achievements to Date: USAID, through its ACE program, lends catalytic seed capital for pioneering agribusiness ventures producing high value horticultural and agro-processed products. This support has enabled the agribusiness loan portfolio of the Industrial Credit and Investment Corporation of India (ICICI) to grow from $5 million in 1992 to over $100 million in the five years ending December 1997. India's horticulture product exports have increased three-fold from $155 million in 1992 to estimated $500 million in 1997. USAID has facilitated Indo-US agribusiness linkages.
The ACE program has successfully launched and continues to assist expansion of India's first and most comprehensive agribusiness information service housed in the Federated Chamber of Commerce and Industries. The database and trade opportunities listing provide import and export leads for goods and services as well as valuable regulatory, market and contact information for potential investors. USAID-sponsored workshops and training introduced Indian entrepreneurs to new approaches to refrigeration and preservation and established links between Indian businessmen and American suppliers.
Under the program, USAID helped: establish public-private agribusiness advisory panels in Punjab, Maharashtra and Karnataka states; develop models for private investment in agricultural marketing infrastructure such as networks of cold stores, fresh produce wholesale markets and cargo facilities at selected ports and airports; and launch a joint Indo-US agricultural university linkages program for establishing a Center of Excellence for Post Harvest Technology.
Description: USAID, in association with its partner, the ICICI, lends seed capital for pioneering horticultural and agro-processing ventures to demonstrate the feasibility of agribusiness lending. The ACE program also provides technical assistance and training to individual firms and industry associations and promotes Indo-US agribusiness linkages as a mechanism for technology transfer. The program also aims at removal of systemic policy and regulatory constraints on private participation in agribusiness related infrastructure and strengthening of access to information and technology. USAID plans to expand these activities with additional funding in FY 1999.
Host Country and Other Donors: In response to ACE effectiveness and nationwide geographical expansion, the Government of India transferred over $20 million in local currency to ICICI to finance agribusiness operations. Additionally, after the credit worthiness of agribusiness lending was demonstrated, ICICI has invested over $80 million from its own resources in similar agribusiness activities. Other donors such as the European Union, UNDP, FAO and the World Bank have drawn on USAID experience to replicate some of the activities. As an example, the World Bank is designing a similar $300 million activity for the state of Uttar Pradesh.
Beneficiaries: Farmers, rural women, financial institutions, agribusiness associations and individual firms that benefit directly and indirectly from rapid expansion of agribusiness.
Principal Contractors, Grantees, or Agencies: USAID implements activities through Chemonics International, a U.S. contractor; the International Executive Service Corps (IESC), a U.S. private
voluntary organization; ICICI, the leading Indian private development bank; the Federation of Indian Chambers of Commerce and Industry (FICCI); and Winrock International, a U.S. contractor that implements the Farmer-to-Farmer program in India.
Major Results Indicators: Baseline Target Increase in total investments 0 (1991/92)1 80 (1998/99) in ACE-funded agribusiness projects (cumulative $ million) Increase in ICICI lending to the agri- 4.2 (1991/92)1 125 (1998/99) business sector (cumulative $ million) Increase in value of horticultural 155 (1991/92)2 575 (1998/99) exports ($ million)________________________________________________
1 Source: Industrial Credit and Investment Corporation of India, Chemonics International
2 Source: Agricultural Products Export Development Authority (APEDA)
ACTIVITY DATA SHEET
PROGRAM: INDIA
TITLE AND NUMBER: Expanded advocacy and service delivery networks for women, 386-SPO3
STATUS: Continuing
PROPOSED OBLIGATION AND FUNDING SOURCE: FY 1999: $1,700,000 DA
INITIAL OBLIGATION: FY 1996; ESTIMATED COMPLETION DATE: FY 2001
Purpose: To expand women's role and participation in decision-making through activities in the areas of microfinance, girls' school participation and violence against women.
USAID Role and Achievements to Date: Financial Services for low-income women: Through USAID assistance to Friends of Women's World Banking, India (FWWB), financial services were provided to 18,750 low-income women who have neither collateral nor access to formal financial institutions. FWWB assisted eight affiliates to develop business plans.
Violence against women: To meet the need for information on violence against women, nine local institutions are conducting research, in collaboration with the International Center for Research on Women, to produce a report on "Patterns and Responses to Domestic Violence" in Gujarat, Maharashtra, Madhya Pradesh and Karnataka. This research is being guided by a National Advisory Council on Violence against Women.
Girls' Education Initiative: Under the USAID Girls' Education Initiative, teachers and communities in one district in Uttar Pradesh (UP) are developing a teachers' training module to improve girls' participation in primary schools.
Description: USAID's program to expand advocacy and service delivery networks for women is based on extensive consultations with women's groups, grass roots organizations, research institutions, government, media groups, and other donors.
USAID activities in financial services for low-income women focus on strengthening capacity of non-governmental organizations (NGOs) to reach poor women with financial services. In FY 1999, USAID plans to continue upgrading the business planning skills of NGOs to increase outreach of financial services to low-income women. Resources are required to strengthen the business planning and microfinance outreach of FWWB affiliates in northern states.
USAID's customer survey found no uniform information base on violence against women that could assist in advocating appropriate responses to widespread violence. NGOs, grassroots activists and professional bodies emphasized the need for USAID to support the development of a national data bank. Funds will be required to expand the data base that is under development in five states to an additional seven states.
Under the Girls' Education Initiative, a teacher training module to eliminate gender-bias in classroom practices and increase participation of girls in schools in one district in UP will be prepared and tested. The module is being developed in collaboration with a District Institute of Education and Training (DIET) and the Uttar Pradesh Primary Teachers' Union. The training module will ultimately be used for in-service training of teachers by DIETs. Additional resources are required to incorporate the teacher training module and develop community support for education of girls in more districts.
Host Country and Other Donors: The UN, World Bank, Swiss, Dutch, Australian and Canadian Governments all support credit and enterprise programs for women. These programs have focused mainly on women's self-help group formation and development of home-based enterprises.
In primary education, the World Bank, UN agencies, the United Kingdom and European Union areproviding assistance to the Indian Government's District Primary Education Program (DPEP) to improve coverage and quality of primary education, including provision of assistance in several states for school construction, teacher training and decentralized management of schools. The USAID activity strengthens this comprehensive program by focusing specifically on teacher training to improve community and classroom environments for girls' enrollment and participation in schools.
Beneficiaries: Girls, women and local institutions of India in areas assisted by USAID's Women's Initiatives (WIN) program.
Principal Contractors, Grantees and Agencies: Center for International Education, University of Massachusetts, International Center for Research on Women, Friends of Women's World Banking, India (FWWB), Tata Institute of Social Sciences (TISS), SNDT Women's University and other local institutions and researchers such as National Law School of India University, Bangalore and Hengasara Hakkina Sangha, Bangalore.
Major Results Indicators: Baseline Target Increased enrollment and retention 40% (1996)See footnote 1 45% (2000) of girls in primary schools in one district of Uttar Pradesh Training module being used in 0 (1996) 20 (1999) number of districts in Uttar Pradesh Increased number of women 15,000 (1996) 29,300 (1999) clients receiving financial services from participating microfinance organizations Increased business planning process 0 (1996) 50 (1999) established in participating organizations Increased number of local 0 (1996) 30 (1999) institutions and their constituencies organizing data for informed advocacy against violence against women
INDIA
FY 1999 PROGRAM SUMMARY
(in thousands of dollars)
USAID Strategies and Special
ObjectivesEconomic
Growth &
Agriculture
Population &
Health
Environment
DemocracyHuman
Capacity
Development
Humanitarian
Assistance
TOTALSS.O 1. Increased Mobilization of Capital Through Financial Sector Reforms
- D.A.
7,700
7,700
S.O. 2, Reduced fertility and improved reproductive health in north India
- D.A
-CSD
20,000
3,400
20,000
3,400
S.O. 3. Increased child survival and nutrition in selected areas of India
-CSD
-P.L. 480/II
5,100
91,752
5,100
91,752S.O. 4. Increased environmental protection in energy, industry and cities
-D.A.
11,600
11,600
Sp.O.1. Reduced transmission of HIV infection
-CSD
6,000
6,000
Sp.O. 2. Increased investment in agribusiness by private firms
-D.A.
1,000
1,000
Sp.O. 3. Expanded advocacy and service delivery networks for women
-D.A.
1,200
200
300
1,700
Totals
-DA
-CSD
- P.L. 480/II
9,900
0
20,000
14,500
0
11,600
0
0
200
0
0
300
0
0
0
0
91,752
42,000
14,500
91,752
USAID Mission Director: Linda Morse
Footnote: 1 GOI estimates
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