Reconstruction Players Discuss Aceh and Nias Reconstruction Process
 HALF OF ALLOCATED BUDGET HAS BEEN DISBURSED

Jakarta, 24 April 2007 – The Rehabilitation and Reconstruction Agency
of Aceh and Nias (BRR) together with local and central government
representatives, local and international NGOs, and donor agencies,
convened a one-day summit, The Third Coordination Forum for Aceh and
Nias (CFAN) today in Jakarta.

The forum brings together the many partners working in reconstruction
and rehabilitation to discuss collective progress and challenges in
the reconstruction efforts. Reconstruction partners, including the
BRR, local and central government, international and local NGOs,
donors and other organizations, manage thousands of projects and more
than US$6 billion in pledged reconstruction funds. The forum provides
a critical avenue for sharing information about progress, identifying
bottlenecks that block the recovery effort, and creating collective
policies and strategies for moving forward.

This year's CFAN meetings focused on three critical sectors in the
reconstruction process: housing and settlements, infrastructure, and
economic development. It also included an examination of the
rehabilitation and reconstruction progress half-way through the BRR's
four-year mandate.

Approximately US$ 6.1 billion is required to rebuild Aceh and Nias
that consists of US$ 4.5 billion for the tsunami affected area in
Aceh, US$ 400 million for the earthquake affected area in Nias, and an
additional US$ 1.2 billion for inflation.

Of the total US$ 7.1 billion committed funds from the Indonesian
Government, NGOs and donor agencies, US$ 3.8 billion of the total
allocated budget has been used for various projects and activities.
"This is really an encouraging achievement," said the head of BRR
Kuntoro Mangkusubroto. "We have faced challenges, but have managed to
disburse half of the allocated budget to rebuild Aceh and Nias,".said
Kuntoro. Kuntoro also thanked all parties for their commitment to the
rehabilitation and reconstruction in Aceh and Nias.

Kuntoro, along with representatives from donor countries and agencies
at the CFAN meeting, noted that the reconstruction program has made
significant progress.

"This 3rd CFAN has given all stakeholders - local, international, big
and small - a voice to discuss the future of Aceh and Nias," said
Canadian Ambassador John Holmes. "It is an opportunity both to reflect
on all that we have achieved in the last two years and to look forward
by exploring how we can do things better. BRR should be commended on
organizing this forum."

During the forum, many participants expressed the need to develop an
exit strategy for the transferring of BRR responsibility to local
government.

"There should be a preliminary discussion about the hand over from BRR
to the local government during the CFAN discussions," said Afrizal
Tjoetra, director of Aceh Development Fund. "The rehabilitation and
reconstruction process should be continued beyond BRR mandate and the
local government has to take it over."

***

For Further Information

Tuanku Mirza Keumala
Spokesperson BRR NAD-Nias
0812 6989518

----------

Progress of Rehabilitation and Reconstruction in Aceh
(March 2007)

Houses: 120.000 (needs), 64.965 (reconstrocted), 54,13 % (percentage)
Roads:  3.471 km (needs), 1.553 km (reconstructed), 44,74 % (percentage)
Sea Port:        19 (needs) , 8 (reconstructed), 42,10 % (percentage)
Airport/airstrip: 18 (needs), 7 (reconstructed), 38,88 % (percentage)
Teachers:       2.500 (died), 17.115 (trained)   -
Schools:        2.006 (needs), 782 (reconstructed), 38,98 % (percentage)
Health Facilities:      127 (needs) , 359(reconstructed), 282,67 % (percentage)


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