[Kabar-indonesia] ADB to accelerate housing reconstruction in Aceh and Nias

[Joyo at aol.com]

Asian Development Bank (ADB)
1 September. 2006

Indonesia: ADB to accelerate housing reconstruction in Aceh and Nias

JAKARTA AND BANDA ACEH, INDONESIA - ADB has signed agreements with five 
international organizations to accelerate its program to build houses in earthquake 
and tsunami affected Aceh and Nias.

Housing remains a top priority for the international community and the Badan 
Rehabilitasi dan Rekonstruksi (BRR), the Government agency coordinating the 
overall reconstruction program, following the December 2004 tsunami disaster and 
the March 2005 earthquake. The five agreements will involve the construction 
of about 2,700 new houses and rehabilitation of 900, to be completed by 
September 2007.

The agreements, worth about US$25 million, were signed with Muslim Aid of the 
UK, Help eV and German Agro Action (DWHH) of Germany, Cordaid of The 
Netherlands, and the United Nations Center for Human Settlements (UN-HABITAT). The 
houses will be built in Pidie, Simeulue, Biruen, and Nias.

"These agreements highlight ADB’s continued commitment to the reconstruction 
and rehabilitation of Aceh and Nias in coordination with the overall 
reconstruction program tasked to BRR," says Edgar Cua, ADB Country Director in 
Indonesia.

ADB aims to finance the building at least 7,000 new and the rehabilitation of 
1,500 houses in affected areas. It is using on-budget and off-budget 
mechanisms to complete the houses by 2007.

Housing constitutes about one quarter of ADB's overall emergency grant of 
$300 million provided to Indonesia in April 2005 for the tsunami and earthquake 
reconstruction effort.

Under the total ADB allocation of $72.5 million for housing from the grant, 
BRR will act as both the executing and implementing agency for almost half. The 
balance will be undertaken with the support of international organizations. 
ADB is in discussions with other agencies for the construction of another 1,000 
houses.

As with all activities financed from the ADB grant, the construction of the 
houses will be in full compliance with applicable environmental and social 
safeguards requirements consistent with ADB policies.

"Completing the houses is vital to improving the living conditions of the 
people of Aceh and Nias," says Pieter Smidt, Head of ADB’s Extended Mission in 
North Sumatera. "It is an important step in helping to reestablish the lives and 
livelihood of the tsunami and earthquake victims." 

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Joyo Indonesia News Service
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