U.S. provides $400m for Aceh, Nias

U.S. provides $400m for Aceh, Nias

The United States handed over on Thursday US$400 million in aid
to support the reconstruction of tsunami-wrecked Aceh and Nias.

President Susilo Bambang Yudhoyono and United States
Ambassador to Indonesia Lynn B. Pascoe (left photo above)
witnessed the signing of a memorandum of understanding to mark
the disbursement of the assistance at the State Palace.

Representing the Indonesian government was Kuntoro
Mangkusubroto, who heads the Aceh and Nias Reconstruction and
Rehabilitation Agency, while the U.S. was represented by William
M. Frej, the mission director of the United States Agency for
International Development (USAID).

Kuntoro said the U.S. aid would be channeled in the form of
programs, including relief work, the reconstruction of a 240-
kilometer road connecting Banda Aceh and Meulaboh, and micro-
credit activities. The U.S. allocated some $250 million for
roadwork alone.

Frej said the road reconstruction projects would be offered to
national companies and were expected to begin next month. -- JP