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USAID Information:
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Mali
The Development Challenge: Poor rainfall and instability in its main trading partner, Côte d'Ivoire, were the two principal factors retarding economic growth in Mali during 2003. GDP growth is projected to slow to 3.2% compared with 4.4% in 2002. Production of grain and cotton fell 8% and 26% respectively from the previous year and pockets of food insecurity emerged in regions particularly hard hit by drought. An estimated 0.5% - 1% of anticipated GDP growth in 2002 and 2003 was lost due to the on-going conflict that erupted in Côte d'Ivoire in September 2002. Government revenue and economic activity as a whole were negatively affected by the disruption in trade caused by the closing of the borders between the two countries at the peak of the crisis. Absorbing an estimated 200,000 - 250,000 Malians, formerly residing in Côte d'Ivoire, placed further strain on the already weakened economy.
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Economic prospects are brighter for 2004 as the country experienced abundant rainfall during the past agricultural season and the crisis in Côte d'Ivoire eased considerably leading to the reopening of Mali's borders with that country. In the past year, significant progress has been made in terms of the restructuring of the cotton, transport and telecommunications sectors. Recent agitation by urban workers for reductions in transportation and utilities costs and for higher wages could be a signal of growing disenchantment with the 18-month old government's ability to deliver on promises of a better life for all Malians.
Despite concerted donor attention and assistance provided over forty years, Mali remains one of the poorest nations. According to the results of the 2003 United Nations Human Development Index, Mali ranked 172 out of 175 countries - down from 164 in 2002. A number of key indicators of social well-being worsened during the period 1996-2001. Among these are: maternal mortality (582 per 100,000 versus 577 per 100,000); fertility (6.8 versus 6.7); and children underweight for age (38% versus 30%). Marginal improvements were noted with respect to the indicators for adult illiteracy, life expectancy, infant mortality and children attending school, which still remain among the worst in the world. The government has committed itself to turning around these dire statistics by directing additional resources to the social sectors.
Mali stands out as a stable democracy in the midst of the troubled West African region. Local elections are scheduled to be held early in 2004 - another important milestone in its far-reaching decentralization plan. Unfortunately the vast open territory in the north of Mali presents potential troubling security threats. Armed gangs have the ability to roam through the porous borders with Algeria, Niger, and Mauritania virtually unchecked. These conditions have the potential to facilitate increased terrorist activities in the north. Mali's commitment to democracy, its openness to economic integration in West Africa and its willingness to contribute peacekeeping forces have played an important role in U.S. and international efforts to bring stability to the region. Moreover, it is a predominantly Muslim country that is allied with the United States in the war on terrorism.
The USAID Program: The USAID program is addressing three strategic goals of USAID and the Department of State in Mali: (i) Democracy and Human Rights; (ii) Economic Prosperity and Security; and (iii) Social and Environmental Issues. Specifically, over the next two years, USAID intends to help increase people's incomes and well-being, improve the dismal health and education statistics cited above and give people the tools needed to govern effectively. The following Data Sheets describe the four strategic objectives and one special objective for which USAID plans to use FY 2004 and FY 2005 funds. These objectives will be attained by expanding economic opportunities, particularly for the rural poor; providing high impact health services to improve the health and welfare of women and children, and to prevent an HIV/AIDS epidemic; improving the quality of basic education; working to consolidate democracy through support of decentralization; and accelerating overall development by making information more widely accessible. Special attention will be given to increasing the use of irrigation in order to lessen Mali's economic and food security vulnerability to climatic variations. The objectives were developed in close coordination with the Malian government and other stakeholders, notably donors and the non-governmental sector. USAID's strategy is well integrated into Mali's own strategy to reduce poverty. Key features of this strategy of relevance to USAID are the development of a rural economy driven by the private sector, strengthened food production systems in the context of responsible natural resources management; expanded access to and improved delivery of health and education services; reinforced capacity for public sector management of decentralization; and greater gender equity.
Other Program Elements: In addition to the bilateral assistance to the Government of Mali, USAID has other on-going programs in Mali directly funded and/or managed by USAID's Washington-based pillar bureaus, the Africa regional bureau and the West African Regional Program (WARP). The Famine Early Warning System focuses on improving the quality and effectiveness of information/response planning systems that contribute directly to drought preparedness and the adoption of response plans. Collaborative Research Support Programs (CRSPs) focus on a number of crops such as peanuts, sorghum, millet, beans, and cowpeas as well as on soil, pests and natural resources. The West Africa InterCRSP Natural Resource Management Project aims to increase the availability of and access to knowledge, techniques and technologies to improve performance and people-level impact of natural resources management efforts in West Africa. International Agriculture Research Centers develop and disseminate improved varieties and technologies for crops such as rice, corn, sorghum and millet. Private Voluntary Organizations (PVOs) are supported through grants addressing rural poverty and food insecurity, empowerment of women in rural areas, micro-enterprise, maternal and child health, and cooperative development. The Malaria Research and Training Center established in Bamako in 1990 contributes to the improvement of the Malian National Malaria Control Program by updating staff skills in technical and operational aspects of malaria control. Food for Peace P.L. 480 Title II resources are monetized in Chad to generate local currency that is used for development activities in the harsh environmental conditions of northern Mali and in Chad itself under a regional food security program. WARP funding supports the work of a number of public and private sector regional organizations addressing region-wide issues of economic integration, population, health and nutrition, food security, the environment, natural resources management and conflict prevention.
Other Donors: Donor coordination is facilitated through a monthly meeting among Mali's leading bilateral and multi-lateral development partners and regular meetings between the donor community and the government. Leadership of the donor coordination group is shared on a semi-annual rotating basis with USAID having been selected to lead the group during the first six months of FY 2004. Within Mali USAID is also at the forefront (as chief facilitator) of a multilateral technical assistance program initiated by the World Bank to develop an Integrated Framework for expanding Mali's international trade. The United States ranks third among Mali's bilateral partners, and provides approximately 10% of overall assistance, which totals roughly $380 million per year, excluding debt relief. France and the Netherlands are the leading bilateral donors. Other key bilateral donors include Canada, Germany, Japan, Switzerland and Belgium. Bilateral assistance to Mali covers a wide range of development areas including national budget support (Netherlands, France, Canada, Germany, Switzerland), infrastructure construction (France), decentralization (France, Germany), the cotton sector (France, Switzerland), education (France, Germany, Japan, Belgium), health (Germany, Canada, Switzerland, Belgium), judiciary (Canada, France), microfinance (Canada), the Niger River (France), and energy (France, Germany, Canada). Multilateral donors present in Mali include the World Bank, which is involved in a wide range of development activities including rural development (with a particular focus on the cotton sector), budget support, health, education and democratic governance. The European Union, the African Development Bank and the West African Development Bank are engaged in road construction, rural development and budget support. The UN agencies are active in health, education and governance, and the World Food Program works in the areas of education, health, nutrition and food security.
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