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Transition Initiatives Country Programs: The Philippines

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USAID/OTI Philippines Program Summary: May 1999

Tangible Benefits of Peace

Image depicting an ex-fighter plowing a cornfield. Photo Source: Paul Randolph
MNLF ex-fighter plows a cornfield as part of an OTI-funded reintegration project in Mindanao.

In the fall of 1996 the Moro National Liberation Front (MNLF) signed a groundbreaking peace agreement with the government of the Philippines. For years, the rebels had protested the political, economic, and social marginalization of Filipino Muslims by waging guerilla war. The peace agreement contained provisions for Muslim political autonomy, but also placed great emphasis on economic development for the Muslims in Mindanao. By the summer of 1997, the government's failure to deliver on the promise of peace fueled restlessness on the part of former fighters.

OTI's objective is to bring tangible benefits to potential spoilers. Its programs reintegrate ex-combatants through the Emergency Livelihood Assistance Program (ELAP)--part of USAID's Growth with Equity in Mindanao (GEM) project.

Operating in 11 MNLF state areas, with up to 380 participants per area, the program gives ex-fighters agricultural production inputs, training, and technical assistance. They are then asked to repay the value of the production inputs into a local community fund, which is used to mobilize savings and leverage bank services for future loans. OTI has also provided training to representatives of the Bangsamoro Women's Foundation for Peace and Development on enhancing community participation, to assist them in developing the community funds.

Oversight for OTI's program is provided by a management committee that includes representatives from USAID, the National Economic Development Authority, the Bangsamoro Women's Foundation (ELAP's local NGO partner) and is chaired by the Southern Philippines Council for Peace and Development. At the local level, ELAP is guided by community committees composed of the MNLF state chairman and representatives from the Bangsamoro Women's Foundation and the MNLF National Unit Command.

In April 1999, OTI launched a second program, the Transition Assistance Grants (TAG) Initiative, to promote cooperation between the MNLF, the government, and Christians and to empower citizens and civil society organizations in the poorest areas of Mindanao. TAG aims to improve socioeconomic conditions by linking village-based infrastructure and agriculture projects to the broader development objectives of the Philippines government and other donors. The projects are designed to prevent MNLF groups from reverting to armed conflict with the government by creating new opportunities for collaboration and enhancing indigenous leadership capability.

Testing Peace in Mindanao: Though the MNLF has signed a peace agreement with the government, more extreme Muslim organizations continue to seek independence from the Philippines. One such group, the Moro Islamic Liberation Front (MILF), rejected the 1996 peace process. Though MILF is currently in dialogue with the government, negotiations could be jeopardized if the economic development provisions of government's agreement with MNLF are not met. In addition, if MNLF supporters lose faith in the government's willingness and ability to redress their grievances, they could again resort to violence. OTI programs have bolstered the peace by giving the government breathing space to launch development programs.

Operational support for the TAG initiative is provided by Development Alternatives, Inc., a SWIFT contractor. OTI also coordinates with other donors funding programs in Mindanao, including Great Britain, Canada, Australia, UNDP, and the World Bank.

OTI Assistance FY 1997: $867,000
OTI Assistance FY 1998: $1,566,000
Total OTI Assistance to date (FY97-98): $2,433,000

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Thu, 24 Feb 2005 12:31:24 -0500
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