REMARKS FOR THE RECORD
BY ASSISTANT SECRETARY FOR SOUTH AND
CENTRAL ASIAN AFFAIRS RICHARD A. BOUCHER
BEFORE THE U.S. HOUSE OF REPRESENTATIVES
FOREIGN AFFAIRS SUBCOMMITTEE ON SOUTH ASIA
“U.S.
Assistance to South Asia: Is there a strategy
to go with all that money?”
MAY 14, 2008
Chairman Ackerman, thank you
for the opportunity to address you and the Subcommittee today on the
President’s Fiscal Year 2009 request for assistance to the countries of South Asia.
I’m pleased to be testifying
today with Mark Ward, the Senior Deputy Assistant Administrator for Asia at the U.S. Agency for International Development.
Our two Bureaus are absolute partners in the planning and delivery of foreign
assistance in the region, so I suspect we’ll be repeating each other a bit
today.
As you know, Mr. Chairman, September
11, 2001 cast a spotlight on South and Central Asia for the United States and many other
countries around the world. Our engagement there suddenly became more critical
to our national security than perhaps anywhere else. In my opinion, that remains true today.
South Asia is a part of the
world where we see extremely difficult challenges: poverty, disease, terrorism,
drugs, weak governance, corruption and natural disasters to name some of them.
We also have great opportunities, with a population of over a billion people,
most of them young and increasingly connected to each other and the rest of the
world. The capabilities, resources and ideals of the United States uniquely position us
to help transform the region into one rooted in democratic stability and
committed to fighting extremism.
While the needs are near
infinite, fiscal realities dictate that we, as policy makers, think
strategically, allocate strategically and work with other countries to ensure
that we pursue those things that contribute most to the safety, stability and
prosperity of the people of the region.
The Strategic Vision
The United States
has a consistent policy basis throughout the region: promoting democratic
stability as the base from which to counter extremism and terrorism. We do this
by supporting efforts to build democratic institutions. We do this by
supporting the foundations of democracy: education, rule of law, access to
information, technology. We do this by supporting the opportunities all people
want, in education, health care and the economy. And, we do this by supporting those
institutions that provide security, fight terror and fight drugs.
While these efforts manifest
themselves in different ways through different programs in different countries,
what we pursue is not haphazard and it is not coincidence. It’s considered
strategic policy. And, in South Asia, we’re
pursuing it with the most important things we have: democratic ideals, money
and manpower.
Supporting Efforts to Build Democratic Institutions
All of the countries in South Asia are working towards becoming stable
democracies, but the great majority of them have not yet arrived. Across the
region, our assistance is geared towards increasing the capacity of governments
to deliver basic services, security, rule of law, and economic opportunity in a
manner that respects human rights and reflects the principles of democratic,
good governance. When governments
deliver in a transparent and effective manner, the space for extremists and
insurgents to operate with impunity closes.
Promoting good governance and
institutions figures prominently in our budgets in Afghanistan, where we are working
with a particular focus at the local and district level. Our efforts are
closely coordinated with the Afghan Government, who took the initiative this
past summer to actively improve its
ability to provide for its people with the establishment of the Independent
Directorate for Local Governance. Money
requested in the 2009 base budget will bolster this Afghan initiative by
supporting this office’s ability to empower local officials and enhance their
ability to serve their people.
In addition to tying people
to their government through the provision of vital services, citizens must also
be able to choose their government in free and fair elections. In Afghanistan, we attach great
importance to the upcoming presidential and parliamentary elections as an
essential part of the transition to a full democracy. Our Fiscal Year 2008
supplemental and 2009 budget requests include $193 million for upcoming
presidential, parliamentary, and provincial elections with an additional $113
million in 2009 supplemental bridge funding for municipal and district-level elections.
We’ve also worked very closely with Pakistan and are focusing our
assistance on helping the country make a smooth transition to elected
government. The recent election outcome in Pakistan illustrated the Pakistani
people’s commitment to democracy. Their choosing of a government comprised of
moderate political parties also demonstrates a desire to reject violent
extremists. The United
States must help the Pakistani people seize
the opportunities that these successful elections now present. Requests in the 2009 base and the 2009 bridge
supplemental will fund democracy and governance programs, including programs
that seek to strengthen the judiciary.
In anticipation of a
transition to a democratic government in Bangladesh following elections
scheduled for December, our 2009 budget requests $21 million in support of
democracy and governance programs, more than double the 2008 enacted level. U.S. assistance will promote
comprehensive anti-corruption reforms; strengthen the government institutions,
particularly at the local level; and support democratic political party
development.
Supporting Opportunities and the Foundations of
Democracy
While
democratic institutions are extremely important, stability can really only be
achieved when the basic needs of the region’s most vulnerable citizens are met. Poverty is a breeding ground for political
instability and the margins of society
are frequently the most susceptible to extremist ideology. Our health, education and economic programs
seek to improve the quality of life for the most vulnerable people. Our 2009 base request includes $283 million
for health and $222 million for education in South Asia.
In India,
we continue to strengthen our partnership by helping the Indians address the
health needs of their most vulnerable people, including $21 million for
HIV/AIDS projects in 2009. I would note
that our assistance request for India
has decreased slightly in Fiscal Year 2009 in recognition of the continuing
growth of the Indian economy and the ability of the government to fund more of
these important programs.
Education is another key component to improving
quality of life and one of the most important building blocks for a vibrant
economy. In Pakistan, we are requesting $117
million for basic education and $47 million for higher education in the 2009
base budget. Improving Pakistan’s
educational system is key to its long-term prosperity, stability and democracy
and provides an alternative to extremism. Our assistance will support Pakistan’s education reform in such
critical areas as teacher training and improving access for girls and women. It
will build schools in the Tribal Areas, provide scholarships and foster science
and technology cooperation between the U.S.
and Pakistan.
In addition to health and education, alleviating
poverty through economic opportunity and growth is equally as important in
encouraging a stable region. Our request for economic growth funding is as
robust as that for health and education.
Across the region we are promoting improvements to infrastructure,
including roads, communications and energy solutions crucial to economic
development. We are also working with
governments to implement key macroeconomic reforms and adopt growth promoting
trade and investment policies.
The Reconstruction Opportunity Zone legislation
recently introduced to Congress would authorize President Bush to establish
Reconstruction Opportunity Zones in Afghanistan
and the border regions of Pakistan
and would enable non-trade sensitive exports such as rugs, gemstones and handicrafts
to enter the U.S.
duty-free. If passed by Congress, these Zones would compel private sector
investment and provide a source of employment for the Pakistan border
and Afghan populations who might otherwise be targeted for terrorist
recruitment.
To augment
individual country assistance, we are requesting a substantial funding increase
to our regional account. Our regional
assistance programs seek to take advantage of synergies amongst countries to
broadly promote the development of fully sovereign, stable, democratic states
in South and Central Asia that are integrated into the world economy and
cooperating with one another, the United States and its partners. We
find that some of the most difficult issues facing our countries are indeed
found across the region and can be better tackled through cooperation with
neighbors.
Improving Security and Counterterrorism
Capability
Insurgents in Afghanistan and in Pakistan’s
frontier region continue to pose a serious threat to regional stability and to
the safety of the United
States and the rest of the world. Ensuring that Afghanistan
and Pakistan
have the capability to maintain their own security continues to be a primary
objective. Thus, our 2009 base budget
requests increased funding for programs aimed at helping governments build and
sustain their own capacity for providing security to their people.
In Afghanistan,
the increase will fund training for local forces in counterterrorism methods
and best practices and deepen our support of Provincial Reconstruction Teams.
In Pakistan,
our 2009 base request of $300 million and an additional $100 million requested
in the 2009 bridge supplemental will continue to support Pakistan’s security force
modernization, enhance the country’s counterinsurgency and counterterrorism
capabilities, and provide equipment and training in support of the Security
Development Plan for the Federally Administered Tribal Areas and surrounding
agencies. Equipment upgrades and
acquisitions will increase the capacity of Pakistan to secure its borders and
fight the insurgency. This funding will
also support expanding and upgrading the capabilities of the Frontier Corps to
become a viable local force for securing the western border region in
conjunction with the Pakistani military.
Equipping and training the Pakistani military is an important part of
building a strong and lasting relationship with Pakistan and recognizing their role
as a regional ally.
Our counter-narcotics
efforts continue to play a significant role in countering insurgency and
creating stability in the region, particularly in Afghanistan where poppy cultivation
fuels corruption and narcotics addiction, and is a source of financing for
criminal and insurgent groups. This year
we expect that about 24 provinces of 34 will be poppy free or have “low” poppy
cultivation. This is a significant
achievement; although overall poppy cultivation will likely remain the same or
decrease slightly. Where we can properly
implement our strategy, it is working.
We need to redouble our efforts in southern and western Afghanistan
which suffer from poor security conditions and poor governance. Our request for $313 million in the 2009 base
and another $185 million in the 2009 bridge supplemental will fund our
comprehensive five-pillar strategy involving public information, alternative
development, law enforcement, interdiction, and eradication.
Budget Request Overview
We have made progress on a broad range of fronts in South
Asia. Particular achievements include economic growth, strengthened
local and national institutions, and successes in countering insurgents. But that’s
not enough and important challenges remain, most prominently in the fields of counter
terrorism, improving governments’ capacity to provide basic services, and
strengthening democratic practices and institutions.
The President’s
Fiscal Year 2009 base budget request for South Asian states – Afghanistan, Pakistan,
Bangladesh, India, Nepal,
Sri Lanka, and Maldives – is
just over $2 billion dollars. Much of
our request remains concentrated in Afghanistan
and Pakistan,
which are key to regional stability.
Ensuring the
success of our security and reconstruction efforts in Afghanistan continues to be our
highest priority. Accordingly, just
under half of our total assistance to South Asia supports our assistance
priorities in Afghanistan. Afghanistan is not just a battle
theater to fight enemies, but a place of opportunity to have a close,
democratic ally in the heart of a continent with considerable political and
economic potential. For decades, Afghanistan has acted as a barrier between the
countries of South and Central Asia. As
stability in Afghanistan
increases, so do the possibilities for the movement of goods, people and ideas
between the countries of the region.
Our assistance
and engagement in Pakistan
are designed to help it develop into a stable, moderate, democratic country.
Consistent with our assistance priorities, portions of our aid to Pakistan
will continue to be dedicated to its western frontier, including the Federally
Administered Tribal Areas. The goal is
to spur development, enhance Pakistan’s
counter-insurgency capability, and improve coordination overall. Specifically, we aim to address the heath,
education and economic programs in the Tribal Areas through the continuation of
our five-year, $750 million funding commitment that began in Fiscal Year 2007. We’ve
requested $60 million in the Fiscal Year 2008 supplemental and $150 million in
the Fiscal Year 2009 base to fulfill this commitment. Building a strong,
lasting partnership with Pakistan
plays a pivotal role in broader counter terrorism efforts and is an important
factor in our overall success in supporting a stable and prosperous Afghanistan.
Donor
Coordination
The United States is one of the largest donors in South Asia, if not the largest. But, we can’t do it all. As
assistance resources grow scarce in meeting rising needs, donor coordination is
increasingly important. Since 2001, the international community has made
multi-year financial pledges (through 2013) of assistance to Afghanistan totaling over $43
billion. This continuing commitment
defies conventional wisdom about donor fatigue in Afghanistan. In fact, with few exceptions, most countries
have proven to be reliable international partners committed to preventing Afghanistan
from slipping back to its past as a sanctuary for terrorism.
The chief problem with
international assistance in Afghanistan
is not a shortage of funding, but the effectiveness of donor coordination. We are hopeful that the recent appointment of
Special Representative of the UN Secretary-General Kai Eide and the enhanced
mandate of the UN Assistance Mission in Afghanistan will improve donor
coordination this year. At the Paris Support Conference in June, the
international community will reaffirm our long-term commitment to Afghanistan,
and raise new financial pledges to support the Afghanistan National Development
Strategy and upcoming elections.
The Foreign Assistance
Process
As with any new process, we continue to work through the new procedures
and relationships, including a new foreign assistance Framework based on five assistance
objectives. Now into the third year of
the foreign assistance reforms, there is a much greater emphasis on the
integration of foreign assistance into the strategic planning process and the
alignment of budget requests with policy objectives. Accordingly, the Bureau of
South and Central Asian Affairs has increased our coordination and consultation
with counterparts at the U.S. Agency for International Development and other
key providers of foreign assistance in the region.
Another change is the creation of the Coordinator for Reconstruction and
Stabilization. The office of the
Coordinator focuses on early warning, conflict prevention and conflict response
in fragile and post-conflict states, as well as with the human causes and
consequences of conflict. We continue to collaborate with the Coordinator’s
office to identify opportunities and develop effective programs within the
region. Their assessment and programming
skill-sets inform and bolster our efforts to provide the most effective and
innovative assistance for countries at risk of conflict or destabilization.
Conclusion
In conclusion, Mr. Chairman,
I would like to thank you for this opportunity to appear before this Committee.
We continue to make every effort to be good stewards of our assistance
resources, focusing them on the critical priorities that make up a considered
strategy to realize our vision of a stable, prosperous and democratic South Asia.
I am happy to respond to your
questions at this point. Thank you.
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