DRAFT USAID COUNTRY STRATEGY FOR INDONESIA (2009-

UNCLAS JAKARTA 001022 AIDAC FOR MARGOT ELLIS, AA/ASIA, A/A/ID, DAA/ASIA, ASIA/SPO, ASIA/EAA, GDA, DCHA, EGAT, GH DEPARTMENT FOR F, EAP, S/GAC, S/P E.O. 12958: N/A TAGS: EAID ID SUBJECT: DRAFT USAID COUNTRY STRATEGY FOR INDONESIA (2009- 2014) ¶1. This is an action message. See paragraph five. ¶2. Today the Mission transmitted to USAID Washington its proposed Country Strategy for Indonesia: A Partnership for Prosperity. ¶3. The draft USAID Country Strategy for Indonesia (2009-14) represents 18 months of systematic effort by staff throughout the Mission, together with Indonesian and other experts. They have all been engaged in analysis of Indonesia's development progress and problems, producing a dozen analytic reports. We have had vigorous debate. Ideas have been elicited from visiting teams and through workshops with experts who brought wide-ranging views. Priorities have been vetted with the Embassy, with donors, with civil society and with GOI officials. There is broad and unanimous support for these proposals: ¶A. The well-regarded education portfolio, given high priority by the Mission, the Embassy, the GOI and other donors, is building on success by addressing the next generation of challenges in basic education, improving teaching. A new higher education initiative will respond to Secretary Clinton's call for more linkages between U.S. and Indonesian universities. ¶B. The innovative environment portfolio faces a range of development challenges: from ensuring sustainability for urban water and sanitation for the poor to developing sustainable resource management strategies for forests, marine ecosystems and energy. The Indonesian counterparts for environment programs are seeking incentives for communities to protect natural resources, including agreements for international carbon credits. USAID will join with the new GOI Administration in pragmatically addressing global climate change. ¶C. Democracy and governance activities are shifting emphasis to making democratic governance deliver better for all Indonesians. Responsiveness to communities and clients is being strengthened for the legislature, the judiciary, and service agencies, at national and local levels. ¶D. The health portfolio is carefully targeted, designed in concert with our health colleagues in Washington, to improve Indonesian health services and control threatening communicable diseases. ¶E. The economic growth portfolio is addressing the growing need for good jobs and income in the lagging rural communities where investment in infrastructure - roads and electricity - is long overdue. The strategy lays out an ambitious cycle of engagement by USAID to accelerate IndonesiaQs development. The proposed investments build on IndonesiaQs remarkable democratic, social and economic transitions in the last ten years. The investments focus on consolidating those gains and redoubling nascent efforts to address global challenges like climate change and infectious disease. ¶4. The strategy is consistent with the Embassy's 2011 MSP and endorsed by Ambassador Hume. USAID priorities conform to GOI plans, as confirmed by the National Planning Agency. ¶5. Early Washington consideration and review of this strategy is requested. The Government of Indonesia has asked us to confirm that the new USAID strategy is in place by the end of July. North