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Jakarta, 6 July 2007
Japan Provides approx. US$18.64 Million Grant Aid to Indonesia for Four Projects

[Bahasa Indonesia]


  1. The Government of Japan has decided to extend grant aid for the following four projects, a total amount of which is up to￥2. 307 billion (approximately US$18.64 million or Rp168.01 billion) to the Republic of Indonesia. The diplomatic notes were signed between Mr. Shin Ebihara, Ambassador of Japan to the Republic of Indonesia, and Mr. Primo Alui Joelianto, Director General for Asia Pacific and African Affairs, Department of Foreign Affairs of the Republic of Indonesia, in Jakarta on July 6, 2007.

    The project titles and maximum amounts are as follows;
    (1) “Water Supply in Gunungkidul Regency of Yogyakarta Special Territory”
         (¥ 635 million, approximately US$5.13 million or Rp 46. 24 billion)
    (2) ”Expansion of Radio Broadcasting Coverage in the Remote Areas”
         (¥ 357 million, approximately US$2.88 million or Rp25. 96 billion)
    (3) ”Rural Water Supply in the Province of Nusa Tenggara Barat and Nusa Tenggara Timur”
         (¥ 245 million, approximately US$1.98 million or Rp17. 84 billion)
    (4) ”Promotion of Sustainable Coastal Fisheries”
         (¥ 1,070 million, approximately US $8.65million or Rp77. 97 billion)


  2. The details of the project;

    (1) Water Supply in Gunungkidul Regency of Yogyakarta Special Territory
    The National Medium-term Development Plan refers to “improving access of the people to quality health service” as one of the important challenges of Indonesia, and aims at providing facilities for clean water and basic sanitation under the program for healthy environment.

    Gunung Kidul Regency, which is located in the south part of Yogjakarta Special Territory, suffers severely from water shortage during the dry season. Only 30% of the residents in the area have access to safe water. One out of six people suffer from water-borne diseases such as diarrhea. Improving sanitation, especially developing the water supply system, is among the most important challenges. Especially, during the dry season, many residents are obliged to depend on buying expensive water or to utilize unsanitary water from rivers or shallow wells because water supply is suspended for 8 days out of 10 in order to save water.

    Under such a situation, the Government of the Republic of Indonesia requested the grant aid to develop the water supply system in the southwest part of the Gunungkidul Regency, to support the operation of the water supply system, and to build capacity for maintenance and management.

    Through this project, it is expected that about 93, 800 residents will benefit from the stable supply of safe water, and consequently, leading to a reduction in cases of water-borne diseases and improvement in the living environment. In addition, the burden of carrying water is expected to be reduced..
     
    (2)Expansion of Radio Broadcasting Coverage in the Remote Areas
    Indonesia is a multi-ethnic country with a large vast territory consisting of about 15,000 islands. In Indonesia, radio broadcasting is importantplyas a big role as a means to promote national integration (i.e. use of Indonesian language as an official language, rapid transmission of information etc.).

    However, the residents of the Tarakan Regency in East Kalimantan Province and Toli-toli Regency in Central Sulawesi Province can receive radio broadcasting only from the neighboring countries (i.e. Malaysia and Philippines) which is a cause of information gap with other parts of the country. It is not possible to receive medium wave (AM) radio broadcasting in the Tarakan and the Toli-toli Regencies.

    Under such circumstances, the Government of Indonesia requested grant aid from the Government of Japan for funding to build radio transmission facilities in Tarakan and Toli-toli Regencies.

    With this grant aid, about 670,000 people who live in Tarakan regency and Toli-toli Regencies will be able to receive medium wave (AM) radio broadcasting. Consequently, all RRI* broadcasting stations (58 stations) in Indonesia will have medium wave (AM) radio broadcasting facilities and will be able to air medium wave (AM) radio broadcasting throughout in Indonesia.
    * RRI: The Radio Public Broadcasting Institution in Indonesia
     
    (3) Rural Water Supply in the Province of Nusa Tenggara Barat and Nusa Tenggara Timur
    The National Medium-term Development Plan refers to “improving access of the people to quality health service” as one of the important challenges of Indonesia, and aims at providing facilities for clean water and basic sanitation under the program for healthy environment.

    Only 50-60% of people are able to have access to safe water because the Provinces of Nusa Tenggara Barat and Nusa Tenggara Timur are among the poorest in Indonesia. Improving sanitation, especially developing the water supply system, is among the most important challenges.

    Under such a situation, the Government of the Republic of Indonesia requested the grant aid to develop the water supply system in 6 villages in 3 regencies in the Province of Nusa Tenggara Barat and Nusa Tenggara Timur, to support the operation of the water supply system, and to build capacity for maintenance and management.

    Through this project, it is expected that about 20,000 residents will benefit from the stable supply of safe water, and consequently, leading to a reduction in cases of water-borne diseases and improvement in the living environment. In addition, the burden of carrying water, especially for women and children, is expected to be reduced
     
    (4)Promotion of Sustainable Coastal Fisheries
    The project site, Larantuka Sub-district, East Flores District, East Nusa Tenggara Province, has a high potential for the development of fisheries industry because approximately 70% of its fish resources is not harvested. However, due to inadequate fisheries infrastructure in the area, both fishermen and distributors are forced to conduct their activities inefficiently.

    Under such circumstances, the Government of Indonesia requested the Government of Japan grant aid for improving fisheries infrastructures.

    Fishermen infrastructure supported with this grant aid will enable fishermen to engage in activities such as unloading their boats and replenishing ice and fuel more effectively. This will result in improving freshness of fish products, which benefits both producers and consumers. It is expected that the impact of this assistance will contribute to the economic development of this region.

  3. The Government of Japan, as one of the largest donors to Indonesia, will continue to assist Indonesia’s efforts for development.



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