wfn.org | CWS Urges 'People Friendly' Not 'Donor Friendly' Pakistan Aid

["Lesley Crosson" <lcrosson@churchworldservice.org>]

Media Contacts: Lesley Crosson, CWS/New York, (212) 870-2676, lcrosson@churchworldservice.org
Jan Dragin - 24/7- (781) 925 1526; jdragin@gis.net

NEWS UPDATE

PAKISTAN DONORS CONFERENCE YIELDS EXPANSIVE PLEDGES, BUT CHURCH WORLD
SERVICE VOICES CONCERN OVER DEBT BURDEN OF 'SOFT LOANS'

Agency Urges 'People Friendly, Not Donor Friendly Grant Terms'

NEW YORK/ISLAMABAD - Tues Nov 22- International humanitarian agency Church
World Service says it was encouraged by world pledges at Saturday's donor
conference in Pakistan but voiced strong concern about increasing the
burden of Pakistan's debt. The NGO also urged donors to convert pledge
promises to immediate funds to aid survivors and avert further deaths
following the country's devastating October 8 earthquake.

"We are heartened by the generosity of the world's major donors and
particularly by the U.S.'s expanded pledge," says Church World Service
Emergency Response Program Director Donna J. Derr, "but historically,
following major disasters only about half of the pledges made by donors
ever materialize.

"It would be a sign of hope for the future to break from that tradition
with this disaster," she said.

Pakistan President Pervez Musharraf had asked for $5.2 billion for ongoing
emergency relief, reconstruction and rehabilitation. More than 70 donor
countries, financial institutions and aid organizations attended the
conference and donors exceeded the plea, promising $5.8 in cash grants and
loans.

The U.S. pledged $510 million, which includes $156 million already
given.

But from Pakistan today CWS Pakistan/Afghanistan Regional Director Marvin
Parvez said, "Approximately 68 percent of the pledges are loans- although
donors are calling them soft loans. But," he said, "the hard reality is
that Pakistan already has $32 billion in debt and is paying billions more
in interest on the principle.

"I don't know how we can help the children of Pakistan by adding to the
national debt," he said.  "As a generation, as a population, our children
were so mortally affected by the disaster itself. So many have died, lost
parents, are injured and traumatized. The deepened burden of debt just
makes the future a bit darker for them."

Yet, even cash grants are a two-edged sword, says Church World Service.
Parvez said "Every dollar that comes in converts into Pakistan rupees 60,
and this huge cash injection could raise inflation, not very helpful for
the rural poor.

"There are no perfect answers," he said, "But it is important that the
terms and conditions for grant contracts should be people friendly, not
simply donor friendly."

'Fine print on grant contracts important'

>From CWS's Washington office, Derr said "We are asking for transparency
and accountability from our government, so it is appropriate that we
expect the same from international donors. What the fine print on grant
contracts will say is very important," she said, "including how much will
go back to the donor country for buying 'technical expertise' and
equipment, and how much actually goes to the people in distress.""

Derr added, "We hope donor nations will not only expeditiously deliver on
their promises now, to help save the many thousands still homeless or
unserved, who are now facing the spread of disease and further illness or
death as the Himalayan winter descends. More than 73,000 died from the
quake and 3.3 million were left homeless.

"From our fifty years of service and partnership in Pakistan, Church World
Service is also urging that world bodies stay in for the long haul with
the people of Pakistan.

"So many officials who have visited the disaster areas have commented that
they've never seen destruction and access complexities of this magnitude.
Because of those challenges," she said, "we are still deep into the
emergency relief stage. If it's taking this long for rescue and relief, we
surely know that rehabilitation is going to take a long, long time."

Church World Service's Executive Director and CEO Rev. John L. McCullough
visited northern Pakistan last week, to visit the stricken region and to
offer support and comfort for CWS staff, many of whom lost family members
in the quake.

The single biggest donor country at the conference was Saudi Arabia, which
pledged $573 million in loans and grants, followed by the U.S.'s $510
million total pledge.

The World Bank and Asian Development Bank each pledged $ billion,
primarily in the form of loans. The Islamic Development Bank increased its
pledge from $250 million to $501 million.

Nearly 30 countries extended offers of help, with China pledging $316
million and Iran $200 million, according to Prime Minister Shaukat Aziz.

To date, from its international offices, Church World Service has provided
material aid to more than 20,000 families in northern Pakistan. CWS is
continuing to work, in conjunction with its partners through the international consortium Action by Churches Together, to deliver vital winter-insulated tents and heating equipment and to repair damaged water and sanitation
systems.

CWS-Pakistan/Afghanistan's staff on the ground are managing a tent village
in Bisyan, with 190 tents currently providing shelter for 161 families
(1142 people). Equipped with a health center and a mosque, the CWS tent
village is caring for approximately 60 patients daily.

In Balakot, Church World Service and Norwegian Church AID (NCA) are laying
a galvanized water-supply pipe and repairing a 2.5-km of remaining
pipeline. CWS and NCA are working in 10 locations across four districts to
provide 49 water taps, over 275 latrines, 56 baths and 830 tents.

The CWS field team is also assessing more remote areas with the intention
of reaching the most vulnerable survivors: widows, woman-headed households, orphans and the disabled. In order to reach women and reach them with
appropriate cultural sensitivities, female team members are being
deployed.

EDITORS, PLEASE NOTE: Please include in your listings of responding
agencies:
Contributions to support earthquake survivors can be sent to: Church World
Service
Southern Asia Earthquake --#6979, P.O. Box 968, Elkhart, IN 46515.
Contributions can also be made online, or by calling 800.297.1516, ext.
222.

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