News Release

From the Prime Minister's Web Site (http://www.pm.gc.ca/)

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CANADA'S NEW GOVERNMENT SUBSTANTIALLY BOOSTS SUPPORT TO DEVELOPMENT EFFORTS IN AFGHANISTAN

February 26, 2007
Ottawa, Ontario

Prime Minister Stephen Harper today announced up to $200 million in additional funding for reconstruction and development activities in Afghanistan. The announcement was made following a meeting with Christopher Alexander, the Deputy Special Representative of the United Nations Secretary General for Afghanistan.

"Taken together, the projects funded by today's announcement will help build the peaceful, stable, democratic country the long-suffering Afghan people deserve," said the Prime Minister.

The funding, to be disbursed this year and next on top of Canada's annual allocation of $100 million to development activities in Afghanistan, will flow to five priority areas: governance and development ($120 million); counter-narcotics ($30 million); policing ($20 million); de-mining ($20 million); and road construction ($10 million).

During the course of his remarks, Prime Minister Harper highlighted to Canadians that security is a necessary precondition for reconstruction. "Our government would not have been able to make these much-needed investments in Afghanistan's future were it not for the success of NATO and Afghan troops in beating back Taliban insurgents," said the Prime Minister. "Through today's announcement, we're consolidating and enhancing the gains that have been made on the ground."

Canada is among the leading nations involved in Afghanistan. In addition to helping secure the country from Taliban insurgents, Canada is also playing a key role in reconstruction, development, good governance, and law and order efforts in the recovering nation. Later today, the government will fulfill a commitment it made to Canadians last spring when it tables a progress report on the mission in Afghanistan.


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ADDITIONAL FUNDING FOR AFGHANISTAN RECONSTRUCTION AND DEVELOPMENT

BACKGROUND

Today's announcement was made in response to the recent agreement by the Government of Afghanistan and its international partners to proceed with more aggressive and determined rebuilding and development activities. The agreement was reached at a January 30-31 meeting in Berlin of the Joint Coordination and Monitoring Board (JCMB) attended by twenty-three countries and international institutions.

Areas identified as requiring increased focus include, for instance, improved capacity for delivering government services in Afghanistan's provinces and employment creation and an acceleration in the training of the Afghan National Army (ANA) and the Afghan National Police (ANP).

The JCMB is a high-level body that meets four times a year to oversee implementation of the Afghanistan Compact, which commits the international community (some 60 countries), along with the Government of Afghanistan and the UN, to achieve progress in three critical and interrelated areas of activity for the period 2006-11: security; governance, including the rule of law, human rights and tackling corruption; and economic and social development.

While there has been quiet but steady progress toward many vital goals contained in the Afghanistan Compact, efforts must be comprehensive and long-term. The funding announced today will support the following:

Afghanistan Reconstruction Trust Fund (ARTF) - $120 Million

The Afghanistan Reconstruction Trust Fund is a coordinated fund administered by the World Bank. It supports the Government of Afghanistan's budget so that it can pay for day-to-day operations, including the salaries of teachers and health-care workers. Canada's contribution of $40 million for operational support will help the government administer necessary services to the people of Afghanistan. The Afghan Reconstruction Trust Fund also supports Afghanistan's reconstruction and development work. Canada has dispersed $18 million for the ARTF since April 2006.

Canada will also provide the Fund an additional $55 million and $25 million respectively for two highly successful programs, the National Solidarity Program (NSP) and the Microfinance Investment Support Facility for Afghanistan (MISFA). The National Solidarity Program, to which Canada has contributed $13 million since April 2006, is the Government of Afghanistan's primary program for rural development. It has been very active in Kandahar and encourages communities to select the projects which best respond to their needs. The MISFA has allowed more than 300,000 Afghan clients, 72 per cent of whom are women, to start small businesses or purchase livestock in order to support their families. Since April 2006, Canada has disbursed $22 million in support of MISFA.

UN Office on Drugs and Crime (UNODC) - $27 Million

The mandate of the United Nations Office on Drugs and Crime is to combat illicit drugs and international crime. The UNODC works closely with the Government of Afghanistan to support the Afghan National Drug Control Strategy and has taken specific responsibility for training the Counter Narcotics Police of Afghanistan. Canadian funding will be used to: develop counter-narcotics law enforcement and judicial capabilities, so that traffickers can be apprehended and brought to justice; reduce the smuggling into Afghanistan of chemicals used to produce heroin; and help improve counter-narcotics cooperation between Afghanistan and its neighbours.

Counter Narcotics Trust Fund (CNTF) - $3 Million

The Counter Narcotics Trust Fund, administered by the United Nations Development Program (UNDP), provides funds in support of the Afghan National Drug Control Strategy through improvements to Afghanistan=s law enforcement and criminal justice institutions and by improving regional cooperation. Canada's contribution will be used to help build Afghanistan's counter-narcotics related institutions and ensure they reach the regions in greatest need, such as Kandahar. Our new counter-narcotics funding complements the funding that we already provide in Kandahar province to support alternative livelihood projects giving incentives to farmers to grow legal crops.

Law and Order Trust Fund for Afghanistan (LOTFA) - $20 Million

The Law and Order Trust Fund for Afghanistan, administered by the UNDP, has been instrumental in putting in place a payroll system that, for the first time, allows police officers to regularly draw their full salaries directly from banks, rather than depending on unreliable and irregular payments. Paying police salaries regularly and on-time helps to improve the professionalism and retention rates of the civilian police, and reduce graft. This contribution is in addition to previous Canadian contributions of $19.8 million to LOTFA as well as purchases of winter uniforms and vehicles for police in Kandahar. Our civilian and military police officers based at Canada's Provincial Reconstruction Team are also playing an important role in the development of a more professional police force in Kandahar by training and mentoring Afghan police.

UN Mine Action Program for Afghanistan (UNMAPA) - $20 Million

The UN Mine Action Program for Afghanistan, one of the largest and most efficient mine action programs in the world, has been in operation since 1989. An average of 60 Afghans are killed or injured by mines every month, half of whom are under the age of 18. Our goal is to reduce and eventually eliminate these losses. Canada's latest contribution, in addition to the $13.8 million disbursed since April 2006, will be directed towards the UN Mine Action Centre for Afghanistan, which is responsible for coordination and oversight of all mine action activities on behalf of the Government of Afghanistan. Current activities in Kandahar include minefield survey and clearance, stockpile reduction, mine-risk education, victim assistance and capacity building.

Asian Development Bank - $10 Million

Through contributions like Canada's, the Asian Development Bank is supporting the construction of Spin Boldak Road, a vital transport link between Kandahar City and Spin Boldak, located at the Afghan-Pakistan border. This road is an Afghan National Development Strategy priority and part of the "strategic transport link" connecting the ring road around Afghanistan with key border crossings to support legitimate, commercial traffic and security. Amongst other benefits, the road's construction is also providing much-needed employment and is benefiting the local economy.

For more information about Canada's reconstruction and development activities in Afghanistan, please visit: www.Canada-Afghanistan.gc.ca

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The Prime Minister's Office - Communications
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