haiti action plan

8/7/2019 Haiti Action Plan

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Action plan for national recovery and development of Haiti

Table of contents

Action Plan for National Recovery and Development of Haiti

PREFACE .................................................................................................3

1. INTRODUCTION .....................................................................................5

2. THE SITUATION: PDNA SUMMARY .............................................................62.1 The disaster and its impacts ...........................................................................62.2 Damage, losses and requirements.....................................................................7

3. VISION AND APPROACH FOR HAITIS REBUILDING ........................................8

4. IMMEDIATE ACTIONS FOR THE FUTURE ..................................................... 10

4.1 TERRITORIAL REBUILDING................................................................... 124.1.1 Reconstruction o devastated zones ............................................................ 124.1.2 National transport network ........................................................................13

4.1.3 Preparation or the hurricane season and disaster risk management ..................154.1.4 Regional development centres and urban renovation ......................................164.1.5 National planning and local development .....................................................184.1.6 Watershed management .............................................................................19

4.2 ECONOMIC REBUILDING ...................................................................... 214.2.1 Agricultural production .............................................................................224.2.2 Investment and access to credit .................................................................244.2.3 Private sector ..........................................................................................264.2.4 Access to electricity .................................................................................274.2.5 The role o the Haitian Diaspora .................................................................28

4.3 SOCIAL REBUILDING .......................................................................... 314.3.1 Housing or the population: temporary and permanent ...................................324.3.2 Creation o high-intensity labour jobs .........................................................324.3.3 Social protection ......................................................................................344.3.4 Recovery o the cultural sector ...................................................................344.3.5 Education: Returning to school and school construction .................................364.3.6 Healthcare, ood security and nutrition, water and sanitation .........................37

4.4 INSTITUTIONAL REBUILDING ...............................................................424.4.1 Democratic institutions .............................................................................424.4.2 Relaunching central administrations: salaries, relocation, equipment ................424.4.3 Justice and security ..................................................................................45

4.5 TOTAL TABLE OF COSTS ....................................................................... 47

5. THE MACROECONOMIC FRAMEWORK 2009 - 2015 ....................................... 475.1 Context, priorities and challenges ..................................................................475.2 Macroeceonomic objectives or 2015 ..............................................................485.3 Job and growth policy .................................................................................485.4 Fiscal and budgetary policy ..........................................................................495.5 Monetary and exchange rate policy ................................................................49


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6. FUNDING MECHANISMS ........................................................................506.1 Budget support ...........................................................................................506.2 Funding rom bilateral donors .......................................................................526.3 Funds managed by and through NGOs .............................................................53

7. MANAGEMENT AND RECONSTRUCTION STRUCTURES ................................... 537.1 The Haitian Interim Reconstruction Commission (HIRC) ....................................54

7.1.1 Mission and mandate o the HIRC ............................................................... 547.1.2 Composition o the HIRC ...........................................................................547.1.3 Sectretariat o the HIRC ............................................................................557.2 Haitis reconstruction and development und ................................................. 55


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PREFACE

The Action Plan or National Recovery and Development o Haiti that we are presenting to our partnersin the international community indicates the requirements to be ullled so that the earthquake,devastating as it was, turns into a window o opportunity so that, in the Head o States words, thecountry can be reconstructed. This is a rendezvous with history that Haiti cannot miss. We must obtainresults; we owe it to our children and our childrens children.

The solidarity expressed spontaneously in the hours ollowing the disaster by Haitian men and women athome and abroad, as well as by the international community towards our people, gives us the condencewe need in this historic duty.

The plan that we are putting orward is based on a joint eort o refection and consultation. Indiplomatic circles, ormal and constructive talks have made us aware o the expectations o ourinternational partners and allowed us to explain to them our choices or the uture. On technical issues,national ocials, supported by international experts, have carried out an assessment o damage andlosses as part o the PDNA (Post Disaster Needs Assessment), which is an integral part o this plan.

This proposal is Haitian because, despite the very tight schedule, key sectors o Haitian society wereconsulted. This is the same or all Haitians living abroad who have mobilised themselves and have shown

that their commitment to the uture o the country remains a strong binding actor o active solidarity.These eorts and consultations are ongoing and will continue in the weeks and months ahead.

We must learn rom this national tragedy, which is why the proposal not only encompasses the aectedareas but also calls or structural changes aecting the entire national territory. We must reverse thespiral o vulnerability by protecting our people rom natural disasters, managing our water catchmentareas to make them sae and productive in a sustainable way, and stimulating the development oregional centres that can provide quality o lie and uture prospects or a growing population.

The challenge that lies ahead is enormous. This is why, as the Secretary-General o the OECD andthe Chairman o the Development Assistance Committee has pointed out, we must nd new ways tocooperate, based on the principles o the Paris Declaration and those pertaining to operations in Fragile

States, particularly by making the strengthening o the state central to our action.

With this in mind, we must strengthen the links between all regions o the country and encourage thestrengthening o the regional partnerships that will create opportunities or change all over the country,the Caribbean and beyond.

We need to connect these regions using not only a network o roads but also adequate port and airportacilities and a range o public services that are suited to economic and social development needs,particularly in terms o education and access to quality healthcare services.

We must act now, but with a clear vision or the uture. We need to agree on a short-term program, whilecreating mechanisms that enable us to prepare and implement detailed programmes and projects that willlead to clear action within a ten-year timerame.

We understand the importance o reviewing our political, economic and social governance. We pledge toact in this regard.


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(credit: UN Photo/Pasqual Gorriz)


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1. INTRODUCTION

The earthquake on 12 January 2010 struck Haiti at the heart o its capital, Port-au-Prince, as well asin the towns o Logne, Jacmel and Petit-Gove. The damage and losses, which grew every day, areestimated to be nearly 8 billion USD according to the assessment o losses and damage made in the lastew weeks.

Very soon ater the earthquake it was obvious that such a toll could not be the outcome o just the orceo the tremor. It is due to an excessively dense population, a lack o adequate building standards, thedisastrous state o the environment, disorganised land use, and an unbalanced division o economicactivity. The capital city accounts or more than 65percent o the countrys economic activity and85 percent o Haitis tax revenue.

Rebuilding Haiti does not mean returning to the situation that prevailed beore the earthquake. It meansaddressing all these areas o vulnerability, so that the vagaries o nature or natural disasters never againinfict such suering or cause so much damage and loss.

The plan that has been put orward is inspired by a vision that goes beyond a response to the losses anddamage caused by the earthquake, even though it proposes action to be taken over the next 18 monthsand estimates costs over this period. It aims to launch a number o key initiatives to act now while

creating the conditions to tackle the structural causes o Haitis under-development.

The situation that the country is acing is dicult but not desperate. In many ways it is an opportunityto unite Haitians o all classes and origins in a shared project to rebuild the country on new oundations.Nobody has been spared, and no one can pick themselves up again alone. We must build on this newsolidarity which is expected to trigger proound changes in behaviour and attitudes.

That is why the plan being put orward is not exclusively a state, Government, or Parliament plan. It isa plan or all sectors o Haitian society where everyone is called upon to play a role in searching or thecollective interest that is ultimately the best guarantee o individual interests in an inclusive society.

The priorities o the Action Plan or National Recovery and Development are responding to the

urgent situation immediately, relaunching economic, governmental, and social activity, reducingHaitis vulnerability to natural disasters, and putting Haiti back on the road to development.

The plan is divided into two phases. The rst is in the immediate uture, which lasts 18 months, coversthe end o the emergency period and includes preparation or projects to generate genuine renewal. Thesecond stage has a time horizon o ten years, allowing it to take into account three programming cycleso the National Strategy or Growth and Poverty Reduction.

This is why the plan proposes to set up a Temporary Committee or Rebuilding Haiti, which willeventually become the Agency or the Development o Haiti, and a Multiple Donor Fiduciary Fund that willenable the preparation o les, the ormulation o programmes and projects as well as their nancing andexecution, all with a coordinated and coherent approach.

The plan ocuses primarily on activities nanced by public aid or development since it is the outcomeo a meeting held by donors. It still leaves plenty o room or other actors in the business and privatesectors and NGOs, who are essential players in Haitis renewal. It puts orward a macro-economicramework based on growth and a series o measures to acilitate wealth creation by the private sector.


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A continuity to be ensured

Haiti has undertaken a political journey to regain ull national sovereignty since constitutional rulewas restored in 2006. This journey included eorts to guarantee political stability, to make existingdemocratic institutions work, to establish those provided or in the constitution but that did not exist,and to relaunch national growth.

The process undertaken in recent years must continue. The objectives are still entirely relevant. Theearthquake must not obscure the desired goal: building a democratic Haiti that is inclusive andrespectul o human rights.

This is why the electoral process will be reinstated as soon as the conditions are right or credibleelections to be held, and all eorts will be made to try to adhere to the constitutional calendar.

The state is also committed to keeping up its eorts in the ght against corruption, and to establishmechanisms capable o ensure the greatest amount o transparency in the management o public unds.

In the development phase, programmes and projects that are underway must be pursued when theyare already part o the PARDN or redirected so that they are. The momentum created since 2006 mustnot stop. It is important to maintain the highest possible level o activity throughout the country, in

particular to continue and complete the road network, support agricultural productions and expand thesupply o basic services to the population.

Haitis expectations rom the international community

Haiti expects the international community to reiterate its long-term commitment to support the countryduring reconstruction and to do so with respect or the Haitian leadership.

Haiti asks its international partners to urgently mobilise the nancial resources required to respond tothe emergency. To do this, we must create jobs, re-house disaster victims, open schools and higher-education institutions in preparation or the new school year, provide access to healthcare, prepare orthe hurricane season, bridge the gap in state tax revenues, restart the administration, and boost theeconomic channels.

Funds must be made available or this purpose over a period o ten to eighteen months. Budget supportis an emergency and can be considered an appropriate nancial mechanism in these circumstanceswhile waiting or scheduled mechanisms to be set up: the Trust Fund and the Interim Committee or theReconstruction o Haiti.

2. THE SITUATION: PDNA SUMMARY

This Post Disaster Needs Assessment (PDNA) was carried out by a joint team o national and internationalexperts, who were actively assisted by representatives o NGOs and the Haitian civil society.

This section summarises the assessments conclusions. Detailed inormation on losses and damage areprovided separately in an appendix to this document.

2.1 The disaster and its impacts

On 12 January 2010, shortly beore 5:00 pm, an earthquake measuring 7.3 on the Richter scalestruck Haiti or 35 seconds. It was the most powerul earthquake to hit the country in 200 years. Thehypocentre o the earthquake was near the earths surace (at a depth o 10 km) and its epicentre wasnear the town o Logne, about 17 km south west o the capital. The eects were elt in the Ouest, Sud-Est and Nippes departments. The Port-au-Prince metropolitan area (including the towns o Port-au-Prince,Carreour, Ptionville, Delmas, Tabarre, Cit-Soleil and Kensco) suered a substantial amount o damage.Eighty percent o the town o Logne was destroyed.


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The earthquake has created a situation without precedent, made worse by the act that it hit thecountrys most populated area as well as its economic and administrative centre. The situation is evenmore tragic because or the last three years Haiti has experienced stability in terms o society, politics,security, economic growth and a nascent improvement in living conditions.

IMPACT ON HUMAN LIFEThe human impact is immense. Roughly 1.5 million people, i.e. 15 percent o the national population,

were directly aected. According to the national authorities, more than 300 000 died and as many wereinjured. About 1.3 million people are living in temporary shelters in the Port-au-Prince metropolitanarea. Over 600,000 people have let the aected areas to seek shelter elsewhere in the country. Existingproblems in providing access to ood and basic services have been exacerbated. By striking at the veryheart o the Haitian economy and administration, the earthquake has had a severe eect on human andinstitutional capacities, both the public and the private sector, as well as international technical andnancial partners and some non-governmental organisations (NGOs).

IMPACT ON INFRASTRUCTUREThe destruction o inrastructure is colossal. About 105,000 homes were totally destroyed and over208,000 were damaged. More than 1,300 educational institutions and more than 50 hospitals and healthcentres have collapsed or are unusable. The countrys main port cannot be used. The Presidential Palace,

Parliament, law courts, and most ministerial and public administration buildings have been destroyed.IMPACT ON THE ENVIRONMENTAlthough environmental indicators were already at warning levels, the earthquake has put urtherpressure on the environment and natural resources, thus increasing the extreme vulnerability o theHaitian people.

2.2 Damage, losses and requirements

To prepare estimates o damage, losses and requirements, about 250 national and international expertshave worked or nearly a month, in eight theme groups: governance, environment and risk and disastermanagement, social sectors, inrastructure, production, cross-cutting themes, territorial development andmacro-economic analysis.

The estimate o damage, losses, economic impact and requirements was carried out as ollows:

Damagesare estimated at the replacement value o physical assets completely or partiallydestroyed, built using the same standards that prevailed beore the disaster;

Lossesare estimated rom the economic fow resulting rom the temporary absence o thedamaged assets;

Theimpactofthedisasteroneconomicperformance,employmentandpovertywasassessed

using damage and loss estimates;Requirementsinclude the recovery, reconstruction and rebuilding o Haiti.

Overall damage and losses caused by the earthquake on 12 January 2010 are estimated to be USD 7.9

billion, which is just over 120percent o the countrys GDP in 2009. In act, since the DALA method orestimating damage and losses was rst devised 35 years ago, this is the rst time that the cost o adisaster is so high in relation to the countrys economy.

Most damage and losses were elt by the private sector (USD 5.5 billion, i.e. 70percent), whereas therewas USD 2.4 billion o damage and losses in the public sector (i.e. 30percent o the total).

The value o destroyed physical assets, including housing units, schools, hospitals, buildings, roads,bridges, ports and airports, is estimated to be USD 4.3 billion (55percent o the overall cost o thedisaster). The eect on economic fows (production losses, reduction o turnover, loss o employment andwages, increase in production costs, etc.) was USD 3.6 billion (equivalent to 45percent o total).


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Housing is undoubtedly the sector most aected by the earthquake, since overall damage amounted toUSD 2.3 billion. This gure includes destruction o dierent types and qualities o housing units, thevalue o partially damaged houses and household goods. Losses to the housing sector are estimatedto be USD 739 million. The housing sector thereore represents about 40percent o the eects o theearthquake. The other sectors aected, in order o decreasing importance, are trade (damage and losseso USD 639 million, or 8percent o the total), transport and public administration buildings (USD 595million each), and education and health (with an average o 6percent o the total).

The total value o requirements is 11.5 billion USD, broken down as ollows: 50percent or the socialsectors, 17percent or inrastructure, including housing, and 15percent or environment and risk anddisaster management. The needs assessment was carried out as described above, rom based on the worko the 8 theme groups. (These estimates have not yet been prioritized or validated by the Government.These constitute a rst step o a more thorough undertaking or the donor conerence taking place inNew York on 31 March 2010).

3. VISION AND APPROACH FOR HAITIS REBUILDING

The Haitian Head o State dened the countrys long-term vision or development in the ollowing terms:

We will rebuild Haiti by turning the disaster on 12 January 2010 into an opportunity to make it anemerging country by 2030.

This restructuring will be marked by:

Afair,just,unitedandfriendlysocietylivinginharmonywithitsenvironmentandculture;

a modern society characterised by the rule o law, reedom o association and expression andland management.

Asocietywithamodern,diversied,strong,dynamic,competitive,openandinclusive

economy based on the land.Asocietyinwhichpeoplesbasicneedsaremetquantitativelyandqualitatively.

Aknowledge-basedsocietywithuniversalaccesstobasiceducation,masteryofqualicationsbased on a relevant proessional training system, and the capacity or scientic and technical

innovation ed by a modern and ecient university system, in order to create the new type ocitizen the country needs or reconstruction.

Allofthis,underthesupervisionofaresponsible,unitarystateguaranteeingthe

implementation o laws and the interests o the people with a strong commitment todeconcentration and decentralisation.

He continued by stating that to ensure consistency in these actions, the Government has drawn up aramework or reconstruction, based on the various proposals received, that will ocus on our main areas:

1. Territorial rebuilding, including identiying, planning and managing new development centres,stimulating local development, rebuilding aected areas, implementing economic inrastructure requiredor growth (roads, energy and communication), and managing land tenure, in order to protect property

and acilitate the advancement o large projects.2. Economic rebuilding, which, along with developing key sectors, will aim to modernise the variouscomponents o the agricultural sector, providing an export potential in terms o ruits and tubers,livestock arming and shing, in the interests o ood security; develop the proessional constructionsector with laws and regulations relating to earthquake-resistant and hurricane-resistant materials andimplementation and control structures; promote manuacturing industries; and organise the developmento tourism.


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3. Social rebuilding to prioritise a system o education guaranteeing access to education or all children,oering vocational and university education to meet the demands o economic modernisation, and ahealth system ensuring minimum coverage throughout the country and social protection or the mostvulnerable workers.

4. Institutional rebuilding that will immediately ocus on making state institutions operational againby prioritising the most essential unctions; redening our legal and regulatory ramework to better adapt

it to our requirements; implementing a structure that will have the power to manage reconstruction; andestablishing a culture o transparency and accountability that deters corruption in our country.

This ideal, to be reached within 20, years calls or the mobilisation o all eorts and all resources tomake a qualitative change, the theme o the National Strategy or Growth and Poverty Reduction inNovember 2007. This strategy remains an important reerence point in setting objectives.

However, the earthquake on 12 January necessitated a break with previous approaches. The scale othe problems to be solved and the means to be mobilised call or new types o action, a new orm ocooperation and joint responsibility between Haiti and the international community in the results to beachieved.

The action plan must combine the pressing need to act now by providing the structural growth conditionsrequired in the long-term. Below is a description o the three main phases o planned action, i.e.the periods during which Haiti must request support rom the international community so that thisreconstruction, which is a historical duty or each Haitian, can occur.

Theemergencyperiod, which must be used to improve accommodation or the homeless; toreturn pupils to school and students to university and vocational training centres; to prepareor the next hurricane season in the summer; to pursue eorts to restore a sense o normalityto economic lie, especially by creating large numbers o jobs through high-intensity work, byguaranteeing stability in the nancial sector and access to credit or SMEs; and to continueto reorganise state structures. During this period, it will be necessary to work on developmentstrategies and plans or selected new economic centres; to pursue action in avour oequipping reception zones or those who have been displaced by the earthquake; and to setup an electoral process to avoid constitutional gaps.

Theimplementation period (18 months), or projects to kick-start the uture o Haiti andestablish a ramework o incentives and supervision or private investment on which Haitiseconomic growth will be ounded. As oreseen by various analyses and assessments, privateinvestment in the economy as well as in the social sector will orm the backbone o thecountrys reconstruction. Among the commitments o donors, support will be given to theprivate sector to provide it with the capacity required to ull this role.

Theperiod(10years)duringwhichthereconstructionandrecoveryofHaitiwillbecomeareality, in order to put the country back on the road to development, ollowed by another tenyears to make it a real emerging country.

The New York conerence should allow Haitis international partners to commit resolutely to the rst twoperiods and to accept the principle o long-term support so that the mutual responsibility pact agreed inMadrid in 2006 will become a reality.

The technical meeting in Santo Domingo has already paved the way in this direction by identiying twospecic packages, i.e. budgetary support o USD 350 million in addition to the current budget and acommitment to provide USD 3.8 billion during the ollowing period.


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4. IMMEDIATE ACTIONS FOR THE FUTURE

The Action Plan or National Recovery and Development includes actions which are dened in time, overan eighteen month timescale. It is based on our major areas o work which should enable the practicalrebuilding o Haiti. The sectoral actions and initiatives are brought together according to the themes oregional, economic, social and institutional reconstruction.

The specic action plans or each eld are organised in the ollowing way:

Territorialrebuilding:Reconstructionofthedevastatedzonesandurbanrenovation,theroad

network, regional development hubs and urban renovation, preparation or the hurricaneseason and regional planning and local development.

Economicrebuilding:Relaunchofnationalproduction,restorationofeconomicandnancial

circuits, access to electricity.Socialrebuilding:Health,foodsafety,nutrition,water,sanitation,highlylabour-intensive

activities.Institutionalrebuilding:Democraticinstitutions,restartofpublicadministration,justiceand

security.

The structure adopted or the document presents the action plans according to the purposes o

intervention. The so-called cross-cutting themes: gender equality, youth and disabled persons willbe dealt with within each o the plans presented. Thus the chapters relating to the reducing thevulnerability o populations, health and the social protection network target in particular women,children and disabled persons. The theme o the environment runs throughout all the interventions inarming, development o watersheds and regional development.

The estimation o costs or each item is based on PDNA data, which were produced by the ministries andnational organisations, and on an estimation o the absorptive power o each o the sectors over the nexteighteen months. This estimation has also taken into account the various sources o unding other thanpublic development aid, in particular private investments and humanitarian aid unds.


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4.1 TERRITORIAL REBUILDING

4.1.1 Reconstruction o devastated zones

Following the massive destruction caused by the earthquake which destroyed approximately 105,000homes and damaged over 208,000, major urban work should enable the reconstruction o three largeaected areas, which are: the metropolitan area o Port-au-Prince, the Logne-Petit Gove axis, and theSud-Est department, including Jacmel.

The reconstruction o devastated areas poses problems o several kinds, in particular the ollowing:

Les travaux de dgagement et de traitement des dbris.

Clearanceworkanddealingwithdebris.Legalaspectstodeclarelandofpublicinterestincludingcompensationofprivatehome-

owners.Landuseandurbanplanning.Basicinfrastructureworksuchasrainwaterdrainage,sanitationwork,drinkingwater,the

electricity network.Thereconstructionworkitself,subjecttoadequatebuildingstandards(anti-earthquake

standards, food potential, etc.).CLEARANCE WORK AND DEALING WITH DEBRISWork on clearing and dealing with debris has already begun without an overall plan. This means that it iso prime urgency to proceed with the identication o deposit sites, processing debris to recover usableparts (iron and cement to be transormed into aggregate) and recycling them or immediate use.

The State wants to assert its leadership in this domain to avoid reconstruction that thwarts urbanplanning and also increases in the price o recovery o land.

The Municipalities should play a key role in this area in close liaison with the national authorities. Toull this mandate, they will need massive support in terms o human and material resources and majortechnical assistance to train sta and implement the works monitoring system.

APPROPRIATION OF LAND FOR PUBLIC USEThe reconstruction o highly devastated zones requires the use o land to be re-examined, publichighways to be redesigned, and urban planning as a whole to be reconsidered.

To do so, the State has the judicial capacity to intervene. A rst decree was issues on 19 March 2010declaring certain areas o public interest to respond to the need or a new territorial planning ollowingthe earthquake. This decree covers the metropolitan area o Port au Prince, Croix de Boutquets andthe commune o Logne. It also allows the use o requested land to relocate amilies aected by theearthquake. Other areas remain to be identied in uture decrees. This illustrates the determination andjudicial capacity o the State to make needed land available or the implementation o the Action Plan ornational recovery and development.

USE OF LAND AND THE URBAN PLANThe Haitian authorities have already clearly stated that they do not wish to return to the prevailingsituation beore the earthquake. This implies that the new urban environment to be rebuilt should have atotally dierent appearance.

It is the role o the urban plan to govern the allocation o land between that which will be used by theState and that which will be transerred to private landowners at current value o land.

It is a complex operation to reach a nal decision with the support o a sucient consensus o thedierent stakeholders. Consequently, as soon as the parameters are identied, urban planning mustcommence.


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BASIC INFRASTRUCTURE IN THE DEVASTATED ZONESThe basic inrastructure such as rainwater drainage, wastewater treatment, drinking water supply and theelectricity network are directly dependent on the planned use o land.

It is thereore rom the urban plan that the nal design o the work required can be carried out. It isimportant to plan the necessary unds to carry out this work which is preliminary to or concurrent withreconstruction work.

RECONSTRUCTION OF PUBLIC AND PRIVATE BUILDINGSThe reconstruction cycle or public buildings is well known and in this case, the building standards andzoning regulations should be quite simple to apply.

It will be a dierent matter or the reconstruction o the private sector. The application o the ruleswill require a level o monitoring which goes well beyond the pre-existing situation. Here too, themunicipalities must ully play their roles and receive sucient resources to do so in terms o personnel,equipment and supervision.

Budgetary data or 18 months:Debris management: $265m including $50m budgetary support

Land appropriation: $500m cash fow*Land use plan and urban plan: $5mBasic inrastructures: $500m including $100m budgetary supportReconstruction o public buildings: $10m

Total $780m including $150m budgetary support

*not accounted or in the total due to cost recovery

4.1.2 National transport network

BRINGING TOGETHER ALL PARTS OF THE NATIONAL TERRITORY: THE HIGHWAY NETWORKThe national transport network includes rst the incomplete national highway network. It is the drivingorce allowing all the development zones in the country to be brought together, (i.e. all arrondissement

principal towns), and ensuring trade with the Dominican Republic.

Its completion makes possible a network o secondary roads rom the main network acilitating accessto all areas o the country. It allows delivery o the inputs to production and the circulation o nishedproducts. It allows tourists access to the geographic and cultural potential o the country. It givespatients access to networks o health services and students access to education. It is also a preconditionor eective decentralization and deconcentration, including that o the State. The in-clusion o allcitizens also implies access to all geographic regions o the country.


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To complete the road network, 600 kilometres o roads must be built along with the civil engineeringinrastructures necessary or opening up entire regions. The map shown in the appendix identies thesections to be built and the table below presents the estimated costs o roads and civil engineeringinrastructures or the priority network. It also mentions the recurrent costs or upkeep o thehighway network.

The natural complement to the highway network or an island country is the establishment o reliablelinks providing access to countrys main islands, which are Gonve Island, Tortuga, and le--Vache.

Budgetary data or 18 months:Roads to be built: $30m or 18 months (plus rm commitment to $600m)Repairs and maintenance: $150m including $50m budgetary support

Total $180m including $50m budgetary support

Opening up the country to the region and the world: airports and portsHaiti has a single international airport, in Port-au-Prince, which was greatly damaged by the earthquake.In the days ollowing the earthquake, it the disadvantage o dependence on a single international airportbecame apparent; it made the country vulnerable and greatly handicapped its capacity to meet the air

supply needs.For these reasons, the Action Plan includes rehabilitation and extension o the Port-au-Prince airportscapacity, and the addition o two more international airports located close to the towns o Cap Hatienand Les Cayes. Thus the three airports will be in a position to meet economic development and tourismneeds.

The port in the capital was greatly aected by the earthquake and became unusable or several weeks. Itis once again unctional but with reduced capacities.

One has to acknowledge that these acilities did not address the real needs o the countrys economicactivities. Its location is problematic since it is situated in the centre o Port-au-Prince, where it is


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partly blocking the opening o the city to the Port-au-Prince bay and the re-aectation o the area orinstitutional, commercial and recreational purposes, which are more appropriate or the downtown area oa modern capital that remains to be built.

In addition, its location does not allow or its expansion to receive increased trac or to acilitate thedocking o large container ships. It should then be built in a more adequate location given its unctions.

Deconcentration o economic activities calls or the construction o two other deep-water ports. This willenable the acilitation o imports and exports and encourage the emergence o industrial and commercialactivity in the other regions o the country. Other smaller ports will complete the national amenities.

These inrastructures should be unded through B.O.T. (Built, Operate and Transer) type publicprivatepartnerships.

Budgetary data or 18 months:Repairs to PaP airport: $70m B.O.T.New airports: $35m B.O.T.Ports: $14m

Total $114m*

*not accounted or as this must be the subject o public-private partnerships

4.1.3 Preparation or the hurricane season and disaster risk management

Globally, disaster risk management is aimed at reducing the deterioration o the environment andincreasing the resilience o eco-systems, reducing losses in revenue-producing sectors, reinorcing crisisgovernance mechanisms, protecting inrastructures, and more generally avoiding deterioration in thepopulations living conditions.

Every year, and 2010 in particular, when the earthquake has aected the whole country throughpopulation movement, the rain and hurricane season represents a huge challenge or the country. This isdue to the entire country being exposed to severe climatic vagaries and acute inrastructure constraints.

It is thereore necessary to reduce the vulnerability o the population areas in risk zones: protectingthe population o areas such as Gonaves, Jacmel and Cabaret that are traditionally hit by naturalcatastrophes; dredging and rerouting certain rivers and drainage canals; protecting and correcting thebanks o certain rivers and ravines; building the civil engineering works necessary to cross risk zones.In response to these short-term priorities, a contingency plan or preparedness to respond to climaticvagaries is being prepared. In seismic zones, it is essential to put into place works or preventivedredging o drainage, collection and treatment canals and works or stabilization o ravine banks inaected zones to prevent catastrophes and to saeguard the remaining private and public inrastructures.

These same activities must be multiplied and reinorced, as part o a vast medium and long termprogramme.

Moreover, the experience o recent catastrophic events (hurricanes in 2008 and the earthquake in 2010)calls or the implementation o rigorous crisis management mechanisms. Risk management must beexamined as per the ollowing principle axes:

Fromtheoperationalpointofview,thelocalmeansforcivilprotectionwillbereinforcedwiththe

continuation o the actions already in place: training, sta recruitment, equipping the communityand department personnel, recruitment o a civil saety manager or each municipality, recruitmento a coordinator or each department to unction under the department delegates. For eventscalling or a national response, the Ministry o the Interior and Territorial Communities is to beconrmed as the sole body in charge o operational crisis management.


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Fromthepointofviewofcrisismanagementthepublicauthoritieswillbepreparedforanycrisis

which threatens the country: natural, industrial or technological disaster, major accidents, healthcrisis, environmental degradation etc. For this purpose a National Council or Civil Protectioncomprised o ministers who are directly involved in crisis management will be set up and will beresponsible or dening the strategy or reducing the vulnerability and the response to major crises.This will be the political structure or management o major crises and their ollow-up until thesituation returns to normal. A permanent General Secretariat to the Prime Minister will provide

preparation o Council decisions and their implementation; to this end, it will have the commandcentre (COU) equipped and managed by the DPC.

Theriskpreventionpolicieswillbefollowedandmatchedwiththestaffmeasures;delimitationof

zones at risk, regulation o urban planning, prescription or construction (mainly quake resistant),standardization o construction procedures and material, pollution prevention rules etc. TheMinistries o Public Works, Transport and Communication, Agriculture and Natural Resources, andthe Environment: must have at their disposal a control structure consisting o, beore 2020, asupervisor or each department; and beore 2015, start equipping the departments which acemaximum threat rom foods.

TheLawontheStateofEmergencywillberevisedinordertoallowthegovernmenttobetter

respond to exceptional situations like that o January 12, 2010.

Budgetary data or 18 months: $130m including $75m budgetary support

4.1.4 Regional development centres and urban renovation

The importance given to the reconstruction o devastated areas must not cause one to orget that theearthquake has demonstrated the disproportionate importance o Port-au-Prince and the ragility o theareas located on tectonic aults. Reconstruction must be carried out elsewhere, at least in part. Betterredistribution o population and economic activities throughout the country requires the consolidation onew regional development centres, which are based on the economic development and the integration ovarious dimensions (industrial production, agriculture and social and special organization). Choices willneed to be made and priorities established.


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There is a consensus on the relevance o spreading the population more evenly throughout the country.Towns to become development centres must benet rom major urban renovation work to ull their newvocations and provide opportunities or economic development, job creation and quality o lie or thepopulation to keep them in the region.

In the metropolitan region o Port-au-Prince, a new regional development and growth centre would belocated in the Cabaret sector in the Fond Mombin zone. Special eorts or the coordination o the various

interventions, and massive investments in inrastructure, equipment and establishment o basic servicesneed to be agreed to. One will have to think o the neighbouring cities able to unblock the capital whileoering a better quality o lie to its inhabitants.

The main development areas are associated with urban centres that have a key role to play in theeconomic and social development o their regions. Certain towns have long stood out due to theirdynamism and their appeal to the population.

The map opposite shows the development centres identied, i.e. Cap Hatien, Les Gonaves, St-Marc,Hinche, Port-au-Prince and Les Cayes. These towns have been chosen or historical reasons and to providebetter structure or the country. These towns bring together large volumes o the population and alreadyhave their own comparative development advantages such as their industrial, port and airport potential

as well as potential in terms o agricultural, agro-industry and tourist development. Initially, in additionto Port-au-Prince, priority will be given to the towns o St-Marc, Cap Hatien and Les Cayes, and to theirzone o infuence.

The construction and management o large acilities and inrastructure or production (industrial zones,business ree zones, etc.) or as an aid to production (ports, airports, energy and telecom inrastructure,etc.) will necessitate huge investments and adequate management capacity. Partnership between thepublic sector and national and international private sectors will be necessary.

The success o regional centres will depend largely on incentives or industrial, commercial and touristdevelopment. In this respect, the Hope II law provides an initial ramework or using Haitis comparativeadvantages, to benet rom its workorce, the proximity o the North American market and the know-howo its private sector. Negotiations are under way to claim the provisions o this law or Haiti and ndother ways o acilitating access to the North American market.

Ways must also be ound to benet practically rom the potential benets o Haiti joining CARICOM, andacilities made available to international organisations to stimulate direct investments. Furthermore, thediaspora is a pool o human and nancial resources which is insuciently used.

The Plan provides the opportunity to make progress in this area. In the short term, in addition tonegotiations and legal and regulatory measures, the State o Haiti wants to encourage investments inthis sector by supporting the development o industrial parks and ree zones. Bankable projects existin this area. These projects with internal protability will be unded by private equity o nationaland oreign companies and bank loans with special conditions, and it is understood that the Statewill intervene directly whenever necessary to implement the necessary inrastructure and ensure more

balanced geographical distribution or job creation.

Furthermore, the development o Milot National Park represents an investment that could have animpact on the development o tourism in Haiti. The tourism development Plan remains ully relevantto stimulating the growth o regional centres. This also applies to industries o assembly, textile, andresidential construction and to the agro-industry. The creation o new jobs is an incentive or thepopulation to settle in the countrys regions.


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Budgetary data or 18 months:Regional development plans and initial preparation work:3 provincial towns: $25m per town: $75m

4.1.5 National planning and local development

The rational use o the territory and resources requires the development o plans and schemes that

enable an applied coordination o development activities. Since national planning is a political as wellas a technical process, plans and schemes should be carried out at the main regional levels.

On a national level, there is signicant progress in drawing up a plan or regional developmentand targeted regional development strategies. There is less progress with respect to local needs ordevelopment planning and regional development.

Moreover, insoar as the execution o plans and schemes requires time, exceptional steps need to beimplemented to resolve the current developmental problems.

The rst priority is to draw up a national regional development plan, targeted regional developmentstrategies, local development plans, and urban plans. These tools are indispensable or coordinationo activities on the ground, and or the determination o the priorities to be implemented and or riskmanagement.

A second priority is the protection, rehabilitation and enhancement o ten specic zones o interestboth rom the point o view o local development and national development. The sustainability oHaitis rich natural and cultural wealth - the water resources represented by the main rivers andreservoirs - needs to be ensured. The map shows where these places are located.

In this respect, local development proves to be a precondition or regional development. Itrequires the setting up and operation o several inrastructures and acilities under the scope o theadministration o national and basic local government. This may be carried out in partnership with theprivate sector and civil society.

It requires the construction o secondary and local roads, the routes o which must also be agreed inconsultation with local stakeholders. Furthermore, the implementation o drinking water supply, sani-tation networks (drainage / rehabilitation, construction o gravel traps / dredging o ravines) and solidwaste collection and management networks are planned in the water and sanitation section.

To ensure the participation o local stakeholders and incorporation o data rom local bodies, alocal development and regional planning und must be set up, to enable them to und the gradualimplementation o other types o amenities and local development inrastructure, such as interurbanand urban transport networks, public tenders, public squares, cultural and sports acilities and parksand green areas.

Budgetary data or 18 months:

Territorial development: $20mLocal development: $30m

Total: $50m


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4.1.6 Watershed management

The management o river basins must be carried out within the ramework o national planning and riskmanagement to contribute to reducing the vulnerability o populations and inrastructure and acilities.The causes o fooding must also be reduced by carrying out corrective work and changing the currentharmul practices. For this purpose, river basin development projects, reorestation and soil conservationprojects must be conceptualized in association with rural communities and will have to match

agricultural needs with the requirements o environmental protection.An intersectoral approach is necessary. The implementation o these sub-programmes will have to beclosely coordinated or the re-launch and modernisation o agricultural production.

Work to protect and correct river basins will enable reorestation o areas that are essential or soilprotection. It will also allow corrections to be made to ravines and river banks, building o dykes andthe construction o hill retaining walls to control the fow o water and thus protect the population andacilities and inrastructure downstream. Farming practices must also be changed to avoid overloadingecosystems and enter into the perspective o sustainable development.

Steps to regulate the use o soils, town planning and construction laws will accompany these sub-programs.

Given that the problem o river basins relates to several ministries, and that the dierent activitiesinvolve high intensity labour, the nancial needs are accounted or in several chapters, in particularagriculture and job creation.

(credit: UNDP)


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(credit: UN Photo/Logan Abassi)


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4.2 ECONOMIC REBUILDING

The economic renewal is based on the close collaboration between the private sector, which will be theengine o wealth, and the State, which will take all the necessary measures to provide Haiti with thelegal and regulatory ramework that can meet the requirements o a modern country open to investments.The State will also make available the necessary service inrastructure to stimulate these investments. Inaddition, access to credit is a key element in this renewal. Necessary measures need to be taken so that

the nancial system can respond to needs.4.2.1 Agricultural production

Challenges to agriculture, livestock arming, shing and ood weigh heavily on the social and economicsituation and the countrys uture. Today, agriculture remains the most important sector in terms o thenumber o jobs in Haiti: it accounts or more than 50percent o the workorce. It is thereore one o thepillars o the countrys stability, an essential axis o its development. In the past, Haiti ully met theood needs o its population. This is no longer the case today: Haiti uses about 80percent o its exportearnings just to pay or ood imports. There is less ood security, which makes the country and thepopulation in general very vulnerable to natural disasters and just as vulnerable to fuctuations in theprice o basic commodities on international markets.

The wide range o environments in terms o altitude, soil type and climate, means that a large variety ocrops are grown in Haiti. This variety is an asset. The coastal plains give way to plateaus and then hillsthat do not have the same potential or the same constraints. Overall, erosion o the ertile soil layer isquick and occurs when tree or shrub cover is not replaced. Land tenure is not well dened and arms areusually small, which urther adds to the diculties aced by armers.

Some agricultural practices and arming choices motivated by the dynamics o market prices lead to areduction in wooded land, which in turn increase erosion, reducing the quality o the soil and o coastalshing zones, raising the rate and scale o fooding, which in turn regularly destroys acilities andtransport inrastructure that is vital or agriculture and the economy in general. This also leads to thedestruction o houses and crops and a signicant loss o agricultural land.

Agriculture and marketing structures or agricultural products thereore have a signicant impact on thecountrys environment, the vulnerability o the land, and the population. These environmental impactsthreaten the very viability o the Haitian national space. Some shing practices encourage the overuse ocertain sites and ultimately deplete their stocks.

Farmers and sherman usually work with rudimentary tools. The modernisation o equipment, whenrequested by the armer or sherman, requires unding that is currently not easily accessible.

Irrigation systems do not always work eciently and are ar rom meeting the needs o arms. Floodsdamage or destroy boundaries, canals and protective walls. Diculty in accessing electricity is anotherconstraint elt by most sectors. The network is almost nonexistent in rural areas. The lack o good-qualitypenetration roads and o storage and processing units or products are also major constraints to the

regular supply o well preserved products in the markets. Many social and economic problems are relatedto these agricultural problems. The rural economy is largely a subsistence economy, mainly becausetrading opportunities are limited by the diculty and cost o road travel and the lack o opportunitiesor storage and processing. Post-harvest losses are substantial. It is not only the most sensitive ruitsthat are aected by bad conditions, but also vegetables, tubers and cash crops or export. This is alsothe case o livestock and shing products, the distribution o which suers rom the same structuralweaknesses.


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The earthquake caused an immediate exodus o population rom the Port-au-Prince metropolitanarea, with numerous amilies moving to their original villages in rural areas. As a result, many alreadyimpoverished host amilies bear an additional burden by receiving displaced amilies that are completelydestitute.

Agriculture, livestock arming and shing together orm one o the primary orces o economic revivalas well as regional and local economic recovery. The plan to boost national production should provide

support or these products.

The plans main objectives are: (i) increasing the supply o agricultural ood products in the country,by making agricultural inputs available in the various production areas and by improving distributionchannels, (ii) dening strategies to integrate displaced persons, (iii) improving access to ood byincreasing the circulation o money through job creation in rural areas, (iv) integration o nationalproduction and ood aid, (v) preparing or the next hurricane season with a wider perspective.

Five programmes are planned:

Therstwillprovidefundingtopurchaseanddistributefertilisers,seeds,ploughing

equipment and tractors to armers, as well as tools and shing equipment or shermen at

reasonable prices in order to increase productivity.Asecondprogrammewillprovidefundingtodigcatchmentpondsandbuildirrigation

networks or water management, which is vital to increase productivity on arms.

Athirdprogrammewillfundthebuildingofruralroadstoopenupagriculturalareasand

enable the number o speculators to be reduced, which also benets shermen and thepopulation in general.


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Afourthprogrammewillfundtherecapitalisationoffarmsbygivingproducersaccessto

credit under acceptable conditions and at reasonable rates. It will also und the developmento SMEs in order to increase the added value o production, limit losses incurred during theprocessing o products that cannot be sold resh, and raise armers income.

Afthprogrammewillfundtheimprovementofconditionsforslaughteringandforthe

preservation o animal, livestock and shing products, which will guarantee the quality o the

products and thus increase the protability o these operations.

Budgetary inormation over 18 months:Support or the production and distribution o agricultural inputs(ertilisers, seeds, tools): 80 million USD, o which 40 million USD is budgetaryDrainage basins: 130 million USDIrrigation: 15 million USDOther support: 35 million USD

Total support 260 million USD, o which 40 million USD in budgetary

4.2.2 Investment and access to credit

The proper unctioning o economic and nancial channels is crucial or unding reconstruction andrelaunching growth, which is the only way o guaranteeing medium- and long-term employment. Thesystem in place beore the earthquake has been greatly aected. Its capacities, even i restored, will notbe sucient to cater or credit requirements in terms o venture capital or to rebuild the country andmicro-nance.

The necessary increase in oreign direct investments will also require a nancial system that can cater tothe needs o investors and ensure fow o unds, banking services and relevant insurance.

Guarantee undsAccording to a joint document issued by the Ministry o the Economy and Finances and the Banko the Republic o Haiti, one o the consequences o the earthquake on 12 January was the sharp

decapitalization o consumer borrowers in Port-au-Prince and other aected cities.

That should thereore lead to an increase in the demand or credit rom existing borrowers in order orthem to recapitalise. The needs o the small, medium and large businesses that will receive contracts orpublic and private works must also be taken into account.

To cater or these needs, thereby ensuring a capacity or work that meets requirements, it is necessarythat nancial intermediation works in the best possible manner.

According to the document mentioned above, banks cash reserves are insucient, since they havea loans/deposits ratio o 36percent compared to an average o 56percent in the region. The low rateo recycling or credit savings is due to the absence o solvent demand or credit and the reduced

availability o venture capital.To improve perormance while ensuring that banks remain stable, it will be necessary to create guaranteeunds. However, it is important to ensure that guarantees will be oered or productive investments andnot to guarantee or write o doubtul credit as a result o the earthquake or other economic dangers.


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Reconstruction creditThe reconstruction o private houses will also require credit acilities at acceptable and aordable ratesor those who want to rebuild their houses. Such acilities are currently an early stage but once themiddle class (which lost a large amount o capital) starts to look or property there will be a dramaticincrease in demand or such credit.

It is possible that the burden o supplying a large part o the required credit acilities will revert to the

banking system. Thereore, considering the level o risk and rates, intervention by the state and lenderswill be necessary in the orm o guarantee unds and other types o unds to meet demand.

The methods are yet to be dened between national and international players, but solutions will haveto be ound and implemented at the earliest so as to limit the harmul eects o a major housing crisisin the aected zones and the rest o the country, considering the trend towards decentralisation o thepopulation.

Several solutions can be considered according to the status land and property owners. One solution isthe creation o 0percent interest-rate loans rate guaranteed by the state, which could be provided viathe Haitian bank system and in turn paid at a normal rate that has been negotiated by the state andthe banks. It would be a legacy system open to all banks registered in Haiti which borrowers could then

consult.Loans would be granted subject to minimal reconstruction standards and the amount would be calculatedaccording to the borrowers income. This mechanism would require some unding or covering interestrates bonuses and the creation o guarantee unds. This suggestion would consolidate reconstruction inaddition to a mechanism or identiying property (using land registers). In time it would allow demandor businesses and cratsmen engaged in the construction industry to be created, with a strong impact interms o job creation.

Micro-fnanceMicro-nance institutions (MFIs) were badly aected. Their capacity to meet the needs o 200,000amilies and small businesses who depend on them or nancial needs has been seriously hit.

Creating and maintaining employment or a large part o the population depends on the dynamismo these institutions. Documents rom the Ministry o the Economy and Finances and the Bank o theRepublic o Haiti propose the ollowing solutions:

The ollowing measures must be considered separately or this sector:1. Granting o humanitarian donations to small business that can be tracked, considering the scope:

(i) meeting the need or immediate consumption; (ii) rebuilding xed and liquid assets, along withmicro-credits that should be granted by the MFIs. The distribution o such grants depends on theMFIs themselves in order to leverage knowledge o beneciaries and their ability to reach themthrough the network.

2. Establishing partial guarantee unds to relaunch micro-credit to customers in zones aected by theearthquake and meeting specic micro-nance requirements. These unds will nevertheless ollow the

same logic used or unds or the banking system. These guarantee unds would target uture creditand the reunding o credit that existed beore the earthquake on an equal ooting.

3. Establishing recapitalisation mechanisms or MFIs, oreseeing the buyback o non-perorming creditportolios by a und or a nancial body dedicated to this purpose. For Haiti, however, mention wouldbe made o the planned recovery o repurchased MFI credit to be given to the same bodies on thebasis o commissions linked to the sums that are nally recovered, in order to prot in the bestpossible way rom experience in the domain.

4. Establishing guarantee unds or other orms o insurance covering uture risks linked to naturaldisasters or other external shocks to MFI activity.


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Private investmentForeign and national direct investments are key to ensure the relaunching o the Haitian economy. TheState is committed to encouraging these investments by revising the legal and nancial rameworkregulating investments in the production, transormation, distribution and service sectors. An adequateincentive policy will also need to be elaborated to avour the establishment o manuacturing industries,ree zones, industrial areas and areas or the development o tourism.

A set o incentive measures will be established to ast track paperwork and acilitate investment. TheMinistry o Commerce and Industry and the Center or the Facilitation o Investments are working tomove ahead in these areas.

The Action Plan or National Recovery and Development o Haiti calls or the development o regionalcentres and the creation o transport, energy and industrial inrastructure as well as commercial services.In order to establish this equipment and inrastructure (ports, airports, national electric power plants,industrial areas, drinking water systems etc), the national strategy will call or oreign and nationalprivate investments, and when needed, the establishment o public-private partnerships ollowing themodalities o the approach called BOT (Build, Operate and Transer). In this case, the objective will beto mobilize as quickly as possible the necessary investment sources or the delivery o readily availableinrastructure.

The private-public partnership model varies depending on their main objective: big productiveinrastructure, big social equipment and economic development projects. Within these objectives, thestructuring principles need to be ollowed to ensure the convergence and coherence o actions.

Budgetary inormation or 18 months :Subvention at mortgage rate and micro-nance: $50 MGuarantee unds: $350 M

Total $400 M*

*not included due to specic partnerships with private nancial institutions

4.2.3 The private sectorThe private sector agrees that the Haitian economy needs to ocus rst and oremost on agriculture anddecentralization, supported by hundreds o thousands o small and medium businesses in geographiccenters o development and production that will benet rom the support o the Haitian Government andthe international community. These development centers will concentrate on ve key sectors identiedby the Presidential Commission on Competitiveness, agreed by the President o the Republic and itsgovernment : agriculture, arming, textiles, tourism and urban housing/development. These priorities,identied beore the earthquake, have not been altered by the disaster and remain the preerred sectorsor the countrys development.

According to a recent study, more than 75 percent o the private sector losses, estimated today to closeto USD 2 billion, concern medium and small sized businesses. These businesses, mainly in the inormal

sector, were already decapitalized by the lack o access to credit at manageable rates. Haitian businessesneed support to overcome their losses. This will be done, among other things, by providing them withpalliative loans to cover their immediate obligations. This assistance must also include an eort oormalization to widen the scal basis o the country and increase State revenues.


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First, the private sector plans to create an estimated 500,000 jobs, in particular through thestrengthening and creation o small and medium businesses, including in the construction andagricultural sectors. To achieve this objective, the rebuilding o Haiti will need to be inclusive and toavor local labor and businesses, as well as local production, irrespective o the nancing source.

To avor local businesses and to help them ace the reconstruction challenges, a guarantee und mustbe established or small and medium businesses to provide them with short- and medium-term credit at

manageable rates.The creation o development centers is critical. Otherwise, the overdevelopment o Port-au-Prince is likelyto not only continue but its rate will increase. The development o regions and businesses throughout theterritory is necessary or a balanced development o the country. The development centers, in additionto Port-au-Prince, have been identied as ollows: in the North, the axis between Cap Hatien andOuanaminthe or tourism, textile and agriculture; the region around Gonaves or agriculture and tourism;the South or agriculture, textiles and tourism.

The Government will need to acilitate the creation o these centers through commercial agreementsand a supportive monetary policy. In addition, the necessary inrastructure, in terms o roads, ports andairports will have to be built as a backbone or the development o these centers.

Labor laws will need to be modernized; and the ongoing eorts on the modernization o the business andinvestment sectors will need to be accelerated.

The lack o clarity on the land titles is a major obstacle to private investment and discourages bankloans. The creation o a registry is a condition sine qua non or a massive infux o investments.

The Government and the private sector will need to undertake immediate eorts to widen the scal baseso that scal revenues go rom the rate beore the earthquake o 9 percent towards a 16-18 percent rate.This will only happen i a strengthened dialogue between public institutions and the private sector takesplace where the private sector has a bigger participation in decision-making, including in the creationand management o the development centers.

4.2.4 Access to electricityAccess to electricity is a major constraint or economic development and the quality o lie o theHaitian population. Considerable progress has been made during the last our years, mainly in providingelectricity to Port-au-Prince.

Following the earthquake on 12 January, the generation, transmission and distribution capacity oexisting power has been greatly reduced in the aected areas, increasing an already considerableneed. The restoration o electricity production, transmission and distribution inrastructure was quicklylaunched ollowing the earthquake so that many aected areas could be reconnected. The priority is torestore power stations that have been hit and to repair the transmission and distribution network.

Ater restoration, the countrys development requires access to electricity to be more widespread in

regional centres or the growing population and or economic development requirements.

Subsequent investment is needed to increase electricity generation, to integrate the nationaltransmission network and to improve the distribution network in major departmental town and industrialand tourist areas.


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The restoration and development o generating capacity will be undertaken on several ronts. Therequirements and projects already identied include: restoring the Pligre power plant, building theArtibonite C-4 hydroelectric dam, and restoring the power plants at Sault-Mathurin and Caracol-Nord.

Power stations must be built and put into operation in areas where hydroelectric power is not availableand to meet requirements trigged by economic development activity, especially in exempt areas anddevelopment centres.

Increased capacity and eciency o power transmission is based primarily on the restoration o existingnetworks damaged during the earthquake and on the development o a national power transmissionnetwork. Network restoration must give priority to aected zones in the Port-au-Prince area, theLogne/Petit-Gove axis and the Sud department, whereas development should be directed towardspromoting the supply o power to current and potential growth areas. In the Port-au-Prince area, buildingthe Tabare substation is undisputedly a tool in the strategy or increasing energy transmission capacity.

The restoration o electricity distribution networks in the main areas aected by the earthquake shouldbe carried out in the short-term. However, in order to contribute towards relaunching regional economicactivity, developing regional and local economies, and creating jobs throughout the country, various localnetworks must be set up or the distribution o electrical energy to expanding sectors and sectors where

customer protability levels are avourable and to meet the populations basic needs.A signicant eort should be made to properly manage the distribution network. The issue o illegalconnections must be tackled and reduced to a minimum, and network maintenance should be adequate inorder to reduce technical losses.

Increased generating capacity and some improvement in transmission and distribution have, however,had signicant repercussion on the national budget, which must accommodate a large proportion opetroleum costs required to generate energy. It is essential to review electricity generating costs tobalance them with industrial, commercial and tourist consumers ability to pay, as well as with individualconsumption.

Here too, public-private partnerships and BOT systems must be used or a large part o the necessary

investment.

Budgetary inormation over 18 months:Restoration wok: 57 million USD, o which 20 million USD is budgetary supportCapital: 100 million USD, o which 70 million USD is budgetary support

Total 157 million USD, o which 90 million USD is budgetary support

4.2.5 The role o the Haitian Diaspora

Following the earthquake, the Diaspora mobilized itsel to contribute to the emergency relie eorts. Thissolidarity goes much urther now.

Numerous meetings, seminars and ora took place in the United States, Canada and Europe. TheGovernment participated in several o these gatherings.

During the orum organized by the Organization o American States (21 and 22 March 2010), thediaspora acknowledged and supported the eorts o the Government and the private sector or therecovery and reconstruction o the country. This meeting, representing most stakeholders, proposed aseries o recommendations on all the aspects o the PPARDN, with a particular emphasis on economicdevelopment.


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All agree that the diaspora has an important role to play in the reconstruction o the country and thatone must nd the means to put the skills o Haitian men and women living abroad to the service o thiscall or rebuilding.

One also has to identiy ways or the remittances o the Haitian diaspora to become investment sourcesor the social and economic development o the country.

This refection needs to continue and the dialogue that started ollowing the earthquake must transorminto an active search or solutions and ways o contributing.

Much remains to be done but one must seize this opportunity at this critical time when the countryneeds to mobilize all its available resources.

(credit: UN Photo/Pasqual Gorriz)


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(credit: UN Photo/Sophia Paris)


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4.3 SOCIAL REBUILDING

A resh social oundation is imperative or Haiti to emerge. In this perspective, the absolute priorityin the Action Plan is to respond to the needs o disaster-stricken populations, whether those living inmakeshit camps, those who have been displaced to various regions in the country, the injured anddisabled who require appropriate care, or those who have lost their jobs and are no longer in a positionto provide or themselves.

4.3.1 Housing or the population: temporary and permanent

Temporary and permanent re-housing o populations displaced by the ater-eects o the earthquakerepresents a signicant challenge. To date, there are still some 1.2 million people in 460 spontaneouslyorganised camps with over 25 amilies each. O these, some 250,000 people live in 21 o the spontaneouscamps presenting major risks or the well-being and saety o their inhabitants. Studies as to the areas oorigin o these persons have revealed that over hal o the housing in these zones may be repaired, withsupport in the orm o a reconstruction kit. Consequently, it is planned that 100,000 inhabitants o Port-au-Prince will have to be transerred as soon as possible to more appropriate sites.

The government has identied ve sites which urgently need to be made available to be able toaccommodate 100,000 people or more i necessary. Initially, provisional shelters should be installed

there. However, it is planned or these sites to become new, permanent neighbourhoods in which sheltersare gradually replaced by permanent housing along with sustainable inrastructures and basic services.It is imperative or as many o the 21 sites mentioned above to be evacuated prior to the rainy seasonand in any case prior to the hurricane season. As to the inhabitants o other camps, several initiativeswill be taken with the aim o improving the situation in these camps, continuing to identiy new, moreappropriate sites or, where possible, encouraging reugees to return home. Assistance would need to beprovided or such an initiative.

Technical assistance will be provided to local authorities in the orm o multi-disciplinary teams,particularly or planning, land tenure and quality control o construction materials. A security und willalso be set up to support reconstruction eorts in municipalities and neighbourhoods. In addition,nancial assistance will be granted including means o access to loans, by setting up a housing

reconstruction und.

Budgetary data or 18 monthsPreparation o new sites: $140m*Funds or reconstruction and other activities: $155m **

Total $295m

*not accounted or since they have already been taken into account by humanitarian and militarystakeholders**not accounted or since they are included under Re-launching economic and nancial circuits

4.3.2 Creation o high-intensity labour jobs

With a view to mitigating the negative eects o the disaster on the living standards o the population,particularly women, who make up the majority o the inormal economy, it is necessary to engage inmassive job creation programmes as soon as possible. These programmes should be directed not only atstricken areas but also at areas accommodating displaced persons and, more generally, the whole o theterritory under the principle o equity, in order to avoid urther population displacements.


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Over and above its economic eects, this creation o jobs addresses the desire to set Haiti on a course torecovery and shorten the humanitarian aid phase which, although vital, threatens to place a large part othe population in a situation o dependency. Creating jobs or the public good will restore both meaningand dignity or all Haitians who wish to provide or their own needs on the basis o their work.

The existing situation oers many opportunities or high-intensity labour. This relates to activities inrural areas, with the restoration o production inrastructures (irrigation systems, arm tracks) and the

development o watersheds (reorestation, setting up pastureland, correcting ravines in peri-urban areas,ruit trees). The road maintenance programmes also address this objective, using the same methodas has been used or a number o years by the road maintenance und, with an accelerated schedule.Minor community-based inrastructures (tracks, paths, ootbridges, shops and community centres, smallreservoirs and eed pipes, etc.) and urban inrastructures (roadway paving, squares, drainage networkcleaning) ollow a similar logic, as do projects relating to the cleaning and recycling o materialsengendered by the collapse o buildings in the areas most aected by the earthquake.

There is a considerable potential or job creation. The programme proposed by the MARNDR alonerepresents a job creation potential o several million people per day.

This job creation must take place observing a number o principles: (i) over and above direct

employment, the choice or investments should take account o their social and economic interest andviability, (ii) particular attention should be directed to the support and accountability o local structuresacting in the capacity o contracting authority, (iii) works must be properly organised and supervisedby proessionals, in order not to give workers and the population at large the negative impression thatthere is money to be earned by engaging in business which is either useless or poorly supervised, (iv) thesalary paid must be decent, whilst not competing unairly with those paid on the regular market in orderto avoid the workorce migrating rom its usual employment, (v) it is undamental or Haitian children tobe protected rom child labour, particularly in its most harmul orms (observing undamental rights andinternational labour standards) during the initial phases o reconstruction, especially in the light o thetemptations arising as inhabitants rebuild their lives, (vi) amilies assisting disabled people should bethe subject o priority attention to enable them to assume these responsibilities (viii) women who havesuered the worst rom the ater-eects o the earthquake should be recruited as a priority.

Job creation does not relate solely to these type o works. It is also o interest or projects such as theconstitution o a civil registry, land registry, surveys to be carried out by the National Observatory oPoverty and Social Exclusion (ONPES) and other structures, all o which are highly labour-intensive andwell distributed across the national territory. Implementing this type o project should receive priorityattention.

The State has a predominant role to play in restoring employment via HLI activities in the initial recoveryphase o the country, and should be capable o employing some 200,000 people. Other international andnational stakeholders should be capable o creating an equivalent number o HLI jobs.

Budget data or 18 months:

An average o 200,000 people employed by the Government:$200m, o which $50m in the orm o budget

200 000 people employed by other stakeholders: $200m

Total $400m including $200m previously identifedRemainder $200m o which $50m in the orm o budget support


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4.3.3 Social protection

The improvement o immediate and uture living conditions, the state o health and the productivity oHaitians will depend in a large measure on the capacity o the social sector to respond to immediateneeds whilst also integrating a transormation o the role o the State in these sectors in both themedium and long term. Access to basic services should no longer be seen simply as expenditure but as aninvestment in human capital, a critical actor or economic recovery and growth in Haiti, in addition to

being essential or the well-being o Haitians. Access to basic services should be considered as an engineor the new oundation o Haiti, as well as the economic attractiveness o regions and deconcentrationo services. In this respect, social sectors need to become the avenues o a genuine public-privatepartnership, with the State guiding, harmonising and monitoring health and education initiativesperormed locally, whilst also increasing its own role and its capability to mobilise its own resourcesand deploy them. Ultimately, rebuilding Haiti dierently involves directly addressing ood insecurity(which aects 40percent o households) and extreme poverty; this involves considering households assuch, investing in the human capital represented by children, and protecting revenue (consumption,particularly o ood and access to basic services) by oering jobs.

It is also necessary to take into account the increased vulnerability o thousands o women who havelost their job or suered major losses, particularly in the inormal sector; the thousands o young people

who no longer attend school, and over 100,000 children without the protection o a amily ollowing theearthquake, with all the potential risks o violence and exploitation. There are also thousands o newlydisabled people who will require assistance in social reinsertion. A basic social protection system must beimplemented and tested during the countrys initial recovery phase. Existing systems must be reinorcedthrough the direct provision o basic services to aected amilies thanks to partnerships with privateoperators.

Budget data or 18 months:Literacy campaign: $30m in the orm o budget supportSupport to associations in the aected areasand areas receiving displaced persons orcommunity-based initiatives: $10mCreation o a basic social protection system: $10mOther: $20mSupport to aected areas andareas receiving displaced populations $23m*

Total $70m, o which $30m in the orm o budget support

* nanced by private operators

4.3.4 Recovery o the cultural sector

The choice o culture as the central theme in the Head o Governments speech during the launch o thesectoral workshops underscores the recognition that the marginalization o culture has led to the ailure

o developmental support programs in practically every country or many years. Thus, i a country is to berestructured, it is essential that culture be a driving orce that contributes as signicantly to economicgrowth as do other key sectors o national lie. Given the globalized environment, it is necessary tocreate conditions that allow the eective development o a market or cultural goods and servicesavouring plurality o expression both rom a creative point o view as well as the expression o know-howand practices drawn rom dierent horizons.

Every eort should be made to avour the creation o an inrastructure o goods and cultural servicesacross the country, and to develop Haiti taking into account the specic heritage o dierent sites.Moreover, keeping in mind the policy o decentralization, institutional strengthening will be specicallyaimed at local authorities or the development o a cultural policy and implementation mechanisms inthe regions.


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First o all, emphasis will be place upon industries that are nourished by creativity and heritage, sectors inwhich Haiti has signicant assets, taking care not to ignore related activities. Thereater cultural property,particularly that protected by intellectual property law, will be taken into account. Finally, other sectors oculture will gradually be opened up to the economy.

This encourages the development o economic activities that emphasize intellectual production andtraditional know-how. For this, measures to encourage relocation or settlement in areas that have good

cultural potential are necessary. Apart rom the development o local cultural entrepreneurship, it isadvisable to create conditions avouring the establishment and operation o a portolio o intellectualproperty rights which are the raw materials or the productions o the mind and certain sections otraditions.

Conte