| Subject: World
Bank Official Hopeful On Rebuilding East Timor
Associated Press December 10, 1999
World Bank Official Hopeful On Rebuilding
East Timor
WASHINGTON (AP)--East Timor can become a
prosperous country but needs to rebuild its economy from the ground up,
the World Bank said Friday.
The bank will seek up to $300 million at
a donors' conference of wealthy nations in Tokyo Dec. 17 to restart the
flow of goods and services and get shattered water supplies, electricity
grids and other infrastructure reconstructed.
"The country has been hit hard but
is moving again and has a highly motivated people willing to work for
their future, said Klaus Rohland, the bank's director for Pacific Islands.
"But they need help."
He led a joint mission with the
International Monetary Fund and East Timorese representatives that spent
three weeks in the territory assessing its needs.
Rohland said funds provided by donor
nations would be used to get basic services operating again, the port of
Dili opened and roads rebuilt.
As one example of East Timor's
destitution, Rohland pointed to the scarcity of doctors, and he said
"teachers, judges, administrators are needed."
In addition to the $300 million the bank
estimates it needs to cover the first three years of construction, the
U.N. is seeking $199 million for humanitarian assistance.
Funds also are needed to run a U.N.
transitional administration and to start setting up an East Timorese
government.
Rohland said the good news is that during
the violence the coffee harvest wasn't affected and future productivity
looks good.
East Timor exported $20 million annually
in coffee beans under Indonesian rule.
"The tricky issue is roads to get
the coffee crop to the port," Rohland said. "There are a lot of
mudslides that need to be cleared."
He said another priority was to get the
port of Dili functioning so it could start generating revenue from customs
taxes. It is now mainly used by the peacekeeping force.
Among East Timor's urgent requirements
are to create a new civil service, to rebuild and re-equip public and
private buildings, repair telecommunications, the water supply and
electricity grid.
The bank also is recommending the rapid
entry of reputable foreign banks to provide banking services, including
commercial lending and mobile payment units for rural areas.
Rohland said as governments and
international agencies help prepare East Timor for independence, they must
resist the urge to impose their designs and keep the Timorese involved at
every level.
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