ience of the 1970s established that community-based primary health care programs could substantially diminish illness and death in the LDCs and that real improvements in health are necessary for sustained economic development. The basic objective of A.I.D.'s health program is to help developing countries become self-sufficient in providing broad access to cost-effective preventive and curative services. These services are critical not only to lowering mortality, especially among infants, young children and child-bearing women, but also to reducing the toll of serious communicable disease which decreases the productivity of large numbers of people. Centrally-funded health programs augment the assistance provided to LDC governments by regional bureaus and Missions in three ways: by providing immediate expert technical services; sponsoring field research and demonstration projects; and fostering more fundamental long range research to improve the technology available for the identification, prevention and treatment of illness. A successful example of this has been the malaria vaccine research program which is on the threshold of developing a human malaria vaccine. A.I.D. is requesting $20.3 million in health funds for FY 1984 for these centrally-funded activities. EDUCATION AND HUMAN RESOURCES Education is the fundamental requirement for building indigenous institutions to sustain development. Despite recent gains, the need for education and training programs continues to increase. Many developing countries find that: 1) significant numbers of children and adults still lack access to any education and training; 2) education and training which is provided is often inappropriate and fails to provide the skills and knowledge required for employment; 3) education budgets are stretched to fund the ever increasing costs of expanding school systems; and 4) limited administrative and institutional capabilities remain one of the major roadblocks to effective and equitable develop ment. The Bureau's education and human resources programs respond to these problems by giving priority to improving access and quality of basic education and skills training; correcting the inefficiences of the present school systems; overcoming shortages of critical technical, managerial, and administrative and professional personnel; and strengthening administrative and management systems. For FY 1984, A.I.D. requests $7.7 million for centrally-funded programs in education and human resources. These funds will support programs in basic education, non-formal education, development communications, development administration, women in development, labor and international training. ENERGY AND SELECTED DEVELOPMENT ACTIVITIES Certain development problems are not covered solely by one of the functional accounts. The Energy, Private Voluntary Organizations and Selected Development Activities (SDA) Account allows A.I.D. to deal with the following development areas which cut across functional categories: energy, environmental management, employment and private enterprise development, regional development, information transfer, and special development studies. Centrally-funded Section 106 programs are proposed at $14.1 million in FY 1984. Energy activities will continue as this account's major central program at $8.3 million in FY 1984. A.I.D.'s energy assistance objectives are designed to help developing countries achieve the gradual reduction of oil imports and the assurance of an adequate supply of energy to meet domestic needs. The centrally-funded program is designed to: 1) Develop and strengthen individual and institutional capabilities in the energy sector through training and technical and advisory assistance. 2) Promote energy planning, policy development and conservation to maximize the productive, efficient use of energy, especially of indigenous resources while minimizing exposure to supply shortages, disruptions and economic dislocations; and 3) Transfer technology so that both new and existing technologies are introduced to permit the development of new energy supplies and the substitution of indigenous resources for imported fuels. The other major program will be the centrally-funded multisector development activities which is proposed at $5.8 million in FY 1984. These programs are linked to other central program activities funded from the food and nutrition and education and human resources accounts. They include projects in employment and private enterprise development, urban affairs, development information transfer, women in development and special develop ment studies. Mr. Chairman, I appreciate this opportunity to appear before you today and would now be happy to answer your questions. MANAGEMENT STATEMENT OF R. THOMAS ROLLIS, ASSISTANT TO THE ADMINISTRATOR Senator KASTEN. Mr. Rollis. Mr. ROLLIS. Our operating expense request preserves and slightly enhances our U.S. direct hire presence overseas. $13,600,000 of the increase is to assist in that. We intend to continue contracting for foreign service nationals and through management improvements will continue the reduction in U.S. personnel here. SENATOR Kasten. Thank you. PRIVATE ENTERPRISE STATEMENT OF ELISE R. W. DU PONT, ASSISTANT ADMINISTRATOR FOR PRIVATE ENTERPRISE Ms. DU PONT. Mr. Chairman, it is a pleasure to be here before the committee. I would like briefly to outline a couple of things. This has been an active time for us since our Bureau's inception. We have filled the role of innovator with regard to private enterprise programs in the Agency. We have been active in five areas: LDC investment environment; LDC capital market development; management and vocational training; technology transfer; and investment promotion. For fiscal year 1984 we are asking for an appropriation of $30.1 million. We can expect to be active in a number of new areas. Let me highlight three, if I might. In the capital markets area, we will be looking at limited R&D partnerships; expansion of the 222A productive guarantee program; and potential for improvements in the LDC investment environment as opportunities to move in new areas. We have been asked by several LDC's about assistance in the divestiture of publicly owned enterprises, something in which we think we will become involved. The third area will be our request for a revolving fund which we believe will enhance our ability to do some cofinancing. We expect this fund to be managed by competent personnel, and we look forward to working with the committee with regard to these areas. In conclusion, I appreciate this committee's strong support in affording us this hearing. [The statement of Ms. du Pont follows:] PREPARED STATEMENT OF ELISE R. W. DU PONT ASSISTANT ADMINISTRATOR BUREAU FOR PRIVATE ENTERPRISE AGENCY FOR INTERNATIONAL DEVELOPMENT INTRODUCTION MR. CHAIRMAN AND MEMBERS OF THE SUBCOMMITTEE: I WELCOME THIS OPPORTUNITY TO APPEAR BEFORE YOU TO DESCRIBE THE ACTIVITIES OF THE BUREAU FOR PRIVATE ENTERPRISE, WE ESPECIALLY THOSE PROJECTED FOR FISCAL YEAR 1984. LET ME SAY AT THE OUTSET THAT THE TERM "PRIVATE SECTOR" WHEN USED TO DESCRIBE THIS PROGRAM IS SOMETHING OF A MIS NOMER. THE ADMINISTRATION'S PRIVATE SECTOR INITIATIVE IS NOT CONFINED TO ANY ONE ECONOMIC SECTOR. IT IS, RATHER, A METHOD OF ACCOMPLISHING LONG-STANDING DEVELOPMENT OBJECTIVES THAT CUTS ACROSS MANY SECTORS AND INTERESTS. PRIVATE SECTOR, OR PRIVATE ENTERPRISE, PROGRAMS ARE SIMPLY THE USE OF NEW APPROACHES OR MECHANISMS TO ACHIEVE RESULTS IN HEALTH, AGRICULTURE, HUMAN RESOURCE DEVELOPMENT AND OTHER SECTORS TRADITIONALLY ADDRESSED BY THIS AGENCY LARGELY THROUGH PUBLIC SECTOR INSTITUTIONS. AS SUCH, THE INITIATIVE IS FULLY COMPATIBLE WITH A.I.D.'S MANDATE TO MEET BASIC HUMAN NEEDS. INDEED, IT STRENGTHENS AND REINFORCES THAT MANDATE BY HELPING TO BUILD A FOUNDATION FOR SELF-SUSTAINING, WE BELIEVE, TO THE RESOLUTION OF PROBLEMS, INCLUDING THOSE OF MEETING BASIC HUMAN NEEDS, THAT STAND IN THE WAY OF HUMAN PROGRESS IN DEVELOPING NATIONS. |