South Asia: Tsunami response - Two years on, lives and communities being rebuilt

The 26 December 2004 tsunami in the Indian Ocean was one of the worst disasters in recent memory. ADB responded to the crisis by launching the largest grant program in its history. As of 15 December 2006, ADB's total approved assistance and co-financed funds for tsunami-affected countries stood at US$891.24 million. Of this, $724.34 million, or 81%, is grant funding.

Much of the grant funding came from the $600 million Asian Tsunami Fund (ATF), which ADB established soon after the disaster. ADB also identified $175 million to be redirected from ongoing projects to tsunami assistance.

Two years after the Indian Ocean tsunami, there are clear signs of progress in the most badly affected regions yet enormous work lies ahead to help these communities fully recover from the unprecedented disaster.

ADB has been most active in Aceh and Nias, the worst hit areas of the disaster. To learn more about ADB’s work in Banda Aceh, see the video Aceh’s Road to Recovery, the feature story A New Beginning in Meunasah Tuah, and photos from the affected areas in Signs of Progress in Aceh. View a map for more information about where ADB is helping.

After a measured start, ADB-supported reconstruction efforts have gained momentum in the worst-hit areas and the flow of resources is increasing to people and communities in need. ADB is striving to move quickly, while not taking short-cuts that could compromise the quality of families’ homes, the roads and bridges being built, and the livelihood programs it is supporting.

ADB has also taken a lead in working to ensure transparency in the fund distribution process. In July 2006, ADB approved a technical assistance grant to strengthen transparency, accountability and efficiency in tsunami recovery programs by helping affected countries exercise effective leadership over external assistance. The grant is consolidating the progress made in tracking tsunami aid and results, increasing data comprehensiveness and accuracy, and providing analytical products that support better decision-making and resource allocation.

ADB has taken a community-driven approach to reconstruction and rehabilitation in the tsunami-affected areas. In the reconstruction phase, the needs of the people in the area are carefully assessed before construction begins. Fully integrating the community's needs into the rebuilding process takes time, but it leads to long-term, sustainable communities whose areas are not simply replaced, but rebuilt to a higher standard.

Below is the summary of ADB assistance (US$ million including co-financing) to the tsunami-affected countries:

	Grants	Loans	Total
Indonesia	331.00	51.10	382.10
India	105.00	100.00	205.00
Maldives	21.65	1.80	23.45
Sri Lanka	264.69	14.00	278.69
Thailand	2.00	0.00	2.00
Total	724.34	166.90	891.24

In Indonesia, ADB's multi-sector tsunami assistance package covers agriculture, fisheries, irrigation, micro and small enterprise development, housing, water and sanitation, health, education, transport, power, spatial planning and environmental management, and fiduciary oversight. A $291 million grant is financing the Earthquake and Tsunami Emergency Support Project (ETESP) to support disaster management, reconstruction and rehabilitation in affected areas of Aceh and North Sumatra. In addition, ADB has contributed a $10 million grant to the MultiDonor Fund for Aceh and Nias.

In Maldives, ADB's tsunami grant assistance package of $21.65 million in grants and $1.8 million in loans is helping to restore infrastructure, including transport and power, as well as livelihoods, with help for agriculture and fisheries.

In Sri Lanka, ADB's nearly $265 million grant assistance package is being used to reconstruct roads and railways, as well as restore livelihoods. Disbursement priority areas include housing reconstruction, microfinance for livelihood programs, and coastal protection.

In India, ADB's $205 million loan and grant assistance package is aimed at restoring livelihoods and to rehabilitate and reconstruct damaged infrastructure in Tamil Nadu and Kerala.

In Thailand, a $2 million grant program is helping to develop a coastal management plan aimed at coral reefs and mangrove forests.

Despite this progress, some families are not receiving all of the assistance they need. There are some waiting for permanent homes, people without jobs, and social service systems that are still not up and running. ADB is committed to these families and communities for the long term – as long as it takes to help them prosper again.

Read the detailed summary of ADB's approved/proposed tsunami-related assistance [ PDF: 17kb | 4 pages ] and the summary of funding assistance [ PDF: 12kb | 2 page ]


© Asian Development Bank

Source: ADB