Treasury Dept.'s O'Neill on Afghanistan Reconstruction

(A long-term, sustained commitment required, he says) (1060)



Treasury Secretary Paul O'Neill says that the international community
faces a daunting task in helping to rebuild Afghanistan from years of
neglect and mismanagement.


"Because the need is so clear and compelling, it is my hope that we
will demonstrate to the world that not only we care, but we know how
to change conditions quickly in a way that makes a difference in
Afghan life," he said.


Speaking at the Afghanistan Reconstruction and Development meeting at
the State Department in Washington, O'Neill said November 20 that the
post-war mission in Afghanistan will require a long-term, sustained
commitment.


The United States and other countries engaged in reconstruction
efforts have to confront major challenges, he said, including an
increased and swift delivery of direct humanitarian aid, the
restoration of essential services and the reintegration of refugees
with their communities.


But O'Neill said that restoring Afghanistan to where it was many years
ago will not be enough if the world wants to see a vibrant and
peaceful country. He said that the international community must also
help the Afghan people in laying the foundation for a market economy,
democratic institutions, and a stable, civilized society.


O'Neill emphasized the need for improving the infrastructure and
services necessary to create a dynamic rural economy giving poor
farmers a viable option to growing poppies.


Afghanistan is one of the largest producers of poppies-derived opium,
according to news reports.


O'Neill urged the international community to remember also other
countries, especially Afghanistan's neighbors, that need support
because of their fight against terrorism.


Following is the text of O'Neill's remarks as prepared for delivery:



(begin text)



Department of the Treasury

Office of Public Affairs



AFGHANISTAN RECONSTRUCTION AND DEVELOPMENT MEETING

SECRETARY O'NEILL OPENING REMARKS

November 20, 2001



Welcome. Thank you for coming on such short notice to this important
meeting. President Bush is eager that we develop a strategy for
rebuilding Afghanistan once our military efforts there have succeeded.
This meeting and your presence here demonstrate the commitment of the
international community to the people of Afghanistan, and to all
people that are suffering from the impacts of war on terrorism.


The focus of our attention today is Afghanistan, but in reality our
goals extend much more broadly. The impacts of terrorism extend to
many countries. As we discuss strategies for laying the foundation for
a more prosperous and peaceful Afghanistan, we should remember those
in other countries that will also need our support. This is especially
true of some of Afghanistan's nearest neighbors. Success in the war on
global terrorism requires strong and sustained efforts from all of us
on many different fronts, including providing meaningful economic
opportunities for citizens of the most affected countries. It will
take all of us working together to be successful, and I thank all of
you for your contribution in this effort.


Together we face a daunting task: to help rebuild Afghanistan from
years of neglect and mismanagement. Afghanistan today is one of the
poorest countries in the world:


-- Annual income averages less than $200 per person.



-- One out of six children die before their first birthday.



-- Two-thirds of the population are not literate.



-- Only 13 percent of the population have immediate access to drinking
water, and not all of that water is safe to drink.


The first challenge, of course, is direct humanitarian assistance. The
UN, under the strong leadership of the Secretary-General and with the
able assistance of Mr. Oshima [UN Undersecretary General for
Humanitarian Affairs Kenzo Oshima] and Mr. Brahimi [Lakhdar Brahimi,
the U.N. special envoy for Afghanistan], is off to a tremendous start
in providing immediate assistance to the people of Afghanistan. We owe
them our gratitude.


A second challenge will be restoring essential services and
reintegrating refugees back into their communities, just so people
re-establish normal lives in their communities with their family and
friends. We will need to focus on ways to help people to:


-- generate basic levels of income;



-- provide essential health and education services;



-- improve food security; and



-- undertake emergency infrastructure repairs.



But even then our task will not be over. It will not be enough to
restore Afghanistan to where it was one year, five years, or even
twenty years ago. If we wish to see a more vibrant, peaceful, and
successful Afghanistan, we must meet a third challenge; we must assist
the Afghan people in laying the foundation for a basic market economy
and for sustained economic development. The critical elements will be:


-- a stable macroeconomic and political environment;



-- substantial investments in health and education;



-- strong government institutions; and



-- a robust and productive private sector, open to global trade and
investment.


In particular, we should try to assist the Afghan people to allow them
to live productive and successful lives. This means, for example:


-- improving the infrastructure and services needed to create a
vibrant rural economy - one that gives poor farmers a viable option to
growing poppies.


-- building or rebuilding schools and health care facilities so
Afghans can lead healthy, meaningful lives.


This is our focus here today. I am hopeful that today we can establish
a process that provides appropriate policy guidance to those actually
delivering reconstruction assistance on the ground. As we go forward,
it will be crucial for us to continuously measure the results and
reassess the assistance we are providing to make sure it is as
effective as possible in meeting Afghanistan's most important needs.
External assistance poorly directed and poorly coordinated can be not
only wasteful but can be harmful as well. That is why the process
initiated today is so important.


It is extremely important that we place a special focus on
strengthening basic education, especially of young girls and women. We
will not be successful unless Afghanistan's recovery and development
is for all of its people.


Our goal is a more peaceful and prosperous world for all people of all
faiths and nationalities. Achieving this goal will require a
long-term, sustained commitment from all of us. This gathering is just
the first step in that process. I thank you for joining us in this
endeavor.


(end text)



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