Briefing Papers Number 9, July 2010 | Page 5

Ensure that our policies do not work at cross purposes or undercut each other. For the foreseeable future, donors, international nonprofits, and private organizations will be indispensable in meeting the humanitarian needs in Haiti. With lives hanging in the balance, the temptation is to work around the beleaguered Haitian government to get results. But the Haitian government must establish a visible presence in the lives of its citizens and public institutions and regain some capacity to perform its core functions. It must increasingly take the lead in showing tangible signs of progress. Strengthening government institutions is a difficult and time-intensive task, but the emphasis on institutional capacity-building must start with the recovery and continue for the long haul. Donors are quick to point out the constraints which have thwarted past aid efforts, such as political instability, bad governance, and weak institutions. Indeed, there is widespread corruption and some Haitian leaders lack commitment to effective governance and institutional capacity-building. Yet fickle donors and incoherent aid priorities have in turn undermined the government. A 2006 study by the National Academy of Public Administration (NAPA) concluded that more than three decades of donor interventions ended in failed governance. Gradually, donors wary of the Haitian government began to manage projects themselves, which undermined capacity-building and prevented Haitians from acquiring the management skills necessary for effective development. NAPA writes, “…So aid projects had less impact per aid-dollar spent; and again, the government capacity issue remained.”10 Ultimately, lack of coordination of assistance contributed to the failure of programs that cost billions of dollars. While not a glamorous undertaking, “building Haiti back better” requires sustained investments in managerial capacity and public institutions—particularly those with responsibility for implementing reconstruction programs. USAID is suited for this longer-term approach and is now working with the Haitian government to develop a transparent way of tracking budget flows, along with progress on reconstruction projects,11 that can help address concerns about corruption. Key to recovery is helping the government communicate effectively with citizens, particularly the vast majority who don’t have access to the Internet. An estimated 1.5 million people remain displaced and in urgent need of information on plans for decentralization and relocation. Systems must be built and managed jointly by the government of Haiti and CSOs to receive complaints and provide information essential to transparency, such as donor pledges, disbursed funds, and project outcomes. For lasting results, U.S. policies that affect Haiti must not undercut each other. The dominance of cheap subsidized rice imported from the United States, much of it given as food aid, epitomizes the clash of U.S. agricultural trade policies and poverty-focused development assistance. www.bread.org Sara A. Fajardo/CRS Strengthen Haitian government capacity at each stage of the recovery process. J Dieudonné. 9, helps his father Donad, chop leafy branches for their goats to eat in Wanamet, Haiti. Previously malnourished, Donad received a goat and multi-vitamins that have helped bring his life back to normalcy. From 1995 to 2006, the United States spent $11 billion on rice subsidies; much of the rice was delivered as food aid to Haiti and elsewhere. The effect of this is well documented: the policies protect and enrich U.S. rice farmers while devastating Haitian rice farmers. Domestic rice accounted for 47 percent of consumption in Haiti in 1988 but a mere 15 percent by 2008.12 While there is growing consensus that agriculture reform can fuel economic growth and reduce poverty, Haiti cannot compete with subsidized U.S. agribusiness. An effective U.S. aid policy will encourage local and regional purchase of food aid and support agricultural development. The Center for Economic and Policy Research (CEPR) found that using food aid to support Haitian agriculture by buying locally produced rice to provide ongoing relief to about 2 million people would cost just 2.3 percent of the international food aid funds that have been pledged, yet go a long way to support small-scale farmers. The United States should commit to buying the current and next season’s local rice crops at a guaranteed price.13 This would enable us to engage directly with Haitian farmers via cooperatives and networks to facilitate local purchase and distribution of rice. It is a clear opportunity to jump-start the Bread for the World Institute  5