Tsunami survivors in Banda Aceh receiving small businesses assistance

Banda Aceh, 19 October 2005 —More than 2,000 tsunami survivors are receiving entrepreneurial training under the first stage of UNDP’s small businesses project.

The project offers training in business basics, such as in adopting a business plan and in managing finances. After completing the training, the would be entrepreneurs are then invited to submit business plans – and those that are considered viable receive a grant of US$150 to help them get started. So far, 300 businesses have been awarded grants.

Residents of Meuraxa and Kutaraja, two of the hardest hit districts of Banda Aceh where destruction was total and residents lost almost everything—including their livelihoods--have been among the first to benefit.
“Helping tsunami survivors find ways to earn a living is absolutely key to their long term recovery,” said Simon Field, UNDP Team Leader in Banda Aceh. “It gives them confidence, hope and control over their lives, as well as giving them a way to support themselves and their loved ones without being dependent on short term aid.”

The Meuraxa and Kutaraja projects, which are being implemented through UNDP’s partner International Relief and Development, are just the first stage in the scheme, which will shortly be expanded to cover tsunami affected areas across the province. The training is part of a range of options being offered by UNDP to tsunami survivors to help them return to work, including vocational training.

“After attending the training and receiving the grant from UNDP, I joined with four of my neighbors who are also beneficiaries of the program to set up a furniture studio in our barrack”, said one graduate of the programme, Agus, who currently lives in a barrack in Lhong Raya, Banda Aceh. “So far we have sold five units of furniture including a TV cabinet, cupboards and dining tables.”

The training and financial support program are very important in reviving economic activities not only for the beneficiaries but also to great extent of the population in and around of Banda Aceh city. Almost in every corner of Banda Aceh city, there are now beneficiaries of the program who are running their motor-bike workshop, fuel and grocery kiosks, bakeries, fishing equipment workshop, salon, chicken farms etc.

UNDP’s livelihood revitalization programme is funded by the governments of Japan, Germany and UK. Besides the training and grant distribution, UNDP has also conducted cash for work programs across the province which have successfully provided short term income support to those completely dependent on handouts after the tsunami and at the same time also funded the cleaning some of vital facilities in Aceh such as general hospital, main roads and ditches, ports, and so forth. So far, UNDP has employed 25,000 people under cash for work programmes across the province and injected over $14 million into local economies.