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Under-fire aid program a godsend, women say

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Jakarta Globe - October 20, 2010

Nurfika Osman, Jakarta – Women participating in the anti-poverty National Program for Community Empowerment, or PNPM, have jumped to its defence after its effectiveness was questioned earlier this week.

Ibu Mamat, a widow from Cianjur, in West Java, said on Wednesday the program had enabled her to open up a small stall at her house. "I don't have to borrow from loan sharks anymore, which used to burden me as I had to pay high interest," Mamat said.

She said she was still paying off the loan sharks but was now able to better feed her family. "I do not get much profit from the warung as I still have to pay the debts, but I am happy," she said.

Nining, a widow with five children from Kayumanis hamlet in Cianjur, was equally enthusiastic about the program that allows her to sell deep-fried food in her neighborhood. "I am only a small person and the program is benefiting me and my children," she said.

Both also said Pekka, or the Women Headed Household Program, had also helped them by holding regular discussions on how to run a business.

Yuna Farhan, the secretary general of budgetary watchdog Fitra, at the weekend questioned the effectiveness of the program. In 2007, the government earmarked Rp 3.9 trillion (437 million) for the program and has proposed a budget of Rp 11.8 trillion in 2011.

"The government even borrowed $744 million from the World Bank for the project, the effectiveness of which in tackling poverty is still questionable, and we might end up with a big debt burden because of it," Yuna said.

Much of the fund was spent on hiring facilitators rather than in direct help to the people. For example, rather than relying on the health ministry, the program was spending money to hire midwives.

"The budget for the PNPM has increased drastically but the number of poor people has decreased only slightly, certainly not enough," Yuna said.

In 2008, with Rp 5.2 trillion, the program helped reduce the number of poor by 2.2 million, but in 2009 with Rp 9.4 trillion, the programs managed to reduce the number by only 2.4 million.

Sujana Rojat, who heads the PNPM Mandiri program, said the ministry was committed to empowering women.

"We have to achieve the UN Millennium Development Goals' targets and women are the key to empowering the country," Sujana said. "We fully realize that most women in our country, especially those in small villages, are living in poor conditions."

He said many women were living below the poverty line and earned just a fraction of their male counterparts. "We are going to expand Pekka to more provinces by next year," he said, adding that in the 17 provinces the program now covered, 12,000 women had been empowered.

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