Rehabilitation & Reconstruction Priorities and Strategy

1. Rehabilitation & ReconstructionPriorities and Strategy Presentation at Pakistan Development Forum Government of Sindh November 14, 2010

2. Sindh’s Development Challenges • Challenges facing the provinces are: - Poverty & Unemployment - Water shortage and inefficient use - Energy shortage - Dual economy (regional inequality) - Poor communications - Poor human resources • And now extensive flood damage

4. Damage Estimates SECTORUS$ MILLIONSINDH’S SHARE • Agriculture (Crops & Livestock) 2301.00 45.6 • Irrigation 107.90 43.4 • Roads 605.00 45.6 • Housing 611.00 56.6 • Health 22.60 45.5 • Water & Sanitation 18.00 45.0 • Education 123.30 44.9 • Livelihood 322.00 45.7 • Private Sector 138.20 49.0 (Industries & Shops) • Governance 35.83 51.0 • Total 4284.83 45.4

5. Development Axioms • Strategy - Follow Big Push approach - Priority to ‘engines of growth’ sectors - Promote Regional hubs • Objectives - Restore Livelihoods - Rebuild Better - Consolidate

6. Development StrategyStrategic Interventions • Create connectivity -- Communications (Roads) • Develop core natural and human resources • Water (Irrigation) • Energy (Thar coal) • Education (Schools) • Restore municipal infrastructure

7. Post-Flood Immediate Measures 1. Clearing, repair of canals, waterways 2. Dewatering settlements and fields 3. Restoring road communications 4. Sludge clearance & Fumigation 5. Provision of drinking water 6. Dry rations & fodder till March 2011 7. Economic revival - Credit, seeds, fertilizer for wheat and sunflower

8. Irrigation & Flood Management Immediate • Repair and rehabilitation of canal bundhs & desilting of canals Medium-term: • Raising and strengthening of River Bundhs (Federal Flood Commission) • Creating two ‘escape routes’ for super flood waters • Strengthening of Sukkur Barrage • Development of Manchar Lake (reservoir, spillways) • Building of check dams/reservoirs, 40 sites identified

9. Housing • Options:Cost (bill Rs.) • Provide built housing 200 • Provide partially serviced plots for self construction 40 • Provide partial funding for self construction 80 • Provide partial funding for supervised self construction 80 • Set up housing materials hubs • Provide institutional financing for housing

10. Consolidation 1. Education (Number of schools damaged: 6,400) Prioritize rehabilitation of 5-room+ schools, enrolment >100 Total number of such schools = 1500 2. Village Rehabilitation (Number of villages damaged: 11,500) Prioritize rehabilitation of villages with over 100 houses Number of such villages = 3,000, towns = 20 3. Roads (Road damage: 8000 kms, 160 bridges) Prioritize roads connecting to: - national and provincial highways - major economic centres and - settlements with population above 5000

13. Institutional Arrangement:Partnering • Sindh is partnering with - the Private Sector through infrastructure investment under “Public-Private-Partnership” mode - civil society organizations through implementation contracts • A Sindh Rehabilitation & Reconstruction Council headed by the Chief Minister and comprising eminent public and private individuals has been set up to coordinate and monitor the rehabilitaiiton process

14. Budget 2010-11at a Glance(million Rs.) • Federal Transfers 264,056.6 • Provincial receipts 50,000.0 • GST Services 12,500.0 • Capital receipts 26,130.0 • Total receipts 353,186.6 • Current Revenue Expenditure 257,586.3 (Reduced from 268,267.3) • Current Capital Expenditure 14,898.1 (Reduced from 18,898.1) • Development Expenditure 80,702.2 (Reduced from 115,000) • Total Expenditure 353,186.6 • Surplus/Deficit Zero

15. Financing Strategy 1. Savings from reduced non-development & development expenditure 2. Additional revenue generation 3. Public-Private Partnership 4. Adopt a village, houses, road, school, dispensary (for construction, through their own agency) 5. Foreign assistance (primarily for irrigation, roads, municipal infrastructure, education & health)

16. THANK YOU