Common use of Summary of Project and Activities Clause in Contracts

Summary of Project and Activities. Over the past decade the Indonesian economy has experienced positive economic growth, witnessed large reductions in poverty, and has made continued progress towards many of its Millennium Development Goal targets for 2015. In spite of this progress, over 30 million Indonesians live below the poverty line (US$2 per day) and half of all households are clustered around the poverty line, which makes them highly vulnerable to income shocks. Of the poor, 65 percent currently live in rural areas. While Indonesia has already met and surpassed targeted reductions in the number of underweight children under five years old to below 18 percent and is on track to meeting its targets for reducing overall child mortality, other indicators of malnutrition should be considered. In particular, low height for age, more commonly known as stunting, reflects the cumulative effects of intergenerational poverty, poor maternal and early childhood nutrition and repeated childhood episodes of illness. It also reflects insufficient household purchasing power and poor access to education, housing, sanitation, and health services. After two years of age, the effects of early stunting are practically irreversible and have a life- long impact on an individual’s cognitive development and productivity. Stunting is also largely accepted as one of the best predictors of future productivity, as stunted children are at a higher risk of experiencing chronic disease, delayed cognitive development, delayed enrollment in school, and reductions in academic achievement and future earning potential. Currently, it is estimated that 37 percent of children, or one out of every three children under five in Indonesia, is shorter than the standard height for their age. The objective of the Community-Based Nutrition Project is to reduce and prevent low birth weight and childhood stunting and malnourishment of children in project areas, and to increase household income through cost savings, productivity growth and higher lifetime earnings. An additional purpose of the Community-Based Nutrition Project is to determine the effectiveness of the use of MCC Funding in a multi-donor trust fund managed by a multilateral institution and its impact on poverty reduction. The Community Based-Nutrition Project builds on and utilizes a community engagement implementing mechanism of block grants already tested under a Ministry of Home Affairs (“MOHA”) community-driven development program pilot, Generasi (“Generasi”), implemented with assistance of the World Bank managed PNPM support fund (“PSF”). The Generasi pilot successfully supported communities in improving targeted health, nutrition and education indicators. As a condition to MCC Funding, Generasi community indicators will be revised and indicators for Service Providers (as defined below) added, to obtain stronger nutrition and stunting outcomes, and strengthen its focus on gender equality following an initial rigorous evaluation. This revised program is known as “Generasi Plus.” In addition to enhanced training and capacity building, Generasi Plus will employ a series of social accountability and incentive mechanisms in order to ensure that healthcare and sanitation service providers at the district, sub-district and community levels (the “Service Providers”) provide adequate supplies and coverage of stunting prevention services to communities. These mechanisms constitute a “supply-side” strengthening approach to focus on preventing childhood stunting through enhanced maternal and child health services, nutrition and sanitation behavior change, shared parenting and nutrition education, and women’s empowerment strategies. Except for the private sector response sub-activity outlined in subsection (b)(ii) below, Activities under the Community-Based Nutrition Project will be implemented by the PSF or a related mechanism acceptable to the Parties. MCA-Indonesia (or such other Government entity as may be agreed by the Parties) will execute a transfer agreement with the World Bank outlining the terms and conditions of MCA-Indonesia’s funding of and participation in the PSF (the “Transfer Agreement”). The Transfer Agreement will be consistent with this Compact and will be subject to MCC approval. The Community-Based Nutrition Project consists of the following three Activities:  The financing of community block grants and participatory technical assistance to communities (the “Community Projects Activity”);  The financing of training to Service Providers, sanitation and hygiene activities, provision of multiple micronutrient packets, materials to measure children’s height, and other incentives, as well as private sector interventions (the “Supply Side Activity”); and  The financing of communications outreach, project management and monitoring and evaluation (the “Communications, Project Management and Evaluation Activity”).

Appears in 2 contracts

Sources: Millennium Challenge Compact, Millennium Challenge Compact