Haiti remains the poorest country in the Western Hemisphere, with a per capita income of $400 per year and 80% of the population living below the poverty level. The country faces significant challenges, including limited access to electricity, clean water, and healthcare. Haiti has the highest HIV/AIDS rate in the hemisphere, with a rate of 3.1%, although this rate has been declining in recent years. The infant mortality rate is 93 per thousand live births, and the literacy rate is 52%.
The country’s agricultural sector has been severely impacted by deforestation, which has resulted in extensive soil erosion and the loss of 15,000 acres of topsoil each year. This has limited agricultural productivity and economic possibilities for the 60-70% of the population that relies on agriculture for income. The aquifer that provides water for the two million people living in and around Port-au-Prince is dangerously low and polluted with untreated waste. Sources of potable water in the countryside are scarce, and diarrhea disease rates are high.
Haiti has a long history of political instability, with the departure of President Jean-Bertrand Aristide in February 2004 and the establishment of a new interim government under Prime Minister Latortue and President Alexandre. The Interim Government of Haiti (IGOH) has signed a pact with most of the country’s political parties and civil society groups, calling for elections by the end of 2005. Ensuring that these elections are free and fair and strengthening the current IGOH to facilitate a peaceful transfer of power are immediate priorities for Haiti.
The IGOH inherited an economy in a state of collapse, with a manufacturing sector that shrunk by 40% during the pre-Aristide embargo. Inflation peaked in the months preceding Aristide’s departure, and international reserves fell to dangerous levels. The economy was further devastated by a particularly active hurricane season, which destroyed entire villages and strained the IGOH to the limit. Despite these challenges, the IGOH has shown a strong will for reform, and there are positive indicators, including a stabilized currency, improved macro-economic policy, and a predicted growth rate of 3% for 2005 and 2006.
The primary goals of the United States in Haiti can be grouped into three components: strengthening the IGOH’s ability to provide essential services and establishing a stable political process leading to successful elections by the end of 2005; fighting HIV/AIDS, drug trafficking, corruption, and human rights abuse; and furnishing critical humanitarian and emergency relief, while promoting long-term economic growth, job creation, education, agriculture, and public health. USAID/Haiti has continued to make substantial strides in Haiti, responding rapidly and effectively to the most pressing needs of the Haitian population resulting from the political crisis. The mission has also entered into a limited-scope grant agreement with the IGOH to assist government ministries with the continuation of essential public services.
USAID agricultural activities have had a significant and positive impact on food security and on the income of small farmers in targeted project areas. Coffee exports reached an all-time high in both quantity and value, while USAID’s efforts to establish and strengthen small farmers’ mango cooperatives resulted in a significant increase in mango sales and a marked willingness to invest in new mango trees. USAID has also successfully continued to develop viable, self-sustaining credit systems for micro-entrepreneurs, which are critical to income growth of the poor.