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AFD mobilizes to strengthen Indonesia’s resilience to natural disasters through a 150 million euros public policies loan.

sinking house Jakarta

The Government of Indonesia and the Agence Française de Développement (AFD) signed a Credit Facility Agreement for the third phase of the Disaster Resilience Enhancement And Management program (DREAM). This Development Policy Loan is amount EUR 150 M and is part of a co-financing with JICA (Japanese Cooperation), bringing the total amount to EUR 370 M. With DREAM 3, Indonesia is strengthening its resilience to natural disasters through a set of public policies.

Indonesia is one of the most exposed countries to natural disasters (floods, earthquakes, landslides, volcanoes, forest fires, etc.). The frequency and intensity of these disasters are likely to increase with climate change, especially floods, which are already the most frequent and costly disasters.

In this context, the Government of Indonesia has been working for several years to strengthen Indonesia’s resilience to natural disasters and climate change impacts. It has set up, in collaboration with the JICA the DREAM program whose objectives are to:

  • Strengthen governance and mainstreaming of Disaster Risk Reduction (DRR) through appropriate policy and planning at national and local levels;
  •  Promote understanding of disaster risk, including the development of technical guidelines and contingency plans;
  •  Promote investment in DRR for resilience in the Ministry of Public Works and Housing (MPWH) strategic plan;
  •  Build Back Better in recovery, rehabilitation and reconstruction.

Economic resilience is the very objective of this public policy program. By supporting disaster preparedness measures that will be integrated into land-use policies in particular, the program will enable a durable reduction in damage caused by natural disasters.

For Yann Martres, Director of AFD in Indonesia « Natural disaster risk reduction is a strong and cross-cutting marker in our interventions in Indonesia and in line with the priorities of its Government. The partnership with JICA should enable us to provide a response up to this major theme in Indonesia. »

Learn more here about AFD's action in Indonesia

contact : afdjakarta@afd.fr