VZCZCXRO2100
RR RUEHDE RUEHROV RUEHTRO
DE RUEHNR #0708/01 0980403
ZNR UUUUU ZZH
R 080403Z APR 09
FM AMEMBASSY NAIROBI
TO RUEHC/SECSTATE WASHDC 9109
INFO RUCNSOM/SOMALIA COLLECTIVE
RUCNDT/USMISSION USUN NEW YORK 7483
RUEHBS/AMEMBASSY BRUSSELS 2131
RUEHGV/USMISSION GENEVA 4594
RUEHRN/USMISSION UN ROME 0428
RHEHNSC/NSC WASHDC
RHMFIUU/CJTF HOA
RHMFIUU/CDR USCENTCOM MACDILL AFB FL

UNCLAS SECTION 01 OF 02 NAIROBI 000708 
 
SENSITIVE 
SIPDIS 
AIDAC 
 
USAID/DCHA FOR EKVITASHVILI 
DCHA/OFDA FOR ACONVERY, KCHANNELL, 
DCHA/FFP FOR JBORNS, JDWORKEN, PMOHAN 
AFR/EA FOR CTHOMPSON, JCICCARONE 
STATE FOR AF/E AND PRM 
USUN FOR DMERCADO 
BRUSSELS FOR PBROWN 
GENEVA FOR NKYLOH 
USMISSION UN ROME FOR HSPANOS 
 
E.O. 12958:  N/A 
TAGS: EAID PHUM PREL PREF SO
 
SUBJECT: Somalia - Humanitarian Funding Not Keeping Pace With Rising 
Needs 
 
NAIROBI 00000708  001.2 OF 002 
 
 
------- 
Summary 
------- 
 
¶1. (SBU) At the end of March 2009, contributions to the U.N.-led 
Common Appeals Process (CAP) stood at $251 of the $918 million 
requested for humanitarian operations in Somalia. Food aid accounts 
for $200 million of this received amount, leading to an imbalance in 
the response. Several sectors have received no funding so far. 
Virtually no livelihood assistance is targeted to the severely 
drought-affected central regions. Despite increased needs, donors 
forecast lower funding levels this year. Significant additional 
needs have cropped up, including expanded water trucking, return of 
displaced persons to Mogadishu, rehabilitation of Mogadishu Port, 
and ongoing treatment for severely malnourished children. USG 
humanitarian funding is frozen and could stop as debate over the 
need for an OFAC license hinders the USG's ability to respond to the 
ongoing humanitarian crisis. End Summary. 
 
¶2. (SBU) At a recent humanitarian donor briefing, United Nations 
(U.N.) and non-governmental organization (NGO) officials provided an 
update on humanitarian funding through the annual U.N.-led Common 
Appeals Process (CAP) which is the primary mechanism for donor 
funding to humanitarian operations for Somalia. 
 
¶3. (SBU) During March 2009, contributions increased significantly 
from $173 million to $251 million of a requested $918 million for 
¶2009. These contributions represent 26 percent of requested needs, 
slightly less than the 27 percent level of funding for CAPs 
worldwide. [Comment: Funding via USAID's Office of Foreign Disaster 
Assistance (OFDA) for NGOs is provided outside the CAP mechanism.] 
Although overall levels of assistance have increased relative to 
this time last year, the CAP also increased from the $641 million in 
2008 in response to a 56 percent increase in Somalis requiring 
humanitarian aid (from 1.8 to 3.2 million over the course of the 
year). 
 
¶4. (SBU) However, the funding received is heavily skewed towards 
food aid, which represents 79 percent ($200 million) of the total. 
Non-food aid sectors received the remaining 21 percent ($51 
million). 
 
¶5. (SBU) Further, several non-food sectors have received no funding, 
including shelter/non-food items, education, and security. Critical 
sectors, including water, sanitation, hygiene (WASH), and health are 
funded at two percent and three percent respectively.  Poor water, 
sanitation and health practices, as well as limited access to health 
care impede recovery from malnutrition. USAID's separate fund 
streams for emergency food aid (primarily via USAID's Office of Food 
for Peace) and non-food aid (primarily via USAID/OFDA) contribute to 
this globally recognized problem. 
 
¶6. (SBU) After food (which is funded at 33 percent of requested 
levels), nutrition is the next best-funded at 23 percent, followed 
by agriculture/livelihoods at nine percent.  UN/NGO officials point 
out that due to donor earmarking on projects, virtually no 
livelihood assistance is targeted to the severely drought-affected 
central regions. We are saving lives but not livelihoods which will 
necessitate more costly, longer-term humanitarian interventions to 
cope with the deepening impoverishment of this population. 
 
¶7. (SBU) Although the humanitarian situation has not changed 
dramatically from last year, UN/NGO officials lament that donor 
resources are not keeping pace with needs.  In part, this is due to 
currency depreciation (especially for European donors) and the fact 
that many donors received supplemental funding last year for the 
global food and fuel price increase which allowed for a robust 
humanitarian response.  Donors are not anticipating the same levels 
of funding this year. 
 
¶8. (SBU) The various sectors continue to skate by on carry-over 
 
NAIROBI 00000708  002.2 OF 002 
 
 
funding from 2008 and through various mechanisms such as the U.N.'s 
Central Emergency Revolving Fund (CERF) designed for quick responses 
by U.N. agencies and NGOs, and the U.N.'s Humanitarian Response Fund 
(HRF), designed primarily to fund small-scale activities by local 
Somali organizations.  Officials caution that using (or rather 
abusing) these mechanisms to compensate inadequate funding will 
reduce flexibility to respond to unanticipated needs later in the 
year. 
 
¶9. (SBU) These officials further noted that the CAP planned for a 
reduction in water trucking - an expensive and unsustainable 
live-saving activity - but due to the continued severity of the 
drought, water trucking is increasing to nearly 700,000 Somalis. 
Further, the Transitional Federal Government (TFG) has prioritized 
the return of nearly one million displaced persons to Mogadishu, 
which will require significant aid to rehabilitate war-damaged 
structures, restart basic social services, and rebuild livelihoods. 
WFP has requested USAID funding to rehabilitate Mogadishu Port, in 
order to improve the delivery of humanitarian aid and commercial 
shipments, which would also increase TFG tax revenue.  On the 
nutrition front, U.N. officials estimate that only 20 percent of 
severely malnourished children are receiving treatment. 
Under-funding of an already inadequate response will have 
repercussions on the well-being of these children for a lifetime, 
hindering their ability to contribute to Somalia's future. 
 
¶10. (SBU) USG humanitarian funding is currently frozen as USAID, the 
Department of State, and Department of Treasury discuss the need for 
a waiver from Treasury's Office of Foreign Assets Control (OFAC) in 
light of the USG's designation of al Shabaab as a terrorist 
organization.  The possibility of assistance via al-Shabaab can be 
minimized but not eliminated completely. USAID has forecast that 
humanitarian aid could be halted if a waiver cannot be obtained. 
That would have a devastating impact on the 3.2 million Somalis in 
need of life-saving assistance. 
 
RANNEBERGER