26 



The African environment relates to our global concerns in 

 many ways. Central Africa has the world's second largest 

 expanse of moist tropical forest, after the Amazon. 

 Deforestation linked with brush fires from slash and burn 

 agriculture is a significant and growing source of C0 2 

 emissions. Africa's magnificent and often threatened fauna are 

 priceless assets of our global heritage. From rhinos to 

 microorganisms, African species represent a significant 

 component of the earth's biological diversity. 



Our policy has a strong multilateral component: 



The USG has regularly, consistently, and repeatedly 

 encouraged the multilateral development banks (MDBs) to assist 

 borrowing countries to adopt environmentally sound policies. 

 At U.S. insistence, for example, the World Bank and the African 

 Development Bank have adopted policies on environmental impact 

 assessment. In recent months, we have had increasing support 

 from other donors for quality reforms in specific loans to 

 African countries. 



• Our pressure has also fostered new forestry, energy, and 

 water resource management strategies in the World Bank, and 

 the African Development Bank is currently drafting new 

 forestry and energy sector policies. This Administration 

 is paying close attention to these policies, and will 

 continue to press for reforms and improvements regarding 

 transparency, information disclosure, and public 

 participation in project design. 



• Again with the encouragement of the U.S. Government, 

 MDBs are funding environmental projects in Africa. For 

 example, the World Bank has eleven loans now in the 

 implementation stage, covering forestry in Gabon, 

 environmental resource management in Ghana, drainage and 

 sanitation in Nigeria, among others. 



• Parallel financing and AID cooperative projects in the 

 pilot phase of the GEF (Global Environmental Facility) have 

 addressed specific issues in Africa. For example, AID'S 

 "Action Program for the Environment" in Uganda will provide 

 resources for local and international NGOs to work with 

 communities in and around protected areas on natural 

 resource planning and management. 



Continued effective U.S. leadership in this area is limited 

 by U.S. arrearages to the Banks. We will need to address this 

 question soon, and find a balance between our support for these 

 institutions and their ability and willingness to respond to 

 our calls for efficient management, quality control, and 

 portfolio improvements. 



