Tsunami and 13 Billion

Ok so where did it go? It's now 1 year after the Tsunami that hit the Indian Ocean and wrecked most of the Northern Indonesian coast with a 10 meter wall of water from a 9.0 earthquake NW of Banda Aceh. The water travelled on a parallel course to the Indonesian coast (not a perpendicular 90 degree angle) which hit the coastline and travelled slightly inland.

So CNN this morning has a nice touching 1 year follow up with a 9 year old who had his family killed by the tsunami with exception to his mother. A year ago, the reported chronicled the life this poor boy needed to live to stay alive. Now, 1 year later, he's in a different camp, but no better off.



The government of Indonesia, while having the 15th highest in GDP (that's 827 billion) in the world required world wide donations, which people gave willingly, and those donations were the highest amount given ever for a disaster event.

So let's do a little math - $13,000,000,000 (est.) was issued for Tsunami relief world wide for affected areas, of which, Indonesia was the worst hit. So let's just say that 75% of that 13 billion was used for Indonesia (that's 9.75 billion left). NPR estimated 400,000 people were displaced, lost their homes, etc. If in fact, the remainder of money went to the 400,000 people who were displaced, that would provide each displaced person $24,375 U.S. Yet, according to UNICEF a lot more needs to be done, and funding for the reconstruction has only started.

So okay, where's the money gone? Who's got it and why can't the money be distributed to the people who need it to build new homes and get them back on their feet? We also have to realize that the people of Indonesia who were displaced weren't living in mansions - prior to the tsunami they had meger incomes and meger lives. While the Indonesian government estimates $4.5 to $5 billion dollars in damages occured during the tsunami, why hasn't the 15th most powerful GDP in the world helped their people - and, where is the $13 billion dollars going?

Is it as CNN says, that the money is not getting to the people and the children (who must wash their clothes in public bathroom areas) are suffering?

The World Factbook identifies Indonesia:

Indonesia, a vast polyglot nation, has restored financial stability and pursued sober fiscal policies since the Asian financial crisis, but many economic development problems remain, including high unemployment, a fragile banking sector, endemic corruption, inadequate infrastructure, a poor investment climate, and unequal resource distribution among regions.

Their finances seem a little high in the corruption area and the "unequal resource distribution" sounds like most of the 9.75 billion may be going to fix the hotels and not to the people who need it. A caption from the NPR story identifies:

"Workers at one of 16 factories the International Organization for Migration has commissioned to build houses for people displaced by the tsunami. IOM has built 900 houses so far, with funding for 11,000 more."

900 homes in 1 year. Given a 100% growth rate for 2006, that means 1,800 homes will be built - how will they get to 11,000? Will the money just sit there for the next 8 years while the 11,000 homes are built? What about the other 300,000 people who are still supposedly displaced?

None of this adds up. The money doesn't, the displaced people don't and I don't know where the money that was so generously donated is being spent. My cynical side says it's in someone's pocket - or the money will be diverted to drug lords, politicans or maybe even terrorists. (Think the terrorists aren't looking at trying to get their mits on 1% of 9.75 billion?). I think the entire thing was probably a farce. The Indonesian government isn't making too much of a PR splash with all the help their providing to their own people.

Where's the money guys?


Related Link:
UPI Overhead takes up 1/3 of Tsunami relief funds

I guess I have my answer.