Memorandum of understanding between the United States Government and the Southern Philippine Council of Peace and Development regarding the Szopad accelerated enterprise development (SZAED) program

Government (USG) and the Southern Philippine Council of Peace and Development (SPCPD) to increase participation of Muslim communities in the economic development of the Special Zone of Peace and Development (SZOPAD) in Mindanao. The SZOPAD was created under the 9/96 Peace Agreement between the Philippine government and the Moro National Liberation Front that ended the long-running conflict in Mindanao. Assistance for participation of the non-Muslim population in economic development of the SZOPAD is already being provided under the Growth with Equity in Mindanao (GEM) Program (4920456). A U.S. contractor, possibly assisted by local NGOs and other entities, will implement the program, consisting of two components. Under the first, the program will strengthen business service organizations, such as chambers of commerce; establish and support a "SZOPAD Trade and Investment Promotion Center", to be located in Zamboanga City; and help the ARMM Government and, possibly, other local government units in the SZOPAD improve their investment incentive codes and programs. Under the second component, the program will support the expansion of the Emergency Livelihood Assistance Program, the subject of the 8/8/97 MOU between the SPCPD and the USG (see below); help MNLF ex-combatants and their families adopt methods for the profitable production of six basic crops/products; and facilitate the development of contract farming or other market linkages between SZOPAD producers and processors or markets. The SZAED Program will also support SPCPD efforts to promote government policies and practices for rapid and sustainable economic growth in the SZOPAD, and develop the capability of the SPCPD and the ARMM Government to implement communications programs. Included in the document is a copy of the 8/8/97 MOU, which finances two programs: (1) the Emergency Livelihood Assistance Program, which will provide up to 2,000 former MNLF combatants with technical training and limited commodity assistance for profitable agricultural and agribusiness activities; and, possibly (2) a PVO-run Pilot Literacy Program for some 200 female and 200 male former MNLF combatants and their families, preferably in communities where the Emergency Livelihood Assistance Program will be implemented and including modules on peace education, prosperity consciousness, and value formation.