SWAMP RECL. I

closed

The Swamp Reclamation Project will assist the Government's effort to reclaim and settle swamps by implementing a 9,000 ha swamp reclamation and settlement project at Karang Agung, South Sumatra. It will mark the Bank's first assistance in the Government's ongoing swamp reclamation program. In addition to physical works, the project will comprise the preparation of future swamp investments, an ecological impact study, an investigation of groundwater for drinking and project monitoring. The project will benefit some 3,200 families from Java, Bali and from the region, whose incomes are below the critical consumption level, and will increase rice production by about 16,000 tons per year in 1991. The main risk is a slow build-up of agricultural benefits which could result from poor water management and from slow implementation, but measures to minimize the risk are included in the proposed project.