March 24th, 2000

Dear Friends of Makeni,

We hope you are all well. Time for a short update on MEC's projects - please print these mini reports out and circulate them to your congregation and/or colleagues as part of our reporting procedures:

1. SETTLERS' INDEBTEDNESS:

Increasing concern on our part over the slowness or refusal of our settlers to repay loans extended to them has reached the point where we have had to decide to end all further loans. The following is an analysis of amounts owed by settlers to Makeni Ecumenical Centre:

Mwembeshi Settlement Village K24.5 million
Mwomboshi Settlement Village K42.2 million
Kalwelwe Settlement Village K44 million
Chisamba Settlement Village K27.7 million
Total Due K138.4 million

or Br£31,455 / US$49,700 / D.fl. 110,000.

Settlers have been informed that the Settlement Loan Fund is now exhausted and that future loans will be confined to funds received in repayments and then only to those who have paid back all production loans.

2. MEC's court case against the Government of Zambia over the loss of investments in Leopard's Hill Farm [see previous reports]

was not settled out of court by the Zambian Government as it had promised the judge of the Supreme Court. However, the judge granted them a further extension, till May 21st, within which to settle out of court. MEC's claim is for K78.8 million.

3. Family Planning Project:

The Netherlands Government, through the Lusaka Dutch Embassy, has donated D.fl 34,639,640 towards the Family Planning Project of MEC. In view of the threat of closure of this project due to absence of funding beyong June AD2000, a new budget has been drawn up, reducing staff salaries in real terms and eliminating the purchase of a new project vehicle (absolutely necessary but if there are no funds...). With the greatly reduced budget it is now hoped to stretch funds till November AD 2000. We are deeply indebted to the Dutch Government for this mast minute rescue of the FP project. 1999 Financial Report and the budget for Ad2000 for the FP Project have been posted to our website for those of you who wish to see these statistics.

4. ORPHANAGE PROJECT:

A congregation in The Netherlands has donated D.fl 10,000 (i.e. Br£2700 or US$4200 )towards the cost of the communal building of the Orphanage! We reported last time that this new building will cost K17.1 million. We extend our sincerest thanks to this band of generous Christians who dipped deep into their pockets to provide a new life for AIDS orphans in Zambia! It is the best news we have received for some time.

All for now. Thank you for all the support you are extending to this, one of Zambia's major NGO-run development centres, which has been called "a unique experiment in integrated community development work."

With best regards,

Yours in Christ, Fr Pierre J Dil / Hon. Chairman MEC