Gaining Ground - JASSO2017/09/01 · 4 JICA'S WORLD APRIL 2017 Nurturing People who will Support...

The Magazine of the Japan International Cooperation Agency │ www.jica.go.jp/english │ April 2017 Vol.9・No.2

The Bright Future of Asia and the Pacific

Gaining Ground

2 JICA'S WORLD APRIL 2017

Hirota: Until recently, developed countries were facing long-term economic stagnation while emerging countries’ economic growth is slowing down. I would like to hear your forecast for the Asian economy.Sawada: According to the latest issue of ADB’s Asian Develop-ment Outlook, the economic growth rate of Asia in 2016 was 5.6%. This is higher than that of the world or than the average of all emerging countries. In other words, Asia continues to be the key driver of the global economy.Hirota: Trade is an important factor for economic growth of Asian countries. In the past few years, growth in global trade vol-ume has been stagnant. How do you see this?Sawada: Trade and foreign direct investment contribute to the improvement of production capacity in developing countries in the mid- to long-term, as they involve importing more advanced capi-tal goods and technology transfer. From a long-term perspective, it is crucial to promote trade and investment ties between developed countries and Asia. Given the importance of trade and investment for Asia’s prosperity, the rising trend against trade openness, and the potential reversal of decades of integration, this is something I am paying close attention to. Hirota: Regarding foreign direct investment, we must also keep in mind that entry of foreign firms does not automatically mean technology transfer and productivity improvement. It is necessary to improve the capacity of human resources in emerging countries as the foundation to utilize new technologies. The meaning of technical cooperation lies in human resource development.Sawada: Exactly. What’s vital is to improve the absorptive capac-ity of Asian economies, the main beneficiaries of investment and technology transfer. Over the years, JICA has promoted technol-ogy transfer through technical cooperation, and at the same time, has put emphasis on the development of human capital.Hirota: The ASEAN Economic Community was established in December of 2015. The importance of regional integration is in-creasing and JICA is promoting economic liberalization through technology transfer to contribute to economic growth. Now China is shifting its growth engine from investment and export to domes-tic consumption. What is your view on the future of the Chinese economy?Sawada: China’s economic growth rate dropped to 6.6% in 2016 compared to 9.5% in 2011. Behind this drop is China’s rebalanc-ing of the economy and we could say that the rebalance is similar to what happened in the 1970s in Japan. In addition, the Chinese economy is suffering from the similar “excess” factors as Japan did in 1990s such as overcapacity and high levels of debt. The gov-ernment must find a path to a soft landing from rapid growth to slower growth.

Hirota: ADB has marked its 50th anniversary since its founda-tion. Fifty years ago, which is the late 1960s, was the time when South Korea’s rapid economic growth started. Later, the Chinese economy started to develop after the introduction of the economic reform and liberalization policy in 1978, which was followed by dramatic growth in the 1990s. In Southeast Asia, ASEAN’s lower income countries have been experiencing high economic growth since 2000. Looking back on the past 50 years, how do you see Asia’s growth history?Sawada: In the past 50 years, Asia has grown rapidly and re-duced poverty dramatically. It was possible because both agri-culture and non-agricultural sectors improved their productivity while the countries shifted the core of their industrial structure from the former to the latter. The success of the Green Revolu-tion enabled increased food production and reduced concerns about starvation. Because of that, the agriculture sector’s labor force was released into the non-agricultural sector, and both sec-

tors achieved organic growth, benefitting people widely. You must also remember that physical infrastructure, human resources, and a stable macro economy provided a foundation for such develop-ment. This kind of inclusive growth, which involves a shift of the industrial structure, took place first in Japan and then in other East Asian countries. You can also find this type of growth pattern in Southeast and South Asia.Hirota: I would like to keep a close eye on the patterns of Asia’s development to see if such a shift from agriculture to manufactur-ing will continue in the years to come. Since the 2000s, India has also been growing significantly. How do you see the development of South Asian economy?Sawada: In India, the IT sector and the manufacturing sector are developing and human resources are also accumulating. In Ban-gladesh 30 years ago, almost all development indicators were very poor. But due to factors such as growth in the ready-made gar-ment industry, the country is now a role model for other develop-ing countries. The garment industry is labor-intensive and it has a

OVERVIEW OF THE ASIAN ECONOMY

TRANSITION OF ASIA AND ASSISTANCE FOR ASIAN COUNTRIES

The Asian Development Bank (ADB), Japan’s long-standing partner in supporting Asian

countries, is celebrating its 50th anniversary this year. Chief Economists of both JICA

and ADB look back on the past five decades in Asia and discuss the future of the region.


Gaining Ground

Sawada YasuyukiDr. Sawada is a Chief Economist at ADB. He has held positions as Associate Professor and Professor at the Graduate School of Economics at the University of Tokyo and has served as a consultant at the World Bank Development Research Group, a visiting professor at Stanford University’s Center for International Development, a visiting researcher at the ADB Institute, and a visiting fellow at the JICA Research Institute.Dr. Sawada was a professor at the University of Tokyo at the time of this interview.

APRIL 2017 JICA'S WORLD 3

high capacity to absorb the female labor force. Although countries in the region have risk factors, such as vulnerability for natural disasters, the overall outlook for South Asia is promising.Hirota: India has been experiencing economic growth led by do-mestic demand. That’s what is different from China in the past. Over the five decades, how has Japanese assistance for Asian coun-tries changed?Sawada: It is worth looking at the change in Japanese assistance from the perspective of long-term change in the form of finances that flow into Asia from developed countries. In the 1970s, the early period of development, ODA played a major role. But gradu-ally, financing forms such as foreign direct investment and indirect finance like bank loans have increased. Thailand’s eastern water-front area is now a major hub for Asia’s manufacturing and auto industry. It was made possible by Japanese ODA, which was used to develop basic infrastructure there. It gave a foothold for the pri-vate sector to enter and the manufacturing industry to develop. In other words, this is a successful example of development through a

“three in one” package comprised of ODA, investment, and export. Behind this success, I think, there lies integrated utilization of dif-ferent types of assistance including technical cooperation, which promoted the development of human resources and industries, and assistance from bilateral agencies and international organiza-tions. On the other hand, the importance of assistance does not necessarily decrease even if the industrial structure advances. This is because new risk factors such as financial crises and environ-mental issues emerge as an economy develops. Assistance is also needed to address such problems.Hirota: Japan has provided support for Asia in establishing in-dustrial foundations through infrastructure development as well as agriculture development. ADB is an important partner to Japan in providing assistance for Asia. ADB and JICA have developed a close, collaborative relationship in areas that range from analy-sis of development agendas to project implementation. Over the past years, the demand for infrastructure in Asia has been grow-ing rapidly due to Asia’s economic growth. Under the “Partner-ship for Quality Infrastructure” announced by the Japanese gov-ernment, ADB and JICA signed a Memorandum of Understanding to strengthen their ties. This collaborative relationship will grow even stronger beyond infrastructure development. So, what do you think about our assistance for Asia in the future?Sawada: Economic activity through markets is the basis for eco-nomic growth. However, it is difficult for developing countries by themselves to adjust to market failures. This is one of the reasons that aid agencies such as JICA and ADB exist and cooperate with these countries. While maintaining the development of physical infrastructure as one of their core activities, aid agencies are ex-pected to support economic activities more broadly, including the development of all kinds of public mechanisms such as social in-frastructure and financial and judicial systems. Japan has many experiences that can be shared with Asian countries, namely, dramatic recovery from World War II, the introduction of urban planning and anti-pollution measures during its rapid-growth pe-riod, and the development of countermeasures against economic crises, natural disasters, and an aging society. Japan must be able to provide assistance using this experience. Particularly through collaboration with ADB, Japan can contribute significantly to the achievement of the Sustainable Development Goals (SDGs) in Asia.Hirota: Fifty years ago, Asia was one of the poorest regions in the world, along with Africa. Now, as many Asian nations have become more developed, new problems such as urban issues and financial instability are arising. I think the experiences of Japan as a developed country dealing with these new problems can be ap-plied in many countries. I would like to continue making the most of Japan’s strengths, in collaboration with ADB.

The Asian Development Bank (ADB), Japan’s long-standing partner in supporting Asian

countries, is celebrating its 50th anniversary this year. Chief Economists of both JICA

and ADB look back on the past five decades in Asia and discuss the future of the region.

Brief History of ODA in Japan and Asia since 1950’s

1954

1977

2004

2008

2015

196719741976

1992

1997

Japan Joined the Colombo Plan and started official development as-sistance (ODA)

Prime Minister Takeo Fukuda proposed Japan’s three diplomacy prin-ciples toward ASEAN (Fukuda Doctrine)

Indian Ocean earthquake and tsunami occurred. Seamless assistance for restoration and recovery in the affected areas was provided

JICA becomes the world’s largest bilateral development institution, providing Technical Cooperation, Loan Aid and Grant Aid in a com-prehensive manner

Nepal earthquake occurred. Seamless assistance for restoration and recovery in the affected areas was providedDevelopment Cooperation Charter formulated in JapanASEAN Economic Community (AEC) founded

Association of Southeast Asian Nations (ASEAN) founded

JICA established

Payment of Japan’s World War II reparations completed

ODA Charter formulated in Japan

Asian financial crisis occurred. A large scale assistance plan for South-east Asia to cost $30 billion was devised


Gaining Ground

Hirota KokiA Chief Economist at JICA, Dr. Hirota has been engaged in Japan’s official development assistance (ODA) programs for 35 years. He has held various positions at JICA including Director General of Operation Strategy and Director General of Southeast Asia and the Pacific. He is currently a visiting professor at Saitama University in Japan.


Nurturing People who will Support Asia’s Growth

one of the key efforts in this initiative. The centers are designed to become hubs for human resource de-velopment in the host countries, while also serving as bases for those countries to network with Japan. Today, there are ten Japan Centers in nine countries: Cambodia, Viet Nam, Myanmar, Laos, Mongolia, Uz-bekistan, Kyrgyzstan, Kazakhstan, and Ukraine.

In Kyrgyzstan, which became independent in 1991 after the collapse of the Soviet Union, the Kyr-gyz Republic-Japan Center for Human Development (KRJC) was established in 1995. “After the end of the Cold War, companies and factories built during the Soviet era closed down one after another,” says Kanat Kolbaev, Director of KRJC. “Therefore, we must de-velop human resources in order to develop businesses on our own.”

KRJC provides lectures and training programs in which local people can acquire business knowledge and skills in such areas as marketing, financial man-agement, and production quality management. Lec-turers include personnel managers and consultants from local firms as well as experts from Japan.

Although Kyrgyzstan was one of the first Central

J apan Centers are human development cen-ters established by the Japanese government in Asian countries to help develop local peo-

ple’s business acumen and strengthen ties with Japan. Currently, there are ten Japan Centers in nine Asian countries, and each center carries out activities tailored to each individual country. In Kyrgyzstan, the center is focusing on developing human resources to encourage industry diversi-fication.

BUSINESS PERSONNEL: A MUST FOR ECONOMIC DEVELOPMENTAt an ASEAN summit in 2015, Prime Minister

Shinzo Abe announced plans to give job training to 40,000 people in Asia over the next three years. This is Japan’s Industrial Human Resource Development Cooperation Initiative, which aims to strengthen Asia’s “human capital” and make Asia the growth center that will drive the global economy in the 21st century. The establishment of Japan Centers in coun-tries that are transitioning to market economies is

Kyrgyz Republic-Japan Center for Human

Development (KRJC) in Bishkek receives about

30,000 visitors annually.

Kanat Kolbaev, Director of KRJC, has taken Japanese language courses at the Center and has visited Japan.

Gaining Ground : KYRGYZSTAN

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Kyrgyzstan

Bishkek

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Asian nations to begin transition to a market econo-my, most of its GDP is still composed of agriculture, gold exports, and remittances sent home by Kyrgyz workers in foreign countries. Stronger export com-petitiveness and business development are yet to be achieved. These factors influenced KRJC’s launch of a new initiative in April 2016, which focuses on di-versifying the Kyrgyz economy by developing its hu-man resources. Emiko Hamada, the coordinator at KRJC, says, “We renewed the content of our courses and invited new Japanese food sanitation experts to support the development of the agricultural and live-stock processing industries.”

So far, KRJC has organized a special seminar to teach the hazard analysis and critical control point (HACCP) system, an international standard for food sanitation management. In this seminar, experts gave lectures on the definition of HACCP and its impor-tance and visited the workplaces of seminar partici-pants to give site-specific advice on sanitation man-agement measures. In the next phase, KRJC plans to increase its activities in rural areas and conduct seminars not only in Bishkek, where KRJC is located, but also in other regions.

A BASE FOR PROMOTING EXCHANGE WITH JAPAN Thus far, over 10,000 people have completed

KRJC business courses. Nurzat Khusainov, who took a KRJC course in 2012, runs a furniture manufac-turing company in Bishkek. He says that what he learned from the Japanese experts is now helping him improve his business operations. “For instance, our equipment and tools used to be disorganized,” he says. “So I reorganized them to match the operation procedure, utilizing what I learned in the course, and it helped to improve work efficiency significantly.”

Kadyrjan Baimatov is now the owner of a café built around the concept of a healthy diet. He says, “My friend and I were planning to start a business but we didn’t have any business management know-how. So I decided to take this business course.” The course was useful beyond the initial opening phase, too. He adds, “Their ideas on human resources are especially useful for running the café.”

Another goal of KRJC is building stronger ties between Kyrgyzstan and Japan, and so it provides a series of programs and courses to promote mutual

understanding. One such example is the Japanese language course. The course is open to all, includ-ing people with no knowledge of Japanese. More than 3,000 people have completed this course and many now have jobs related to Japan. Another one of KRJC’s efforts is providing opportunities for people to join clubs and workshops in which they can expe-rience aspects of Japanese culture, such as the tea ceremony, Japanese calligraphy, and origami. KRJC’s Japanese drum group, O-Edo Daiko, with about 15 members, is now becoming so well-known that it receives performance requests from Kazakhstan, a neighboring country. Guliza Avazova, the leader of the group, says, “When I play the drum, I feel so ener-gized, even if I’m tired from work. All members enjoy this activity, regardless of age.”

Director Kanat Kolbaev says, “I myself have be-come more familiar with Japan through the center’s activities, and I learned some Japanese language, too. I would like to further promote exchange be-tween Kyrgyzstan and Japan and strengthen the col-laborative ties.”

The Japan Center concept is now taking root in Asian countries. It is serving as a driver for the coun-tries’ economic development, as well as a promoter of social and cultural exchange with Japan.

The KRJC Library has literature on Japan along with Japanese manga.

Left: Kadyrjan Baimatov, who runs a café in Bishkek, says, “At KRJC, I learned how to draw up an effective business plan.”Right: Members of a Japanese drum group practicing for a performance at a festival.

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The bridge is named after its shape, which looks like two birds side by side taking wing – “tsubasa” in Japanese. Before the bridge was built, the only way to reach the opposite bank was to wait hours for a ferry. Now, people can cross the river with-out waiting, regardless of the time of the day. The bridge is one of the most recent examples of Japan’s development aid supporting transportation infra-structure. Japan has provided its assistance to build more than 2,000 bridges around the world as ODA projects, along with many roads, railways, ports, and airports. Two other bridges that Japan built in Cam-bodia—the Nihon Bridge in Phnom Penh and the Kizuna Bridge in Kompong Cham—also have names derived from Japanese: “Nihon” means “Japan” and “kizuna” means “bonds.” The Kizuna Bridge appears on a postage stamp and a banknote as a symbol of

A LONG-AWAITED BRIDGE TO CROSS THE GREAT RIVERIt was a week before Cambodian New Year. On

April 6th, 2015, 10,000 people celebrated the open-ing of the Tsubasa Bridge across the Mekong River near Phnom Penh, the capital of Cambodia. Joining the throngs of locals were important national figures, including Prime Minister Hun Sen and then-Minister for Public Works and Transport Tram Iv Tek, as well as Akihiko Tanaka, then-president of JICA, and Aki-hiro Nishimura, Japan’s Vice-Minister for Land, In-frastructure, Transport and Tourism. By the follow-ing day, the bridge had become a part of the local life: Cars and motorcycles zipped back and forth, some stopping in the middle to enjoy the magnificent landscape of the Great River. Merchants were selling bottled water and lotus seeds in the pedestrian lane while cars, trucks, and tuk-tuks passed by.

After the opening ceremony, people start to move down the Tsubasa Bridge.

Gaining Ground : CAMBODIA

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Bangkok

Phnom PenhHo Chi Minh City

Vung Tau

Dawei The Southern Economic CorridorDream Takes Wing as ASEAN Steps ForwardThe Vision behind the Southern Economic Corridor


Japanese cooperation and friendship.Phnom Penh is situated in the middle of the

Southern Economic Corridor, a series of geographi-cally connected highway projects supported by ODA from Japan. The Corridor passes through four southern ASEAN countries: Viet Nam, Cambodia, Thailand, and Myanmar. The 10 member countries of ASEAN, with a combined population of 652 mil-lion, are experiencing rapid economic growth. The establishment of the ASEAN Economic Community in late 2015 created more opportunities for compa-nies wishing to profit from the different strengths of each country.

OPEN FRONTIER TOWARD A NEW FUTURE

Let’s journey through the Southern Economic Corridor from its eastern end in Viet Nam. The Cor-ridor starts in Vung Tau, a famous bathing spot for local residents. Under French colonization, the little peninsula was called Cap Saint Jacques, and it be-came a major shipping port. Even though it is 100 km away from the largest city in the country, it is still one of Viet Nam’s most important trading ports. JICA provided loans for the construction of this port as well as the Phu My thermal power plant situated near by.

A two-hour drive from the port brings you to the famous City of Woods, now called Ho Chi Minh City. After a brief period of Japanese occupation prior to the end of the Second World War, the country went through a series of war until the city, then called Sai-gon, had been liberated in 1975. Some forty years after the end of the war, the country now enjoys an annual GDP growth rate of about 6%. Another two-hour drive on wide and well-maintained roads takes you to the village of Moc Bai on the border with Cambodia. The long lines of freight vehicles waiting to pass through the border gate are a testament to the importance of trade between the two countries.

Today, Cambodia is seen as a new “factory” of ASEAN. Its low labor costs increasingly attract in-ternational companies and the kingdom is gradu-ally transitioning into an industrial economy after suffering two decades of civil war. Some goods are wholly produced in Cambodia while others are pre-

fabricated in Cambodia and manufactured in other countries. The Southern Economic Corridor is more important than ever for Cambodia, for it allows rapid transportation of goods from Cambodia to its neigh-bor countries for export from the ports of Viet Nam and Thailand. However, Cambodia’s roads are not as developed as those of its neighbors. JICA helps main-tain, repair, and expand some of the country’s most important roads and bridges.

Next along the Southern Economic Corridor are the Mekong River and the Tsubasa Bridge. The ten-year construction project has delivered fast, reliable transportation across the river. The border between Cambodia and Thailand lies 400km away from Phnom Penh. A border gate designed to resemble a traditional Buddhist temple welcomes visitors to the Land of Smiles.

With its rapid growth, Thailand is currently lead-ing the economic development of the region. JICA has committed to providing support to the Laem Chabang Industrial Estate project near the capital, Bangkok. International manufacturers who have es-tablished operations in Thailand, including Japanese companies, will find Laem Chabang and its trading port to be an ideal location to set up a plant. The last part of the Corridor will lead to Dawei, Myanmar. It is still under construction, but the Dawei Industrial Estate project, similar to the Laem Chabang project, is expected to create more opportunities for manu-facturers as well as for the country itself.

The formation of the ASEAN Economic Commu-nity has created a single market and production base. The availability of workers and easier transportation of goods will enhance its competitiveness and stimu-late the region’s economy. In addition to the South-ern Economic Corridor, JICA is currently providing economic and technical cooperation for projects un-der way in the East–West Economic Corridor, which connects Viet Nam, Laos, Thailand, and Myanmar, as well as the Marine Economic Corridor, which covers five island countries. Once the Corridors reach their full potential, the ASEAN region will be united by re-liable transportation infrastructure and will be well positioned to become a driving force in the world’s economy. JICA remains committed to supporting the development of ASEAN countries.

Thailand’s highway reflects the country’s rapid growth.

A long line of vehicles waiting to go through the Viet Nam - Cambodia border control.

Roads in Viet Nam are well maintained.

The Corridor from east to west: different economic situations united for a common goal

District Hospital Kadugannawa in Kandy, Central province; Sri Lanka’s first hospital with a ward for the elderly. Here, doctors from Japan and Sri Lanka exchange opinions about geriatric care in Sri Lanka.


Longevity: Sri Lanka’s New Challenge in Medical Care

A s Sri Lanka’s healthcare system improves, the people of Sri Lanka are increasingly enjoying a healthy life and longevity. Best

practices from Japanese rural healthcare are bringing improved medical care for the elderly to this graying society.

THE EVER-GRAYING ISLAND OF TEAELDERLY HEALTHCARE HAS BECOME A SOCIAL ISSUE

Although the once-common Japanese word “mui-son (a village without a doctor)” is all-but forgotten, the shortage of doctors has been a problem for many years in remote areas of Japan. In 1979 the Rural Health Training Center was opened to counter doc-tor shortages in rural areas, so that practicing doctors and medical personnel could learn about the needs of farming villages and provide medical services. The late Dr. Toshikazu Wakatsuki, who was a pioneer of Japan’s rural healthcare, laid the philosophical groundwork for this initiative. He promoted preven-tive medicine and invented village-wide checkups, which later became the basis for what is now wide-ly known as a health exam. Saku Central Hospital, which Dr. Wakatsuki built from the ground up in 1944 in Nagano, is regarded as one of the world’s leading bases for rural healthcare, even today.

The Center used to receive approximately 3,000 trainees a year, all Japanese medical professionals. With the intention of applying the rural healthcare

The first hospital in Sri Lanka to open an outpatient department

for seniors. Urgent institution-building is needed in preparation for an aging society, which is just

around the corner.

Discussion about elderly care at the Vocational Education and Training Center, Central province. Model training courses are to be developed at this facility.

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Colombo

Sri Lanka

Gaining Ground : SRI LANKA


philosophy of Dr. Wakatsuki to the field of interna-tional cooperation, the Center started to take in train-ees from overseas in 2007. A project for maternal and child health in Guatemala was the first step in this direction. Another example of such international co-operation was the invitation of young trainees from Sri Lanka in 2013, which resulted in the Center’s in-volvement in Sri Lanka’s elderly healthcare project, in collaboration with JICA.

One of the problems emerging in Sri Lanka, a country famous in Japan for its tea and scenic beauty, is the aging of its population. Primary healthcare in Sri Lanka is quite developed and the country’s basic health index, which includes infant and maternal mortality, is relatively good among developing coun-tries. As a result, people are enjoying greater longev-ity, with an average lifespan of 74 years, and the so-ciety is projected to grow old at a more rapid pace than ever. Currently, elderly care in Sri Lanka largely depends on families, and it is a pressing issue to build up services to support seniors at the societal level, including by building hospitals and related facilities.

Sri Lankan trainees, who learned about the need for elderly care during the 2013 training program in Japan, submitted an action plan for elderly health-care to the Minister of Health as well as the Elder-ly Steering Committee after returning home, and their proposal gained the backing of the Ministry of Health. Following the approval of the proposal, the Rural Health Training Center came to cooperate with the trainees to formulate policies for comprehensive elderly care as well as to develop models for imple-menting elderly care programs.

“It was truly touching that, when I visited the place again to follow up the training, some members traveled more than 12 hours by train to come to see me,” says project manager Dr. Kijyo Deura, who has also established a training system for the Ministry of Health in Ghana. He continues, “In Sri Lanka, elderly healthcare is not regarded as important yet, with just a few researchers and health officials starting to pay attention. The very first measures for the elderly people must include formulating a policy for elderly healthcare, and then feasible model plans and train-ing models need to be created.”

USING JAPAN’S EXPERIENCES TO CREATE COMPREHENSIVE COMMUNITY MEDICAL SYSTEMS

Dr. Deura himself was a hematologist at Saku Central Hospital, dealing with rural healthcare. At the same time, he worked with a number of trainees either at this hospital or at the Training Center to help developing countries keep villages in good health. What he found important when he was working with the trainees was the need to respect the systems and mentality of each other’s countries.

“When I traveled across Sri Lanka to prepare the project, people often came up to me and asked what they should do, assuming that the Japanese have come to offer them some plans. Every time this hap-pened, I would tell them that I want to know what Sri Lanka wants, and I am here to help them get it,” recalls Dr. Deura. In addition to providing informa-tion about medical care in Japan and teaching posi-tive aspects of the Japanese medical system to the people of Sri Lanka, this project attempts to localize the training programs so that they are suited to the actual places and can then be handed over to local Sri Lankan people.

“For instance, in Japan, it took a long time and a huge effort to plan and implement the nursing-care insurance system from scratch. It might be quicker and less costly in Sri Lanka to build a community-based comprehensive medical system, as the primary healthcare infrastructure is already fully established there. I hope that this project will be a springboard for building effective systems for elderly care in Sri Lanka,” says Dr. Deura.

Young medical professionals trained at the Cen-ter, including Dr. Lakshitha Iroshan Ranasinghe from the Planning Section of the Ministry of Health, re-portedly persuaded their colleagues that the project was important and together, they worked hard to see it get off the ground.

In January 2017, the policy for elderly healthcare was approved by the government of Sri Lanka and the relevant laws are to come into effect this April, overseen by the Ministry of Health as well as the Ministry of Social Empowerment and Welfare. The society of Sri Lanka is moving toward an era of longer lives and greater peace of mind.

Left: Day-care service is indispensable for an aging society. It provides a variety of assistance for housebound seniors. Right: A seminar to raise awareness about elderly care in Colombo. First and foremost, the need for elderly care must receive wider recognition in Sri Lanka.

Handrails in a bathroom for the elderly. The concept of barrier-free environment needs to gain acceptance among the people of Sri Lanka.

Nuku'alofa


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Gaining Ground : TONGA

the fuel’s high CO2 emissions are a cause for concern over the environment—a problem to which island nations are particularly vulnerable.

Tonga is now actively pursuing the development of renewable energy, such as solar power and wind energy. The government hopes, by the year 2020, to have half of the power used in the country come from renewable energy sources. As part of this ini-tiative, Tonga began working with Japan in 2013 to introduce a micro-grid power system.

Micro-grid systems use battery equipment and combine several power-generating facilities that produce less CO2 to generate a steady supply of elec-tricity while adjusting to fluctuations in supply and

I sland nations today share a common goal: to provide a stable supply of energy to all people. Tonga is one of these countries striv-

ing to use renewable energy sources to create a steady supply of electricity.

ENERGY TROUBLE IN PARADISEOn an island nation in the South Pacific, a brand-

new power generation facility was powered up for the first time. A palpable feeling of relief spread among the workers as they confirmed that it was operating smoothly. In January of 2015, Tonga was about to start operation of a completely new system for supplying electricity, developed on its own is-land.

Most of Tonga’s 100,000 citizens make their liv-ing in farming and fishery. The country’s beau-

tiful coral reefs and yacht harbors attract many tourists. Yet, in contrast to the

external stereotype of a slow, pleasant, and carefree Oceania lifestyle sur-rounded by lush natural beauty and idyllic charm, countries in the region have been suffering from a common

problem: energy shortage. Many of them rely on diesel power and fossil fuel

to generate most of their electricity. Howev-er, the high shipping cost of fossil fuel is a heavy

burden on these countries’ finances; additionally, Tonga Diesel fuel tank at the Popua power plant. Electricity

is delivered everywhere on the island from here.

New solar power unit installed in the Vaini district

Into the Era of Renewable Energy

Workers install transformer panels, which function as electric transformers to supply power to all regions.


problems that many countries face? The interna-tional community is watching to see if this solution proves successful.

All around the world, awareness of the need to prevent global warming is increasing. In the midst of it, Oceanian nations are facing a turning point in the development of new energy sources. Ahead of everyone else, the people of Tonga are about to experience the benefits of the future of clean power.

demand. These systems represent a network of inter-connected small-scale power units and as such, they are particularly suitable for small island nations, where constructing large power plants is difficult. In Japan, micro-grids are being used on some remote islands in the Kyushu area. In Tonga, the system is now being installed on Tongatapu Island, which is home to 70% of all Tongan citizens.

SUPPORT IN THE FIELDHidekazu Sato from Yachiyo Engineering, a con-

sulting company in the construction business, has been supporting Tonga’s efforts in the field. As an electricity expert, he has worked in Sri Lanka and Peru to assist in the introduction of systems for photovoltaic power generation. In Tonga, Sato con-ducted surveys with local energy staff and installed a 1-MW photovoltaic unit as well as units to control and adjust power supply output fluctuations. He also helped establish a power supply network incorporat-ing a 1.32-MW photovoltaic unit developed with as-sistance from New Zealand.

When providing technical guidance, Sato goes beyond words and written materials and explains operation procedures using hands-on demonstra-tions of the actual facilities at the site. He puts special emphasis on teaching troubleshooting and maintenance so that local people can manage the facilities on their own after the operation has been launched. Sato says that through this hands-on ex-perience, local people are gradually beginning to understand why they need the system in order to maintain high-quality power generation. According to Sato, local staff respond to his own enthusiasm and are always willing to help him.

Such efforts finally bore fruit in January 2015, when the test-run of the micro-grid system was suc-cessfully finished. The following March, the system was officially handed over to Tonga. The system is now operating smoothly, generating more power than was initially forecast. However, the country’s goal—to cover half of its total electricity demand with renewable energy—is yet to be met. To help the nation achieve its goal, Japan is planning to build a wind-power plant in Tonga, which will be the first Japanese grant aid project of this kind.

Although renewable energy is increasingly used in many island countries, there are also challenges, Sato says. “Because renewable energy is dependent on natural conditions, it is inevitably difficult to ensure a stable supply of power. Moreover, when this energy is used on a larger scale, power output fluctuations become greater, so you must be careful about controlling the power.” Could the micro-grid system be a major solution for the types of energy

Sato checking wiring of solar panels with local workers for the test-run.

Sato (second from left) attending a test-run of the micro-grid system.


Our Long History of Cooperation inAsia

ACTIONS AGAINST CLIMATE CHANGE

HEALTH

In 1997, the Kyoto Protocol was adopted to set targets for greenhouse gas emission reduction for major emitting coun-tries. Following this, in 2015, member countries signed the Par-is Agreement, which requires all nations including developing countries to follow a common set of measures against climate change.

Over the years, JICA has carried out development assistance projects that help countries reduce greenhouse gas emissions and adapt to the effects of climate change. In Asian countries, these projects have focused on developing renewable sources of energy, establishing public transportation systems, and preserv-ing forests to help reduce greenhouse gas emissions as well as on flood control and irrigation development to help vulnerable areas adapt to the effects of climate change. For instance, in India, the metro system of the greater Delhi area has adopted an energy-saving braking system that was developed and used in Japan for subway vehicles. The system is contributing to the improvement of the city’s environment and, consequently, to the mitigation of climate change.

Ever since one of JICA’s predecessors, the Overseas Technical Cooperation Agency (OTCA), started an international tubercu-losis control training course in 1963, JICA has been actively in-volved in efforts to improve health care across Asia. In the 1970s and 80s, Japan provided grants as well as technical cooperation to implement numerous aid programs for developing countries, such as hospital construction and procurement of medical equipment.

In 1971, Japan supported the construction of a new building of Cho Ray Hospital in Ho Chi Minh City, Viet Nam. In the 1990s,

Japan again provided funds and technical cooperation to renovate the aging facilities and improve hospital management and clinical work. With this long-term devel-opment cooperation in mind, JICA is currently conducting a feasibil-ity study on the construction of a second Cho Ray Hospital through a ODA loan.

In the 1980s, JICA began pro-

In recent years, the government of Japan has been promoting the Joint Crediting Mecha-nism (JCM), a scheme in which Japan provides low-carbon technolo-gies and other means of reducing greenhouse emissions to develop-ing countries; in return, credits attained by the host countries for greenhouse gas emission reduction can be used by Japan to meet its emission reduction goal. JICA is currently working to develop the capacity of the Indonesian government to smoothly implement the JCM in Indonesia. As part of these efforts, in Feb-ruary, JICA held a seminar in Tokyo inviting Indonesia’s senior ministry officials. The seminar complements other forms of as-sistance that JICA has extended to Indonesia, including techni-cal cooperation and ODA loans.

viding technical cooperation for the control of infectious diseas-es, especially diarrhea and malaria; in the 1990s, it further in-creased its assistance aimed at fighting global infectious diseases including polio and AIDS as well as improving maternal and child health – topics of growing international concern at that time.

Many volunteers including nurses, midwives, and nutritionists have been sent to developing nations all across Asia through the Japan Overseas Cooperation Volunteers program. They work side by side with local people, helping local communities cope with the challenges they face.

Recently, the need for regional medical care has been increas-ing and the importance of primary health care has become wide-ly recognized. In response to these trends, JICA has diversified its health sector assistance and has enhanced its support for devel-oping human resources.

Since 2000, JICA has been working to achieve the UN’s MDGs and SDGs. Currently, it provides support to many countries in Asia, helping them achieve universal health coverage and popu-larize the use of mother and child health handbooks. JICA plans to expand its health-related programs even further.

Responding to Global Trends in Climate Change

Helping Countries in Asia Achieve Sustainable Health Care

Japan has supported the economic and social development of Asia for

more than half a century, responding to the needs of the ever-chang-

ing society. The stories in this section describe four major areas of co-

operation in Asian countries, where JICA’s proactive contribution has

strengthened the foundations of society.

In 2015, JICA carried out a project aimed at sustainable forest management in a reservoir area in the northwestern part of Viet Nam. Local residents participated in this forest preservation effort.

A project aimed at professional development for nurses in Bangladesh.


Our Long History of Cooperation inAsiaTRANSPORT INFRASTRUCTURE

INDUSTRIAL HUMAN RESOURCE DEVELOPMENT

Roads, railways, ports, and airports – all are important types of transport infrastructure that underpin national economies. From the preparation of master plans to actual operation and main-tenance, JICA has been providing comprehensive infrastructure support for Asian countries, including human resource develop-ment. In Indonesia, a railroad project has been implemented in a four-city region known as JABOTABEK, with Jakarta at the center. JICA started supporting Indonesia’s plans to enhance its existing facilities, such as railway stations and signals, in 1981. Since then, cooperation has taken varied forms, from training programs to improving the operation and management skills of railway officials, to elevating and double-tracking the railways.

Cross-border infrastructure that spans two or more countries has the important potential to spread development over wider ar-eas. JICA believes that wide-area cooperation will promote socio-economic stability and modernization in the ASEAN region, and therefore has been proactive in supporting this type of initiative. JICA has long seen ASEAN countries as one regional community and has been working to improve ports, harbors, power plants, and highways in the region in order to get the idea of the East-West Economic Corridor and the Southern Economic Corridor in

Japan has been supporting the promotion of industrial devel-opment, vocational training, and technical education under the principle that nation building starts with human resource devel-opment. Under this principle, Japanese specialists share Japan’s expertise and knowledge with technical and administrative per-sonnel in partner countries. This cooperation contributes to hu-man resource development by transmitting appropriate knowl-edge, technology, and know-how and at the same time allowing participants to deepen mutual understanding through direct interaction. Over the past three decades, JICA has focused con-siderable resources on helping workers in developing countries acquire the skills that are necessary to build a robust workforce

and a strong national economy.

In the 1970s, JICA launched a full-scale de-velopment cooperation project to help partner countries create training programs and courses that would equip workers with the technical skills needed to work effectively in factories or at manufac-turing sites. For example,

the Greater Mekong region off the drawing board and into reality. It has become a prevailing opinion in the international de-

velopment community that it is the quality, and not merely the quantity, of infrastructure that matters for sustainable develop-ment. In 2015, in response to the demand for high-quality infra-structure in Asia, Japan’s Prime Minister Shinzo Abe announced the Partnership for Quality Infrastructure, an initiative aimed at promoting investment in quality infrastructure across the region. To implement this initiative, JICA is working to expand its range of support mechanisms and deliver them even faster by improv-ing its project sys-tems and boosting partnerships with ADB and the pri-vate sector.

JICA established an operation and management program at the Metal Industry Technology Center in Malaysia and a sustainable development training course at the Center for Vocational and Ex-tension Service Training (CEVEST) in Indonesia. In the 2000s, JICA continued to support the training and capacity development of highly skilled workers, preparing them to respond to the needs of relevant industries in their countries.

JICA provides support for the development of highly skilled human resources for business at “Japan Centers,” human re-source development centers that the agency has set up in nine Asian countries. These centers provide specialized business courses to improve the skills of business managers and produc-tion site managers. In addition, JICA supports the expansion of engineering and research programs at universities and graduate schools across Asia. For example, in 2003, it started project for the Southeast Asia Engineering Education Development Network (SEED-Net), a consortium of 26 top engineering universities in ten ASEAN countries. The network was established to provide op-portunities for exchange programs and joint academic research as well as to teach engineers research and other job-related skills.

In 2015, the Japanese government announced its Industrial Human Resource Development Cooperation Initiative, which will provide industrial training to 40,000 people in Asia in the next three years. To fulfill this initiative, JICA will further expand its support to meet the needs of private companies.

Quality Transport Infrastructure Contributes to Widespread Development

Supporting Human Resource Development as the Foundation of National Development

National Route 9, a part of the Mekong East-West Economic Corridor, has been refurbished and improved through the support of JICA.

The Center for Vocational and Extension Service Training (CEVEST) was built and outfitted with equipment by JICA. Currently training programs use equipment that was donated in the 1980s.


・ TRENDS ・

JICA President Shinichi Kitaoka addressed a group of politicians, business figures, and opinion leaders about the urgent need to

develop policies that would allow women to take a more active role in peace-building efforts in areas stricken by disaster or conflict. He delivered the re-marks as part of a high-level roundtable discussion at the third World Assembly for Women in Tokyo last December. The purpose of the two-day meet-ing was to give international attention to policies aimed at empowering women.

Akiko Yamanaka, Japan’s Special Ambassador for World Tsunami Awareness Day, moderated the roundtable, which focused on the participation of women in peace-building and conflict-prevention activities. Other participants included Jeanine Hennis-Plasschaert, Minister of Defense of the

A fghanistan has one of the highest child-hood mortality rates in the world. A large number of these deaths are still caused

by infectious diseases that could be prevented by immunization. In December of 2016, JICA signed an agreement with the United Nations Children’s Fund (UNICEF) to provide grant aid for a project aimed at preventing infectious diseases among children.

This project will procure vaccines against tuber-culosis, measles, and hepatitis B for 1.3 million chil-dren under the age of one, vaccines against polio for 9.5 million children under the age of five, and tetanus vaccines for 2.5 million women of child-bearing age.

In January of 2017, JICA signed a loan agree-ment with the National Institute of Fisheries Research (INRH) of Morocco to provide a Japa-

nese ODA loan to Morocco for a project involving the construction of a vessel for oceanographic and fisheries research.

In this project, Morocco will use Japanese ship-building technology to construct a vessel capable of carrying out advanced oceanographic and fisheries research. This will strengthen Morocco’s science capability to improve the management of marine resources and advance the sustainable de-velopment of its fisheries industry.

The fisheries industry is an important source of foreign currency and jobs for Morocco. Morocco has outstanding fishing grounds in the Atlantic

Netherlands, and Melanne Verveer, Executive Di-rector of the Georgetown Institute for Women, Peace and Security.

Kitaoka introduced JICA-assisted projects con-ducted in Afghanistan and the Philippines as part of efforts to empower women and shared three lessons that his organization had learned from these projects. The first is that violence directed towards women often intensifies during and after conflicts and disasters; training and deploying fe-male police officers is essential for preventing es-calation of violence towards women. The second is that supporting the social and economic self-reliance of a community’s women who are living in poverty helps stabilize a society thrown into confusion after a conflict or disaster. The third is that it is important to incorporate the suggestions of a wide range of stakeholders, including women, during efforts to reestablish stable societies and develop disaster risk reduction plans.

The project will also finance efforts to provide communities with information about preventing infectious diseases and to develop the capacity of vaccination workers and others engaged in vacci-nation activities.

Eradicating polio, in particular, is a priority for the Afghan government. The number of new polio cases in Afghanistan has fluctuated in recent years, and there is an on-going need for high-quality vac-cination campaigns in addition to the Extended Program on Immunization, which is conducted jointly by the World Health Organization (WHO) and UNICEF. This project will support Afghanistan’s own steps towards eradicating polio.

Polio is a crippling and potentially deadly dis-ease caused by a virus. It currently remains in only three countries: Afghanistan, Pakistan, and Nigeria.

Ocean, and the fisheries sector accounts for ap-proximately five percent of the country’s total ex-port value. Since 2000, however, climate change and marine pollution have led to unstable catch volumes, which in turn affect the livelihoods of people working in fisheries-related jobs.

Therefore, management of marine resources is a key policy for the government of Morocco. Im-proving oceanographic and fisheries research ca-pacity is a priority.

The vessels currently used for fisheries research were purchased 20 years ago using previous Japa-nese grant money. The fleet is aging and needs to be replaced.

The project will be conducted under the Spe-cial Terms for Economic Partnership (STEP), a scheme designed to increase the visibility of Japa-nese aid to developing countries both in Japan and in recipient countries.

JICA President Shinichi Kitaoka participating the discussion at the high-level roundtable

Eiichiro Cho, Chief Representative of JICA Afghanistan Office (left) and Adele Khodr, Representative of UNICEF Afghanistan Country Office (right)

Hitoshi Tojima, Chief Representative of JICA Morocco Office (left) and Abdelmalek Faraj, Director of INRH (right)

JICA President Calls for Promoting Women’s Participation in Peace Building

Japan

Working with UNICEF to Eradicate Infectious Diseases

Afghanistan

Fisheries Industry Benefits from Japanese Shipbuilding Technology

Morocco


Algaa SaikhantuyaRepresentative (Governance Sector), JICA Mongolia Office

concerns. These visits helped JICA develop proj-ects that met the needs of the beneficiaries.

A quarter of a century after its transition to a market economy, Mongolia was able to swiftly overcome the 2008 financial crisis and achieve a high rate of economic growth driven by mineral resource development. It is now important to strengthen the governance of administrative or-ganizations that invest the growing revenue from resource development into social capital to ensure sustainable development of the country.

Saikhantuya has been working in this area since 2011, managing projects in international taxation, internal auditing, capital market supervi-sion, and fair market competition, to name a few. The assistance to governance sector takes time to have visible impact, therefore JICA provides con-tinuous assistance in collaboration with Mongo-lian partners while respecting their autonomy.

Japan is a top ODA donor for Mongolia, and Mongolia has the largest number of exchange stu-dents studying in Japan, by proportion of the pop-ulation. As the head of the local staff in the JICA Mongolia office, Saikhantuya hopes that the two countries will continue to deepen mutual trust for the sustainable growth of Mongolia.

Algaa Saikhantuya came to study in Japan from Mongolian University of Science and Tech-nology under a Japanese government scholarship program in 1992. After studying the Japanese language for a year, she entered Yokohama Na-tional University to study business administration. While in Japan, she became interested in former socialist countries undergoing economic transition as well as the role of Japan’s ODA in supporting those countries. After obtaining a master’s degree, Saikhantuya returned to Mongolia and in 2002, she joined JICA.

In the 1990s, Ulaanbaatar was experiencing power outages almost every day. JICA supported improvements to the local thermal power plants, which reduced the outages. As a young student, Saikhantuya was impressed when she learned about the impact that the Japanese assistance had had on people’s daily lives and this motivated her to later join JICA.

After joining JICA, Saikhantuya started work-ing in rural development and poverty reduction. Between 2002 and 2011, she was involved in the agriculture and livestock sector, visiting rural ar-eas together with JICA experts to meet nomads that they were working to help and to hear their

FROM THE FIELD

Voices

Cover: Jakarta, Indonesia. The city

of remarkable development

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Public Relations

The Japan International Cooperation Agency(JICA) is the world’s largest bilateraldevelopment organization, operating in some 150 countries to help some of the globe’smost vulnerable people.

As the Asian Development Bank (ADB) celebrates its 50th anniversary, it is gratifying to reflect on the remark-able transformation that has occurred in Asia and the Pacific. The contrast between Asia at the time of ADB’s founding and Asia now could not be sharper. Fifty years ago, the region was the world’s poorest, with an annual per capita income of about $100, poorer than Sub-Saharan Africa. Feeding peo-ple was a primary concern, and many countries were experiencing civil and military conflicts.

Now, Asia is the world’s most dy-namic region. It is peaceful and stable, a source of innovation and a driving force of the global economy. Rising wealth has also brought social prog-ress.

As a key partner in Asia’s develop-ment, ADB has been a part of Asia’s growth story. In partner-ship with member countries, including bilateral organizations such as JICA, the bank has mobilized more than $250 billion for development investments. This influx of capital has sup-ported physical projects, particularly in infrastructure, and has strengthened institutions that expand opportunities, build prosperity, and develop sound policies.

Japan has been an important partner for ADB. Working with JICA, ADB has been able to provide strong support for a host of programs and projects across Asia and the Pacific. Since 1988, JICA has co-financed 51 sovereign loans and two grant projects amounting to $7.4 billion for 20 countries. The projects are in the areas of transport, energy, agriculture, natural resources and rural development, education, public

Indu BhushanDirector General, Strategy and Policy Department, Asian Development Bank

sector management, water and urban infrastructure, and services.

In November of 2015, ADB and JICA announced a $16 billion partnership over the next five years to support high-quality infrastructure investments in both the public and private sectors. Un-der this partnership, a trust fund capi-talized with $1.5 billion in equity from JICA will provide at least $6 billion to support private infrastructure projects. The partnership will also promote pub-lic sector investment for quality infra-structure, using the comparative ad-vantages of the two organizations.

But challenges remain. The region is still home to 330 million people liv-ing on less than $1.90 a day, the thresh-old for extreme poverty. Inequalities are rising, which threatens social order and economic growth. The region faces

complex challenges prompted by rapid urbanization, climate change, demographic transitions, and huge infrastructure deficits. The advent of disruptive technologies, greater auto-mation, and progress in ICT can help millions of people in the region if effectively harnessed and properly managed.

Over the years, ADB’s partnership with JICA has contrib-uted to Asia’s success, but we cannot be complacent. We need to further deepen our support, building on our strong track record of cooperation. The two organizations need to help the region achieve its development aspirations as reflected in the ambitious Sustainable Development Goals. With such contin-ued cooperation and goal-oriented action, the next 50 years will see the region go far toward completing a transformation that is both equitable and sustainable.

O PINION

ADB’s 50 Years:Good Journey So Far, Still Some Way to Go

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