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Quo vadis Japanese ODA? New developments in Japanese aid policies

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Abstract

Japan positioned itself in a special situation among the aid donor countries. This paper presents the trends in Japanese Official Development Aid policies in the new Millennium, provides an overview and discussion of the characteristics of Japanese ODA, and examines the different views and critiques that have arisen regarding Japan’s development aid policies. The paper’s goal is to highlight and interpret the latest developments and reforms of Japan’s ODA administration and strategies, its strengths and weaknesses, and to understand how ODA is becoming a more strategic, a stronger political, diplomatic and foreign policy tool in the hands of the Japanese government.

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Notes

  1. OECD DAC is the principal body through which the OECD deals with issues related to co-operation with developing countries.

  2. Colombo Plan is a regional economic organization established in 1951. It focuses on the social and economic development of the South, Southeast Asian and Pacific nations.

  3. October 6 is celebrated as International Cooperation Day in Japan.

  4. De facto, Japan does have a military. The role and activities of the so-called Self-Defense Forces have been constantly expanding.

  5. Definition of Official Development Assistance by OECD: grants or loans to developing countries which are undertaken by the official sector, with promotion of economic development and welfare as the main objective, at concessional financial terms (if a loan, having a grant element of at least 25%]. In addition to financial flows, technical co-operation is included in aid. Grants, loans and credits for military purposes are excluded. Source: http://www.oecd.org/dac.

  6. This was followed by the second (1981), third (1985), fourth (1988) and fifth (1993) medium-term goal.

  7. Kokusai rengô heiwa iji katsudô-tô ni taisuru kyôryoku ni kansuru hôritsu, Law No. 79/1992.

  8. MITI changed its name in January 2001 to METI, Ministry of Economy, Trade and Industry.

  9. At 2003 prices. See: OECD Development Assistance Committee (2006) Development co-operation report 2005.

  10. The official name of the report: Institute for National Strategic Studies (INSS) & National Defense University (NDU) (2000) The United States and Japan: Advancing toward a mature partnership.

  11. The report Human Security Now: Protecting and Empowering People by the Commission of Human Security under the supervision of the Secretary General of the United Nations was released in 2003. The Commission was initiated by Japan at the Millennium Summit in 2000. Japan considers human security to be important in the development context, and Sadako Ogata, the co-chairperson of the committee was later appointed as the president of Japan International Cooperation Agency, JICA, Japan’s main execution agency regarding aid policies.

  12. See: Speech by Minister for Foreign Affairs Taro Aso (2006) ODA: Sympathy is not merely for others’ sake. January 19, Japan National Press Club Tokyo. Available at http://www.mofa.go.jp/announce/fm/aso/speech0601-2.html.

  13. See: Speech by Prime Minister Junichiro Koizumi (2002). Japan and Australia toward a creative partnership. May 1, Asia Society, Sydney. Available at http://www.mofa.go.jp/region/asia-paci/pmv0204/speech.html.

  14. Japan International Cooperation Agency—the executing agency for technical cooperation and a number of forms of bilateral grant aid. Its role is under revision, and the agency is expected to have a more comprehensive administration of Japanese ODA that includes the loans as well.

  15. See: Asahi Shimbun (2006, 4 March) Revamping Japanese ODA.

  16. See: The Japan Times (2006, 29 April) State sets up ODA strategy panel.

  17. Speech by Minister for Foreign Affairs Taro Aso (2006, 19 January) ODA: Sympathy is not merely for others’ sake. Japan National Press Club, Tokyo. Available at http://www.mofa.go.jp/announce/fm/aso/speech0601-2.html.

  18. See: Center for Global Development (2005) Commitment to development index. Available at http://www.cgdev.org/section/initiatives/_active/cdi.

  19. See: The Council on Security and Defense Capabilities (2004) Japan’s visions for future security and defense capabilities. The Council on Security and Defense Capabilities Report, Tokyo.

  20. The Iraqi mission of Japan’s Self-Defense Forces, however, provoked protests and criticism in the country.

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  1. Graduate School of International Development (GSID), Nagoya University, Furo-cho, Chikusa-ku, Nagoya, 464-8601, Japan

    Norbert Palanovics

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Palanovics, N. Quo vadis Japanese ODA? New developments in Japanese aid policies. AEJ 4, 365–379 (2006). https://doi.org/10.1007/s10308-006-0074-2

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