Bilateral Relations »Japan's Economic Cooperation between Japan and the Republic of Nauru » Past Assistance Projects to Nauru» Non-Project Grant Aid (NPGA) and Economic and Social Development Programme (ESDP)

1. Form of Assistance

(1)  Non-Project Grant Aid (NPGA) and Economic and Social Development Programme (ESDP) are types of assistance which are intended to support developing countries by promoting its economic structural adjustment efforts including poverty reduction. NPGA and ESDP have a characteristic of providing foreign currency for import of goods (industrial materials such as petroleum and steel products etc.) necessary to promote economic structural adjustment efforts by the developing countries as well as mitigation of the economic difficulties.
(2) Further benefits of NPGA and ESDP can be obtained by utilizing the profits, which should arise from sales or lease of the goods procured under the grant (“Counterpart Fund”), for the recipient country’s development projects, in addition to the benefits gained by importing the goods.

 

2. Target Countries and Scale of the Grant

Target countries are, in principle, the countries, which currently implement economic and social development efforts (or intend to implement/resume them) in cooperation with the World Bank and so forth.
The scale of the Grant will be determined in consideration of bilateral relations with Japan, and the economic conditions of the country including current account balance, the amount of public external debt, and GNI per capita.

 

3. Procured Goods

Goods to be procured shall be selected from the “List of Eligible Products”, attached to the Agreed Minutes (A/M) in the Exchange of Notes (E/N) concluded between the Government of Japan and the recipient country.
In case the requested goods from the recipient country is not included in the above list, the Government of Japan will examine the request, and if the Government of Japan considers the request appropriate and approves it, the list will be modified to include the requested goods.

4. Non-Project Grant Aid and Economic and Social Development Programme in Nauru