Bilateral Relations » Japan's Economic Cooperation between Japan and the Republic of the Fiji Island » Feature of Japan’s ODA to Fiji

Policy of Japan’s ODA to Fiji is basically in line with General Assistance Plan for the Pacific region mentioned above. Among PIF members, Japan recognizes Fiji’s importance as the center of the Pacific region having several bases of regional or international organization such as PIFS, USP, WHO/WPRO, etc. Therefore, Japan appreciates the significance of supporting Fiji’s effort in achieving socio-economic stability and development for the prosperity of the entire region.
 
While there are three vital components of Japan’s ODA program, i.e. Grant Aid, Technical Cooperation and Loan Aid, current principal components that are practicable for Fiji are Technical Cooperation and Grant Aid for Basic Human Needs (BHN).

Technical Cooperation programs have been mainly conducted by JICA. These programs are composed of training to trainees, dispatch of experts and volunteers, and provision of equipment related to Technical Cooperation. There are 42 current JOCV volunteers, 10 senior volunteers, 7 JICA experts while in 2008 there were 47 JICA trainee participants. Technical cooperation to Fiji alone stood at US$6.78million in 2008.

Grant Aid for BHN is known as Grant Assistance for Grassroots Human Security Projects program (GGP), which is designed for projects that will help grassroots level people directly by providing basic necessities mainly in the areas of education, water supply, health and rural infrastructure. In 2008, a total of 14 projects worth US$1.02 million were funded through this programme.

Large size Grant Aid classified as General Grant Aid has been a major component of Japan's ODA to Fiji during the period of Fiji’s eligibility however, the threshold for grant aid eligibility as determined by World Bank statistics shows Fiji lies above this threshold now. Despite this, Japan continues to provide general grant aid to Fiji for those projects which have regional benefits. As such, construction of the new Fiji Pharmaceutical Service Centre worth US$8.8million in 2001 and construction of Information and Communication Technology Centre at the University of the South Pacific worth US$16.2million in 2008 were funded under this scheme.

Loan Aid provides funds on concessional terms to develop and improve the economic and social infrastructure necessary to support self-help efforts and sustainable development. So far, Fiji has received only one Loan project in 1998 for the Nadi-Lautoka Regional Water Supply Project worth US$18.69million.

While Japan has provided several types of assistance to Fiji, harmonization and synergism among various projects or works is important to achieve successful result more effectively. For example, facilities and equipment provided through Grant Aid can be utilized more effectively for human capacity building through Technical Cooperation. This kind of good practice can be seen through Japan’s ODA sites in Fiji.