Partnership BriefCofinancing with Japan

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3 Defining the Partnership

5 Project Portfolio

10 Highlights

14 Case Study: Learn to Earn

15 Case Study: Water Changes Everything

Boxes and Tables 4 Institutional Milestones

11 Organizational Structure

13 Support for Other Trust Funds

14 Direct Value-Added Cofinancing

Contents

©2011 Asian Development Bank

All rights reserved. Published 2011. Printed in the Philippines.

The views expressed in this publication are those of the authors and do not necessarily reflect the views and policies of the Asian Development Bank (ADB) or its Board of Governors or the governments they represent. ADB does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use. By making any designation of or reference to a particular territory or geographic area, or by using the term “country” in this document, ADB does not intend to make any judgments as to the legal or other status of any territory or area. ADB encourages printing or copying information exclusively for personal and noncommercial use with proper acknowledgment of ADB. Users are restricted from reselling, redistributing, or creating derivative works for commercial purposes without the express, written consent of ADB.

Note:

In this publication, “$” refers to US dollars.

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As the Asian Development Bank’s (ADB) largest development partner, the

Government of Japan provides strong support for a host of programs and projects across Asia and the Pacific. It has been building on this partnership in recent years, energized by a new cofinancing scheme and newly reformed development institutions. Since it was established in 2007, the Accelerated Cofinancing Scheme with ADB (ACFA) has financed power sector expansion in Samoa, road construction in Kazakhstan, and a thermal power station in Uzbekistan. Japan has also provided recent loans outside ACFA for the construction of a major new bridge in Bangladesh, road improvement in Georgia,

Defining the Partnershipand governance reform programs in Indonesia and the Philippines. The Japan Fund for Poverty Reduction, meanwhile, ADB’s largest single-donor trust fund, stood at nearly half a billion US dollars at the end of 2010 and expanded during the year to include technical assistance previously handled by the Japan Special Fund. Support for trust funds under the relatively new Clean Energy and Regional Cooperation and Integration Financing Partnership Facilities has also been active. In addition, Japan recently agreed to contribute to a newly established infrastructure fund in Afghanistan. Japan conducts the bulk of its development assistance through the Japan International Cooperation Agency (JICA), which completed a series of reforms in

2008. These gave it responsibility for concessional loan assistance previously handled by the Japan Bank for International Cooperation (JBIC), making it one of the world’s largest bilateral development organizations. JICA now handles technical, grant, and concessional loan assistance and has responsibility for ACFA (see Organizational Structure, page 11). Japan provides development assistance around Asia and the Pacific, its cofinancing relationship with ADB going back decades. Total cofinancing at the end of 2010 was $8.57 billion for 93 projects (official loans, grants, and commercial cofinancing). ADB and JICA coordinate regularly and deeply through meetings and staff retreats, most recently in Manila in August 2010. ■

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2009—Technical assistance provisions of the Japan Special Fund (JSF) placed under the Japan Fund for Poverty Reduction (JFPR), thus putting the majority of grant and technical assistance project support under one umbrella.

2008—The Japan International Cooperation Agency (JICA) and the Japan Bank for International Cooperation (JBIC) reform to consolidate a large part of Japan’s overseas development assistance under JICA, including JBIC’s concessional loan functions. This puts responsibility for the Accelerated Cofinancing Scheme with ADB (ACFA) under JICA.

2007—ADB and JBIC create ACFA to support Japan’s Enhanced Sustainable Development in Asia program. ACFA focuses on investment climate improvement, regional cooperation, and energy efficiency. Under the agreement, ADB and the new JICA jointly develop and implement projects and programs including cofinancing, sectoral policies and studies, and economic and institutional reforms including capacity building activities in ADB developing member countries.

2003—JICA formed as a semigovernmental organization under the jurisdiction of the Ministry of Foreign Affairs.

2000—The JFPR established to provide direct grant assistance to the poorest and most vulnerable groups in ADB developing member countries while fostering long-term social and economic development.

1988—The JSF established to provide financial support for ADB’s technical assistance program in the form of untied grants.

Institutional Milestones

4 Partnership Brief

AFP

Imag

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um

5

Project PortfolioADB and Japan in 2007

agreed on the Enhanced Sustainable Development

in Asia (ESDA) program, a strategic partnership to improve investment climates, regional cooperation, and energy efficiency. Under ESDA, Japan agreed to provide concessional yen loans for $1 billion–$2 billion over 5 years to jointly cofinance ADB projects through ACFA (which is now under JICA).1 Cofinancing under ACFA has included three projects totaling $406 million so far, and the agreement will definitely be

1 The following reviews a selection of projects. It is not a comprehensive list.

extended beyond the first funding period, ending in 2012. ACFA’s first project, in 2007, began a series of reforms in Samoa’s power sector, including better regulation and the creation of a strategy to promote energy efficiency and conservation through clean energy resources. The $88 million Power Sector Expansion Project has been improving the cost effectiveness, quality, and reliability of electricity services in the country, including with a $38 million loan from Japan. Other support included a $42 million loan/grant package from ADB, and an $8.0 million grant from Australia.

Although the Samoan economy has been growing, it remains import-dependent and vulnerable to global price increases and climate change. The project’s arrangements will ease the macroeconomic impact of the large financing requirements (through a loan buy-down arrangement from Australia), helping to ensure a reliable supply of electricity.

Expanding into Central AsiaSimilarly, ACFA is being used to help Uzbekistan improve its power sector. The huge $1.28 billion Talimarjan Power Project, 440 kilometers southwest of Tashkent, will build Central Asia’s first

Cofinancing of investment projects has picked up under ACFA.“ “

6 Partnership Brief

800-megawatt combined cycle gas turbine power plant. Japan approved a loan of $300 million in 2010, making it the first ACFA project in Central Asia. Although Central Asia’s most industrialized and energy-intensive economy, Uzbekistan’s aging and dilapidated energy infrastructure, low technological base, and poor investment mean it uses four times more energy than the world average to produce one dollar of gross domestic product. Remaining in the region, ACFA funding is also going to Kazakhstan, for the construction on the Zhambyl Oblast section of Transport Corridor I under the

Central Asia Regional Economic Cooperation (CAREC) Program. Japan has provided a $68 million loan. Eight of CAREC’s ten countries have agreed to spend $18.7 billion to modernize and expand six road and rail corridors that were once part of the Silk Road network between the People’s Republic of China and Europe. Founded in 1997, CAREC aims to reintegrate trade and transport on the Eurasian continent. Similarly, Japan provided a large $170 million loan (outside of ACFA) to the $3 billion 7-year Road Corridor Investment Program in Georgia in 2009, also

part of CAREC. The World Bank and the Millennium Development Challenge Corporation are also participating. As one of the shortest routes connecting Central Asia to Europe by land, Georgia’s main highways play an essential role in transporting oil and other exports from Central Asian countries, shipping them out of the Georgian ports of Poti and Batumi on the Black Sea. Governments in the region now widely recognize the potential for improved cross-border travel between the Caucasus and Central Asia and a number of major road investments supported by ADB are planned or under way, including the Georgia program, a north–south corridor upgrade for Armenia, and ongoing upgrades to Azerbaijan’s road system. Under the first tranche of the Georgia program, ADB will finance a 34-kilometer two-lane bypass road, strengthen the capabilities of the roads department, carry out road safety training, and provide project management support. In the second phase, another bypass road will be funded, along with improvements in border facilities to simplify and speed up cross-border traffic.

Bridges in BangladeshIn November 2010, ADB and cofinancing partners teamed up on a $2.92 billion project to build a bridge over the 5-kilometer-wide Padma River in Bangladesh. Japan through JICA is providing a $300 million loan, adding to ADB financing of $615 million, with assistance from the World Bank and the Islamic Development Bank as well.

Japan offers generous support to road development.

Project Portfolio 7 The project will construct a two-level, 6-kilometer steel truss bridge with a four-lane highway and a lower deck, with a single-track railway planned. By better connecting the underdeveloped southwest region to the capital, Dhaka, it will open significant new economic opportunity to the region’s residents. At present, passengers and freight must cross the Padma—at the confluence of the Ganges and the Jamuna rivers—on insufficient ferries and smaller vessels that are frequently suspended during bad weather, leaving the region relatively isolated.

The bridge will eventually form part of the proposed Asian Highway route that connects Asia to Europe, thus promising significant benefits for regional integration and cooperation. A similar bridge completed across the Jamuna River in Bangladesh, linking the northwest to the east (also with Japanese assistance), has stimulated economic growth and reduced poverty.

Financing Governance Reforms Through JICA, Japan also provides extensive financing in several countries in Asia supporting ADB program loans, such as for major long-term investment in

governance reforms in Indonesia and the Philippines. Japan contributed two large loans, for example, to the three-part Development Policy Support Program in the Philippines, which has been helping the country with an extensive series of measures to improve the investment climate and fiscal health, and encourage sustainable economic growth. In each of 2008 and 2009, JICA provided $100 million in loans to the program, backing three ADB loans of $250 million. The program, begun in 2007, has aimed to help the government implement key reforms designed to bring high and sustainable

The Jamuna Bridge in Bangladesh, completed with the help of Japanese assistance. Japan is also supporting the newly approved Padma Bridge in that country.

economic growth, poverty reduction, and job creation, and to support the Philippines’ medium-term development goals. The Philippine government has been implementing a series of measures to address fiscal problems and increase macro-economic stability. Reforms have included stronger tax collection and management, cutting inefficient spending, and strengthening the country’s debt management strategy. The program has also supported government anticorruption in the revenue-collecting agencies of the Bureaus of Internal Revenue and Customs. In Indonesia, too, cofinancing is backing major governance reforms through another Development Policy Support Program, in this case now in its sixth phase. Through JICA in 2010 Japan provided $100 million to help sustain faster economic growth and accelerate poverty reduction. Although the Indonesian economy has grown significantly in recent years and poverty is declining, economic expansion remains below levels prior to the 1997/98 Asian financial crisis, with about 40% of the population just above the national poverty line. Measures to stimulate inclusive growth, cut poverty, and improve access to public service delivery have become key priorities for the government. The sixth program of reforms focuses on improving the investment climate, strengthening public financial management and governance, and accelerating poverty reduction and access to public services for the poor. It will help establish a single, national investment window, simplified investment

licensing procedures, and the development of a national logistics framework. In the public financial management area, the program supports measures such as performance-based budgeting, better cash forecasting, and an integrated financial management information system.

ADB’s Largest Trust FundJapan channels significant support through several trust funds, most significantly the JFPR, ADB’s largest single-donor trust fund, which provides direct relief to the poorest and most vulnerable segments of society while improving their skills to boost earning potential. From an initial contribution of $90 million, it now stands at well over $445 million, of which $373 million in grants has been committed. Until recently, the JFPR provided only grants to any ADB developing member country for projects that reduce poverty. But in February 2010 an enhanced JFPR also began accepting applications for technical assistance funding previously provided by the Japan Special Fund (JSF). By the end of December 2010, ADB had already approved 30 technical assistance projects totaling nearly $25.4 million in 14 countries, with two regional projects. ADB is preparing a special study to reorient technical assistance previously provided under the JSF, focusing not only on the types of projects funded, but also on finding new niches that will align the fund better with ADB’s and Japan’s strategies (See charts on pages 10 and 11 and case studies on pages 14 and 15 for more on the JFPR).

Financing Partnership FacilitiesJapan has also provided backing for the Clean Energy Financing Partnership Facility (CEFPF) and the Regional Cooperation and Integration Financing Partnership Facility. The Japan financed Asian Clean Energy Fund (ACEF), which supports the CEFPF, in 2010 supported seven projects totaling $10.13 million. The fund focuses on countries where its planners have determined it can have high impact, including Bangladesh,

8 Partnership Brief

Bhutan, Cambodia, Indonesia, the Lao People’s Democratic Republic, Nepal, Pakistan, and the Philippines. Total contributions up to end-December 2010 amounted to about $48.12 million. One ACEF project is studying the feasibility of wind power in the northern Philippines to reduce the country’s reliance on coal and oil-fired power and to cut greenhouse gas emissions. Japan in 2010 provided a technical assistance grant of up to $630,000—administered by

ADB—to prepare three potential wind farm projects on the island of Luzon. This includes wind assessments, annual energy production estimates, assessment of environmental impacts and social acceptability, assessment of wind energy related issues, and an evaluation of transmission connection issues. The Philippines generates a large portion of its electricity from imported coal and oil, exposing it to considerable price volatility in world markets and energy security concerns.

Japan also provided $9.33 million in 2010 to the Investment Climate Facilitation Fund, which supports the Regional Cooperation and Integration Financing Partnership Facility, mainly through projects providing basic infrastructure, improvements in the investment climate, capacity building, and the promotion of good governance. Projects totaled $12.22 million as of the end of December 2010. Among them, the eight projects approved in 2010

Project Portfolio 9

10

Gross Bilateral Official Development Assistance, 2008–2009

% of gross national income: 2009—0.18% 2008—0.19%

Asian countries in its top 10 official development assistance recipients, with ranking: Indonesia (1), India (2), People’s Republic of China (3), Viet Nam (4), Philippines (5), Bangladesh (7), Sri Lanka (9), and Malaysia (10)

By sector:

Source: OECD/DAC.

Education, Health, and Population

Other Social Infrastructure

Humanitarian Aid

Economic Infrastructure Production

Program Assistance

Debt Relief Unspecified

Multi-sector

0 20 40 60 9010 30 50 8070 100

%

Education30.25 (14 Projects)

Amount of ADB-Approved Japan Fund for Poverty Reduction Projects by Sector, 2000–2010

($ million)

Agriculture and Natural Resources

94.56 (38 Projects)

Energy28.16 (10 Projects)Finance

17.92 (10 Projects)

Health and Social Protection

72.19 (34 Projects)

Industry and Trade5.00 (2 Projects)

Public Sector Management

2.00 (1 Project)

Transport and ICT54.50 (10 Projects)

Water and Other Municipal Infrastructure and Services

38.92 (16 Projects)

Multisector13.90 (5 Projects)

Highlights

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■ Japan International Cooperation Agency (JICA)—coordinates Japan’s official development assistance (ODA) as an independent government agency. It was formed in 2003, replacing the old JICA.

■ New JICA completed in 2008—merging the old institution and the part of the old Japan Bank for International Cooperation (JBIC) extending concessional loans to developing countries, the new JICA is one of the largest bilateral development organizations in the world. It has 97 overseas offices, projects in more than 150 countries, and financial resources of some ¥1.0 trillion.

■ Japan Bank for International Cooperation—established in 1999 and reformed in 2008 to become the state-owned international finance section of the Japan Finance Corporation, JBIC is a public financial institution and export credit agency.

Organizational Structure

East Asia32.49 (17 projects)

Amount of ADB-Approved Japan Fund for Poverty Reduction Projects by Region, 2000-2010

($ million)

Pacific Region13.98 (7 projects)

Central & West Asia163.49 (35 projects)

Southeast Asia91.71 (52 projects)

South Asia55.73 (29 projects)

As of end-December 2010, Japan had provided $8.57 billion for 93 projects* in ADB-administered cofinancing:■ Grants for investment projects: $12.93

million for 15 projects■ Official loans: $7.94 billion for 59 projects■ Commercial: $614.96 million for 20

projects

For technical assistance: $430,000 for 3 projects

For non-direct value-added cofinancing: $5.99 billion for 90 projects

* A project with more than one source of cofinancing is counted once.

included $1.5 million to improve integration of the capital markets in the Association of Southeast Asian Nations. Through a series of measures implemented through 2012 it will help free capital flows among ASEAN’s capital markets.

Japan Scholarship ProgramJapan provides another interesting source of cofinancing through the Japan Scholarship Program. Administered by ADB (with total funding of more than $116.0 million from 1988 to 2010) it was established to give well-qualified citizens of developing member countries an opportunity to pursue postgraduate studies in economics, management, science and technology, and other development-related fields. Some 27 institutions in 10 countries in the region participate and 2,696 scholarships have been awarded. Of the total, 2,362 have already completed their courses, while women have received 925 scholarships. Looking AheadADB and Japan will, naturally, continue to expand and deepen their partnership, extending into new areas of funding, new cofinancing modalities, and areas of coordination. This brief has already highlighted several upcoming initiatives, including the study to explore ways for more effectively using the new technical assistance capacity of the JFPR, the extension of the ACFA funding through JICA, and others. Several projects have also been discussed for possible JICA funding in the near term,

although details may be tentative. Among them, Japan is expected to provide $635 million for the Ben Luc-Long Thanh Expressway Project in Viet Nam, which is just getting under way to build a road allowing traffic to bypass the Ho Chi Minh city center. A water supply project is also possible in Bangladesh. In addition, the Government of Japan has indicated its intent

12 Partnership Brief

to provide $20 million in the first half of 2011 to the Afghanistan Infrastructure Fund, established at the end of 2010 to pool public and private resources to help Afghanistan finance crucial infrastructure projects. Eligible investments include roads (national, regional, rural, and urban), railways, airports, energy facilities (generation, transmission, and distribution),

Two other funds, now largely closed, warrant mentioning. These include the Japan Fund for Information and Communication Technology (JFICT) and the Japan Fund for Public Policy Training (JFPPT).

JFICT—The Japan Fund for Information and Communication Technology was established in 2001, initially for a 3-year period, to harness the potential of information and communication technology (ICT) and bridge the growing digital divide in Asia and the Pacific. ADB administers the JFICT, which is financed with a contribution of ¥1,273.3 million (about $10.7 million) from Japan. The JFICT was originally scheduled to close in July 2004 but was extended to accommodate new proposals. In 2006, the total was $10.43 million. While the JFICT has been fully committed, one project remains under implementation.

JFPPT—The Japan Fund for Public Policy Training was established in 2004 as a trust fund to enhance developing countries capacity building for public policy management focusing on regional economies in transition. Japan has contributed more than $22 million in total. The JFPPT provided $18.7 million for two technical assistance programs and successfully delivered Executive Public Policy Training Programs as well as priority thematic short courses in Cambodia, the Lao People’s Democratic Republic, and Viet Nam. The Public Policy Training Program facility in Hanoi continues to operate efficiently with the establishment of strict administrative procedures and systems for the effective implementation of the technical assistance program. The program was extended up to 31 March 2011, while authorities are receptive to extending JFPPT using JFPR funding over the next 3 years.

Support for Other Trust Funds

Project Portfolio 13

water management and irrigation systems, and others. It will provide grant cofinancing alongside ADB-funded infrastructure projects, with resources supplementing those provided by ADB. ■

See table on page 16 for a cumulative list of loans and grants from Japan.

Thav Heat’s home in the province of Siem Reap appears idyllic, her stilted,

wooden house looking over verdant rice paddies. Yet behind the bucolic setting life is difficult. “It can be very tough to feed my four children, especially in the rainy season. After harvest we have food to keep us going for just 5 months, then we have to earn money.” Because of poor education, a lack of skills, or obligations at home, however, many women struggle to make ends meet or to find out how to set up a small business or get training to improve

Learn to EarnThe JFPR has provided financing to help Cambodian women learn new skills for earning a living.

CAse sTuDy Her ministry has been working on a number of projects to address these issues, including the women’s development centers. The facilities, aside from teaching marketable skills, also offer easy access to microcredit. For Thav Heat the opening of a women’s development center in nearby Leang Dey has taught her how to weave mats and to produce bags and purses for sale in Siem Reap’s souvenir shops. The centers are teaching the women how to use time more effectively: “People used to spend up to 6 days making one mat—and then they would sell it for $5. Lots of labor, to make very little money,” says Uch Sarom, ADB management and training advisor at the center. “Now they can make $3 or $4 a day depending on how fast they work. We are teaching them marketing and design at the same time, and also giving general business training.” ■

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their employment prospects. New women’s development centers around the country, with $1.8 million from the JFPR, among other financing, are helping to change that by teaching women skills they can use to raise their incomes. “The problem is poverty—and access to opportunity,” says Ing Kantha Phavi, minister for women’s affairs. Many Cambodian women find employment in the garment sector, while some even fill prominent roles in the country’s largest companies, but options are otherwise limited.

15CAse sTuDy

A gleaming white tower looms behind the Parsa bazaar, easily visible over the sprawl

of shops, restaurants, and honking buses along Nepal’s main East–West Highway. It is an overhead tank, 20 meters high, providing nearly 2,000 households in the town with a clean, 24-hour supply of drinking water. This is a sign of progress amid the unregulated urban areas sprouting along newly built highways in Nepal, as people leave marginal farms in rugged hill country to search for work in the fertile plains along the Indian border. “With all the new settlement, there was so much pollution of streams and water,” says Sher Man Tamang, a 62-year-old shop owner and head of the local water users and sanitation committee (WUSC). “It was getting serious and something had to change.” The Nepali government in the late 1990s sought help from ADB and others to address the problems, ultimately leading to the new water tower and twin deep wells. Through the Small Towns Water Supply and Sanitation Sector Project (2000–2009), the ADB provided $35.0 million, the Japan Special Fund $600,000, the local

Water Changes EverythingWith Japan Special Fund financing a project in Nepal has helped unplanned communities improve water and sanitation.

government $8.0 million, and the Government of Nepal $10.9 million. The project included measures to include the indigenous Tharu people in the process, including in planning and implementation and through efforts to end systemic poverty caused by the loss of the natural resources that had sustained them historically. “When I was a child, no Tharu family had a toilet or a water tap. All of us were poor, but we’re changing all that, not just here but across Nepal,” says Lal Mani Chaudhary.

Before settlers arrived and felled the teak forests to make way for farming, the Tharu had been hunter-gatherers. None of this has come cheaply, but in a unique twist for Nepal, local people helped pay for the project’s construction and give a monthly stipend for the water they use. WUSC chair Sher Man Tamang is proud that almost every villager here has agreed to pay for water—something unheard of a generation ago. Next to the old surface water pump, still in use for washing clothes and irrigating gardens, six taps jut from the ground, each attached to a water meter. Sher Man Tamang turns a faucet and points to the slowly ticking numbers on the face of the meter. “People pay a small amount for 10,000 liters a month,” he said, “and they can afford it. What’s the price of good health? We tell them it’s worth everything.” ■

Taking in the view from the tower.

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Direct Value-Added Cofinancing (Official loans and grants for project components,$ million)*

Project ADB Japan

Bangladesh2010 Padma Bridge 615.00 300.00 (L) JICA2008 Emergency Disaster Damage Rehabilitation (Sector) 120.00 60.00 (L) JICA1994 Jamuna Bridge 206.99 200.00 (L) JBIC

Bhutan2008 Green Power Development 105.28 1.00 (G) ACEF-CEFPFCambodia2006 Second Power Transmission and Distribution 20.00 22.30 (L) JBICPeople’s Republic of China2004 Coal Mine Methane Development 117.40 20.00 (L) JBIC1995 Ping Hu Oil and Gas Development 130.00 89.58 (L) JBIC1992 Laiwu Iron and Steel Mill Modernization and Expansion 131.80 35.00 (L) JBICFiji1992 Second Road Upgrading 18.00 6.50 (L) JBICGeorgia2009 Road Corridor Investment Program – Tranche 1 118.80 170.00 (L) JICAIndia1998 Rajasthan Urban Infrastructure Development 60.00 85.00 (L) JBIC1993 Gas Rehabilitation and Expansion 157.47 63.83 (L) JBIC1991 Hydrocarbon Sector Program 250.00 250.00 (L) JBIC1991 Special Assistance 150.00 150.00 (L) JBIC1987 Railways 190.00 110.00 (L) JBICIndonesia2005 Support for the Local Government Performance Measurement System 0.00 0.73 (G) JFICT1999 Health and Nutrition Sector Development Program 300.00 300.00 (L) JBIC1999 Power Sector Restructuring Program 400.00 400.00 (L) JBIC1992 Fourth Untied Loan (5 ADB-assisted ongoing ADB Projects) 303.50 200.00 (L) JBIC1990 Power XX 235.00 83.28 (L) JBIC1989 Ninth Port 22.00 12.60 (L) JBIC1989 Tenth Road (Sector) 120.00 50.00 (L) JBIC1989 Third Untied Loan (11 Bank Projects) 0.00 350.00 (L) JBIC1988 Second Untied Loan (17 Bank Projects) 0.00 576.00 (L) JBIC1987 Power XIX Sector 96.00 27.50 (L) JBICKazakhstan2010 CAREC Transport Corridor I (Zhambyl Oblast Section) [Western Europe–Western

People’s Republic of China International Transit Corridor] Investment Program – Tranche 3

173.00 68.00 (L) JICA

1998 Second Road Rehabilitation 49.36 40.50 (L) JBICLao People’s Democratic Republic2006 Upgrading of ICT and MIS at the Agriculture Promotion Bank 0.00 0.47 (G) JFICT2004 Banking Automation to Support Outreach, Efficiency, and Governance 0.00 0.65 (G) JFICT1996 Nam Leuk Hydropower Development 52.00 38.50 (L) JBICMongolia2009 Social Sectors Support Program 60.00 30.00 (L) JICA2004 ICT for Improving Rural Health Services 0.00 1.00 (G) JFICT2004 ICT for Innovating Rural Education 0.00 1.00 (G) JFICT

Nepal1996 Kali Gandaki “A” Hydroelectric 160.00 100.60 (L) JBIC2000 Melamchi Water Supply (Investment Project) 137.00 47.50 (L) JBIC

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Pakistan1988 KESC Fifth Power (Sector) 100.00 100.00 (L) JBICPhilippines2009 Development Policy Support Program, Subprogram 3 250.00 100.00 (L) JICA2009 Philippine Energy Efficiency 31.10 1.50 (G) ACEF-CEFPF2008 Development Policy Support Program (Subprogram 2) 250.00 100.00 (L) JICA2006 Power Sector Development Program 450.00 300.00 (L) JBIC2006 Supporting Information Sharing and Exchange among Civil Servants 0.00 0.50 (G) JFICT2005 Developing the Philippines Business Registry 0.00 0.70 (G) JFICT2002 Electricity Market and Transmission Development 40.00 40.00 (L) JBIC1998 Metro Manila Air Quality Improvement Sector Development Program 271.00 300.00 (L) JBIC1998 Power Sector Restructuring Program 300.00 300.00 (L) JBIC1998 Secondary Education Development and Improvement 32.12 59.01 (L) JBIC1988 Forestry Sector Program 120.00 120.00 (L) JBIC1996 Sixth Road 148.58 160.00 (L) JBIC1995 Northern Luzon Transmission and Generation 180.00 244.00 (L) JBIC1990 Road and Road Transport Program 100.00 100.00 (L) JBIC1990 Sixteenth Power (Masinloc Thermal Power) 200.00 150.00 (L) JBIC1989 Angat Water Supply Optimization 111.07 56.89 (L) JBIC1989 Fisheries Sector Program 80.00 70.00 (L) JBICPapua New Guinea1989 Agriculture Sector Program 80.00 20.00 JBICRegional2005 Empowering the Rural Areas through Community E-Centers under the South Asia

Subregional Economic Cooperation Program0.00 1.00 (G) JFICT

2004 Asian Bonds Online Web Site 0.00 2.40 (G) JFICT2004 Developing a Database on Cross-Border Trade and Investment in BIMP-EAGA 0.00 0.30 (G) JFICT2004 Improving Poor Farmers’ Livelihoods through Rice Information Technology 0.00 1.00 (G) JFICT2002 Development of a Business Plan for a Center for Learning, Information,

Communication, and Knowledge for Asia and the Pacific0.00 0.18 (G) JFICT

Samoa2007 Power Sector Expansion 42.00 38.00 (L) JICASri Lanka2002 Plantation Development 30.00 25.00 (L) JBIC2002 Power Sector Development Program 60.00 75.00 (L) JBIC2002 Road Sector Development 56.50 80.00 (L) JBIC1999 Southern Transport Development 90.00 180.00 (L) JBIC1995 Plantation Reform 70.60 40.00 (L) JBICThailand1999 Agriculture Sector Program Loan 150.00 300.00 (L) JBIC1993 Second Erawan Gas Transmission 70.40 70.40 (L) JBIC1992 Bongkot Gas Transmission 47.41 52.30 (L) JBICUzbekistan2010 Talimarjan Power 350.00 300.00 (L) JICA2000 Senior Secondary Education 57.00 57.00 (L) JBICViet Nam2002 Electronic Health Insurance Membership Card 0.00 0.50 (G) JFICT2008 Ho Chi Minh City–Long Thanh–Dau Giay Expressway Construction 410.20 517.60 (L) JICA

Direct Value-Added Cofinancing (Official loans and grants for project components, $ million

Project ADB Japan

ACEF = Asian Clean Energy Fund, BIMP–EAGA = Brunei Darussalam–Indonesia–Malaysia–Philippines East ASEAN Growth Area, CEFPF = Clean Energy Financing Partnership Facility, G = grant, ICT = information and communication technology, JBIC = Japan Bank for International Cooperation, JFICT = Japan Fund for Information and Communication Technology, JICA = Japan International Cooperation Agency, JFPR = Japan Fund for Poverty Reduction, KESC = Karachi Electric Supply Company, L = loan, MIS = management information system.* Direct value-added (DVA) cofinancing is cofinancing with contractual or collaborative arrangements. Under contractual cofinancing ADB assumes financial,

fiduciary, and/or administrative responsibilities. Collaborative cofinancing imposes no contractual obligations on either ADB or the financing partner, but requires close coordination during processing and implementation of the project, with proper documentation.

Notes: 1. The table includes official cofinancing only and does not include commercial projects. 2. For a list of JFPR projects (136 projects and 30 technical assistance grants worth $373 million), please see http://www.adb.org/jfpr/grant.asp.

Partnership BriefCofinancing with Japan

The Partnership Brief series, compiled by the Asian Development Bank’s Office of Cofinancing Operations, presents key details of cofinancing with ADB’s main development partners.

About the Asian Development Bank

ADB’s vision is an Asia and Pacific region free of poverty. Its mission is to help its developing member countries reduce poverty and improve the quality of life of their people. Despite the region’s many successes, it remains home to two-thirds of the world’s poor: 1.8 billion people who live on less than $2 a day, with 903 million struggling on less than $1.25 a day. ADB is committed to reducing poverty through inclusive economic growth, environmentally sustainable growth, and regional integration. Based in Manila, ADB is owned by 67 members, including 48 from the region. Its main instruments for helping its developing member countries are policy dialogue, loans, equity investments, guarantees, grants, and technical assistance.

For further information, please contact:

Asian Development Bank—Office of Cofinancing OperationsTadashi Kondo - HeadGeorges Heinen - Senior AdvisorHua Du - DirectorKazuo Kojima - Senior Financing Partnerships Specialist (Japan Team Leader)

6 ADB Avenue, Mandaluyong City1550 Metro Manila, Philippineswww.adb.org Publication Stock No. ARM113436

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