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spotlogo2.jpg (6318 bytes) VOL. 22, NO. 36, MAR 21- MAR 27 2003.

COVER STORY


JAPANESE ASSISTANCE
Sustained Support With NoStrings Attached

Although Nepal receives assistance from scores of countries, Japan stands out as being the largest bilateral donor whose imprint can be witnessed from big hydroelectric projects to small schools and from mammoth water supply projects to grass-root assistance in the development of particular species of fruits. Moreover, Nepalese regard Japanese as their friend in need who have come to their rescue time and again. Whether it be the immediate construction of new Bagmati bridge after the old one caved in, in the early 1990s or the debt relief, the benevolence of Japan, which itself emerged as a global economic giant from the ruins of the Second World war, has been noted positively. As Nepal is once again in the crossroads and scenario of reconstruction loom large, an active and willing participation by friends like Japan, which has experience in similar national reconstruction, can go a long way in changing the face of Nepal

By SANJAYA DHAKAL 

Ask any Nepalese what he or she thinks about Japan, and the first word that pops out is generosity. Generosity without strings attached.

Their calculation is derived from the fact that Japan provided over Rs.176,000 million (or US$ 2,200 million) in total assistance since 1969, out of the total foreign aid of Rs.202,588.3 million (or US$5215.68 million) Nepal received in foreign aid from 1950/51 till 2000/01 (according to figures quoted in the second edition of Eugene Bramer Mihaly's Foreign Aid and Politics in Nepal). Since 1980, Japan has been the largest bilateral donor to Nepal, helping in every sphere of the country's development endeavors.

The area of Japanese cooperation to Nepal is far and wide. Health, education, human resource development, infrastructure, environment - Japan has extended valuable help in all these sectors.

Grenerator of Kulekhani I : Light of friendship
Grenerator of Kulekhani I : Light of friendship

The landmarks of Japanese assistance are highly visible. Teaching Hospital, Kanti Children's Hospital, radar facilities at Tribhuvan International Airport, Sajha buses, horticultural and agricultural technology transfer, Kulekhani I & II hydropower plants, new Bagmati bridge, improvements of traffic intersections in Kathmandu city and so on.

Another characteristic of Japanese aid has been its variety. From the multi-million-rupee Kulekhani project to a simple school block construction in village, Japanese aid has penetrated deep into Nepalese society.

"We not only help in big projects but also like to assist in small grass-root projects of health and education, which can directly benefit the rural community," said Haruko Kamei, Assistant Resident Representative of Japan International Cooperation Agency (JICA) Nepal Office.

Exchange of experts has been another vital area of Japanese assistance. Japanese experts in technology and horticulture have had a great impact on Nepal's socio-economy. "It was Japanese technology transfer that triggered strawberry farming here. Likewise, their expertise in grafting and cross-breeding has helped in the productivity of many kinds of fruits, vegetables and even fisheries," said Kailash Pradhan, an official at the Economic Cooperation Section of the Japanese Embassy.

It was not for nothing that a hundred years ago, then Rana Prime Minister Dev Sumsher sent a group of Nepalese students to learn Japanese know-how.

History Of Japanese Assistance

Japan is relatively a late entrant to a plethora of donor countries that had started lending their hand in Nepal's development efforts after it opened up to outside world in 1950. After the first-ever foreign assistance to Nepal in 1950, when the American government gave $2,000 aid to then Rana regime, which incidentally collapsed a month later, a band of foreign countries joined in the bilateral assistance programs.

A block of Bharatpur secondary school building : Help in education
A block of Bharatpur secondary school building : Help in education

From the 1950s to the late 1960s, countries like India, China, US and then Soviet Union helped Nepal build roads, develop health and educational services and improve human resources. But most of the aid was, rightly or wrongly, seen in the light of the existing international political and geo-strategic considerations. Many say Nepal was coddled by various countries for its unique geo-strategic location.

"Since 1951, aid grew by leaps and bounds. During the 1950s and 60s in the form of grants, but the proportion of loans increased subsequently. For instance, the country's first foreign loans in 1964 comprised just 10 percent of the total foreign aid, a proportion that began to rise steeply in the 1970s and by the mid-80s had began to exceed the grant component (in 1984, loan constituted 35 percent of the total foreign aid, in 1990, 75 percent and almost 80 percent in 1994). From the mid-1990s due to greater involvement of INGOs, the proportion of loan is decreasing but still in 2000 it constituted 67 percent of the total foreign aid. In the early years, US and India were major donors. The UK, Switzerland, China, UN joined in 60s. Then Soviet Union, West Germany and Japan came in 1970s later Nordic, Scandinavia, also came," writes Sudhindra Sharma, scholar, in his introductory chapter of Eugene Bramer Mihaly's Foreign Aid and Politics in Nepal (second edition).

"Foreign aid as an instrument of financing socio-economic development dates back to mid-50s when Nepal embarked on the process of planned development with the launching of the First Five Year Development Plan (1956-61)," states the Foreign Aid Policy 2002. "Since then a substantial portion of development expenditure averaging about 55 percent per annum has been financed through foreign aid. Currently, foreign assistance remains around 5-6 percent of Gross Domestic Product (GDP) annually, and finances about 25-30 percent of total government expenditure. In terms of sectoral distribution of foreign aid, agriculture, forestry and fisheries have received the largest share followed by energy, transport, health social development and human resource development."

It was in 1969 that the fast emerging Japan first offered loan assistance to Nepal. But in no time, Japan began to increase the dimension and scope of its assistance and soon became the largest bilateral donor to Nepal.

In 2000/2001 alone, Japan gave Rs.5,326 million worth of grant assistance out of total Rs.33,227 foreign aid including both multilateral and bilateral aid. The total bilateral assistance in the period stood at Rs.18,438 million, according to Binod Bahadur Karki, an official at the Foreign Aid Coordination Division at the Ministry of Finance. On average, Japan has been providing over one-third of the total bilateral assistance to Nepal.

Water treatment plant in Manohara : Crucial infrastructure
Water treatment plant in Manohara : Crucial infrastructure

According to Kazumi Suzuki, Charge d'Affaires at the Japanese Embassy, Japan has been providing assistance in three different forms - loans (for big infrastructures), grant aid (normal projects for health, education etc) and technical assistance. The composition of its assistance has been 58 percent grant aid, 24 percent loan and 18 percent technical assistance. "We are satisfied with the success of our projects," said .

"As a close friend and development partner of Nepal, Japan has been assisting His Majesty's Government of Nepal in its efforts to alleviate poverty and achieve sustainable economic development through economic and technical cooperation for over three decades. Basically, Japan's assistance is designed to support Nepal's democratization process and socio-economic development under a market-oriented economic system," said Saburo Sato, chief of the Economic Cooperation Section at the Japanese Embassy.

Of late, Japan's assistance has mostly come as grant. Apart from Kulekhani I and II and Udayapur Cement, most other projects are of grant type. "Besides, Japanese government has been providing debt relief fund to relieve pressures for the payment of even those loans," said a Finance Ministry official.

"Currently, Japan is suffering from an economic slowdown and our government has cut down its foreign assistance level. Still, we hope to continue our efforts to help Nepal in whatever way we can," said Suzuki.

Reconstruction

In the last seven years of violent insurgency, the country is said to have lost $300 million-400 million worth of infrastructures in the mindless destruction of bridges, hydro power stations, communication facilities, even drinking water projects and heath posts.

If the current cease-fire opens the path to lasting peace, the country will have to once again engage in the mammoth task of nation-building, where it will definitely require the help and guidance from its friends and supporters.

As Japan successfully rebuilt its country after the devastation in the Second World War when it was nuclear bombed twice, its experience and skills can be invaluable to Nepal. "The way Japan emerged from the ruins is spectacular. Nepal must share Japanese experience in this regard," said a sociologist.

"Long-time poverty and economic stagnation have caused people's frustration toward the government. Therefore, the Nepalese government's efforts in social and economic development seems as important as its efforts on restoration of peace and security. We will seek ways of assisting the government of Nepal in dealing with this peace process so that it may contribute to the fruitful result. In order to reduce the problem of poverty, we need to consider two types of support programs- short-term support (such as the support in the insurgency affected area) and medium and long-term support (such as assistance to tackle the fundamental cause of poverty and achieve economic development). In particular, to reduce poverty and to improve the living standard of people it is necessary to increase school enrollment, strengthen human resources development and provide infrastructure for industrial development, including tourism," said Zenji Kaminaga, ambassador of Japan to Nepal.

Already the chief of JICA's Nepal Office, speaking at a public program recently, indicated that the agency was willing to consider extending help in the reconstruction of communication facilities that were destroyed if the government approaches it with specific plans.

Besides, sharing Japan's experience of dealing with the stress of rebuilding a nation can go a long way in eliminating root causes like poverty and unemployment. "After the Second World War, Japanese people had one agenda - that of rebuilding their country. The hard work and perseverance paid off," said Takashi Yokoyama, the cultural attachÈ at the Embassy.

With friends like Japan backing its development efforts, the Nepalese can expect to recover from its traumatic past and pave way for prosperous future - but only if they are united in their endeavor.


MANOHARA PROJECT
Thirst Thrust

Japan extends help to build a water supply project aimed at providing relief to parched Kathmanduites before Melamchi comes to their rescue

By SANJAYA DHAKAL 

With the objective of providing relief to the thirsty Kathmanduites, the Japanese government has helped in the construction of Manohara project. As a part of its objective to assist in the socio-economic development of Nepal, the Japanese government have been helping in the drinking water schemes in the country.

A well of Manohara : Promising project
A well of Manohara : Promising project

The first phase of the Project for Improvement of Kathmandu Water Supply Facilities is almost complete. The project is expected to provide additional 20.6 million liters of water daily (MLD) to the main supply.

"In the first phase of the project, we have collected the sub-surface water of Manohara stream in the wells and subjected it to standard water treatment facility. This phase, which will be operational within a month, will provide water to residents of neighboring Madhyapur Thimi and Bhaktapur," said Kaushal Nath Bhattarai, general manager of Nepal Water Supply Corporation (NWSC).

According to project manager M.N. Baidya, more than 45,000 residents of the area will be directly benefited by the first phase, which alone had cost Rs 650 million. The Japanese government has already agreed to help in the second phase of the project, too.

"Upon the completion of the second phase in early 2004, we will supply an extra 13 MLD of water to Kathmandu. In the second phase, which will cost around 7 million US dollars, we will have to construct modern and huge elevated tanks in Minbhawan and Anamnagar, where the water from Manohara will be supplied through trunk pipes," said Bhattarai.

According to Bhattarai, the additional water will be particularly helpful as it will provide relief to those 2,22,000 residents of Kathmandu who have to suffer the scarcity most like in Baneshwore, Koteshwore, Sankhamul etc.

"It's very good that the Japanese government is helping in this project which will directly benefit ordinary people like us. We are terribly suffering from scarcity of water in dry season from March till the monsoon sets in," said Keshav Bhandari, a resident of New Baneshwore. In his locality water comes to the taps once every three days and when it comes every member of his family scramble to collect it in buckets and what have you.

The onset of dry season triggers acute water shortage in the Kathmandu valley. The residents of densely populated localities like New Baneshwore, Maitidevi, Koteshwore and so on can be seen reeling under the problem most.

The empty taps and wells fly in the face of popular political slogan that Nepal is rich in water resources. For more than half a dozen year now, Kathmanduites have been promised enough water once Melamchi project completes. But this multi-billion rupees project does not appear in the immediate scene. "It may be completed only by 2010," said a senior NWSC official.

The ambitious Melamchi project aims to bring water from Melamchi river in the north-east of Kathmandu valley. The project expects to bring in 170 MLD of water. At present the total water demand of the valley is 190 MLD. "We have only been able to supply 130 MLD in wet season and 90 MLD in dry season so this additional 20 MLD from the Manohara comes in very handy," said Bhattarai.

He also said that the utility of Manohara project will not diminish even after Melamchi becomes operational. "In 2010, our water demand will have shot up to 260 MLD so apart from 170 MLD from Melamchi, we will always need the existing supply to meet the demand. This is where the long-term utility of projects like Manohara can be justified."


JOCV VOLUNTEERS
Helping Hands

Youngsters from Japan come in their dozens and engage in rural socio-economic development

By SANJAYA DHAKAL in Bharatpur 

Mami Kodawaki has been working with other nurses at the BP Koirala Memorial Cancer Hospital in Chitawan for the last eight months. She is here on a two-year assignment as JOCV. Likewise Chiaka Ueda, another JOCV in the hospital, too, has been working for the last eight months.

Fluent in Nepalese language, Mami, who has been given a Nepali name of Maya by her colleagues, is dedicated to her duty. "The culture here is little different than in Japan. The patients look different. Mostly they are very poor and needy. Otherwise, our duty is same," said Mami in fluent Nepali.

Mami Kodawaki : Sharing of knowledge
Mami Kodawaki : Sharing of knowledge

Every year Japan International Cooperation Agency (JICA) places advertisements in Japanese newspapers calling for interested Japanese youngsters to apply for Japan Overseas Cooperation Volunteers (JOCV) jobs. And every year there is a long queue of prospective volunteers who want to come to this beautiful Himalayan kingdom and engage in socio-economic development of its far-flung villages.

Many JOCVs engage in health, education and other development sectors in various districts of the country. "Most of them come on a two-year assignment and most of them extend their stay by another year. I have seen many of them return again and again to Nepal. Such is their attachment to this country," said Dilli Ratna Shakya, general secretary of JICA Alumni Association of Nepal (JAAN), who manages the assignments of JOCVs.

Most JOCVs are young and have just entered in their career. In fact, Japanese government encourages its youth to explore the lives of people in developing world so that they do not get spoilt by wealth and richness and do not take their progress for granted. Such assignments help in the overall development of their personality and makes them better human beings. Once these volunteers return to their native, their career prospects become brighter.

Deepa, whose real name is Kimiko Ijima, has been engaged in providing reproductive health knowledge to rural women in Bharatpur. "I share knowledge and skill with my counterparts in the Family Planning Association in Bharatpur.

According to Takashi Yokoyama, cultural attachÈ at the Japanese Embassy in Kathmandu, there are 41 JOCVs currently in Nepal working in different fields. "Our JOCVs have been helping in the socio-economic development of many countries including Nepal," said Yokoyama. Till 2001, 767 JOCVs have lent their assistance in Nepal.

Akin to Peace Corps of America, the JOCVs have been making discernible imprints on various spheres of Nepalese society. Due to their easy-going approach and desire to learn Nepalese culture, they are closely absorbed by any community where they go.


‘We Will Seek Ways Of Assisting Nepal In Dealing With The Peace Process’

- Zenji Kaminaga

Zenji Kaminaga is the ambassador of the Japan to the Kingdom of Nepal. Follows excerpts of his interview with the SPOTLIGHT:

How do you find the relations between Japan and Nepal?

zenji.jpg (4948 bytes)

I am extremely pleased with the ever-growing relations of friendship and cooperation between Japan and Nepal. It widely ranges from the close ties between the Imperial Family of Japan and the Royal Family of Nepal as I mentioned earlier, the frequent exchanges of personnel both at a governmental and private level and to economic and technical cooperation. I am happy to say that Japan and Nepal have been enjoying a century old unblemished friendly ties. Since the establishment of diplomatic relations between Japan and Nepal in 1956, the Government of Japan has been extending various types of cooperation to His Majesty's Government for its socio-economic development. Recently, the Japanese Government is supporting the efforts made by the Government of Nepal towards the restoration of peace in the country. Japan and Nepal have also been enjoying cordial relations at people to people level which is based on the basis of social and cultural similarities. Rev. Ekai Kawaguchi, the first recorded Japanese who ever visited Nepal in 1899, is characterized as the founder of such relations between the two countries. Just three years after his visit, the Government of Nepal sent eight Nepali students to Japan in 1902 for studies and I am very grateful to say that this year also marks the 100th anniversary of their visit to Japan.

Japan is Nepal's largest bilateral donor. What are the areas in which it has helped Nepal?

As a close friend and development partner of Nepal, Japan has been assisting His Majesty's Government of Nepal in its efforts for alleviating poverty and achieving sustainable economic development through economic and technical cooperation for over three decades. Basically, Japan's assistance is designed to support Nepal's democratization process and socio-economic development under the market oriented economic system. Japan has been the largest bilateral donor to Nepal since 1980 and it has provided over 264 billion Japanese yen (approx. NRs. 176 billion, or US $ 2.2 billion) in total since 1969. The projects and programs under Japanese ODA have been successful in achieving their targets and in addressing the basic human needs of the people in Nepal and, therefore, Japan is satisfied with the performance of the projects. The Government of Japan will continue to support the development efforts of Nepal, wherever possible, in line with the priority areas which have been identified through mutual dialogues between the two countries. Based on the above-mentioned basic policy, Japan's ODA have been utilized by Nepal in the priority areas identified through mutual dialogues in the High Level Policy Consultation meetings between the two countries. There are five priority areas which are as follows; human resources development; social sector such as education, health and medical care; agricultural development; basic economic and social infrastructure; and environmental conservation.

Nepal is currently going through a crisis, a reason of which is also lack of development. How can the Japanese government help Nepal in overcoming this?

Long-time poverty and economic stagnation have caused people's frustration toward the government. Therefore, the Nepalese government's efforts on social and economic development seems as important as its efforts on restoration of peace and security.  In this regard, the Japanese government extended assistance amounting to NRs.832 million as non-project grant aid in (Japanese) FY 2002 with the view to assisting the Nepalese government to carry out different programs, particularly taking into account the budgetary difficulties of Nepal. As the government and the insurgency group have entered into the cease-fire agreement, the Government of Japan welcomes the dialogue between the two parties.  Meanwhile, we will seek ways of assisting the government of Nepal in dealing with this peace process so that it may contribute to the fruitful result. In order to reduce the problem of poverty, we need to consider two types of support programs- short-term support (such as the support in the insurgency affected area) and medium and long-term support (such as assistance to tackle the fundamental cause of poverty and achieve economic development). In particular, to reduce poverty and to improve the living standard of people it is necessary to increase school enrollment, strengthen human resources development and provide infrastructure for industrial development, including tourism.

So many young Japanese people have come all the way to Nepal from Japan and have engaged in socio-economic development of Nepal. These youngsters, too, seem to be enjoying their experience here. How do you see this kind of exchange? How does it help the Japanese youngsters?  

The Japan Overseas Cooperation Volunteers (JOCV) program was started in Nepal from 1970 and a total of 767 volunteers had rendered their services to this country till 2001.  These young volunteers with skills in their own fields such as agriculture, health or education are working together with Nepalese people at the grassroots level and assisting local people in their self help efforts. The two-year experience as JOCV also provides them the great opportunity to learn Nepalese culture and society through the close contact with local people.

How do Japanese people view Nepal?

The people of Japan are fascinated by Nepal and its majestic Himalayas.  By virtue of being Asians, the culture of both nations is closely linked through strong spiritual links.  In Japan, Nepal is widely known as the kingdom of Himalayan beauty combined with rich cultural heritage which makes it one of the attractive travel destinations. Majority of the Japanese are Buddhists and accordingly they have keen interest in the life of Lord Buddha who was born in Lumbini of this country.

What can be done to further promote the visit by Japanese tourists to Nepal?

Nepal is a beautiful country, blessed with a diversity of natural beauty such as the scenic Himalayas in addition to its rich cultural heritage, exotic wildlife, and hospitable people. Japanese people love to visit Nepal because of its natural beauty and cultural similarities between the two countries.   Japan is the second largest tourist generating country for Nepal and some 41,000 Japanese tourists visited the country in 2001. However, Nepal needs to make some efforts, for example, in the areas of basic tourism infrastructure such as safe airport facilities and management, clean sanitary conditions and public toilet system, and healthy waste disposal system to maintain its beauty and attract more tourists. The present day world being a competitive one, Nepal ought to augment its competitiveness in terms of tourism marketing. Many people in Japan do not draw attention to the natural beauty of Nepal and its cultural heritage. For this, the Nepal Tourism Board needs to make additional promotional activities in Japan. Opening up a Tourism Information Center in Japan would be one of the right steps in this regard.


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