Annual Report on Japanʼs ODA Evaluation 2022

FY2021 MOFA ODA Evaluation Results

Evaluation of Japan’s ODA to the Democratic Republic of Timor-Leste

Chief Evaluator Prof. HASEGAWA Sukehiro
President, Global Peacebuilding Association of Japan
Advisor Prof. YAMADA Mitsuru
Professor, Faculty of Social Sciences, Waseda University
Consultant Waseda University
Evaluation Period FY2016 to FY2020
Period of the Evaluation Study August 2021 to February 2022
Field Survey Country Democratic Republic of Timor-Leste (online survey)

Background, Objectives, and Scope of the Evaluation

May 2022 marks approximately 20 years since Timor-Leste established diplomatic relations with Japan following its independence in May 2002. Timor-Leste aims to become a member of ASEAN and is gaining diplomatic importance from the perspective of the Free and Open Indo-Pacific (FOIP) vision promoted by Japan.

Japan’s Official Development Assistance (ODA) policies for Timor-Leste over the past five years (JFY2016-2020) and the assistance provided on that basis were evaluated, with the primary objectives being clarifying the lessons learned and making recommendations for the planning and implementation of Japan’s ODA policies for Timor-Leste in the future. It also aims to ensure accountability by publishing the evaluation results to the general public.

Summary of Evaluation Results

● Development Viewpoints

(1) Relevance of Policies

> Verification Item 1: Consistency and Integrity with Japan’s High-Level Development Policy

Japan’s ODA policy for Timor-Leste is based on the priority areas of support identified in “Japan’s Country Assistance Policy for Timor-Leste” (2012), which are “Establishing a Foundation for Promoting Economic Activities,” “Agriculture and Rural Development,” and “Capacity Development of Government and the Public Sector.” It is also based on the priority support areas listed in “Japan’s Country Assistance Policy for Timor-Leste” (2017), which are “Development and Improvement of Socioeconomic Infrastructure,” “Promotion of Industrial Diversification,” and “Improvement and Expansion of Social Service Delivery.” All of these areas are consistent in that they support the basic policy of building the foundation for sustainable national development.

> Verification Item 2: Consistency with Timor-Leste’s Development Policy and Needs

Japan’s support policy for Timor-Leste is generally consistent with the Strategic Development Plan (SDP) (2011–2030), especially in terms of infrastructure development, industrialization and marketization of agriculture, and human resource development through training and exchange programs in Japan and other efforts.

Japan’s reconstruction and assistance policies for Timor-Leste have consistently focused on infrastructure development, agriculture, and human resource development. Thus, development needs have become more sophisticated as the society has stabilized and economic standards have improved through oil revenues.

> Verification Item 3: Consistency with International Priority Issues, Relationship with Assistance from Other Donors

The focus areas of Japan’s assistance are consistent with the Sustainable Development Goals (SDGs). In the field of infrastructure development, cooperation with the World Bank and Asian Development Bank (ADB) has been particularly consistent. In particular, collaboration in the co-financing of the ADB Road Network Upgrading Project (National Route 1), which emphasized infrastructure development, was noteworthy.

> Verification Item 4: Japan’s Comparative Advantages

There were variances among the areas where Japan’s comparative advantage in Timor-Leste was demonstrated (such as higher education support) and those where it was not (such as road construction).
(Evaluation Result: Satisfactory)

(2) Effectiveness of Results

> Verification Item 1: Achievement and Contribution from Japan’s ODA (inputs)

Japan’s assistance to Timor-Leste has made a significant contribution in terms of the amount of aid.

> Verification Item 2: Achievement and Contribution from Japan’s ODA for Each Development Issue (outputs)

Each of the development issues is in the process of being addressed, and some of the outputs are becoming visible. However, at the project level, some issues remain in terms of efficiency and sustainability due to cost overruns and deadline extensions.

> Verification Item 3: Effectiveness of Assistance in Priority Areas (impacts)

Through efforts to address each development issue, some effects have been observed in the development and improvement of economic and social infrastructure, promotion of industrial diversification, and improvement and expansion of social services.
(Evaluation Result: Satisfactory)

(3) Appropriateness of Processes

> Verification Item 1: Appropriateness of the Formulation Process of Japan’s Country Assistance Policy for Timor-Leste

Japan’s ODA policy for Timor-Leste was formulated through a generally appropriate process.

> Verification Item 2: Appropriateness of the Implementation Process of Japan’s ODA to Timor-Leste

The implementation process of Japan’s ODA to Timor-Leste was well organized and managed. It included the establishment and operation of a basic implementation system, needs assessment, implementation of individual projects based on Japan’s priority areas of assistance to Timor-Leste, monitoring and evaluation, and communication.

> Verification Item 3: Coordination/Collaboration and Considerations in the Implementation Process of Japan’s ODA to Timor-Leste

Coordination and collaboration with development-related actors and other actors were appropriately carried out.
(Evaluation Result: Satisfactory)

* Ratings: Highly Satisfactory; Satisfactory; Partially Satisfactory; Unsatisfactory

● Diplomatic Viewpoints

(1) Diplomatic Importance

Japan’s ODA to Timor-Leste can contribute to the Free and Open Indo-Pacific (FOIP) initiative, quality infrastructure, and human security. Furthermore, it would be worthwhile to continue implementing ODA as a tool of Japan’s Resource Security Diplomacy.

In past bilateral summits and ministerial meetings, Timor-Leste has expressed gratitude for Japan’s ODA, which could play an important role in promoting friendly relations between the two countries.

(2) Diplomatic Impact

Japan’s ODA has had some effects on the Timorese government’s support for Japan’s position in the international community, Japan’s visibility in Timor-Leste, and the promotion of friendly relations. However, some issues remain in strengthening the economic relations between the two countries and the advancement of private companies.

Recommendations Based on Evaluation Results

(1) Supporting Timor-Leste’s economic takeoff through “high-quality” ODA provision
(2) Expanding support for environmental infrastructure in anticipation of graduation from LDC
(3) Fostering professionals and industrial workers in cooperation with the foreign technical intern training program
(4) Becoming a preferred country of investment through environmental improvement and promotion of tourism resources
(5) Contributing to overarching policy covering the entire infrastructure sector to create “resilient infrastructure”
(6) Strategically expanding Japan’s ODA to strengthen Timor-Leste’s governance capacity

A photo of engineering Students taking a class at the National University of Timor-Leste>
	<p class=Engineering Students taking a class at the National University of Timor-Leste