Official Development Assistance (ODA)
Overview of Official Development Assistance (ODA) to China
February 1, 2016
Official Development Assistance (ODA) to China began in 1979 and from that time to the present, approximately 3.3164 trillion yen in loan aid (yen loans), 157.2 billion yen in grant aid, and 181.7 billion yen in technical cooperation have been implemented.
Grant aid is financial assistance that is extended to recipient countries without imposing an obligation of repayment.
Loan aid involves the provision of loans under relaxed conditions (low interest, long repayment period) to recipient countries. (These are in principle untied loans.)
Technical cooperation involves the technologies being provided to recipient countries to spread the use of technology among people in developing countries and improve technical levels.
Past ODA projects in China included large-scale economic infrastructure projects, including the building of roads, airports and power stations, as well as infrastructure projects in medical and environmental areas. These projects have played a significant role in the realization of China's current economic growth.
For example, through Japanese loan aid (yen loans), a total length of 5,200 km of railway lines were electrified, and in the area of seaports, approximately 60 large-size berths capable of taking ships in excess of 10,000 tons were built. In addition, the China-Japan Friendship Hospital that was established through grant aid is one of the major medical institutions in the Beijing metropolitan area, treating approximately 3,000 patients each day.
Assistance includes more than infrastructure projects. In the area of technical cooperation the Japan International Cooperation Agency (JICA) has accepted trainees from China for the purpose of providing assistance to cultivate administrative personnel. As of FY2013 JICA had accepted a cumulative total of over 35,000 trainees to nurture the human resources required for industrial promotion. JICA has also dispatched9.027 experts to China.