Newsletter No. 455
News-Analysis
December 4, 2006

 

The following newsletter has been contributed by Keely Fahoum (Shingetsu Member No. 112). Fahoum is based at the Naval Postgraduate School in Monterey, California.

AMBASSADOR MEETS WITH JORDANIAN OFFICIAL TO STRENGTHEN ECONOMIC AID

On November 23, 2006, the Jordanian Minister of Planning and International Cooperation, Suhair al-Ali and Japanese Ambassador to Jordan, Shigenobu Kato met to establish a representative office for the Japan Bank for International Cooperation (JBIC) in the Jordanian capital of Amman.

JBIC is a policy-based financial institution created in 1999 to facilitate lending and financial operations of Japan throughout the world and is dedicated to assisting the stability of the international financial order to promote economic and social development of participating countries.*

Al-Ali noted that the signing of the agreement to establish a JBIC office in Jordan re-confirms Japan's commitment to support Jordan's social and economic development. JBIC is the second Japanese institution to set up an office in Amman, the first being the Japan International Cooperation Agency (JICA). The managing director of JICA, Juro Chikaraishi also attended the agreement signing between JBIC and Al-Ali. The agreement was also meant to enhance bilateral ties with Jordan in areas of "common concern." Ambassador Shigenobu Kato's visit was also meant to reaffirm Japan's commitment to fostering stability and security in the Levant through means of economic cooperation with key countries such as Jordan. Al-Ali commented that the support would aid Jordan's dedication to helping development projects in Iraq and Palestine.

Japanese aid to Jordan is not a new phenomenon; since 1974, Japan has extended loans through the JBIC and the Overseas Economic Cooperation Operations up to US$2.2 billion. Japanese financial assistance to Jordan has exceeded US$316 million, of which US$256 million was earmarked for key development projects such as health, water, environment, industry, information technology and general safety programs. There has also been significant amount of funds to the tune of US$60 million allocated to support Jordanian tourism development projects.*

JICA representative Juro Chikaraishi also met with Al-Ali to discuss enhancing financial cooperation and assistance with Jordan as a strategy to build stability and security within the region. JICA has existed in Jordan since 1991 and has focused on institution-building and strengthening human resources development to aid the country in establishing and maintaining its own socio-economic development. One particular area in which the Japanese economic aid has focused are Non-Governmental Organizations (NGOs) using the Japanese Grant Assistance for Grassroots Human Security Projects (GAGP). NGOs often extend their reach into areas of Jordanian society that the government may be unable or unwilling to assist. Aid given directly to NGOs allows the assistance to be flexible, timely and have direct impact where the aid is desperately needed.* Japan's contribution to Jordanian NGOs has been extensive, over US$5.6 million to approximately 100 projects in 12 years under the supervision of the GAGP.

Japan's desire to establish and enhance economic cooperation within Jordan is a positive step towards building a strong foundation of stability in the Levantine region. Jordan has always relied on foreign aid, especially from the U.S., and has not adequately built up a diverse and strong indigenous economy. While Japan's helping hand is making a difference at the grass-roots level (perhaps where it is so badly needed), it does facilitate the build-up of more influential, lower-level non-governmental groups which could affect the ability of the Jordanian government to make unchallenged foreign policy decisions in the future. Japan has been making a renewed effort to reach out to Levantine countries which have an important role to play in the West Asian security and peace process. In the past, Jordan has been able to run "interference" between Israel and the rest of the Arab world, although its own weakening position among the Jordanian people has pressured King Abdallah to take a more neutral or moderate stance with respect to Israel and peace negotiations in the region.

Japan is wise to take an economic approach to building peace and security in the Levant, piecing together the building-blocks for an empowered popular base which will inevitably wield more power and influence over the region's non-democratic government decision-making bodies.

*Facts, figures and JBIC/JICA details derived from news articles appearing in the Jordan Times November 24, 2006.