HOME > Japanese Policies and Projects for Bridging the International Digital Divide > Assistance system for supporting developing countries > Loan Assistance(Yen Loan)

Loan assistance is a form of ODA to loan development fund for the government of developing countries in long-term and low interest

Long-term and low interest loans will be able to support projects that are not feasible for private finance due to low returns and poor commercial success despite their significance.

The principal form of loan assistance is project loan. That funds are provided for facilities, machinery, consulting services and other project needs. There are non-project type loans, such as commodity loans, structural adjustment loan, etc. The scope of loan assistance is mainly focusing on development of economic infrastructure, but importance is gradually increasing in social sector, such as health care program, education, environment etc.
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Example in the Loan Assistance
The North-South Submarine Fiber Optic Link Project
This Project aims to improve reliability of telecommunications network infrastructure and to meet the increasing demands for the telecommunications services. The project will build 2,000 km of submarine fiber optic cable and 11 landing satiations along the coastline between Hai Phong and Soc Trang in Vietnam.
Loan assistance implemented in ICT field (FY1997~FY2002)
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Loan Assistance (Procedures and Flow)



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