Japan, Africa eye stronger trade ties
The President of Japan International Cooperation Agency (JICA), Mr Shiniki Kitaoka
What you need to know:
The President of Japan International Cooperation Agency (JICA), Mr Shiniki Kitaoka, told journalists from 15 African countries yesterday that the major challenge they were facing in executing TICAD projects and the whole cooperation between the two parties was how to tap the Japanese private sector in the scene.
Tokyo. About 150 Japanese companies are expected to participate and extend their businesses in Africa during the sixth Japan and Africa summit set for August in Nairobi, Kenya.
The delegation, which is the largest in Japan’s history to Africa, will comprise mega companies in ICT, construction, manufacturing and trade among others.
They will be seeking investment opportunities and business matching with African co-operations.
The summit, which is formally known as Tokyo International Conference of Africa’s Development (TICAD), was first held in 1993, but it will, for the first time this year, be hosted in African soil.
Japan authorities are optimistic that the participation of Japanese companies in the summit will pave the way for a new modal of Japan-Africa cooperation characterised by strong private investments than the current Official Development Assistance (ODA) by the Tokyo government.
The President of Japan International Cooperation Agency (JICA), Mr Shiniki Kitaoka, told journalists from 15 African countries yesterday that the major challenge they were facing in executing TICAD projects and the whole cooperation between the two parties was how to tap the Japanese private sector in the scene.
“The challenge has always been how to encourage Japanese companies to invest in Africa, but from this year we believe things are to change for the better, and TICAD VI will deepen on that,” he said.
Executive Vice President of Institute of Developing Economies-Japan External Trade Organisation (IDE-JETRO) Katsumi Hirano said while most of Japanese companies were hesitant to go and invest in Africa over a number of risks, the situation is currently changing.
“There are already very active Japanese firms in Africa like automobile giant Toyota, Komatsu which constructs mining machineries and Sumitomo Chemical, producers of anti-malaria insecticide Olyset-net,” he said.
“Our firms, however, have to enhance their exportability and become global companies, and for that to happen they should be able to take risks. They already have an advantage of cutting edge and environmental friendly technology,” he added.
