Japan to expand Asian aids

Japan to expand Asian aids

TOKYO (Dow Jones): The Ministry of Finance is set to expand a $30 billion aid scheme to Asia, following strong demand for funds, The Nihon Keizai Shimbun reported in its Sunday edition.

The so-called Miyazawa Initiative -- named after Finance Minister Kiichi Miyazawa who announced the program in October 1998 -- has received a positive response from the five intended recipients: Thailand, Malaysia, the Philippines, Indonesia and South Korea.

Aid worth US$12.75 billion has already been agreed, and this will rise to almost half the total once a new aid request from Indonesia is granted.

Other countries, notably Myanmar and Vietnam, are lobbying to be included in the scheme. An MOF source said that the ministry is prepared to increase total aid once demand exceeds Y30 billion, the newspaper said.