In 1990, Japan agreed to provide financing to support the IMF’s technical assistance to developing member countries to strengthen their capacity to formulate, implement, and maintain macroeconomic and structural adjustment programs. Since then, Japan has been, and continues to be, the largest source of external donor support for the IMF’s technical assistance (TA) activities.1 Japan’s contributions are provided through the “Japan Administered Account for Selected Fund Activities (JSA).”2 In addition, Japan also finances two scholarship programs, one under the JSA and the other under a separate account.
This paper reports about the IMF and its activities, and particularly its technical assistance activities, the Japan Administered Account for Selected Fund Activities (JSA)—its objectives, size and scope, and use—with a focus on fiscal year 2002 and the scholarship programs. As the IMF seeks to meet its mandate, the demand on its technical assistance resources is expected to increase in a variety of areas, including helping countries to build capacity for their anti-money laundering and combating financing of terrorism (AML/CFT) efforts; to adopt and adhere to international standards and codes for financial, fiscal, and statistical management; to help Heavily Indebted Poor Countries (HIPCs) design and manage debt reduction programs; and to help low-income countries formulate and implement poverty reduction strategies. The Japan-IMF Scholarship Program for Asia supports a 12-month course of graduate studies in Japan in macroeconomics or related fields for students from Asia and the Pacific and Central Asia, and is administered by the Regional Office in Tokyo.
This paper provides a brief description of the IMF and its activities, focusing in particular on its technical assistance (TA) activities. The report then describes in greater detail the Japan Administered Account for Selected Fund Activities (JSA)—including its scope and objectives, the size and uses of the TA contribution, and assessments of its TA activities and scholarship programs—with a focus on fiscal year (FY) 2009. Japan has provided grant contributions to support IMF technical assistance to member countries since 1990. In 1997, the scope of the administered account was widened to allow for financing other IMF activities in Asia and the Pacific, carried out through the IMF Regional Office for Asia and the Pacific in Tokyo. Regular consultations are held between the IMF and the Japanese authorities; the most recent formal meeting took place in April 2009. The use of JSA resources is flexible. JSA funds can be used to cover the cost of short- and long-term TA experts and other costs associated with conducting seminars and workshops, such as room rental fees.