Ten and twelve year bonds raise funding to support nations affected by conflict.
Japan International Cooperation Agency (JICA) has launched ten-or-twenty-year non-government guaranteed domestic bonds to support nations affected by conflict.
The bonds, which raised ¥24bn (€170m) have the features of “Social Bonds” defined by the International Capital Market Association and the proceeds from the bonds will be allocated to JICA’s Finance and Investment Account projects in developing countries which are affected by violent conflicts.
The projects chosen aim to assist the targeted countries to build resilient states and societies, and contribute to realising a peaceful and just society. JICA will also manage and track the net proceeds to ensure they do not finance coal-fired power generation.
The financing package comes as JICA signs a grant agreement with the Government of the Democratic Republic of the Congo (DRC) in Kinshasa, to provide aid of almost ¥2.5bn (€18m) to improve the container terminal of the Port of Matadi.
Under the project, the container yard pavement will be improved and a Terminal Operation System will be introduced at the Matadi Port, which is the base of the international and domestic logistics of the country.
By improving the security and efficiency of cargo handling work and thus strengthening the port’s capacity, it is expected that the project will contribute to the country’s economic development, in support of Sustainable Development Goal 9, (Industry, innovation and infrastructure).