Signing a loan agreement to women’s financial inclusion in India

 Signing a loan agreement to women’s financial inclusion in India

(Private Sector Investment Finance): Improving women’s access to finance

 On August 25th, 2021, the Japan International Cooperation Agency (JICA) signed a $50 million loan agreement with Northern Arc Capital (NAC), an Indian financial institution, to fund non-bank financial entities that provide financial services to women. This loan will be provided through co-financing with the United States International Development Finance Corporation (USDFC) based on the Facility for Accelerating Financial Inclusion in Asia (FAIA) announced on March 27, 2020.

In the Gender Gap Index, which measures gender inequalities, India is ranked 112th out of 153 countries (Global Gender Gap Report 2020), representing a country with a huge gender imbalance. In particular, opportunities for women to participate in economic activities are limited. It is estimated that over 40% of the country’s female population, or about 280 million women, have no access to financial services. In response to these circumstances, the Government of India has identified the improvement of women’s access to finance as one of its priority issues. 

 

Non-Banking Financial Companies (NBFCs), which have branches in provincial areas and extensively provide loans to individuals, play an important role in this regard. It is, therefore, important to create an environment in which NBFCs are able to obtain stable financing. This project aims to improve women’s financial access in the country by providing loans to NAC, which supports the NBFC sector in procuring funds.

At the signing of the loan agreement, Kshama Fernandes, Managing Director and CEO of NAC, said, “We are excited to partner with JICA to further our mission of catering to the diverse credit requirements of underserved households and businesses. The usage of proceeds will be towards promoting women entrepreneurship and employment, an important target area for the company.”

Keiichiro Nakazawa, Senior Vice President of JICA, said “NAC is one of the unique and important financial institutions to support funding of Indian NBFC sector, which is a key to promote financial inclusion in India. We expect more Indian women to have accesses to financial service through the partnership with NAC. Also, we are delighted that this loan is the first co-financing with USDFC in India.

Since its establishment in 2008, NAC has been a platform in the financial services sector, working with a large network of financial institution partners and fintechs as well as small businesses and individuals.

In December 2019, Sumitomo Mitsui Banking Corporation invested in NAC, aiming to collaborate in enhancing priority sector lending, such as for small and medium enterprises (SMEs) designated by the Government of India.

JICA’s initiative will improve women’s access to finance in the country by providing loans to non-bank financial entities via NAC, that offer financial services for women, thereby contributing to the rectification of gender inequalities and sustainable economic growth in the country. It will also contribute to SDGs (Sustainable Development Goals) 1, 5, 8, and 17 as an initiative that supports the “G7 2X Challenge: Finance for Women,” which was announced at the G7 Summit 2021 in Cornwall to be implemented in a new phase until 2022.

 

(Note) The “G7 2X Challenge: Financing for Women” is an initiative in which development financial organizations from G7 countries utilize their own funding to encourage private sector investment.  In doing so, it aims to mobilize $15 billion by 2022 to financially empower women, such as nurturing female entrepreneurs and business leaders, as well as promoting entry into the labor market. “2X” refers to doubling the amount of financing and effects on women.

Related Links

DFC’s press release “DFC Promotes Gender Equity in Financing Across India with $50 Million Investment”

2X CHALLENGE

Launching ' the G7 2X Challenge: Financing for Women' with Development Finance Institutions from G7 countries

Go for it, Indian Athletes! Bharatiya Khiladi, khoob khelo, khoob jeeto!

 Go for it, Indian Athletes! Bharatiya Khiladi, khoob khelo, khoob jeeto!

Olympic Games Tokyo 2020: JICA communicates its contributions towards strengthening social development through promoting sports

~ Solidification of societies via sports~

On the commencement of Olympic games Tokyo 2020, the Japan International Cooperation Agency (JICA) expresses its hope that the Indian athletes can give their best and enjoy staying in Japan as well as games.

JICA would reiterate its collaboration agreement with the Japanese Olympic Committee (JOC) to enhance contributions to international society via sports. JICA endeavors to solidify social development in India, which was highly impacted due to the pandemic through the means of sports.

The overall goal of this effort is to reassert the significance of sports' influence on human-society ties, as well as to maximize the impact of these traits for the benefit of international cooperation. 

As part of its mission, JICA is carrying out projects in Sport and Development through Japan Overseas Cooperation Volunteers (JOCV), a volunteer program that supports a wide range of activities, which are intended towards facilitating cooperation in the economic and social development of societies. JICA and the JOC are cooperating in dispatching JOCVs and promoting greater dissemination of Olympian information to developing countries. India is one of the first countries where the JOCV program started in 1966 and over 200 volunteers have been dispatched to India since then.

Highlighting JICA’s contributions, Mr. Matsumoto Katsuo, Chief Representative, JICA India said, “I would like to congratulate the Indian athletes on their participation in the Tokyo Olympic Games and look forward to their success. Sports are the most effective means of communicating values and contributing to the development of a more peaceful and harmonious society. JICA's mission is to promote sports around the world, in order to help build both Indian and international societies. Our JOCV program has relentlessly worked to assist India in training youth in improving swimming abilities for schoolchildren and teaching Japanese martial arts of Judo and so on, as we believe in the fundamental value of sports in social development and international cooperation.”

Japan, through its “Sports for Tomorrow” initiative, has been conducting international contribution and exchange programs through sports in the way of public and private partnership. It has already promoted sports and anti-doping program to more than 10 million people in over 100 countries. Even in the midst of the global spread of coronary infections, Japan has been providing online exchanges and guidance. JICA has been one of the main organizations of this initiative.

We recognizes the significance of international sports collaboration in promoting healthy physical and mental development of the youth, along with stimulating social inclusion and unity. It seeks to make contributions towards building knowledge for better growth and development, consequently leveraging cross-country ties through collaborative learning. In the foreseeable future, JICA aims to promote sports and strengthen sports infrastructure in India by engaging in related development projects as well as conducting events that contribute highly towards the social development of the country.

JICA undertakes PAN India study to understand the

 JICA undertakes PAN India study to understand the impact of COVID-19 on the Persons with Disabilities (PWDs)

 

Japan International Cooperation Agency (JICA) and V-shesh Learning Services Private Limited have undertaken a pan-India study to comprehend the “Impact of COVID-19 on people with disabilities” in India in the first quarter of the current year 2021. The focus of this study was to determine and assess the medium to long term effects of COVID-19 on the lives of Persons with Disabilities. The pandemic has put immense burden on the government delivery system, as Governments, DPOs and NGOs have encountered significant challenges to provide aid, relief materials, and assistance to Persons with Disabilities across India. These impediments were most prominent in areas pertaining to education, training, jobs, and daily living. Through the inputs from this research, JICA aims to establish appropriate development plans in response to emergency circumstances such as the COVID-19 pandemic.

The study focuses on three key points, (i) Impact of COVID-19 pandemic on Persons with Disabilities (PWDs), (ii) Response to the pandemic for PWDs by Government (Central and State) and, (iii) Recommendations for JICA’s COVID-19 response support programs specifically targeting PWDs.

Covid-19 has had many detrimental impacts on the lives of Persons with Disabilities. A total of four major impacts were identified during the study: Daily Living, Education, access to Healthcare facilities and Livelihood. In trying to maintain social distance, they often had isolate from their families which led to feelings of loneliness and confusion. People with disabilities depend majorly on care giving support, 64.8% of the respondents reported facing severe challenges in accessing care giving services due to fear of infection and limited transport. Accessibility to online learning proved to be another challenge due to absence of smartphone or laptop. 

Even when online education did take place, 70% respondents mentioned that the overall learning experience was not at all effective. Students with disabilities in higher education institutions faced incremental challenges without additional faculty time, student volunteers, scribes etc. Amidst the pandemic, Persons with Disabilities have often been unable to seek healthcare services and a shocking 47.4% of respondents were amongst those. Shortage of medical products, problems with supply chains and transportation further added to their distress and 25.85% respondents faced reduced or no access to prescribed medicines. Loss of livelihood and a steady source of income has affected many persons with disabilities, 13.4% of the respondents lost their jobs during the pandemic and among those who continued jobs 64.8% mentioned facing obstacles at work due to inaccessibility and social inclusion. A lack of digital connect affected those in rural areas far more as they lost access to skilling and training opportunities.  People with lesser known disabilities faced inconveniences with access to critical care due to COVID-19 protocol.

Speaking on the occasion, Mr. Katsuo Matsumoto, Chief Representative, JICA India said, “COVID-19 has had a detrimental effect on India's underprivileged and marginalized communities. JICA aspires to be a pillar of support in the face of adversity, such as the current pandemic. The intensity and impact of COVID-19 on the PWDs has been far more severe as compared to their non-disabled peers, especially in areas like daily living, education, health, and livelihood. JICA aims to create support programmes particularly to help and assist PWDs”

The study has helped JICA in identifying the four major sectors that could benefit from JICA support programmes. (a) Education & Daily living; (b) Skill Development, Employment & Livelihood; (c) Health & Well being and (d) A Private Sector programme to address gaps across sectors through an enterprise-led approach.

Based on these findings from the report, JICA, with the help of the respective Government Implementing Agencies aims to rehabilitate the existing projects, especially those in the education, skill & livelihood, and health sector to add a disabilities component as an affirmative response to mitigate the impact of COVID-19.

On National Cleanliness Day, JICA starts

 On National Cleanliness Day, JICA starts “Achhi Aadat (Good Habit) Campaign” to promote hand washing, nail cleaning and other hygiene practices 

~ Achhi Aadat (Good Habit) to protect yourself and loved ones ~

 

Japan International Cooperation Agency (JICA) has launched the “Achhi Aadat (Good Habit)” Campaign in India, to raise awareness among 10 Crore people about the importance of hygiene practices for preventing the spread of COVID-19 and other infectious diseases. The campaign is to introduce an easy and practical approach to the hygiene and sanitation issues by promoting handwashing, nail cleaning and other hygiene practices such as wearing mask in a correct way.

JICA will roll out the campaign in partnership with Japanese companies and local nonprofit organizations for a period of one year from January 2021. The campaign will be implemented in both urban and rural areas with strong focus on the village communities, schools and hospitals where JICA has built relationships through cooperation. Self Employed Women’s Association (SEWA), a community based organization will play an important role in the community level activities of this campaign. 

To augment this campaign, JICA has also created a manga (cartoon) material named "Correct Handwashing" drawn by Japanese manga artist Ms. Kimidori Inoue, and it has been translated into Hindi and Tamil to extend the campaign to wider audience and better comprehension in local languages. Online events targeting schools and other public facilities will be carried out with the manga and animation. In addition, three Japanese companies are already on board as sponsors for this campaign. These companies are donating their hygiene related products for this campaign, such as the hand-washing station “SATO Tap” from LIXIL, nail clippers from Kai India, and disposable masks from Unicharm India.

Today, a launch event was held in Gram Vikas Samiti Surana, Village Surana, Ghaziabad, Uttar Pradesh, targeting approximately 20 children aged between 7 and 14, in cooperation with IJ Kakehashi, a company that is committed towards creating awareness for health, hygiene and environment. The event was held to celebrate National Cleanliness Day, that is observed every year on January 30^th to commemorate the death anniversary of Mahatma Gandhi. In the event, children learnt the importance of the routine practice of handwashing, nail cleaning and mask wearing while they also received hygiene products provided by the partner companies.

Speaking on the occasion, Mr. Katsuo Matsumoto, Chief Representative, JICA India said, “Through “Achhi Aadat Campaign”, JICA and partners will work together to establish hygienic practices for the health and welfare of people of India. National Cleanliness Day calls for environment cleanliness including maintaining high standards of cleanliness in our home, work place, roads/streets and public places. In the time of COVID-19, providing attention to personal hygiene is critical to keep good health. It is also in line with the spirit of Mahatma Gandhi, who taught people the importance of maintaining personal hygiene and encouraged people to change and get rid of dirty habits to keep good health. 

Hygienic practices will reduce the likelihood of other viral infections and not only COVID-19. Globally, number of children lose their lives because of diarrheal diseases and it is evidenced that washing hands with soap can reduce this risk drastically. COVID-19 crisis has brought about a momentum to change the people’s mindset about hygiene. We understand hygienic practices that becomes “lifelong good habit” will protect not only oneself but also protect the loved ones.”