Economic Policy

Sound fiscal management and financial systems are vital to a country's sustainable economic development. If these systems collapse, the impact on people's assets and livelihood as well as on economic activities in the private sector would be devastating, as the failure of the system may lead to a decline in the provision of governmental services and in financial intermediary functions, and inflation.

In addition, all kind of support assistance for developing countries proves to be more effective with sound fiscal and financial systems and economic stability as its underpinning. However, foundations of the economy in many developing countries are fragile and economic management unstable. JICA's assistance in this area aims at strengthening the fiscal and financial structure of these developing countries.