Reference Materials

Fiscal 2018 Balance SheetJapan International Cooperation System Annual Report 2019

March 31, 2019

(Unit: yen)

Item

FY2018FY2017

Variance

483,373,829
355,365,739
10,245,574
2,160
3,162,427
852,149,729

755,755,654
348,680,081
12,119,281
9,727,719
8,713,208
1,134,995,943(272,381,825)
6,685,658(1,873,707)(9,725,559)(5,550,781)(282,846,214)

187,000,000
200,000,000
387,000,000

137,000,000
250,000,000
387,000,000

50,000,000(50,000,000)
0

10,000,000
10,086,000
20,086,000

10,000,000
9,358,500
19,358,500

0727,500
727,500

070,208,723
59,034,844
188,847,374
71,277,298
5,578,359
68,024,846
327,257
463,298,701
870,384,701
1,722,534,430

4,767,377
76,831,208
76,699,648
170,255,051
72,627,481
4,511,778
76,084,534
37,326
481,814,403
888,172,903
2,023,168,846(4,767,377)(6,622,485)(17,664,804)
18,592,323(1,350,183)
1,066,581(8,059,688)
289,931(18,515,702)(17,788,202)(300,634,416)

1. Current liabilities
Accrued payments
Allowance for bonus
Suspense receiptDeposit received
Deposit received for the Improvement of the Petra Museum Project
Reserve for operational losses
Income tax payable
Total current liabilities

70,977,662
62,723,703
0
12,969,439
37,509,584
0
70,000184,250,388

92,678,511
102,300,220
014,205,393
280,076,097
22,014,889
64,100511,339,210(21,700,849)(39,576,517)
0(1,235,954)(242,566,513)(22,014,889)
5,900(327,088,822)

2. Fixed liabilities
Provision for retirement benefits
Reserve for executive officers’ retirement benefits
Total fixed liabilitiesTotal liabilities 2)2,400,000
10,086,000
12,486,000
196,736,388

0
9,358,500
9,358,500
520,697,710

2,400,000
727,500
3,127,500(323,961,322)

372,000,000
372,000,000[372,000,000]
1,153,798,042[15,000,000][10,000,000]
1,525,798,042
1,722,534,430

372,000,000
372,000,000[372,000,000]
1,130,471,136[15,000,000][10,000,000]
1,502,471,136
2,023,168,846

00[0]23,326,906[0][0]23,326,906(300,634,416)

ⅠAssets
1. Current assets
Cash equivalents
Accrued revenues
Prepaid expensesAdvances paid
Suspense payments
Total current assets
2. Fixed assets( 1 ) Endowment
Endowment in installment deposits
Endowment in investment securities
Total endowment(2) Specific assets
Accumulated assets for support to non-governmental organizations
Assets reserved for executive officers’ retirement benefits
Total specific assets(3) Other fixed assets
Vehicles and other transportation devices
Equipment attached to building
Appliances and fixtures
SoftwareDeposit and security moneys
Long-term prepaid expenses
Prepaid pension expenses
Investment securities
Total other fixed assetsTotal fixed assets
Total assets 1)
Ⅱ Liabilities

Ⅲ Net Assets
1. Designated net assets
Contributions and subscriptions
Total designated net assets[Amount of allotment to the endowment]
2. General net assets[Amount of allotment to the endowment][Amount of allotment to specific assets]
Total net assets 1) - 2)
Total liabilities and net assets

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Reference Materials

Fiscal 2018 Statement of Net Equity Increase (Decrease)
April 1, 2018–March 31, 2019

(Unit: yen)

Item

FY2018FY2017

Variance

1,971,572
1,971,572
2,033,692,121
1,623,625,810
54,002,978
218,000,208
96,230,152
41,832,973
4,205,453
4,205,453
2,039,869,146

2,025,211
2,025,211
2,380,328,445
1,906,702,133
95,372,714
223,208,438
121,612,533
33,432,627
5,044,124
5,044,124
2,387,397,780(53,639)(53,639)(346,636,324)(283,076,323)(41,369,736)(5,208,230)(25,382,381)
8,400,346(838,671)(838,671)(347,528,634)

1,677,058,372
343,611,830
2,020,670,202
19,198,944

1,883,354,281
435,011,925
2,318,366,206
69,031,574(206,295,909)(91,400,095)(297,696,004)(49,832,630)

1,641,614
01,641,614

44,6302,002,000
2,046,630

1,596,984(2,002,000)(405,016)

794,708
0794,708
846,906
20,045,850

19,331,378
14,200,481
33,531,859(31,485,229)
37,546,345(18,536,670)(14,200,481)(32,737,151)
32,332,135(17,500,495)(3,281,056)
23,326,906
1,130,471,136
1,153,798,042

390,596
37,155,749
1,093,315,387
1,130,471,136(3,671,652)(13,828,843)
37,155,749
23,326,906

000372,000,000
372,000,000000372,000,000
372,000,0000000
01,525,798,042

1,502,471,136

23,326,906

I General Net Assets Increase or Decrease
1. Current increase or decrease(1) Current profits
1) Profit from the management of the endowment
Interest received from the endowment
2) Profit from business activities
Profit from grant aid programs
Profit from technical cooperation programs
Profit from loan programs
Profit from programs with international agencies and organizations, etc.
Profit from other commissioned projects
3) Miscellaneous profits
Miscellaneous profits
Total current profits (A)(2) Current expenses
1) Operating expenses
2) Administrative expenses
Total current expenses (B)Current increase or decrease for the year (C) = (A) - (B)
2. Nonrecurring increase or decrease(1) Nonrecurring increase1) Gain on sales of fixed assets
2) Reversal of provision for head office’s restoration
Total nonrecurring increase(2) Nonrecurring expenses
1) Loss on sales and retirement of noncurrent assets
2) Office transfer expenses
Total nonrecurring expenses
Nonrecurring increase or decrease for the year (D)General net assets increase or decrease for the year before income taxes(E) = (C) + (D)Income taxes—current (F)General net assets increase or decrease for the year (G) = (E) - (F)General net assets at beginning of year (H)General net assets at end of year (I) = (G) + (H)II Designated Net Assets Increase or Decrease
1) Amount of transfer to general net assets
Amount of transfer to general net assets
Designated net assets increase or decrease for the year
Designated net assets at beginning of year
Designated net assets at end of year (J)III Net Assets at End of Year (I) + (J)Reference MaterialsOrganization Chart andBoard of Directors/Board of Trustees

Japan International Cooperation System Annual Report 2019

Organization Chart (As of August 1, 2019)
Board of Trustees

Board of Directors

AuditorPresident

Accounting Auditor

Vice President

Vice President(Responsible forGeneral Affairs)(Responsible forBusinessManagement)

Senior Director
GeneralManagement
Planning Office
Formulation ofmanagement
policies

ComplianceandRisk Management
OfficeGeneral Affairs
Department
General Affairs
Division
Human Resources
Division
Finance andAccounting Division

New Business
Development Office

Audit OfficeBusiness PlanningOffice▶ Development ofnew businesses▶ Planning relating
to international
cooperation

CoordinationOffice▶ Service-relatedcoordination

First Management Department

Second Management Department

Third Management Department▶ Procurement agent services in Asia,
Oceania and Middle East

▶ Procurement agent services in Latin America,
Eastern Europe, Central Asia and Africa▶ Technical operations including equipment
item surveys and drawing up ofspecifications▶ Programs with international organizations, Grant aid project under PPP▶ Support for following operations
ODA Loans, Technical cooperation, Grant
Assistance for Japanese NGO Projects,
Cultural grant assistance

Board of Directors/Board of Trustees
Board of Directors and Accounting Auditor As of August 1, 2019President

Toru Kubo

Vice President

Kazuki Takeuchi

Executive Director

Hiroki Kato

General Manager, Legal Department, Ajinomoto Co., Inc.

Executive Director

Kazuko Kawamata

Professor, Faculty of Law, Rissho University

AuditorNaoki Sou

Certified Public Accountant, Tax Accountant

AuditorMichio Masaki

Attorney at Law, CITY-YUWA PARTNERS

Accounting Auditor

Kiyoshi Toi

Certified Public Accountant

Board of Trustees As of August 1, 2019
ChairmanMembers

Masaoki Takeuchi

President, International Development Center of Japan

Michiyo Arita

Secretary General, International Cultural Institute

Makoto Oka

General Manager, Economic Cooperation Office, MUFG Bank, Ltd.

Kiyoshi Kodera

Former Executive Secretary of Development Committee of the World Bank andInternational Monetary Fund, Former Deputy Vice-Minister for International Affairs,
Ministry of Finance, Japan, Former Vice President of Japan International Cooperation
Agency (JICA), Chair of the Board of WaterAid Japan

Makoto Tochigi

Journalist

Yoshihiro Yamaguchi

Senior Executive Director, The Overseas Construction Association of Japan, Inc.

Sachiko Yamano

President, Japan International Cooperation CenterIn fiscal 2018, the Board of Directors met six times and the Board of Trustees met three times.
At Board of Directors’ meetings, management overviews, business issues, and management andorganizational issues were reported in a timely manner and key issues were deliberated.

27

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Reference Materials

Compliance

1. JICS’ Compliance Policy
JICS carries out procurement and other related activities for international cooperation projects. Accordingly, in addition to its employees, JICS’ stakeholders include the government and citizens
of Japan, governments and citizens of countries that receive aid
through such projects, as well as organizations offering tenders,and contractors such as suppliers, construction companies, andconsultants. JICS understands that its ability to act in the interestsof these stakeholders is integral to its mission.
JICS’ procurement activities are equivalent to public procurement, and, therefore, must be conducted fairly and appropriately
while ensuring transparency. Therefore, JICS has established acompliance system for the purpose of maintaining a high level oftrust among its stakeholders.

2. Compliance System

JICS has set up the following system for promoting compliance.

(1) Compliance Committee

Chaired by JICS’ president, the Compliance Committee is responsible for strengthening compliance, responding to any case of abreach of compliance, and examining measures for preventing
the recurrence of such cases.

(2) Compliance and Risk Management Office

JICS has established an internal reporting system for the purposeof preventing violations of laws or regulations, and for dealing
with any such violations that occur. The system provides contact
points for reporting information, including a reporting line andaccess to auditors, legal advisors, and lawyers from outside JICS.

(6) Whistleblower system for reporting irregularities concerningtender or other matters

This office takes steps for enhancing compliance in JICS’ organizations and analyzes risks throughout these organizations inorder to improve risk management.

(3) Audits by auditors, accounting auditor and tax accountants

Auditors are responsible for auditing the performance of duties
by the Board of Directors and executive directors, while the accounting auditor and tax accountants are consigned to conduct
external audits of financial and accounting records. In addition tochecking financial statements and confirming whether internal
controls are in place and being followed, the accounting auditor
also inspects bank accounts (in which funds for aid have beendeposited) being administered by JICS on behalf of governmentsof countries receiving assistance as part of its procurement agentservices.

(4) Audit Office

The Audit Office is responsible for internal auditing under thedirect supervision of the president. From its standpoint as anindependent body, the office conducts audits to determine
whether operations are carried out appropriately and efficiently,
and reports the results to the president.

JICS has established a whistleblower system for the purpose ofensuring that procurement procedures, including those involving tender executed by JICS, are conducted impartially, and that
contracts made with other parties are properly executed.

(7) JICS Code of Conduct

We conduct ourselves in accordance with the following 10standards as organizational principles.
 Behaving in accordance with our responsibilities as a public
service corporation
 Providing high-quality services
 Strictly observing laws and rules Exercising due consideration for local conditions
 Practicing information disclosure Managing information appropriately
 Respecting human rights
 Acting resolutely in response to anti-social groups Working to protect the environment
Creating a safe and satisfying workplace environment

Compliance System

Board of Trustees

Board of Directors(5) Internal reporting system

 Strengthening of compliance; establishment ofsystem and rules; educationand training

Compliance Committee

ReportingPresident

Accounting
Auditor

Auditors

Liaison pointfor contactfrom externalparties

Vice President

Director of Audit OfficeCompliance and Risk Management OfficeCompliance officers from each division

Reporting

ReportingInternal liaison points

Attorney at law
Reporting/Consulting Response when irregularities
occur; studies; consideration of response policies
and measures to prevent
recurrence(Compliance officers in each division,harassment officers)
Instructions

Education/Information sharing

Employees/Parties providing information

Whistleblower system for reporting irregularities concerningtender or other matters

Reporting/Consulting

Bidding enterprises/
Contractors

3. Measures for Protecting Personal Information
JICS recognizes that it has a social responsibility to handle personal information in an appropriate manner. Accordingly, it hasestablished a basic policy on personal information protection
along with related rules. In recognition of these measures, JICS
received accreditation under the PrivacyMark system in Japan onJune 17, 2011. (The accreditation was renewed for the fifth timeon June 17, 2019.)
JICS is certified as anentity authorized to use the“PrivacyMark” logo, and issubject to laws in Japan.

Education on protecting personal information

Outline of JICS

Japan International Cooperation System Annual Report 201929

 Name of Organization:
Japan International Cooperation System (JICS)

 Head Office:5th Floor, Harumi Center Building, 5-24, Harumi 2-chome, Chuo-ku, Tokyo 104-0053, Japan Main Contact Information and Website:
Tel: +81-3-6630-7870
Fax: +81-3-3534-6811
E-mail: jics@jics.or.jpURL: https://www.jics.or.jp/jics_html-e/index.php

 President:
Toru Kubo

 Date of Establishment:
April 12, 1989 Endowment:¥387 million

 Number of Employees:
147 (as of August 1, 2019)

 Purpose:
With the aim of contributing to peace and stability in the international community,
JICS’ purpose is to carry out procurement and management operations related tointernational cooperation programs.

 Businesses:
1. Procurement services in the field of international cooperation business
2. Management services in the field of international cooperation business3. Consultancy services in the field of international cooperation business
4. Research and studies in the field of international cooperation business5. Design and supervision of architecture and civil engineering work concerning international cooperation
6. Support to NGOs, etc., relating to international cooperation activities
7. Dissemination and enlightenment of knowledge concerning international cooperation activities
8. Other businesses necessary to achieve the purpose of the Foundation

 Licensed Business Category:First Class Registered Architects Office, Tokyo Metropolitan Governor License No. 59804

 Acquired Certifications, etc.:PrivacyMark

Japan International Cooperation SystemAnnual Report 2019
Published December 6, 2019 (English edition)
Compiled and published by Japan International Cooperation System
5th Floor, Harumi Center Building, 5-24, Harumi 2-chome,Chuo-ku, Tokyo 104-0053, Japan
Tel: +81-3-6630-7870
https://www.jics.or.jp/jics_html-e/index.php
Editorial assistance: Five Cs, Inc.
Printed in Japan©2019 Japan International Cooperation System