of a favorable environment for attracting foreign investment.

(4) Japan will provide support for environmental conservation measures in relatively high-income countries and other countries as well.

### 5. Africa

Various favorable developments have been witnessed in Africa during recent years. These include moves toward democratization, greater stability in southern Africa, and a growing number of countries enjoying steady economic growth. However, numerous African countries continue to face serious problems that hamper their development. These include exclusion from the process of economic globalization, local conflicts, and the spread of AIDS. The majority of African countries are LLDCs, and many are heavily indebted poor countries. It is widely acknowledged that support for efforts toward the resolution of the problems of Africa calls for a concerted international effort.

Japan is committed to reinforcing this awareness and to working toward the establishment of international partnerships to support the self-help efforts of African nations. For this purpose, Japan, in collaboration with the United Nations and other organizations, hosted the Second Tokyo International Conference on African Development (TICAD II) in Tokyo in October 1998.

Based on the policies enunciated in the Development Partnership Strategy, TICAD II produced the "Tokyo Agenda for Action," featuring a commitment to developing the self-reliance of African countries, strengthening cooperation and coordination with the industrial countries and international organizations, and promoting Asian-African cooperation. Henceforth, it is the responsibility of both African countries and the international community to act on the "Tokyo Agenda for Action" and realize its goals. It is important for Japan to coordinate its assistance efforts with international initiatives, such as the Special Program of Assistance for Africa (SPA) which the World Bank and other donors are promoting.

In light of the above, Japan will provide assistance and support while emphasizing the following points.

(1) Japan will provide support for poverty alleviation, social development, $ ^{*29} $ and the countering of desertification.

(2) Japan will provide support for human resources development and capacity building in policy formulation and implementation.

(3) Japan will provide support for the development of the private-sector, industry, and agriculture for the achievement of economic self-reliance in Africa (e.g. transfer of the results and experiences of Asian development to Africa through South-South cooperation, basic infrastructure development for improved productivity in agriculture and other industries, and intra-regional cooperation).

(4) Japan will provide support for democratization, conflict prevention and post-conflict reconstruction in order to provide the foundation for African stability.

(5) Japan will provide support for the reduction of debt burdens (taking into consideration the commitment of the debtor country toward structural reform when making decisions on assistance).

### 6. Latin America and the Caribbean

Since the beginning of the 1990s, Latin American countries have achieved significant progress as emerging market economies through the process of democratization and economic reform. Food- and energy-resource rich countries can look forward to the further development of countries in this region in the 21st century as strategic suppliers of food and energy resources.

The large number of Japanese migrants and their descendants have played an important role in promoting development in Latin America. In view of the fact that these migrants traditionally have acted as bridges between Japan and Latin America, it is important for Japan to support their efforts.

In view of the development of Pan-Pacific cooperation in recent years, the provision of assistance to the Pacific Basin region is growing in importance. Furthermore, due attention should be paid to the fact that effective support for promoting regional integration is needed in the Southern Cone common market (MERCOSUR), as well as in the Caribbean and Central American countries.

It must be borne in mind that economic development and democratization can be seriously hampered where basic social and economic infrastructures remain underdeveloped and extremes of wealth and poverty persist.

The Central American countries that sustained heavy hurricane damage during 1998 require support for the urgent task of restoration and reconstruction.

In light of the above, Japan will provide assistance and support while emphasizing the following points.

(1) Japan will provide active support for democratization and economic reform.

(2) Japan will provide support for environmental conservation to protect the natural environment and to cope with the increased environmental burden resulting from economic growth.