⑤wakabayashi_bop adb-idb seminar　28022013final

7/29/2019 Wakabayashi_BOP ADB-IDB Seminar 28022013Final

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JICAs Support Program toBoP/Inclusive Business

Office for Private Sector Partnership


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JICAs Role in Private Sector PartnershipActivities

Project Development- Assistance in Policy Making- Feasibility Study for private-led projects

(PPP, BOP and SME)

Enabling Environment

- T/A for Strengthening PPP Legal/Regulatory Framework- Assistance to Related Infrastructure Development- Connecting private entities with Governments, NGO andother important development partners- Helps increase reliability and credibility to privateentitys activities

Financing- Equity/Debt Finance for Private Projects- Related advisory services for both private & publicsectors


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GrowthProjectImplementation

Business

Plan

Development of

Business Model

Research &

Development

JICAs Support to BOP/Inclusive BusinessJICAs support program started in 2010.

JICAs support program forPreparatory Survey (F/S)

Study Cost : Max JPY 50mil (USD 0.6 mil.) Study Duration : Max 3 years

Call for Proposals : Biannual

Open to only Japanese Companies, butpromoting partnership with local entities

Has held 4 calls for proposals. Collected340 proposals and supporting 65projects in mostly Asia and Africa

JICAs financingscheme

(Private Sector InvestmentFinance)

Can either provide debt or equityfinance to the business

JICAs TA programTo build up environment tofacilitate and accelerateinclusive businessE.g. Education to the BoP,regulatory reform, etc.


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Examples of businesses in alliance withJICA

Yukiguni Maitake, Co. Ltd~Production of mung beans with BoP Need for alternative resource for mung bean for their

beansprout production In alliance with Grameen, the company employed over

8,000 BoPs in the value chain While bigger beans are exported to Japan, smaller pieces

will be sold at low prices to BoP The business doubled income of BoP and empowered

women through their employment

First batch of mung bean produced was exported to Japan inDecember 2012

Organic Solutions Japan~Microbial products for toilet andfertilization Developed microbial products as toilet sanitizer and

fertilizer, with local ingredients such as rice and maize Expected to improve hygiene in elementary school,

hospital, health school and in slums Holds hygiene promotion with the relevant ministry in

Rwanda Tied up with community health workers and promoted

hygiene education with their products Provide technical assistance for farmers Has already opened a local entity, and looking to scale

up the business


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Critical factors

for success

LocalPartners

AccesstoFinance Effectivebusinesscreation

Educationof BoPsptimumPricingandTargetSelection

RegulatoryClearance

Critical factors for success ~ Lessons so far


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Future Direction of JICAs Support inBOP/Inclusive Business

Continuous supportthrough F/S Program Continue support for

preparation of F/S to helprealize successful businesses

Impact Assessment

Impact assessment of IB is amust when looking foralternative financingresources (impact funding)

JICA needs to ensure eachbusiness which JICA supportshas relevance with

developmental impact

Strengthening of IBecosystem JICAs strength lies in the

network with governments indeveloping countries

To create an investor friendlyenvironment through JICAs

technical assistance

Financing The scale of business is

sometimes too small for DFIsto finance (= Missing Middle)

Introduction of innovativefinancing mechanisms (fund,etc.) to facilitate quicker andeasier funding to smallerbusiness


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Preparatory Survey (BOP Business)List of Selected Projects (1)

Country Project Name Project Outline

1 IndonesiaUtilization of slag for fertilizer inpeat swamp area to improveagricultural productivity

The business intends to prevail fertilizer using slag in peat bog areas in Sumatra andKalimantan.

2 IndonesiaHybrid type education business inIndonesia

This business intends to develop a hybrid education system utilizing mobile handsetsand ordinary face-to-face classes.

3 Cambodia

Social investment for thedevelopment of BOP business

The proponent manages social investment fund raised by Japanese companies andindividuals. One of the fund's investee projects is wild honey business. The projectintends to introduce apiculture to maintain the sustainability of wild honey businessand improve the added value.

4 VietnamProduction of bio ethanol The project intends to develop a business model that includes the production of sweet

sorghum and bio ethanol and its sales.

5 BangladeshRainwater tank with microcreditsystem

The project intends to install rainwater tanks in rural Bangladesh to help overcome theproblem of arsenic contamination. It will promote the introduction by usingmicrofinance as a means of financial support to BOP.

6 Bangladesh

Collaboration with GrameenShakti on CDM by introduction ofmicro energy utility system in ruralareas in Bangladesh

The objectives of the business are to introduce micro utility system comprised of solarpower generation system, improved furnace and biogas collection system. The carbongas saved by the introduction of the system will be reclaimed to obtain CDM credit,which will be utilized to subsidize the purchase of the system.

7 IndiaPoverty reduction business for safewater supply and establishment of

its supply chain

The objectives of the business are to introduce water purification tablet in the projectarea by establishing its own supply chain.

8 India

Project for water purification forpoverty reduction in India

The objectives of the business are to sell water purification chemicals and install waterpurifier in rural areas of Madhya Pradesh, India. At the same time, the business willincorporate rural women as vendors and aims to create job and improve their socialeconomic status.

9 IndiaCommercialization of stationeriesfor the profit generation of BOP

The objectives of the business are to introduce stationary for self-employed women,such as sales note or accounting books to improve their marketing skills and increasetheir income.

10 Sri Lanka

Water supply project The objectives of the business are to introduce community-level water supply system

in non-supply areas in Sri Lanka and ensure the safe water supply. The business willestablish the small-scale supply system at the level of communities.


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11 KenyaSolar Lantern Business The objectives of the business are to prevail solar lantern in non-electrified

areas in Kenya as a substitute of traditional kerosene lantern, and aim todecrease the health damage by the fume of kerosene.

12 Kenya

Long-lasting Insecticidal

Net For The Poor

The objectives of the business is to commercialize the supply of long-lasting

insecticidal net, which are currently distributed for free by the public sectorand various donors. The project includes the development of supply chainand financing schemes.

13 TanzaniaJatropha Production This business mode; intends to produce Jatropha through contract farming.

in collaboration with farmers cooperatives.

14 TanzaniaProduction of Solid FuelFor Households and SMEs

This business model intends to produce solid fuels made of crop residue,and develop a new distributing system. The impact caused by establishmentof production plants should be examined throughout the survey.

15 Rwanda

Project for development ofMicrobial Material forAgriculture and PublicHealth

This business model intends to modify existing microbial material, anddevelop a new business model of organic fertilizer and deodorant targetingBOP market.

16 MozambiqueEnergy Conversion Project This project intends to develop three different energy business models; such

as jatropha oil, residual fuel and liquefied petroleum gas (LPG).

17 GhanaOff-grid Energy SolutionsIn Unelectrified Area

This business model intends to provide rural communities with an off gridenergy supply system consisting of an energy server, solar panel and small

energy supply unit.

18 GhanaNutrient Enriched FoodBusiness

This business model intends to develop and establish a local distributionnetwork of nutrient enriched food during weaning period in collaborationwith various social sectors such as NGOs, donors, universities.

19 GhanaRoad Maintenance Businessin Rural Villages By UsingDONOU(sandbag)

This business model intends to provide road maintenance service with usingeconomical DONOU (sandbag).

20 Senegal

Village Water Supply With

Clean Water System inWest Africa

This business model intends to provide clean drinking water to rural areas

by establishing dispersed clean water systems developed by the proposedcompany.

Preparatory Survey (BOP Business) List ofSelected Projects (2)


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Country Project title1 Indonesia Portable water supply with solar power system and small water desalination

units.2 Vietnam Development of Marine fishery resources and electrification of remote islands

designated as a world natural heritage site using renewable energy system3 India Development of leaders in rural area with remote e-education systems4 India Development of nutritional supplementary foods5 Bangladesh Development of production systems for green mungbean6 Bangladesh Water supply project with a water purification system loaded on a bicycle7 Bangladesh Safe water supply in Bangladesh with UV sanitizer8 Bangladesh Promotion of light weight and flexible solar panels for auto rickshaw9 Brazil Forest Conservation through Agroforestry Promotion

10 Nigeria Automobile recycling through empowerment of BOP11 Ghana Canned fish by local production for local consumption12 Uganda Infection control with new alcohol sanitizer13 Tanzania Promotion of cultivators for small rice farmers through mutual microfinance



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Country Project title

1 Indonesia Sanitation products by using microbicide gel to reduce oral infections

2 Indonesia Strengthening of children's mathematical ability through after-school tutoring

3 Vietnam Water supply with "POU" water purification system

4 Vietnam Pedaled wheelchair for rehabilitation and social inclusion of people with disability

5 Cambodia Cotton farming in land mine contaminated areas in Cambodia

6 Cambodia Water supply system for daily life in rural area

7 Laos Bio-coke production

8 Palau, Micronesia,MarshallIslands,Papua New Guinea, etc

Construction of venous physical distribution system by the transport ofrecyclable resources

9 India Low-priced and packaged housings in India

10 India "Smart Village" in India

11 India Promotion of sanitary products for women in rural area

12 India Drinking water supply with flocculant

13 Sri LankaCastor farming for formation of subsistence community in the Northern and theEastern Regions in Sri Lanka

14 Bangladesh Improvement of maternal and child nutrition through locally-developed foods

15 Bangladesh Mini desalination system operated by wind power generator and solar panel

16 Nepal Insulating firebrick cook stove with carbon funding

17 Colombia Sustainable utilization system of oil palm biomass

18 Bolivia Re-circulating aquaculture system for a sustainable water supply in rural areas

19 Zambia Sustainable paper pulp production


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Country Project title

1 Indonesia Egg farming and sales marketing

2 Cambodia Liquid disinfectant soaps for hygiene and health improvement

3 CambodiaExpansion in crop yields and empowerment offarmers driven by agricultural mechanization with used farm equipment

4 Vietnam Science experiment classes for elementary schools

5 Vietnam Special artificial limps and orthosis

6 Myanmer Development of food supply chains in Myanmar

7 Tajikistan Licorice cultivation

8 India Nutritional supplement (Vitamin A) products

9 IndiaEducation system for bringing out behavioral changes and enhancing a knowledge ofhealthcare

10 Bangladesh Skin-care products for women in rural areas

11 Bangladesh Non-firing Solidified Brick Technology

12 Kenya Integrated Electrification through Restoration Technology of Used Batteries

13 South AfricaIncubation program for emerging small-scale vegetable farmers through production andbusiness training



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Thank you!

For inquiries, please contact

Jin WAKABAYASHI

Director, Private Partnership DivisionOffice for Private Sector Partnership

[email protected]://www.jica.go.jp/activities/schemes/priv_partner/index.html

Ph: +81-3-5226-6960
mailto:[email protected]://www.jica.go.jp/activities/schemes/priv_partner/index.htmlhttp://www.jica.go.jp/activities/schemes/priv_partner/index.htmlhttp://www.jica.go.jp/activities/schemes/priv_partner/index.htmlmailto:[email protected]

⑤wakabayashi_bop adb-idb seminar 28022013final

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⑤wakabayashi_bop adb-idb seminar　28022013final