On September 30, utilizing the “Asia Infrastructure Partnership Trust Fund 2 (‘Leading Asia’s Private Infrastructure Fund 2’: LEAP 2),” in which JICA is an investor, the Asian Development Bank (ADB) signed a loan agreement totaling 15 million U.S. dollars with Nauru Airlines Corporation (Naoero Airlines Corporation; hereinafter “NAC”). Of this amount, US$5 million will be provided through LEAP 2.
LEAP2 is a trust fund of up to 1.5 billion U.S. dollars that JICA contributes to the ADB for the purpose of providing loans and grants to high-quality infrastructure projects implemented by the private sector in ADB borrowing and lending member countries in Asia and the Pacific. Projects funded by LEAP2 include initiatives to reduce carbon dioxide emissions, improve energy efficiency, and provide affordable and accessible healthcare, education, and telecommunications services.
This loan will be used to fund the replacement of NAC’s aging fleet. As the sole airline of the Republic of Nauru (hereinafter “Nauru”), NAC operates routes to Australia, Fiji, Micronesia, and other destinations, and in addition to passenger transport, it handles the transport of food and medical supplies as well as medical evacuations. Nauru, a small island nation with a population of approximately 13,000, is highly dependent on imports, and air transport serves as a vital infrastructure supporting the lives of its citizens and economic activities. Furthermore, the Pacific Island region, including Nauru, is an important partner with which Japan has long engaged in development cooperation, and promoting the region’s sustainable development and strengthening regional connectivity are key pillars of Japan’s cooperation with the Pacific Island nations. This project contributes to strengthening regional economic and social resilience and realizing a free and open Indo-Pacific by maintaining and strengthening the aviation network that supports the movement of people and goods in Nauru and neighboring island nations.
Through this project, it is expected that replacing aging aircraft will improve fuel efficiency, reduce maintenance costs, and enhance operational reliability. In addition, by ensuring the stable transport of food, medicines, and other essential supplies, as well as maintaining and strengthening the medical transport system, the project will contribute to building a more resilient foundation for the livelihoods of the people of Nauru. Consequently, by strengthening NAC’s sustainable operational framework and stabilizing its air services, this project is expected to contribute to improved connectivity between Nauru and surrounding regions, as well as to enhanced economic and social resilience.
・Contributing to the SDGs
Goal 9 (Build the Foundations for Industry and Innovation)
Goal 11 (Sustainable Cities and Communities)
© Source JICA