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The Japan International Cooperation Agency (JICA) has signed a memorandum of cooperation (MOC) with the Overseas Private Investment Corporation (OPIC) for promoting mutual co-financing to the private sector in developing countries.

The MOC was signed by OPIC executive vice president, David Bohigian, and JICA chief economist and chief representative of the JICA US office, Ryosuke Nakata.

In a company statement, the Japanese firm noted that it signed the MOC in order to deepen its cooperation and partnership with OPIC, which has an extensive and long-term track record of private sector financing in developing countries. Read more: Rwanda obtains grant to expand power distribution facilities

Additionally, the agreement will help to appropriately meet the financing needs of developing countries through cooperation between Japan-US bilateral DFIs.

Through the sharing of best practices for co-financing projects, discussions and other measures, the MOC aims to expand support for effective work by the private sector in project formation and the due diligence process in developing countries with a stronger partnership with OPIC.

JICA will continue to proactively solve development challenges by meeting the demand for private sector finance in developing countries.