ABSTRACT

THE JANUARY 1989 announcement that Japan's ODA (Official Development Assistance) disbursements would probably supersede U.S. foreign aid totals had been expected for at least two years. Ever since 1985, when Japan's aid doubling plans (begun in 1977) were boosted by the dramatic appreciation of the yen it was inevitable that the day would come when Japanese foreign aid superseded that of U.S. foreign aid, especially as the U.S. aid program was facing severe budget limitations.