Japan is a part of all our lives. Its economic strength, the global reach of its products and investments, the admiration for its success tinged with apprehension of its motives and objectives; these are all commonplace in industrial societies, and many developing countries, today. The obsession of the media with Japan does not abate. The fiftieth anniversary of the opening of the Pacific War has just passed, and questions continue to be asked about Japan’s international behaviour and its contribution to global affairs. These questions are as much a topic of debate in the corridors of Washington as they are in Tokyo, and government officials around the world, especially around the Pacific Basin, anxiously await some positive sign that Japan now knows what its objectives are. The challenge of Japanese foreign aid is a central element in this drama.