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Japan’s plan to cut back on official development assistance will worsen the nation’s economic prospects by shrinking the volume of trade it enjoys with the rest of the world, a high-ranking official of the United Nations Development Program said.

Hafiz Pasha, U.N. assistant secretary general and assistant administrator of the UNDP, said that a planned 10 percent reduction in ODA funding for fiscal 2002, part of budget outlines announced in early August, is not the answer to Japan’s economic woes.

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