Prime Minister Han Duck-soo speaks during a meeting of the government committee on official development assistance at the government complex in Seoul on June 26, 2024. (Image courtesy of Yonhap)
SEOUL, Jun. 26 (Korea Bizwire) — The government on Wednesday set aside 6.8 trillion won (US$4.9 billion) for official development assistance (ODA) in 2025, an 8.5 percent increase from this year.
The decision was made during a meeting of the government committee on official development assistance presided over by Prime Minister Han Duck-soo. ODA is government aid specifically designed to help the economic growth of developing countries.
“The Yoon Suk Yeol government has continually expanded its ODA budget in order to realize its vision of a global pivotal state,” Han said during the meeting, noting this year’s peer review by the Development Assistance Committee of the Organization for Economic Cooperation and Development (OECD) highly assessed South Korea’s efforts to fulfill its responsibilities to the international community by increasing ODA.
“We are currently faced with the task of achieving qualitative growth in our ODA that matches its quantitative growth,” Han said. “Moreover, we must carry out a responsible role to solve global issues, such as climate change, natural disasters, the food crisis and supply chain uncertainties.”
Han said the government will focus on three main areas in executing ODA — pursuing mutually beneficial projects, attaining the international community’s sustainable development goals, and enhancing the quality of aid.
Under those principles, next year’s ODA budget was drawn up in a way that reduces the total number of projects from 1,976 to 1,936 and increases the average amount given as grants for bilateral ODA projects from 1.88 billion won to 2.23 billion won.
Of the total, 15.2 percent of the budget is earmarked for humanitarian aid, 10.8 percent for traffic-related assistance and another 10 percent for energy assistance.
By region, countries in Asia account for the largest share at 32.1 percent, followed by Africa at 15.8 percent, Central and South America at 8.5 percent, and the Middle East and the Commonwealth of Independent States at 6.9 percent.
The new budget is expected to be finalized following deliberations by the finance ministry and approval by the National Assembly.
(Yonhap)
