South Korean Prime Minister Han Duck-soo (R, back) and his Tanzanian counterpart, Kassim Majaliwa, attend a signing ceremony for the provision of credits from South Korea’s Economic Development Cooperation Fund (EDCF) to the African nation at the government complex in Seoul on Oct. 27, 2022. (Yonhap)
SEOUL, Jan. 26 (Korea Bizwire) — South Korea plans to set aside 11.7 trillion won (US$9.48 billion) in low-interest rate loans for developing countries by 2025 and seek a new partnership in war-torn Ukraine as well, the finance ministry said Thursday.
Under the Economic Development Cooperation Fund (EDCF), South Korea plans to approve 3.8 trillion won worth of new projects this year, followed by 3.9 trillion won and 4 trillion won in 2024 and 2025, respectively, according to the Ministry of Economy and Finance.
Asia will take up around 60 to 70 percent of the projects, with African nations taking up some 20 to 30 percent.
South Korea will especially focus on supporting the developing nations’ fight against climate change, the ministry added.
Seoul launched the EDCF program in 1987 to help other developing countries with their basic infrastructure.
The latest move comes in line with South Korea’s efforts to become one of the world’s top 10 contributors in the global development assistance projects.
The country was the 15th-largest contributor in 2021.
The finance ministry added South Korea will seek new partners for its EDCF projects as well, which can potentially include Ukraine.
The envisioned partnership will pave the way for South Korea’s participation in rebuilding Ukraine infrastructure, it added.
(Yonhap)
