ANNOUNCEMENT 14 Nov 2013

In November 2013, the governments of the Republic of Korea and Russian Federation announced a change in private-sector financial support.

NUMBER OF INTERVENTIONS

1

  • 0 harmful
  • 1 neutral
  • 0 liberalising

SOURCE



The Export-Import Bank of Korea press release: USD 2.5 Billion Korean-Russian Financial Cooperation Agreed to Develop Far East (1/2)

Available at: https://www.koreaexim.go.kr/site/program/board/basicboard/view?currentpage=9&menuid=002001007&pagesize=10&boardtypeid=284&boardid=16934


Inception date: No inception date

Trade finance

On 14 November 2013 the Export-Import Bank (Eximbank) of Korea announced signing a Memorandum of Understanding (MoU) with Russian state-owned Bank for Development and Foreign Economic Affairs (Vnesheconombank). Both institutions will, through this MoU framework, invest and finance specific sector projects involving Russian or Korean companies with combined resources of USD 1 billion. These sectors include energy, petrochemical plants, natural resources, transportation, shipbuilding, environment, and alternative energy in Russia.
 
In this context the Eximbank of Korea stated: 'By establishing a substantive framework of cooperation between the two principal financial policy arms of the Korean and Russian governments, the MOU is expected to boost opportunities for Korean companies to participate in Russia's USD 359 billion long-term plan to develop the Far East.'
 
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries.

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AFFECTED PRODUCTS

 
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