ANNOUNCEMENT 27 Aug 2019
August 27th, 2019 - The Eximbank of Korea signed a loan agreement with the government of Ethiopia to finance trade.
NUMBER OF INTERVENTIONS
The Export-Import Bank of Korea, August 27th, 2019. (EDCF로 에티오피아 과학기술 꽃피운다)
On August 27th, 2019, The Export-Import Bank of Korea announced that it had agreed a loan agreement worth USD 86m with the government of Ethiopia to support the Adama Science and Technology University Research Center Project, as part of the Economic Development Cooperation Fund (EDCF; see below for information).
The project aims to boost the standard of scientific R&D in Ethiopia through the provision of high-tech equipment to it and five other research centres.
The announcement stated that Korean firms will participate in the project in order to emulate the economic trajectory seen in Korea, from a manufacturing-led economy to one driven by value-added high-tech R&D activities. It was stated that the scheme would help to promote the proliferation of Korea's advanced scientific technology to Ethiopia and other African nations.
The president of the Korean Eximbank, Eun Sung-soo, stated at the signing that the agreement would, 'serve as a bridgehead for our companies to enter the African market'.
The Economic Development Cooperation Fund
The EDCF provides low-interest and long-term credit to developing countries for projects seeking to promote industrialisation and economic stability. In some cases, Korean companies are involved in such projects directly or through exports. More information on the Fund can be found on the official website or the "Guide to the Import-Export Bank of Korea" publication.
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.