South Korea to provide US$1 billion to Latin America for development

Seoul.– The South Korean government will provide policy financing worth US$1 billion to Latin America and create a joint financing of US$100 million, as a measure for the Asian country to take a bigger part in development projects in Latin America.

As reported in www.businesskorea.co.kr, the South Korean government is planning to inject policy financing worth US$1 billion into the Latin American region, including an Economic Development Cooperation Fund (EDCF) of US$500 million and export financing of US$500 million.

The South Korean government also agreed to raise US$100 million for joint financing with the IDB. The EDCF will provide loans to infrastructure development projects in Latin America with a limit of US$100 million by February 2017, along with the IDB, the news outlet reported.

Connecting Seoul’s prowess in information technology and manufacturing with Latin America’s abundant mineral and energy resources will benefit all sides, said South Korea’s finance minister Choi Kyung-hwan, who was tapped as the IDB rotating chairman for the next year.

South Korea has already provided policy advisories 130 times to 13 countries, including the Dominican Republic, Colombia, Peru and Brazil.