Korea, Republic of

The Republic of Korea (Korea) is an important knowledge and development partner that works with ADB to support the growing demand for large-scale development projects, particularly for renewable energy, energy efficiency, water supply and sanitation, waste treatment, sustainable transportation, information and communication technology, and climate change.

At a Glance

Cumulative Project-Specific Cofinancing

$1.9 billion

  

Cumulative Trust Funds Contribution

$157.2 million

  

2020 Project-Specific Cofinancing

  • $1.8 million

2020 Trust Funds Contribution

  • $23.4 million

Korea channels its work in international cooperation and development assistance through several offices. Collaboration between ADB and Korea is maintained with the Ministry of Economy and Finance and the Export-Import Bank of Korea, also known as Korea Eximbank or KEXIM. Korea provides the official development assistance loan program that promotes economic cooperation between Korea and developing countries through the Economic Development Cooperation Fund administered by KEXIM. The Korea International Cooperation Agency under the Ministry of Foreign Affairs is responsible for grant aid and technical cooperation for developing countries. Other ministries and agencies involved in the cooperation with ADB include the Ministry of Agriculture, Food and Rural Affairs, the Korea Meteorological Administration, the Korea Energy Agency, and the Public Procurement Service.

Korea has had a standing Memorandum of Understanding (MOU) with ADB since 2008 to enhance collaboration in sovereign cofinancing. The latest MOU commits to providing $650 million of concessional loans for cofinancing from 2018 to 2021. KEXIM also has a standing MOU with ADB since 2005 for improving cofinancing infrastructure development in ADB member countries. ADB and KEXIM had signed four supplemental MOUs, the latest signed in 2017 and expired in 2020. ADB and KEXIM entered a new MOU on cooperation arrangements for cofinancing in June 2020 to further strengthen their cooperation.

In 2006, the Republic of Korea e-Asia and Knowledge Partnership Fund was established to contribute to poverty reduction in Asia and the Pacific by improving access to information and communication technology and facilitating knowledge sharing and partnerships. By the end of 2020, total contributions by the Government of the Republic of Korea had reached $122.2 million, of which $78.2 million for 148 projects had been committed.

As of December 2020, ADB’s Trade Finance Program (TFP) has supported 2,812 Korean export and import transactions (through Korean and non-Korean banks) to developing Asia valued at over $2.8 billion. Exports and imports were to 13 countries, but mostly to Bangladesh, Uzbekistan, and Viet Nam. Isolating TFP’s work with Korean banks, the TFP works with four banks domiciled in Korea and has provided guarantees supporting $253.3 million in trade in over 799 transactions as of December 2020. The TFP has mobilized $187.9 million in cofinancing with banks operating in Korea. This cofinancing helps leverage ADB resources and brings more support for developing members.

Active Trust Funds

1 January 2014–31 December 2020 Cofinanced Projects
Country Project Cofinancing Amount ($ million) Type of Cofinancinga
Azerbaijan Fostering Development of Local Tech Startups 0.5 TA
Bangladesh Enabling Poor Women's Benefits from Enhanced Access to Energy in Hatiya Island 0.5 TA
Enhancing the Institutional Capacity of the Anti-Corruption Commission (Supplementary) 0.3 TA
Information Technology Parks for Employment and Innovation (Supplementary) 0.5 TA
Knowledge Solutions for Inclusive and Sustainable Development 0.5 TA
Railway Sector Investment Program – Tranche 4 22 L
Secondary Education Sector Investment Program – Tranche 1 39 L
Secondary Education Sector Investment Program – Tranche 2 76 L
Skills for Employment Investment Program – Tranche 2 8.5 G
South Asia Subregional Economic Cooperation Chittagong-Cox’s Bazar Railway Project, Phase 1 – Tranche 1 99 L
South Asia Subregional Economic Cooperation Railway Connectivity: Akhaura-Laksam Double Track 192 L
Southwest Transmission Grid Expansion 0.5 G
Supporting Third Capital Market Development 0.3 TA
Bhutan Developing a Revenue Administration Management Information System 0.2 TA
Cambodia Fourth Greater Mekong Subregion Corridor Towns Development 0.5 G
Rural Roads Improvement II 41 L
Rural Roads Improvement III 60 L
People’s Republic of China Jiaozuo National Pilot Project for the Standardization of Public Employment Services (Supplementary) 0.2 TA
Policy and Capacity Building for Elderly Care 0.4 TA
India Supporting Logistics Sector Development 1 TA
Supporting the Preparation of a Comprehensive Master Plan for the Chennai-Kanyakumari Industrial Corridor 1.6 TA
Strengthening Universal Health Coverage in India: Supporting the Implementation of Pradhan Mantri Jan Arogya Yojana 0.5 TA
Indonesia Electric Transportation and Charging Infrastructure 0.2 TA
Kazakhstan Promoting Digital Technologies for Sustainable Development 0.5 TA
Supporting Renewable Technology-Inclusive Heat Supply Legislation 0.5 TA
Lao People’s Democratic Republic Pakse Urban Environmental Improvement 53.1 L
Mongolia Energy Storage Option for Accelerating Renewable Energy Penetration 0.5 TA
Intelligent Transport Systems Development for Mongolia 0.5 TA
Strategy for Northeast Asia Power System Interconnection 0.5 TA
Supporting Financial Sector Development and Stability 0.3 TA
Ulaanbaatar Pro-Poor Urban Redevelopment Support System for Ger Areas 0.5 TA
Ulaanbaatar Air Quality Improvement Program 60 L
Improving Transport Services in Ger Areas 0.5 TA
Methane Gas Supply Chain Development Master Plan 0.5 TA
Myanmar Power Transmission Improvement 100 L
Pakistan Energy Sector Reforms and Financial Sustainability Program—Subprogram 1 80 L
Philippines Teach for the Philippines 0.5 TA
Solomon Islands Information and Communication Technology for Better Education Services 0.5 TA
Sri Lanka Skills Sector Enhancement Program 26 L
Uzbekistan E-Government for Effective Public Management (Supplementary) 0.4 TA
Road Subsector Development Strategy and Action Plan 0.5 TA
Viet Nam Support to Strengthening Local Health Care Program (Supplementary) 0.5 TA
Regional Agricultural Value Chain Development in Selected Asian Countries 1.2 TA
Asia Energy Efficiency Accelerator (Supplementary) 0.2 TA
Building Capacity for Enhanced Connectivity in Southeast Asia 0.5 TA
Creating a Regional Settlement Intermediary in ASEAN+3: Cross-Border Settlement Infrastructure Forum 0.5 TA
Demonstrating Innovative Employment Solutions through Regional Knowledge-Sharing Partnerships with Youth Organizations (Supplementary) 0.5 TA
Economic Analysis for Gender and Development 0.5 TA
Energy System Analysis, Technology Road Maps and Feasibility Studies for Pilot Testing 0.9 TA
Enhancing Capacity to Mobilize Private Grant Cofinancing 0.2 TA
Enhancing Economic Analysis and South-South Learning 0.5 TA
Implementation of Sustainable Transport for All (Supplementary) 0.5 TA
Information and Communication Technologies for Social Protection in the Asia and Pacific Region 0.5 TA
Information and Communication Technology for Development Initiative Facility in Asia and the Pacific 1.5 TA
Innovation in Education Sector Development in Asia and the Pacific (Supplementary) 0.5 TA
Malaria and Dengue Risk Mapping and Response Planning in the Greater Mekong Subregion 0.4 TA
Northeast Asia Regional Development Studies 1 TA
Promoting Low-Carbon Development in Central Asia Regional Economic Cooperation Program Cities 0.5 TA
Promoting Smart Drinking Water Management in South Asian Cities 1 TA
Promoting Sustainable Energy for All in Asia and the Pacific - Sustainable Energy for All Regional Hub for Asia and the Pacific (Subproject C) (Supplementary) 0.2 TA
Sharing Development Knowledge Solutions in Asia and the Pacific 0.8 TA
Strengthening Asia's Financial Safety Nets and Resolution Mechanisms 0.1 TA
Strengthening Developing Member Countries' Capacity in Elderly Care 0.5 TA
Supporting Knowledge Solutions for New Development Strategies in South Asia 0.5 TA
Supporting the Use of Carbon Financing to Promote Green Growth in Asia and the Pacific (Supplementary) 0.4 TA
Demonstrating Future Thinking and Foresight in Developing Member Countries (Supplementary) 0.4 TA
Strengthening the Asia Pacific Public Electronic Procurement Network (Supplementary) 0.5 TA
Building Financial Resilience and Stability to Reinvigorate Growth 0.2 TA
Demonstrating Future Thinking and Foresight in Developing Member Countries (Supplementary) 1.8 TA
Empowering Developing Member Countries to Use Multispectral Satellite Images and Artificial Intelligence for Land Use and Coastal Planning 0.5 TA
Enhancing Effectiveness of Subregional Programs to Advance Regional Cooperation and Integration in Southeast Asia (Supplementary) 0.5 TA
Facilitating Knowledge for Innovation and Technology Cooperation to Accelerate Development 0.8 TA
Green and Innovative Finance Initiative for Scaling Up Southeast Asian Infrastructure (Supplementary) 1.5 TA
Integrated High Impact Innovation in Sustainable Energy Technology: Pilot Testing of Innovative Energy Technologies and Business Models (Subproject 3) 0.2 TA
Planning for Economic Recovery of South Asia from COVID-19 0.5 TA
Preparing Projects to Enhance Transport Connectivity and Resilience in the Pacific (Supplementary) 0.5 TA
Promoting Action on Plastic Pollution from Source to Sea in Asia and the Pacific - Prioritizing and Implementing Actions to Reduce Marine Plastic Pollution (Subproject 2) 0.5 TA
Promoting Cross-Border Financial Transactions in the ASEAN+3 Region: Support to the Cross-Border Settlement Infrastructure Forum under the Asian Bond Markets Initiative Medium-Term Road Map, 2019-2022 0.5 TA
Protecting and Investing in Natural Capital in Asia and the Pacific (Supplementary) 0.5 TA
REG: Impact Evaluation of Financial Technology Innovations in Selected Developing Member Countries 0.5 TA
Regional Support to Address the Outbreak of Coronavirus Disease 2019 and Potential Outbreaks of Other Communicable Diseases (Supplementary) 2 TA
Strengthening Resilience and Stability of Banking and Nonbank Financial Systems in Asia 0.8 TA
Strengthening Social Protection in the Pacific 0.5 TA
Supporting Startup Ecosystem in the Central Asia Regional Economic Cooperation Region to Mitigate Impact of COVID-19 and Support Economic Revival 0.5 TA
Using Digital Technology to Improve National Health Insurance in Asia and the Pacific 1 TA

a G = official grant cofinancing, L = official loan cofinancing, TA = technical assistance cofinancing

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