Ukraine, South Korea sign intergovernmental agreement on soft loans

Ukraine and South Korea have signed an agreement on the provision of concessional loans for the implementation of projects with the participation of Korean companies.

The document was signed at a meeting between Ukrainian President Volodymyr Zelensky and South Korean Minister of Land, Infrastructure and Transport Won Hee-ryong, who heads the Korean government and business delegation visiting Ukraine, according to the presidential press service.

"In the presence of the President of Ukraine and the Minister of Land, Infrastructure and Transport of the Republic of Korea, the Agreement between the Government of Ukraine and the Government of the Republic of Korea regarding loans from the Economic Development Cooperation Fund (EDCF) was signed. The agreement provides for the possibility of providing preferential loans for the implementation of projects in Ukraine with the participation of Korean companies. From the Ukrainian side, the document was signed by First Deputy Prime Minister, Minister of Economy Yulia Svyrydenko and from the Korean side by Ambassador of the Republic of Korea to Ukraine Kim Hyung Tae," the President's Office said.

The president thanked the Korean side for supporting the sovereignty and territorial integrity of Ukraine and the decisions made regarding the provision of significant practical assistance to the country.

"I am grateful for the decision made by the government of the Republic of Korea to provide Ukraine with $2.3 billion in financial support for reconstruction and rehabilitation. This will give a tangible boost to the development of Ukrainian infrastructure," Zelensky said.

The head of state called on Korean businesses to actively work on the Ukrainian market and participate in the implementation of projects in the fields of nuclear and renewable energy development, machine building, car industry, lithium mining, oil refining, green metallurgy, railway transport, water resources and local infrastructure.

"We have a significant interest in the implementation of projects in the field of energy generation, development and strengthening of transit capabilities, in particular rail transport, development of a high-speed railway network for connection with European countries," Zelensky said.

Won, in turn, said that South Korea would continue to support Ukraine in protecting its freedom and sovereignty and noted that his visit to Kyiv together with Korean business demonstrates this support. The minister said that bilateral cooperation could be expanded in various areas of mutual interest.

Ukrainian Prime Minister Denys Shmyhal wrote on Telegram that during the meeting he discussed a wide range of issues with Won and Korean business representatives, including ways to deepen cooperation between the two countries, specific areas and recovery projects in which the experience of Korean companies will come in handy.

Shmyhal outlined the priorities of reconstruction: energy, humanitarian demining, and housing restoration.

He thanked the government of the Republic of Korea for the prompt transfer of demining equipment. He also expressed gratitude to the country for its support for the Ukrainian Peace Formula and UN General Assembly resolutions.

Photo credit: Office of the President, Denys Shmyhal / Telegram