US$30 Billion Promised
The United Arab Emirates (UAE), which pledged US$30 billion in investment in Korea during a bilateral summit in January, has set out to make that investment in Korea. It is reviewing investment opportunities worth US$2 billion in Korea, focusing on priority investment cooperation areas such as energy, information and communication technology (ICT), and K-culture.
According to the Korean Ministry of Strategy and Finance (MSF), a delegation from Abu Dhabi, comprising those from major sovereign wealth funds and companies such as Mubadala, a sovereign wealth fund of Abu Dhabi, and the Abu Dhabi Investment Authority (ADIA), made the joint announcement during a two-day visit to Korea on May 15-16.
During the visit, the delegation met with Korean Deputy Prime Minister and Minister of Strategy and Finance Choo Kyung-ho, held bilateral meetings with the Ministry of Trade, Industry and Energy and the Korea Development Bank to discuss ways to advance investment, and interacted directly with a number of Korean companies and financial institutions.
The visit signaled the implementation of the UAE’s US$30 billion investment in Korea announced earlier. President Yoon and UAE President and Abu Dhabi Ruler Sheikh Mohammed bin Zayed Al Nahyan agreed to strengthen bilateral economic cooperation at a summit in January.
The UAE has placed a top priority in investment in energy, ICT, agricultural technology, biotechnology, aerospace, and K-culture.
“The joint announcement confirms that UAE sovereign wealth funds and companies are reviewing potential investment opportunities worth US$2 billion in Korea about four months since attracting US$30 billion in strategic investments during President Yoon’s state visit to the UAE in January,” said a Korean government official. “This large-scale investment in Korea is expected to help Korean companies, including promising Korean startups, grow to the next level.”
Meanwhile, bilateral non-oil trade between the two countries reached around US$5.3 billion last year, up 14 percent year on year. The UAE’s exports to South Korea also climbed by more than 17 percent to US$781 million last year.