South Korea has taken the first step toward injecting US$2.3 billion into Ukraine’s reconstruction.
The Ministry of Land, Infrastructure and Transport (MOLIT) of South Korea organized the first public-private Ukraine Reconstruction Cooperation Delegation and sent the delegation to Ukraine’s capital city of Kyiv for two days from Sept. 13 to 14.
The delegation was led by MOLIT Minister Won Hee-ryong and consisted of 18 organizations, including public agencies such as MOLIT, the Ministry of Oceans and Fisheries (MOF), the Korea Land and Housing Corporation (LH), the Korea Water Resources Corporation, Korail, the Korea Airports Corporation, and Korea Overseas Infrastructure and Urban Development (KIND); and also private companies such as Samsung C&T, Hyundai E&C, HD Hyundai Construction Equipment, KT, POSCO International, and the International Contractors Association of Korea (ICAK).
After meeting with the President, Prime Minister, and Minister of Reconstruction of Ukraine, the delegation held the Korea-Ukraine Reconstruction Cooperation Forum jointly with the Ukrainian government to discuss cooperation projects and actively promote network building for Korean companies to participate in reconstruction projects in the war-stricken country.
First, the delegation paid a courtesy call on President Zelensky of Ukraine. President Zelensky expressed his gratitude for the US$2.3 billion in aid to Ukraine announced by South Korean President Yoon Suk-yeol at the G20 Summit on Sept. 10, and proposed cooperation and participation of Korean companies in various fields such as high-speed railways, water resources, energy and resources, defense, and manufacturing.
Noting that the South Korean government and businesses had traveled together in a delegation to expedite reconstruction support under the Peace and Solidarity Initiative jointly announced by the two leaders in July, Won expressed his willingness to actively contribute to Ukraine’s reconstruction by utilizing the experience of the South Korean government and businesses in overcoming war and achieving economic growth.
During this meeting, a donor agreement was formally signed, which is the first step to support Ukraine with South Korea’s External Economic Cooperation Fund (EDCF). The EDCF is the South Korean government’s long-term and low-interest loan program for the governments of developing countries to support their economic and industrial development.
Meanwhile, the South Korean delegation and the Ukrainian government jointly held the Korea-Ukraine Reconstruction Cooperation Forum and announced six major projects that the two governments will cooperate on. KIND plans to establish a smart transportation master plan for the Kyiv region, which is similar to the Seoul metropolitan area of South Korea. KIND and Korea Water Resources Corporation will map out a smart city master plan. Korea Airports Corporation will support the modernization of Boryspil International Airport, the largest international airport in Ukraine. KIND will support the reconstruction of sewage treatment facilities in the city of Bucha, near Kyiv. Korea Water Resources Corporation will support the repair of the Kakhovka Dam in Kherson Oblast, which was destroyed in June. Korail plan to support high-speed systems for major railways in Ukraine.
South Korean companies also presented their areas of interest for cooperation, including smart cities and digital twins, dams and plants, modular housing, and construction machinery, and established a one-on-one network with Ukraine’s government officials and major companies.