The Korean government has agreed to provide US$85.5 million in loans to Senegal to help the African country build a cancer center.
The Export-Import Bank of Korea announced on May 24 that the state-run bank signed a loan grant contract with Senegal to follow up with the agreement.
Under the agreement, Korea will provide the fund in Economic Development and Cooperation Fund (EDCF) loans. The EDCF program provides long-term low-interest loans to developing countries. The African country will use the loans to build the Senegal National Cancer Center.
"The Senegal National Cancer Center is the first cancer-specializing hospital in Senegal with modern diagnostic and treatment equipment," said a representative of the Export-Import Bank. “The hospital will help Korean companies make a foray into the medical sector in Africa.”
The Export-Import Bank of Korea also signed a US$ 200 million sublease contract with the African Export-Import Bank (Afreximbank).
The sublease system provides necessary funds to local companies that trade with Korean-based corporations that import goods and services from Korea by setting a credit line with local banks.
Nigeria is the only African country that has a sublease contract with the Export and Import Bank of Korea. The bank expected Korean companies to become more active in Africa as the African Export–Import Bank has 49 member countries.