Providing EDCFs
The Export-Import Bank of Korea (Korea Eximbank) will support US$81 million (90.72 billion won) worth of Economic Development Cooperation Fund (EDCF) loans to Vietnam and Myanmar.
Korea Eximbank (President Lee Duk-hoon) announced that it would provide a US$25 million (28 billion won) EDCF loan for the Thien Tan water plant project and the climate change response project, which were pushed by the Vietnamese government, after it granted Myanmar a loan of US$56 million (62.72 billion won).
The Expansion of Thien Tan Water Plant Project (II), for which the bank will provide US$15 million (16.8 billion won) worth of EDCF, will contribute to drastic improvements in the regional economy and public health and sanitation. It will expand the water supply for the industry and residence to an industrial complex and residents, respectively, in Dong Nai Province in Vietnam.
The bank provided the first EDCF worth US$26 million (29.12 billion won) in 2007. However, it is providing an additional US$15 million (16.8 billion won) loan this time, due to the financial aggravation from the 2008 financial crisis.
Also, the climate change response project, which will be provided US$10 million (11.2 billion won), is an international community green program, based on the National Target Program to Respond to Climate Change (NTP-RCC) in Vietnam.
Not only Korea, but also the global major aid organizations, including the World Bank, AFD of France, JICA of Japan, and DAFT of Australia, are currently co-financing the EDCF.
Previously, Korea Eximbank signed an agreement on March 17 (local time) to assist Myanmar's IT infrastructure network expansion project by providing a loan of US$56 million (62.72 billion won) to the project.
Since the project is to establish a network based on optical communications in 37 cities in Myanmar, it will contribute greatly to ICT development and the improvement of industrial competitiveness in Myanmar.