South Korea to Offer Ukraine Low-Interest Loans
South Korea and Ukraine have signed an agreement for low-interest loan programs, as reported by Yonhap news agency. The South Korean Ministry of Economy and Finance announced that Minister Choi Sang-mok, who was attending the G20 Finance Ministers and Central Bank Governors Meeting in the USA, signed the agreement with his Ukrainian counterpart Serhiy Marchenko in Washington.
The signed agreement is said to create a legal basis for credit support between the two countries, aiming to finance projects that will contribute to the reconstruction and development of Ukraine. This agreement opens the way for a $2.1 billion low-interest loan that South Korea had pledged to provide to Ukraine.
Back in September 2023, South Korea had pledged a total of $2.3 billion in aid to Ukraine, with $200 million allocated for immediate humanitarian assistance. The remaining $2.1 billion will be provided through low-interest and long-term loans under the Economic Development Cooperation Fund (EDCF) Project, starting from 2025.
This agreement marks a significant step in strengthening the economic cooperation between South Korea and Ukraine, as they work together towards supporting the development and growth of the Ukrainian economy.
