Ethiopia and Republic of Korea Engage in Policy Dialogue in Addis Ababa
Addis Ababa, September 4, 2024 (FBC) – Ethiopia and the Republic of Korea convened for a policy dialogue at the Ministry of Finance headquarters in Addis Ababa yesterday.
The discussions underscored the longstanding and historic relationship between Ethiopia and Korea, which has lasted over seven decades. This partnership is notably marked by the involvement of Ethiopian troops in the Korean War as part of United Nations forces.
The Ethiopian delegation, led by Semereta Sewasew, State Minister of the Ministry of Finance, included staff from the Ministry and representatives from relevant federal institutions. The Korean delegation was headed by Mr. Tae-Seop Shin, Deputy Director of the Development Project Division in the Ministry of Economy and Finance (MOEF), and featured representatives from Korea EXIM Bank and the Embassy of the Republic of Korea.
The Ministry of Finance highlighted Korea’s transformation from a former recipient of aid to a major provider of Official Development Assistance (ODA), emphasizing Korea’s crucial role in development cooperation. The main aim of the dialogue was to pave the way for enhanced collaboration between the two nations.
Both parties concurred that the Economic Development Cooperation Fund (EDCF) would significantly boost Ethiopia’s economic growth, as well as foster increased trade and investment between the two countries. They committed to strengthening EDCF partnerships and engaged in detailed discussions to enhance the impact of these collaborations.
Korea EXIM Bank, as the executing agency for the EDCF, seeks to facilitate economic cooperation with partner nations. To date, the bank has dedicated $871 million to support 11 projects in Ethiopia, with about 70% allocated for the transportation and energy sectors.
Earlier this year, on May 21, 2024, the Ethiopian Government presented a list of priority projects for EDCF funding. After in-depth discussions and evaluations, both parties agreed on eight key projects for the EDCF mid-term pipeline, covering the period from 2024 to 2026.
The dialogue also featured presentations on the Homegrown Economic Reform Program 2, focusing on macroeconomic and sectoral reforms, associated challenges, key assumptions, and strategic pillars, along with additional project presentations.
An aide-mémoire was signed, encapsulating the main discussions and mutual understandings reached during the dialogue. Both sides expressed commitment to further strengthening cooperation and enhancing bilateral relations.
Semereta Sewasew expressed appreciation on behalf of the Ethiopian government to the Republic of Korea for its ongoing support of Ethiopia’s long-term development goals.
In conclusion, both parties recognized the policy dialogue as a solid foundation for strengthening cooperation and partnership between the two governments.