Government Provides Support to Ukraine Through EDCF... Preliminary Signing of Grant Agreement

The governments of South Korea and Ukraine have agreed on a $130 million loan agreement under the Economic Development Cooperation Fund (EDCF).

The Ministry of Economy and Finance announced that on the 17th, Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho held a bilateral meeting with Yuliia Svyrydenko, Ukraine's First Deputy Prime Minister and Minister of Economy, who visited Seoul's Shilla Hotel to attend the Asian Leadership Conference (ALC), and they preliminarily signed the "Agreement on the Loan under the Economic Development Cooperation Fund between the Government of the Republic of Korea and the Government of Ukraine (Grant Agreement)."

The Economic Development Cooperation Fund (EDCF) is a fund provided by the South Korean government to developing countries as long-term, low-interest loans to support their economic and industrial development. The grant agreement is a treaty that includes the fact and principles that the South Korean government will provide such loans to the recipient country through this agreement.

Until now, the two governments have been negotiating the grant agreement, which is a procedural requirement for supporting Ukraine through the EDCF. Following the recent completion of working-level consultations between the relevant ministries of both countries, the preliminary signing took place during the Ukrainian Deputy Prime Minister's visit to South Korea ahead of the formal signing.

Before the preliminary signing, Deputy Prime Minister Choo expressed his hope for a swift end to the war and the restoration of peace in Ukraine during the bilateral meeting, stating, "We look forward to cooperation between the two countries in various fields for the reconstruction of Ukraine." Both sides agreed to actively cooperate in follow-up procedures such as project identification to enable support through the EDCF in the future.

The EDCF grant agreement preliminarily signed this time is expected to come into effect after completing domestic procedures and formal signing in both countries.

Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho is taking a commemorative photo after the preliminary signing of the agreement on the Economic Development Cooperation Fund (EDCF) loan with Yuliia Svyrydenko, First Deputy Prime Minister and Minister of Economy of Ukraine, at the Shilla Hotel in Jung-gu, Seoul on the 17th.