Korea Eximbank Signs Cooperation Loan MOU with Inter-American Development Bank

Provision of $300 Million Cooperation Loan for Economic Cooperation Promotion over 3 Years
Joint Support after Discovering Large-Scale Infrastructure Projects in Latin America Region

On the 25th (local time), Yoon Hee-sung, President of the Export-Import Bank, signed a business agreement in Rio de Janeiro, Brazil, with the Inter-American Development Bank (IDB) to provide cooperative loans as economic cooperation promotion funds for infrastructure projects in the Latin American region. From the left in the photo: Yoon Hee-sung, President of the Export-Import Bank, and Ilan Goldfajn, President of the IDB. Photo by Ilan Goldfajn

The Export-Import Bank of Korea (KEXIM) has signed a memorandum of understanding (MOU) to provide cooperative loans through the Economic Development Partnership Fund (EDPF) for infrastructure projects in Latin America in collaboration with the Inter-American Development Bank (IDB).

According to KEXIM on the 26th, President Yoon Hee-sung and Ilan Goldfan, President of the IDB, signed the MOU on the 25th (local time) at the Korea-Latin America Innovation and Trade Forum held in Rio de Janeiro, Brazil. The main points of this MOU include ▲ EDPF support for IDB cooperative loan projects in Latin America (up to $300 million over three years) ▲ selection of key cooperation sectors ▲ project discovery through annual consultations.

The two institutions plan to identify large-scale infrastructure development projects in eligible countries among the 26 member countries within the IDB region that can receive EDPF support and jointly provide financial assistance. Latin America is benefiting from nearshoring as production facilities relocate closer to the United States amid intensified US-China competition, and it is a region rich in mineral and food resources where Korean companies are expanding their presence. Accordingly, KEXIM and the IDB have selected energy, transportation, and ICT sectors?where Korean companies have competitive advantages?as key cooperation areas and plan to focus on discovering promising projects.

After signing the agreement, President Yoon said, “Based on collaboration with the IDB, we expect to further strengthen economic cooperation between Korea and Latin American countries and help establish a foundation for Korean companies to participate in infrastructure projects in the Latin American region.”

Meanwhile, on the same day in Rio de Janeiro, KEXIM held a luncheon meeting inviting representatives from over 40 domestic and Latin American companies to discuss strategies for Korean companies’ expansion into Latin America.