[2025 Audit] Eximbank Responds to Criticism Over Lack of High-Risk Country Export Support: "Demand Still Exists"

Aimed at Strengthening Export Support for High-Risk Emerging Markets
No New Approvals for "Special Account" in the Past Two Years
Yoo Sangbeom: "The Program Needs to Be Reviewed"
Export-Import Bank: "The Account Should Be Maintained to Respond to Changing Circumstances"

The Export-Import Bank of Korea has stated that it is necessary to maintain its "special account" program, which supports winning infrastructure contracts in countries with low credit ratings, despite criticism that there has been no execution of projects under this account.

On the morning of October 27, during the National Assembly Planning and Finance Committee's audit, Ahn Jonghyuk, Acting President of the Export-Import Bank of Korea, made this statement. Assemblyman Yoo Sangbeom of the People Power Party pointed out, "As of August this year, only four projects have been approved under the special account program, which was created to strengthen export support for high-risk emerging markets. Most of the candidate projects, which were to provide 3.7 trillion won in support to six countries at the time of the account's establishment in 2019, have not progressed. Therefore, a review of the program is necessary."

In response, Acting President Ahn said, "As the name 'special account' suggests, these high-risk countries experience rapid political and economic changes. When we first pursued the projects, we expected them to proceed steadily, but in the case of Iraq, due to ongoing political instability, companies have adopted a selective bidding strategy and have abandoned many projects, which unfortunately means support was not provided."

Assemblyman Yoo further argued, "The special account program is not merely a support project but an investment project. Isn't it time to decide whether to continue the program? What is the point of operating it like a dormant account while holding the funds?" In response, Acting President Ahn stated, "We believe there is still demand for the special account. When Korean companies enter ultra-high-risk countries, this program is the only policy finance tool that can enhance the possibility of winning contracts. Therefore, I believe we should maintain the account to respond to changing circumstances."