Korean Government and AfDB Sign Amended Cooperation Agreement for KOAFEC Trust Fund
A supplementary Technical Cooperation Agreement of the Korea Africa Economic Cooperation (KOAFEC) Trust Fund was signed on October 16, 2012, between Jaewan Bahk, Minister of Strategy and Finance, Republic of Korea, and Donald Kaberuka, President of the African Development Bank Group, during the KOAFEC Ministerial Conference in Seoul, Korea.
By the amended agreement, the Government of Korea announced a contribution of US $15 million to the KOAFEC Trust Fund to support projects and activities in Regional Member Countries in 2013 and 2014. This is in addition to Korea’s generous contribution in May 2012 of US $6 million in Arusha, Tanzania, on the occasion of the Bank’s annual meetings.
This contribution’s primary objective of knowledge-sharing is expected to deepen the impact of Korea-Africa cooperation through six priorities areas. The main areas of focus of KOAFEC include: (i) Infrastructure and Natural Resources; (ii) Information and Communication Technology; (iii) Knowledge Sharing on Korea’s Economic Development Experience; (iv) Human Resources Development; (v) Agricultural Development; and (vi) Green Growth Partnership.
The Action Plan was presented to the KOAFEC Consultative Group comprising of the African Development Bank Group, the Ministry of Strategy and Finance of the Republic of Korea and the Export Import Bank of Korea (KEXIM). The Action Plan was further adopted and approved by the Ministerial Conference.
The 2013/14 KOAFEC Action Plan has been expanded to include projects to be co-financed by KEXIM’s Economic Development Cooperation Fund (EDCF) on a bilateral basis and through the Bank, the Knowledge Sharing Program and the KOAFEC Trust Fund, for a total amount of US $587 million. The parties also agreed to hold further consultations with a view to enhancing the scope of the KOAFEC Trust Fund in the form of a General Cooperation Agreement.