This is the confirmation by South Korean Ambassador to Vietnam, Park Suk Hwan at the press conference introducing the G20 Summit to be held in Seoul, South Korea in November 2010, in an exclusive interview with the Vietnam Business Forum on the trend and efficiency of South Korea’s cooperation investments in Vietnam in 2010 and in the following years.
Could you talk aboutsome notable outcomes of South Korea - Vietnam economic cooperation since the two nations resumed their relations in 1992?
Since South Korea and Vietnam resumed their diplomatic relations more than 18 years ago, the two governments have adopted drastic measures to make long strides in both quality and quantity of trade and investment. The two-way trade revenue rose 19 times from US$500 million in 1992 to US$9.5 billion in 2009 while South Korea’s investment in Vietnam jumped 100 times from US$200 million in 1992 to US$20.5 billion in 2009. The Vietnam - South Korea cooperation ties have been strengthened by the two governments and they agreed to take 2010 as the first year to implement the strategy “Bilateral development cooperation as the centre.”
South Korea is always among the largest investors in Vietnam. What do you think about the efficiency of South Korean projects in Vietnam?
Currently, the Vietnam - South Korea development cooperation is being carried out in three channels, namely concessional loan, non-refundable aid, and agricultural cooperation. Vietnam is the largest recipient of concessional loan from South Korea, with a total of US$985 million as of end-2009. Besides, South Korea has pledged US$1 billion of soft loans for Vietnam in the 2008 - 2011 period, including US$300 million expected for 2010.
Soft loans are mainly used for key fields like economic infrastructures, climate change mitigation, environment protection, renewable energy, transparency enhancement, and public administration improvement. In 2010, South Korea will lend Vietnam US$200 million to build the 105.5-km, 6-lane Ha Noi - Hai Phong expressway. Apart from this project, South Korea plans to fund US$30 million out of a total US$35 million package to give Vietnam access to smart traffic technology to be applied in highways in southern provinces.
Vietnamese Governmentalways appreciates South Korea’s non-refundable aid for the social development. Would you mind talking about it?
Until now, South Korea’s non-refundable aid to Vietnam has reached US$108.63 million (about US$5.66 million a year), mainly channelled into commendation and information (26 percent), education and training (21 percent), health (19 percent), environment and other sectors (15 percent), and industrial infrastructure (8 percent). In 2010, South Korea will provide the largest-ever aid of US$19.68 million, targeted for health, education, public administration, energy, environment and human resource training. Notably, the Buon Ho clean water supply project (2010-2012) will be funded US$4.5 million and South Korea - Vietnam development knowledge sharing project (2010-2011) will be given US$1.2 million.
South Korea’s non-refundable aid has also been channelled into agricultural cooperation projects like agricultural biotech exchange project. In 2010, South Korea and Vietnam will carry out several key projects like building a pilot agricultural village and cooperating in conservation of Vietnamese chromosome.
Reported by Hai Anh
Vietnamese
