□ Korea Eximbank (www.koreaexim.go.kr, Chairman Dongsoo Kim) announced on December 21 that the Bank will provide USD 170 million through project financing to facilitate the participation of Korean companies in a private sector development project in Cebu, Philippines.

○ USD 100 million will be provided through loans and USD 70 million will be provided through external liability guarantees.

□ This project is in line with the Korea Infrastructure Initiative introduced by the government of Korea at the 41st ADB Annual Meeting to reform the chronic shortage of infrastructure in Asia.

* The Government of Korea has plans to provide USD 3.5 billion in infrastructure funds to the Asia Infrastructure Project over the next three years. (Ministry of Finance EDCF, USD 500 million, Korea Eximbank USD 2.5 billion, Korea Development Bank (KDB) USD 500 million)

○ The Government of the Philippines will construct and operate a 200MW coal-fired power plant for 25 years in the Naga region of Cebu Island in order to alleviate energy shortages in the Visayas region.

○ The participants of this project consist of Korea Electric Power Co. and Korea East-West Power Co. as major operators and Doosan Heavy Industries & Construction Co. as the power plant exporter.

□ Korea Eximbank played a key role in this project by providing 63% of total financing (USD 170 million), promoting the participation of ADB, and leading the formation of an international financing package.

□ According to a representative of Korea Eximbank, “The Philippines's Cebu Private Sector Development Project is projected to raise USD 360 million in foreign currency inflows and it will also promote foreign capital inflows through the export of generator facilities and equity participation. In addition, this project which adopted environmentally beneficial technologies in the construction of a coal fired power plant will help secure additional orders in similar overseas power plant projects in the future.”