The Export-Import Bank of Korea (www.koreaexim.go.kr, Chairman Lee Duk-Hoon, "Korea Eximbank") announced on March 9 that the Bank signed a Memorandum of Understanding (MOU) for financial cooperation with Qatar Development Bank ("QDB"), a financial institution responsible for Qatar's public-purpose lending at home and abroad.
Korea Eximbank Chairman Lee Duk-Hoon met with QDB CEO Abdulaziz Nasser Al-Khalifa at the QDB's headquarters on the afternoon of March 8 and signed the MOU, in which the two organizations agreed to share their financial know-how with regard to developing and supporting SMEs and medium-large firms in their respective countries, provide joint financial support to SMEs and medium-large firms of the two countries entering third countries, and jointly finance projects awarded by Qatari sponsors to Korean companies.
This MOU is intended to promote the global expansion of SME and medium-large exporters in both Qatar and Korea by establishing a strategic channel of cooperation and exchange between the leading government-mandated financial institutions of the two countries.
This would provide a solid financial launchpad to Korean SMEs and medium-large firms entering the Qatari market.
The two institutions would also be able to offer co-financing to SMEs and medium-large firms of both countries that jointly enter third countries.
Qatar is a nation rich in natural resources such as natural gas and oil.
Moreover, with the country increasing investment in non-energy sectors such as infrastructure and information technology with a view to hosting the 2022 World Cup and promoting sustainable development, there's greater potential for multi-dimensional cooperation between Qatar and Korea than ever before.
After signing the MOU, Chairman Lee remarked, "Given QDB's founding mission, which is to implement Qatar's Vision 2030 by developing and financially supporting SMEs in non-energy sectors, our MOU with QDB represents a foundation for expediting the entry of Korean SMEs and medium-large firms to Qatar." He added, "Going forward, we will provide active support to Korean firms entering overseas markets by making use of the collaborative and synergistic relationship we have built with QDB."
On March 8, Chairman Lee had also signed an MOU for financial cooperation with Qatar Petroleum, a nationally owned corporation that controls the Qatar's oil and gas facilities and refineries.
A Korea Eximbank official remarked, "Despite the recent drop in oil prices is curtailing new oil and gas projects coming out of the Middle East for the moment, it is necessary to adopt a strategic approach to oil and gas development which still represent the key foundation of industry in major Middle Eastern economies. In similar vein, this MOU is meaningful in that it has established an early channel of financing for Korean companies going into the Middle East with a medium- to long-term perspective."
