The Export-Import Bank of Korea (www.koreaexim.go.kr, Chairman Bang Moon-kyu, “Korea Eximbank”) announced December 9 that it signed a Memorandum of Understanding with Romanian Agency for International Development Cooperation (“RoAID”) for knowledge sharing and cooperation.

Korea Eximbank Chairman Bang Moon-kyu met with RoAID President Catalin Harnagea at the bank’s headquarters on Yeouido and signed the MOU.

The MOU set out mutual cooperation in exploring development projects, mobilizing both financial and non-financial resources to support projects, joint response to major ODA issues and monitoring ODA projects in collaboration, and strengthening knowledge sharing in the areas of climate change and infrastructure.

The Economic Development Cooperation Fund (EDCF), operated by Korea Eximbank, has strength in its financial assistance for infrastructure projects, while RoAID is known for technical support including capacity building of its partners.

With the signing of the MOU, Korea Eximbank will transfer knowledge and experience it has gained while cooperating with other entities for international development projects, such as identifying EDCF projects and operating EDCF project management system, to RoAID and continue to build a cooperative relationship with the agency as they will be exploring candidate projects together in mutual cooperation.

Korea Eximbank’s knowledge sharing activity, including transfer of Korea's development experience of transitioning from an aid recipient to donor country well ahead of Romania, is expected to greatly contribute to RoAID’s capacity building as an international development agency.

Collaboration between EDCF and RoAID would create synergy in the areas where both of the agencies have been focusing their support, namely, health, transportation, education and energy sectors.

Currently, RoAID is considering providing technical support for three on-going EDCF funded projects, including the Tanzania Hospital Project.

Korea Eximbank is also tapping the possibility for its financial support for the projects which RoAID has conducted feasibility studies for.

"The importance of cooperation with foreign aid agencies is growing to enhance sustainable development and development effectiveness," said Chairman Bang. "We will endeavor to increase the effectiveness of our financial support for the projects where we work with domestic aid agencies such as Korea International Cooperation Agency (KOICA) by also partnering with foreign aid agencies including RoAID."

Romania has achieved economic growth through foreign aid and grants, including a total of USD 81 million in EDCF funds in the 1990s.