Korea Eximbank to provide $135 million in loans to Tanzania via EDCF

Finance

Published: 27 Oct. 2022, 17:47

Korea Eximbank to provide $135 million in loans to Tanzania via EDCF

Permanent Secretary of the Tanzanian Ministry of Finance and Planning, Emmanuel M. Tutuba, left front, and Export-Import Bank of Korea Chairman Yoon Hee-sung, right front, sign a loan grant agreement on Oct. 27 at the government complex in Seoul. Korean Prime Minister Han Duck-soo, right, back, and his Tanzanian counterpart, Kassim Majaliwa attended the signing ceremony. [NEWS1]

The Export-Import Bank of Korea will provide $135 million in loans to Tanzania via the Economic Development Cooperation Fund (EDCF) to develop the country's land information infrastructure and expand its resident registration system.

Korea Eximbank Chairman Yoon Hee-sung signed the loan agreement on Oct. 27 with Permanent Secretary of the Tanzanian Ministry of Finance and Planning Emmanuel M. Tutuba at the government complex in Seoul.

Tanzanian Prime Minister Kassim Majaliwa, who is visiting Korea to celebrate 30 years of cooperation between the two countries, and Korean Prime Minister Han Duck-soo were present at the signing ceremony.

The state-run EDCF was established by the Korean government in 1987 and is controlled by Eximbank to support industrial development and economic stability in developing countries.

Of the loan, $65 million will go toward the digital development of Tanzania’s land information system including map data, while $70 million will be allocated for the expansion of the resident registration system. Tanzania has set a target for 88 percent of its citizens to register for resident permits with the support of the funding.

Located in East Africa, Tanzania has been consistently cooperating with Korea through the EDCF and is aiming to become a middle-income country by 2025.

“We will consolidate the foundations for business expansion to Africa by supporting Tanzania, which has been making large investments in infrastructure for economic development recently, with the EDCF,” said Chairman Yoon.

“The EDCF will serve as a bridge for small- and mid-sized firms in Korea that are producing and developing digital technologies to enter the African market.”

BY CHO JUNG-WOO [cho.jungwoo1@joongang.co.kr]