South Korean President Yoon Suk Yeol hosted a summit in Seoul with dozens of heads of state from Africa to secure critical mineral imports and boost trade ties. South Korea relies heavily on imports for over 95% of its raw mineral needs, making it crucial for the country to enhance cooperation with African nations in this area. The summit aimed to sign agreements to promote collaboration in critical minerals, technological cooperation, and joint exploration. Following the summit, a business summit involving South Korean and African industry leaders took place, focusing on increasing overall trade between the two regions. Currently, Africa accounts for only 1.9% of Korea's total trade. The summit also emphasized infrastructure development, drawing on South Korea's experience in transforming from a developing country to an advanced nation. South Korean companies have already undertaken major infrastructure projects in Africa, and the summit aimed to explore further collaboration in areas such as roads, railways, airports, ports, smart city systems, and master plans. Africa, with its diverse political and economic landscape, offers a significant consumer market and population for South Korea to tap into.
In a separate development, Tanzania and South Korea have signed a framework agreement enabling Tanzania to obtain concessional loans worth $2.5 billion over the next five years. The loans will come from the Economic Development Cooperation Fund (EDCF) and will support various sectors of Tanzania's economy. The agreement was signed during Tanzanian President Samia Suluhu Hassan's official visit to South Korea, where she held talks with President Yoon Suk Yeol. The two leaders witnessed the signing of the agreement, as well as other deals aimed at bolstering cooperation in critical minerals and the blue economy. They also launched negotiations for an Economic Partnership Agreement (EPA). President Hassan expressed Tanzania's interest in enhancing cooperation with South Korea in sectors such as the blue economy, natural gas development, the creative industry, and labor supply. A memorandum of understanding (MoU) on strategic minerals was also signed, which will enhance cooperation between Tanzania and South Korea in geological survey, mining investment, and beneficiation of critical minerals such as nickel, lithium, and graphite.
These developments highlight the efforts of South Korea to strengthen economic cooperation with African nations, particularly in the areas of critical minerals and infrastructure development. The agreements and loans signed with Tanzania demonstrate South Korea's commitment to supporting the economic growth and development of African countries, while also securing important resources for its own industries. The partnerships formed through these agreements have the potential to create mutually beneficial opportunities for both South Korea and African nations, fostering trade, technological cooperation, and sustainable development.
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