South Korea offers $180mn to Pakistan

KARACHI: The Republic of Korea has offered 180 million dollars to Pakistan for being member of Friends of Democratic Pakistan.

"It is an offer in the form of extremely soft loan," said Ambassador of Korea, Choon Joo Choi while addressing a press conference here on Monday.

He said his country enjoys good and mutually beneficial relationship with Pakistan. "Korea looks forward to playing an even greater role in the development of Pakistan in the coming years and welcomes a new phase of friendship that encompasses even greater trade, investment, cultural and educational links," he maintained.

Referring to increased commitment of Korean companies in their investments and development works in Pakistan, he said presently 20 Korean firms were engaged in various projects and that the Korean firm Ssangyong has just completed repairing KPT berths to enhance the capacity of this vibrant port.

"Posco has also made an initial investment in Pakistan and we hope to see more investments from them in the future. Recently, Hyundai has taken up a project for UCH-II to expand the capacity of the power plant in Balochistan and the ADB and Koexim have also approved a loan for the Patrind hydropower project being developed by K-Water,Daewoo and Sambu," he said.

The Korean ambassador said that Lotte was already the single largest foreign investor in the petrochemical sector of Pakistan and was planning a further expansion worth half a billion dollars.

Besides, he said, Korea has funded several projects such as the newly inaugurated Garment Technology Institute and financed "Provision of water supply & sewerage drainage schemes".

In this endeavour, he said Koreans also appreciate positive actions of the Government such as passage of the Arbitration (International Investment Disputes) Bill 2011 and was looking forward to continued support to protect the Korean firms who have braved globally adverse circumstances to bring their investments to Pakistan.

"We believe that senior level meetings in the future will further strengthen our bonds, and look forward to the new phase of Pakistan-Korea friendship, with the hope that it ushers in a new era social uplift and economic betterment for both our people," he maintained.

Copyright APP (Associated Press of Pakistan), 2011