Export-Import Bank of Korea (Korea Eximbank) Chairman Kim Dong-su signed a contract last Thursday (Aug. 26) with Bolivia’s Minister of Planning and Development, Viviana Elba Caro Hinojosa, to loan 41 million dollars for the construction of the Banages Bridge.
The contract signing took place at the Presidential Office of Cheong Wa Dae directly after the summit meeting between Korean President Lee Myung-bak and Bolivian President Evo Morales.
The loans came from the Economic Development Cooperation Fund (EDCF), a fund established by Korean government in 1987 to promote economic cooperation between Korea and developing nations.
The Banegas Project is part of a larger construction project to build highways to link Santos Harbor in Brazil, inland Bolivia, and Arica Harbor in Chile. By building a bridge that goes directly across the Rio Grande in Santa Cruz, Bolivia seeks to secure a logistics network spanning the shortest possible distance between the three countries. It is the biggest state-run project in Bolivia.
President Morales was reportedly already impressed by earlier bridge construction in Bolivia built with Korea’s assistance. Korea had extended 23 million dollars of EDCF for the project, which motivated the Bolivian president to apply for this current round of EDCF assistance.
“By assisting Bolivia with its projects to establish road infrastructure and to develop resources, we are also making it easier for Korean businesses in the relevant fields to advance in Bolivia and other Latin American regions. It is also a way to back up Korea’s resource diplomacy, as well,” said an official at Korea Eximbank.
By Kim Hee-sung
Korea.net Staff Writer
