Korea’s Development Cooperation Policyrelated to international development cooperation . Based on...
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April 2013 Korea’s Development Cooperation Policy Philosophy, Objectives, and Strategies Enna Park Director-General for Development Cooperation Ministry of Foreign Affairs [Asian Approaches to Development Cooperation]
Korea’s Development Cooperation Policyrelated to international development cooperation . Based on the policy philosophy originated from its unique growth history, Korea introduced
Enna Park Director-General for Development Cooperation Ministry of Foreign Affairs
[Asian Approaches to Development Cooperation]
Presenter
Presentation Notes
Distinguished guests, ladies and gentlemen, First of all, let me begin by expressing my profound gratitude to the management and staff of the Asia Foundation and USAID/UNDP for inviting me to this important event. Asian countries have gradually gained influence on political and economic matters of the global community so that the expression ‘Asian Century’ sounds like a cliché. The change is also perceivable in the area of development cooperation. Major developing countries like BRICs are expanding their Official Development Assistance, and South-South cooperation has become one of the main issues of study on development cooperation. In this respect, discussion on the ODA policy of Korea, a recipient-turned-donor Asian country, will be fruitful to you.
Philosophy and Objectives 1
Strategy 2 : Strengthening Global Partnership 3
Strategy 1 : Sharing Development Experience 2
Table of Contents
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In my presentation, I will first introduce the philosophy and objectives of Korea’s ODA policy, then explain two main strategies to attain the objectives.
Philosophy and Objectives 1
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Now I would like to start my presentation by elaborating on the philosophy and key objectives of Korea’s development cooperation policy,
Historical Background
300
500
3,000
1945 1987 1999 2010 2011 2015
ODA, million (US$)
About 12 billion ODA received (Current value 60 billions)
1,000
1991
Korean War (53)
EDCF(87)
1,500
KOICA(91)
Recipient Non-DAC Provider DAC Donor
DAC Member(10)
1953
Busan HLF-4(11)
G20 Seoul Summit (10)
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To understand This graph outlines significant landmarks in Korea’s unique development history. Recipient for 30 years following the Korean War Aid provider since the late 80’s (establishment of EDCF and KOICA) Joined the OECD DAC in 2010 (since then, hosted the G20 and HLF-4) Exponential rise in the volume of ODA since the mid-2000 Korea has committed to increase its ODA to 0.25% of its GNI by 2015
Development Cooperation
Diplomacy with People
Ensuring Public Support
Contribution Diplomacy
Pursuing Global Value
Public Diplomacy Upgrading National
Prestige
Diplomacy for Developing Countries
Strengthening Bilateral Partnership
ODA as a main pillar of foreign policy
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Against the historical backdrop, Korea hopes to contribute to the global community by helping other developing countries experience development paths similar with Korea. Thus it has ODA as one of the four main pillar of its foreign policy. ODA is, of course, a main pillar on its own. But it is also an effective tool to strengthen the other pillars of Korea’s foreign policy.
Objectives of Korea’s ODA Policy
reduce poverty and improve the quality of life of people in developing nations
support the development of developing nations and improve the system and conditions for such development
promote friendly relations and mutual exchanges with developing nations
contribute toward the resolution of global problems related to international development cooperation
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Based on the policy philosophy originated from its unique growth history, Korea introduced the Framework Act on International Development Cooperation in 2010, which identifies objectives of development cooperation policy.
How much? Total $1.3 billion in 2011 (17th out of the 23 DAC members) - Small in volume but fast increase Implementation? MOFAT (KOICA), MOSF (EDCF) + 30 other organizations Key Partners? Asian and African countries (over 70%) Priority Sector? Economic and social infrastructure/capacity building Modality? A Mix of aid delivery instruments of grants and soft loans World Friends Korea (4,000 per year): The 2nd Largest Volunteers (1st in
the volunteer/population ratio)
Korea’s ODA at a glance
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Here I can sum up Korea’s achievements in the development cooperation scene.
Key Challenges
two main concerns the volume of ODA & the quality of ODA
Scaling up
ODA
Improving
Implementation
System
Strengthening
Policy
Coherence
Enhancing
Aid
Effectiveness
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However, Korea’ ODA policy is faced with difficult challenges. As its ODA budget gradually increases, it has become harder to reach a consensus on the ODA policy. There is also concern that Korea should pay more attention to the quality of ODA, such as consistency between its own projects and between its ODA policy and that of other countries.
Strategy 1 : Sharing Development Experience 2
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Let’s move on to Korea’s strategies to realize the objectives in development cooperation. First one is Sharing Development Experience.
Per Capita Income
Unprecedented Economic Growth
Korea
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As many of you already know, Korea has witnessed fast economic growth that has unprecedented in the world history. In terms of per capita income, Korea’s economic growth cannot be compared with the global average.
Korea’s Development Experience
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This fast economic growth has been achieved from the ashes of the Korean War. With its own history of successful transformation from one of LDCs into a DAC member, Korea believes it has strong potential to make substantial contributions to international development cooperation. Against this backdrop, Korea is expanding its development cooperation programs that aim to share its development know-how, in response to the growing global interest and demand from developing partners to learn from the Korea’s development experiences.
Documentation
8 Sectors for Documentation - Economy, Health, Human Resources, Administration and ICT, Agriculture
and Fishery, Land Development, Industry and Energy, and Environment
Intangible Experiences
Workable Recommendations
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Korea works to turn these intangible experiences into workable recommendations for policy making and institution building for partner countries. Korea strategically selected 100 cases from 8 sectors for documentation, which include economic planning, export promotion, and overcoming economic crisis among others. Korea believes that the selected cases will be attractive for partner countries, who share many common features with Korea’s past.
Utilization
DEEP Program : Development Experience Exchange Partnership Carried on since 1991 Creative reflection of Korea’s past for effective development
cooperation
86 advisory experts dispatched to 26 countries
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Korea used many ways to utilize documented experiences. Since the establishment of KOICA in 1991, the Korean government has tried every efforts to reflect Korea’s development experiences on each ODA programs using the DEEP program. And under the umbrella of the World Friends Korea (WFK) volunteer program, 86 advisory experts have been also dispatched to 26 countries on mid-and long-term basis since 2010.
Partnership
UNDP – Policy Center in Seoul OECD – Knowledge Sharing Alliance
World Bank – Concluded an MOU to establish an
office in Korea
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Korea is also contributing to international efforts to spread development experience by strengthening partnership with various international organizations.
Example : Food-for-New-Village with WFP
Korea’s “New Village Movement” Experience
WFP’s Food Aid Project Experience
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I would like to show you a good example of sharing experience and partnership with international organization. Korea’s “New Village Movement” represents economic growth in rural Korea in 1960s and 70s. In the Food-for-New-Village project, Korea’s rural development experience is combined with food aid project experience of the World Food Program. The FFNV project is designed to encourage long-term development in rural areas by organizing residents and instructing them ways to raise their income.
Strategy 2 : Strengthening Global Partnership 3
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Now I would like to talk about our second strategy : Strengthening Global Partnership. Korea is strengthening its partnership with major donors, developing countries, and related organizations to exchange development assistance experiences and enhance effectiveness of Korea’s international development cooperation.
KOICA’s Partnership
Concluded MOUs with development cooperation agencies in other countries
- AusAID, GIZ, JICA, and USAID Triangular Cooperation - Korea-Chile Joint Training Program (129 trainees for 2003-10) - Korea-Peru Joint Project for Improving Crop Production
Techniques in Algeria (USD 1.8 million for 2007-09) - Korea-Colombia Joint Project for promoting South-South
cooperation between Colombia and Latin America on technical capabilities (USD 500 thousand in 2012)
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For this purpose, KOICA, Korea’s assistance agency, has concluded MOUs with other aid agencies to secure platforms for cooperation, to conduct regular policy dialogues, and to introduce joint projects. KOICA is also engaging in triangular cooperation, where Korea utilize its partnership with developing countries to encourage South-South cooperation. The potato project in Algeria is a good example. Korea had strength in technology of producing seed potatoes and Peru had quality genetic resources. Korean and Peruvian experts on potato were dispatched to Algeria to improve potato breeding that is suitable to the environment and ecosystem of Algeria.
Korea’s Initiative: G20 Development Agenda
• Introduced Development as a Key G20 Agenda
• Focus on Addressing Bottlenecks of Growth
• Developing countries as Vital Partners for Sustainable
Development
“Seoul Development Consensus for Shared Growth” (Multi-Year Action Plan on Development)
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Meanwhile, the Korean government is actively contributing to global development agenda. At the G20 Seoul Summit in 2010, Korea initiated development agenda and played a leading role in adopting Seoul Development Consensus for Shared Growth.
Korea’s Initiatives(2): Busan Partnership
“Busan Partnership for Effective Development Cooperation”
New Global Partnership for Development
- Launched in June, 2012
From Aid to Development Effectiveness
- Focus on sustainable development impact
From OECD-led to OECD-UN Partnership
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Also Korea successfully engaged major economies as well as related organizations in the HLF4 in Busan, which featured aid effectiveness. The result of the HLF4 is the Busan Partnership for Effective Development Cooperation, and Korea is actively participating in the steering committee of the Partnership.
Korea’s Contributions : Post-MDGs Process
Post-2015 High Level Panel - Former Minister Kim Sung-hwan
Contribution to UN-led consultation process
- UNDP National Consultation Process
Int’l conference : “Asian Perspectives on Post-2015 Development Agenda” (June, 2012)
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Korea is also making contributions to discussion on Post-MDGs Process. For example, Former Foreign Minister Kim Sung-hwan is participating in the discussion regarding Post-2015 agenda as Post-2015 High Level Panel.
“I envision a Republic of Korea that contributes not only to peace and prosperity
on the Korean Peninsula, but also in Northeast Asia and the rest of the world.
…
I believe it is now time for the Republic of Korea to reciprocate the help we
received from the rest of the world. We will join hands with our aid partners to
actively pursue the type of development cooperation that sets an example for
others.
Furthermore, we will be unstinting in our support and cooperation in addressing
global challenges relating to human rights and climate change.” - President Park Geun-hye, at the inauguration day dinner for foreign guests
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Here is President Park Geun-hye’s speech on her inauguration day. This shows that Korea’s new administration attach much importance to development cooperation.
Thank you
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That concludes my presentation. Thank you for listening.
