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South Korea Investing Billions for African Development

The historic Korea-Africa Summit over June 4-5, saw South Korea pledge billions of dollars-worth of aid and loans to African countries. The remarkable achievement presents African nations with the concrete example of a country such as South Korea which went from being an aid-dependent, economically devastated in the wake of the Japanese occupation and then the Korean War, to becoming an industrial and technological powerhouse in one generation. Unlike the European Union, which is taking it member nations under devastating deindustrialization under the financial dictates of the City of London, Frankfurt and Brussels, Korea, home to such industrial giants as Hyosung Corp LG Corp., Posco Holding Inc., and Doosan Enerbility Col, has much to offer Africa in infrastructure-driven development policy.

A partial list of the loans and aid agreements includes:

Ethiopia: a $1 billion financing commitment spread over four years to support infrastructure development, science, and technology initiatives, healthcare programs and urban development projects.

Tanzania: a $2.5 billion loan over five years through concessional terms for the development of Tanzania’s ocean resources, minerals crucial for clean energy technologies: including nickel, lithium, and graphite: and the natural gas reserves. The supply of Tanzanian labor to South Korean industries is also involved.

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