Policy Updates

On November 19, 2024, South Korean President Yoon Suk Yeol reaffirmed the country's support for climate change by expanding green ODA at the G20 Summit in Rio de Janeiro.

Yoon framed the country's role in the climate transition as 'serving as a green ladder' for climate change during a speech at the 3^rd session of the G20 Summit, which focused on themes including sustainable development and energy transition and international cooperation.

Yoon gave an update on Korea's US$300 million contribution to the Green Climate Fund at India's G20 Summit in September 2023. He also reaffirmed his administration’s plan to contribute US$7 million to the UN Loss and Damage Fund for Developing Countries pledged in June 2024, at the Korea-Africa Summit in Seoul.

While stressing the importance of the Carbon Free Energy Initiative, Yoon expressed a willingness to support climate-vulnerable countries.

On October 16, 2024, the South Korean MOFA and the Seoul Policy Centre of UNDP co-hosted 2024 Seoul Debates under the theme of Empowering Climate Action with Digital Technologies: How to initiate lasting and inclusive change to achieve the SDGs.

The Seoul Debates is an international conference co-hosted by MOFA and UNDP Seoul Policy Centre since 2013 to share South Korea’s experience in development cooperation.

The 2^nd Vice Minister of Foreign Affairs Insun Kang, UNDP Administrator Achim Steiner, and government officials and representatives from the private sector, academia, and civil society attended the event. Vice Minister Kang called for more efforts for AI and digital technologies utilization and partnerships with the private sector. She also highlighted South Korea’s expansion of green ODA projects and UNDP’s Climate Promise program in her congratulatory remarks.

The MOFA will actively share its development experiences and policies with the international community through dialogues.

On June 4, 2024, South Korean President Suk Yeol Yoon announced to increase South Korea’s ODA to US$10 billion by 2030 as a catalyst for projects for cooperation with Africa at the 2024 Korea-Africa Summit.

The increase is double the level of South Korea's 2024 ODA budget. At the Korea-Africa Summit, a joint declaration was adopted to support e-government in Africa and proactively promote the KSP for Africa’s economic development and digital-based trade.

The joint declaration presented three priority areas:

• Shared growth: expand ODA up to US$10 billion by 2030, provide US$14 billion in export financing to Korean companies, and share the lessons learned from the experience of concluding free trade agreements;
• Sustainability: strengthen international cooperation to create a climate finance architecture responsive to Africa’s needs, advance cooperation for food security and sustainable agriculture, and establish primary healthcare infrastructure and leadership for critical mineral reserves; and
• Solidarity: support counterterrorism efforts and continue efforts in providing humanitarian assistance, achieve irreversible denuclearization of the Korean Peninsula, and cultivate talented human resources through education and training.

On May 27, 2024, South Korean Special Representative for Indo-Pacific Keeyong Chung attended the 4^th International Conference on SIDS in Antigua and Barbuda.

The conference is organized by the UN Secretariat to discuss issues related to the development of small island developing states. It is held every 10 years, beginning with the 1994 Barbados Conference.

Chung introduced South Korea's expansion of ODA to fulfill its role as a responsible member of the international community. He promoted customized support to SIDS to overcome structural vulnerabilities and improve resilience, reflecting the needs of each region, including Asia-Pacific and the Caribbean.

Chung also emphasized the need to diversify development finances and increase climate resilience to revitalize the economies of SIDS. The Antigua and Barbuda Agenda for Small Island Developing States was adopted at the conference to fulfill common goals in support of SIDS over 10 years.

On March 5, 2024, South Korea and Australia renewed their MOU on development cooperation since its first signing in 2019.

The renewed MOU outlined an institutional framework for cooperation on new bilateral development cooperation policies, cooperation in the Indo-Pacific region and sectors (gender equality, climate change, humanitarian assistance, etc.), and strengthening of cooperation mechanisms. In particular, the document set out guidelines for Director General level-biennial meetings of Development Cooperation Policy Council.

The updated agreement is expected to further strengthen cooperation between South Korea and Australia to contribute to the stability of the Indo-Pacific region.

On February 20, 2024, KOICA’s resident officer in India and USAID's India office signed a memorandum of understanding to strengthen development cooperation partnerships in India, a key country in the South Korean government’s Indo-Pacific Strategy.

The cooperation is intended to support the sustainable development of countries in the Indo-Pacific region through trilateral cooperation between India, the US, and South Korea. KOICA and USAIDare slated to cooperate in four sectors in India:

• Women’s economic empowerment;
• Disaster and climate resilience;
• Digital literacy; and
• Trilateral cooperation.

KOICA and USAID expressed the intention to explore new development projects in India and bolster joint projects between South Korea and the US. The two countries plan to develop a concrete cooperation plan for the empowerment of female social entrepreneurs in India to support the economic empowerment of women in India.

On September 21, 2023, South Korean President Suk-yeol Yoon stated in his keynote speech at the 78^th UN General Assembly that South Korea will greatly expand its ODA budget and pursue tailored development cooperation with partner countries in the future.

The government has expanded the ODA budget for 2024 by more than 40% compared to 2023, despite 2023's fiscal austerity policy. The ODA 2024 budget will be twice as large as South Korea's 2019 ODA budget.

Yoon highlighted educational and climate ODA as partner priorities. He added the South Korea has a prominent role in reducing digital divide with partner countries given its notable ICT and technological capacity. South Korea will host the AI Global Forum in 2024.

On May 29, 2023, President Suk-yeol Yoon hosted the 2023 Korea-Pacific Islands Summit in Seoul with Pacific Islands countries.

Participants discussed enhancing ongoing cooperation in line with South Korea's Indo-Pacific Strategy. They also adopted the 2023 Korea-Pacific Islands Leaders Declaration on a Partnership in Pursuit of Freedom, Peace and Prosperity for a Resilient Pacific. The declaration underscored comprehensive security cooperation in areas such as maritime, climate, energy, cyber, and health. It also highlighted South Korea's plan to double the ODA budget for Pacific Island countries to US$40 million (KRW53 billion) by 2027.

In addition, the summit organized special events addressing digital, forest, oceans and fisheries, and green growth. At the 2023 Korea International Cooperation Conference on Oceans and Fisheries, invited ministers and government officials announced a new plan for oceans and fisheries cooperation called the Korea-Ocean Economy Initiative.

On February 9, 2023, the 44th Committee for International Development Cooperation finalized the 2023 ODA Implementation Plan, setting the 2023 ODA budget at US$3.8 billion (KRW4.8 trillion).

The allocation comprises an increase of 21.3% from 2022 ODA and a 5.1% increase from the 2023 budget proposal of US$3.6 billion (KRW4.6 trillion). The 2023 ODA budget is the largest ever in the past decade, reaffirming President Yoon Suk-yeol's commitment to making South Korea one of the world’s top 10 ODA donors.

Notable budget line increases included a 27.6% increase in humanitarian assistance to US$317 million (KRW403.6 billion) for strengthening responses to global crises such as conflict, climate change, and infectious diseases. Also, the government committed to doubling ODA to partner countries in Africa to US$850 million (KRW1.08 trillion) by 2030.

On January 19, 2023, President Yoon Suk-yeol shared that South Korea planned to increase support to partner countries via 'green ODA at the 2023 WEF Annual Meeting in Davos.

Green ODA refers to development cooperation in consideration of the environment to support mitigation and adaptation to respond to climate change. South Korea introduced green ODA in 2009 in conjunction with the national green growth strategy.

In December 2020, the 2050 carbon neutrality promotion strategy was announced and green ODA was highlighted. The South Korean Ministry of Environment plans to increase the ratio of green ODA by 2025, in accord with Yoon's announcement.