Published : Feb. 24, 2015 - 20:25
February is a joyous month for the State of Kuwait as it celebrates its 54th National Day on Feb. 25 and the 24th anniversary of Liberation Day on the following day.
I am grateful to be able to celebrate these happy occasions in the Republic of Korea ― an ally and a partner in many ways since the establishment of diplomatic ties in 1979.
A night view of Kuwait City
Located at the head of the Arabian Gulf, Kuwait has a history rooted in foreign trade and commerce, even before the discovery of oil. Kuwait’s prosperity has depended on building harmonious relations with other nations.
The enduring friendship between Korea and Kuwait strengthens each day as we intensify economic cooperation and trade, and increase exchanges in arts and sports. The diversity and depth of our relations are increasing the two nations’ resilience and commitment to mutual benefit and common goals.
The recent trends in commerce trade between the two nations are positive. The trade volume between Kuwait and Korea exceeded $18.9 billion in 2014, and Korean exports to Kuwait increased by 75 percent to $1.98 billion from the previous year.
According to the Korea Trade Investment Promotion Agency, we have witnessed a sevenfold increase in trade value since 2000. The diversifying portfolio of bilateral trade indicates that trade will continue to grow in the future.
Taj Mahal Mosque
While the majority of trade between the two nations is still petroleum and related products, trade in other items like vehicles, shipbuilding, plant-building articles and electronics is on the rise. Kuwait is Korea’s second-largest crude oil supplier, and is the third-biggest overseas construction market. Moreover, Korea is constantly among the top five exporters to Kuwait, providing about 7 percent of Kuwait’s imports.
Similarly favorable trends are observed recently in terms of the issuances of tenders and contracts concerning development projects in Kuwait. In 2014, Korean companies collectively secured tenders worth a record-breaking $7.8 billion, and currently more than 1,300 Korean engineers are facilitating projects worth $21 billion on Kuwaiti construction sites.
Notably, 26 out of the 30 very large crude carriers in the fleet of Kuwait Oil Tanker Company are produced by Korean firms. In 2015, Korean companies will be charged with modernizing some of the country’s outdated ships, including LPG Carriers for the Kuwait Oil Tanker Company.
Kuwait Tower
Further cooperation and involvement by the Korean private sector in the Kuwaiti market is expected with the announcement of the Kuwait Development Plan for 2015-2020. Since 2010, the development plan has been formed on the basis of Kuwait’s Vision for 2035, which aims to transform Kuwait into a financial and commercial hub attracting investment and private sector involvement, while addressing the challenges and imbalances in the state budget and administration, as well as improving infrastructure and tackling social challenges.
With plans to tender mega-projects worth $60 billion in the next 4-5 years, the development plan represents a tremendous potential and opportunity to reinforce sharing of knowledge and experience between Kuwait and Korea. Under the First Kuwait Development Plan for 2010-2014, Korean companies were hugely successful in winning contracts valued up to $12 billion under the Kuwait Clean Fuel Project.
Kuwaiti Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah (right) meets U.N. Secretary-General Ban Ki-moon.
Our privileged relationship reveals itself in shared interest in infrastructure and economic development, but other areas of collaboration can play an essential role in our exchanges. The Development Plan emphasizes on social welfare, sustainability, human development and foreign direct investment promotion. To this end, Kuwait is taking steps to support innovation in the sectors of health care, culture, ICT, transportation and education. Kuwait has, and will continue to welcome Korean participation in realizing the state’s vision in development.
Over the past few years, sustained high-level interactions and exchanges have significantly advanced bilateral relations. In 2014 alone, officials from various government institutions, including the ministries of finance, oil, interior, education and defense, as well as the Supreme Court and the Parliament of Kuwait visited Korea and discussed cooperation with their Korean counterparts. In 2015 we look forward to the visit of President Park Geun-hye, which will be a testament to our shared commitment to the historic and proud partnership.
On the occasion of the National Day, I would like to recall a proud moment for the State of Kuwait in 2014. His Highness Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah, amir of the State of Kuwait, was honored with a certificate of appreciation and named a humanitarian leader by the United Nations in September, recognizing the remarkable acts of human kindness and generosity shown by the amir.
His philanthropic work will continue in 2015, when he will be the host of the Third International Humanitarian Pledging Conference for Syria on March 31 in Kuwait City. Kuwait has donated $800 million to aid the Syrian crisis since 2013.
Kuwait is humbled and honored to be recognized as an International Humanitarian Center by the United Nations, and I would like to reaffirm the country’s commitment to addressing humanitarian crises around the world with solidarity and compassion.
Kuwait’s foreign policy is aligned with the amir’s commitment to philanthropy and the promotion of peace. One of Kuwait’s main foreign policy objectives is to cooperate with all countries to maintain world security and stability and achieve sustainable development.
To this end, Kuwait contributes to international efforts to resolving poverty, disease, food security, water and energy and terrorism, mainly in partnership with the Kuwait Fund for Arab Economic Development and its association in the Gulf Cooperation Council and Arab League.
Kuwait has hosted a number of major international conferences and events, including the Arab Economic and Social Development Summits and Asian Cooperation Dialogue, which reflects Kuwait’s efforts to bolster and expand cooperation in the international arena.
As a close friend and partner to Korea, Kuwait is gratified to see the great accomplishments of the Korean people, and is keen to work with Korea toward common interests. As ambassador to Korea, I am determined to make progress in this regard and foster a stronger sense of unity and partnership with Korea.
By Jasem Albudaiwi