The Export-Import Bank of Korea is stepping up financial cooperation with India to support investments in key minerals, clean energy and other strategic industries, as Korean companies seek to expand their presence in one of the world's fastest-growing markets.
The Korea Eximbank said Wednesday it has engaged in discussions with both the Export-Import Bank of India and the State Bank of India at the 59th Asian Development Bank annual meeting.
The discussions followed the Korea-India summit on April 20, which strengthened economic ties between the two nations. This move aims to establish a foundation for financial cooperation prior to upcoming large-scale investments.
During a meeting held Tuesday, Hwang Ki-yeon, CEO of Korea Eximbank, and Tarun Sharma, Senior Vice President of Eximbank India, discussed support measures leveraging the Korea-India Industrial Cooperation Committee.
In particular, both parties discussed methods to utilize Eximbank’s export financing and supply chain stabilization fund in the critical minerals sector.
Other agendas were on the table as well, such as identifying joint business opportunities in clean energy and financial cooperation methods for establishing a shipbuilding ecosytstem in India.
In addition, the parties exchanged opinions on joint entry to the global south, and reviewed potential collaboration using the digital infrastructure financing framework established by Eximbank Korea alongside US and Japanese development finance institutions.
On the same day, Hwang also met Rana Ashutosh, Senior Vice President of SBI to discuss plans to boost the competitiveness of domestic companies in the Indian market.
Eximbank Korea has previously approved a $1.8 billion two-step loan for SBI on April 29, which provides financial support for local consumers in India to purchase products made in Korea. Both parties discussed ways to expand the loan to cover industrial equipment, home appliances, food and cosmetics.
“Our role is to establish a base for financial cooperation ahead of investments,” said Hwang. “We will devise specific methods to financially support the Indian entry of our domestic companies in the critical minerals, clean energy and digital sectors.”
stlee0329@heraldcorp.com
