The funding framework was signed between the Minister of Finance and Economic Planning Yusuf Murangwa and Ambassador of the Republic of Korea Jeong Woo Ji.
The Finance Ministry has disclosed that the concessional loan will be channelled through the Economic Cooperation Development Fund (ECDF).
The new framework arrangement replaces the previous one signed in 2022, which allocated $500 million for the four-year period from 2022 to 2026.
The agreement, which also spans four years from 2024 to 2028, will be aligned with Rwanda's second National Strategy for Transformation (NST2).
Minister Murangwa termed the new partnership a significant milestone in the cooperation between Rwanda and South Korea.
"Rwanda-Korea current bilateral cooperation is aligned to our National Strategy for Transformation and plays a pivotal role in enhancing Rwanda's human capital for the 21st century, transforming our agricultural sector, establishing a foundation for ICT-led governance, and nurturing a thriving business environment. The framework signed is a significant milestone in our bilateral cooperation and provides assurances to achieve even more results in areas of our engagement," Murangwa stated.
Ambassador Woo Jin, on his part, said the framework inked on Friday will elevate the relations between the two countries to a "new level", especially coming a month after the inaugural 2024 Korea-Africa summit, which President Paul Kagame attended.
'I trust that the EDCF Framework Arrangement signed today will serve as a robust foundation to elevate the relations between our two countries to the next level after the inaugural 2024 Korea-Africa summit where H.E. President Kagame attended. I believe there is more room to cooperate in bilateral relations, especially based on the continuous cooperation in Agriculture, ICT, Education, Health and Infrastructure'.
Rwanda and South Korea enjoy a longstanding history of warm bilateral and multilateral development cooperation dating back to 1963.
Key areas of collaboration between the two nations include education and capacity building, rural development, healthcare, energy, agriculture, and information and communications technology.
During President Kagame's visit to South Korea last month, the Rwandan Head of State lauded the Asian country as a strategic partner for Africa.
President Paul Kagame called for more partnerships between Africa and South Korea, emphasizing that the two regions stand to benefit from each other's immense resources and potential.
'Korea is a global pivotal state and Africa is a pivotal continent. It's only natural for us to draw closer together in the years ahead for many reasons. First, Korea knows the value of sovereignty and independence as well as the struggle required to achieve accountable and inclusive politics. Those experiences allow us to look at each other eye to eye with mutual respect and admiration,' President Kagame said in his address.
During the summit attended by 48 African leaders, South Korean President Yoon Suk Yeol pledged to expand development aid to Africa and pursue deeper cooperation with the region on critical minerals and technology.
Yoon said South Korea plans to expand its cumulative development aid contributions to Africa to around $10 billion by 2030 and separately provide $14 billion in export financing to encourage South Korean investment in the region.
Wycliffe Nyamasege
