Tanzania and the Republic of Korea have signed a Framework Agreement enabling Tanzania to obtain concessional loans worth USD 2.5 billion from the Economic Development Cooperation Fund (EDCF) over the next five years.
The agreement was signed in Seoul during President Samia Suluhu Hassan’s official visit to Korea to attend the Korea-Africa Summit on June 2, 2024 and meet with Korea’s President Yoon Suk Yeol.
The funds, provided under the Korea-Tanzania Economic Development Cooperation Fund EDFC) for the years 2024-2028, will finance development infrastructure projects.
Tanzania’s Minister of Foreign Affairs and East African Cooperation, Hon. January Makamba, and the Republic of Korea’s Deputy Prime Minister and Minister of Economy and Finance, Choi Sang Mok, signed the agreement at the State House in Seoul.
The two heads of state held talks at the Yongsan Presidential Office and witnessed the signing of other agreements aimed at bolstering cooperation in critical minerals and the blue economy. Additionally, the two countries signed a joint statement on launching negotiations for an Economic Partnership Agreement (EPA).
The envisaged EPA will elevate Tanzania-Korea economic ties to a strategic relationship by boosting partnerships in various sectors, including trade, investment, transport, and industry.
Tanzania is one of only three African countries, alongside Morocco and Kenya, engaged in discussions with Korea for an EPA.
During talks with President Yoon Suk Yeol, President Samia welcomed the Korean government’s decision to double the EDCF facility in Tanzania. She also requested enhanced cooperation in sectors including the blue economy, natural gas development, the creative industry (particularly film and arts), and the supply of Tanzanian labor to Korea through the Employment Permit System (EPS) program.
A Memorandum of Understanding (MoU) on strategic minerals was also signed during the visit to enhance cooperation on geological surveys, mining investment, and beneficiation of critical minerals such as nickel, lithium, and graphite.
Tanzania and the Republic of Korea established diplomatic ties in 1992, and this year marks 32 years of diplomatic relations between the two nations.
