S. Korea, Ukraine sign framework agreement

The South Korean finance ministry has said that South Korea has signed a framework agreement with Ukraine to provide the war-torn country with economic cooperation funds.

The way was paved for Seoul to carry out its pledge to supply $2.1 billion in low-interest loans, Yonhap News Agency reports citing the South Korean Ministry of Economy and Finance.

South Korean Finance Minister Choi Sang-mok signed the agreement on low-interest loan programmes with his Ukraine counterpart, Sergii Marchenko, in Washington on April 19.

Last year, South Korea vowed to provide an additional $2.3 billion in aid for Ukraine, where the initial $200 million of aid will be provided this year in the form of humanitarian aid for responses to emergency needs in Ukraine, and the remaining $2.1 billion will be administered as long-term, low-interest loans through the Economic Development Cooperation Fund (EDCF) starting in 2025.

"April 19 arrangement was meant to lay the legal foundation on credit assistance. The two sides agreed to explore projects together that help Ukraine's reconstruction and development," the ministry said in a release.