China, Russia, and the United States are all vying for Africa’s scarce mineral resources. In response, South Korea has proposed an alternative partnership.
At the inaugural Korea-Africa Summit, South Korea emphasized its leadership in advanced industries and highlighted Africa’s significant reserves of critical minerals.
The summit’s communiqué called for “mutually beneficial cooperation and knowledge sharing.”
Currently, South Korea has minimal investments in Africa, but the summit, themed “The Future We Make Together: Shared Growth, Sustainability, and Solidarity,” attracted representatives from 48 countries, including several presidents and kings. Notably, Kenyan President William Ruto attended, despite his previous stance against African leaders traveling to world capitals.
South Korea pledged to raise about $14 billion in export credits for Korean businesses interested in Africa and to provide $10 billion in aid by 2030.
The summit also agreed to establish a Korea-Africa Critical Minerals Dialogue, aligning with the US’s efforts to include a critical minerals agreement in its African Growth and Opportunity Act (AGOA).
The US aims to encourage non-Chinese investments in mining and processing in African countries with key mineral reserves.
African leaders arrived with their own demands. Dr. Akinwumi Adesina, President of the African Development Bank (AFDB), highlighted South Korea’s contributions since 1982 but called for more support.
He requested that Korea reinforce the summit by reallocating special drawing rights (SDRs) to the AFDB.
Other demands included contributions to the 17th replenishment of the African Development Fund and support for the Alliance for Green Infrastructure in Africa (AGIA), aiming to mobilize $10 billion for green infrastructure projects.
South Korea demonstrated its commitment by agreeing on a $2.6 billion concessional loan with Tanzania to improve Zanzibar’s healthcare system.
Additionally, a $1 billion agreement with Ethiopia was made to finance projects in science and technology, urban development, infrastructure, and health.
