KOICA Research Quarterly Update(Q3 2024) → READ MORE
[Publications]
ㆍ Examination of the KOICA Support Plan for Ukraine through the Lens of Post-war Reconstruction Experience l KO Yo Han, KIM Su Jin
The ongoing war in Ukraine, initiated by the Russian invasion, has been causing significant human and material damage. The “Rapid Damage and Needs Assessment (RDNA) report, joint-published by the World Bank, the Government of Ukraine, the European Union, and the United Nations, estimates post-war recovery costs at $486 billion as of December 2023. The protracted conflict continues to further inflate reconstruction costs, with prospects for peace or negotiations appearing remote. Nevertheless, The Government of Ukraine and the international community have established various platforms for dialogue and coordination and have been continuing discussions on reconstruction since the onset of the war. When the reconstruction of Ukraine begins in earnest, substantial international funding will be directed towards rebuilding projects. It is evident that the Republic of Korea will be a key stakeholder in such initiatives, and Therefore, this paper examines previous post-war reconstruction efforts to identify relevant lessons for the forthcoming task in Ukraine. It also analyzes the support strategies of other donor countries and agencies, and proposes a framework for KOICA's future undertakings regarding the support for Ukraine.
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The corn sector in the Philippines has the potential for food security and to stimulate the rural economy. Although it has potential, 82 percent of corn farmers are small-scale farmers. There are several ways to support small-scale farmers. It is important to ensure that a formal agricultural credit service system is well established. This study focuses on the choice of credit sources when corn farmers need production capital. The selected place is the municipality of Bacnotan in La Union in the Philippines. The farm survey is designed using a structured questionnaire covering socioeconomic characteristics of households, credit access, loan utilization, repayment conditions, and other information on the physical and institutional setting. Based on the survey data, the multinomial logit model is used to determine factors affecting credit source choice. The analysis revealed that informal credit sources are predominantly used in the study area, and each choice of credit source is affected by different factors. This study suggests adjusting the policy on agricultural credit services that promotes an accessible and friendly credit environment for small corn farmers in the area. Credit policies must be sustainable in the long run; specifically, they must include a systematic policy guideline for agricultural credit.
ㆍ Korea’s Partnership for Africa’s Industrial Promotion: Focusing on K-Entrepreneurship l Jinsang Lee
Africa’s industrialization has been slow and has achieved very limited success despite abundant production factors in many African countries. Industrialization is crucial for Africa, especially with the potential momentum from the African Continental Free Trade Area (AfCFTA) to boost intra-regional trade. African governments need to create an enabling business environment by developing infrastructure and supporting entrepreneurs. Korea, a densely populated country with scarce natural resources, embarked on industrial promotion in the 1960s. The government prioritized human resource development and made significant progress in industrial promotion. Over the past three decades, Korea has become one of the most industrialized countries focusing on high-technology industries, thanks to the emergence of Korean entrepreneurs. There are valuable lessons for African countries regarding Korea’s successful industrial promotion, which was induced by the development of entrepreneurship. Sharing Korea’s development experience with Africa can foster its industrial promotion and entrepreneurial development. Although the African continent is diverse in its socio-political environment, there are commonalities in industrial promotion and entrepreneurship development. Hence, it is worthwhile situate Korea’s experiences into an African context. This study explores the basic concept of entrepreneurship required for innovation and its impact on industrial promotion. Korea’s partnership with Africa may aid Africa’s industrial promotion, with a special focus on K-entrepreneurship.
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ㆍ A Study on the Input-Output Analysis of KOICA’s Country Cooperation Projects (2015-2019) l Yang Hyun Seok, Lee Young Su, Nieun Song, OH Dong Ju, Kim Tae Woo
The Third Mid-Term Strategy for Development Cooperation, established in 2021, states that donor countries are strengthening their pursuit of comprehensive national interests, including economic interests such as expanding investment and opportunities for trade in the midst of the widespread nationalism. It also points out that performance-based aid is spreading to strengthen the effectiveness and accountability of development cooperation. In the midst of this, Korea has been continuously expanding its budget for development cooperation since the inauguration of the new government in 2022, with the goal of becoming a global pivotal state contributing to freedom, peace and prosperity as one of its six national policy goals. South Korea, like other donor countries, cannot avoid its responsibility to demonstrate the effectiveness of its growing budget. In particular, in the case of grant ODA, it was mainly understood that only the recipient country benefited from it until recently, and also there have been continuous demands for analyzing its effects on South Korean domestic economy. Therefore, this study aims to provide objective evidence on the impact of grant ODA on the economic growth of donor countries. As a follow-up to the 2022 study, 'Input-Output analysis on aid spillover effect and its implication', this research aims to develop Input-Output Tables for Bilateral-Project-focused grant ODA from 2015 to 2019 using the ODA-focused industry linkage table suggested in the 2022 study. It also attempts to analyze the structure of Bilateral Projects by year, derive inducement coefficients, and analyze spillover effects. This study has its own significance compared to previous studies in that it utilizes the contents of the actual spending for a total of five years from 2015 to 2019 and examines time series data by distinguishing between domestic and overseas disbursements.
