South Korea Announces $313 Billion Funding for Projects to Fight Climate Change

By Trisha Andrada

Mar 19, 2024 09:38 AM EDT

South Korea has committed to providing 420 trillion won ($313.4 billion) in policy loans to finance projects that will help the country meet its climate goals. 

South Korea will offer 420 trillion won ($313.4 billion) in policy loans for carbon reduction initiatives. 
(Photo : Marcin Jozwiak / Pexels)

Plan to Zero-Out Emissions by South Korea's Investment Firms

Citing a statement from the Financial Services Commission (FSC) and the Ministry of Environment, Bloomberg reported Tuesday that five state-run financial institutions will fund the so-called green fund.

These lenders include the Korea Development Bank, the Export-Import Bank of Korea, the Korea Credit Guarantee Fund, Woori Bank, and Kookmin Bank.

Read Also: North Korea Junks All Economic Cooperation Deals With South Korea as Kim Jong Un Claims Legal Right to Destroy South

South Korea Aims to Achieve Net-Zero Emissions by Mid-Century

The funding announcement comes as South Korea aims to achieve net-zero emissions by 2050. According to the FSC and the Ministry of Environment, funding from the five institutions will reach 60 trillion won ($44.8 billion) each year until 2030, an increase of 67% compared to the past five years.

In addition, the FSC and the Ministry of Environment said that South Korea's government and the banking sector would establish an independent fund worth 9 trillion won ($6.7 billion) by 2030 to support the research, development, and expansion of renewable energy sources, Reuters reported.

Read More: In South Korea, Companies Are Paying Workers up to $75,000 to Have Babies

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