President Lee Myung-bak, right, shakes hands with Paraguayan President Fernando Lugo ahead of a summit at Cheong Wa Dae, Tuesday, during which the leaders agreed to bolster trade and development cooperation. Yonhap

By Kang Hyun-kyung

The leaders of Korea and Paraguay agreed to strengthen bilateral ties by increasing trade, investment and development assistance during a summit at Cheong Wa Dae, Tuesday.

The two sides assessed positively the bilateral ties that stretch back 50 years since they established diplomatic relations in 1962.

President Lee Myung-bak gave a warm welcome to visiting President Fernando Lugo as the Paraguayan leader stepped into the presidential office in the morning for the summit. Lee called Lugo “my friend,” giving him a hug in a sincere display of friendship.

Lee said he was relieved after learning that Lugo’s health has recovered completely. The Paraguayan leader underwent surgery in the past for cancer.

During the summit, President Lee appreciated Lugo for attending the Yeosu Expo Monday to commemorate Paraguay Day. Lee asked for the Paraguayan leader to pay more attention to the Korean nationals and companies based in the Latin American country.

Nearly 5,000 Koreans are now living there since the first wave of immigration to Paraguay began in 1965. Several Korean firms, including Samsung Electronics and LG, have plants in Paraguay.

Lugo said Thursday will mark the four-year anniversary since he first visited Seoul. The Paraguayan leader was here in 2008 shortly after he was elected president.

He noted positively the cooperation in agriculture and forestry while expressing hope for working even more closely in the areas of development assistance. This would involve transferring Korean experiences in achieving economic growth to Paraguay and for the management of fishery and water resources.

The Paraguayan leader also expressed hope for more Korean companies to invest in his country.