Korea was selected as a host country of the secretariat of the United Nations climate fund on Saturday, raising hopes that it will play a bigger role on the international stage in tackling global challenges stemming from climate change.
After holding a three-day board meeting of the Green Climate Fund (GCF) here, South Korea's Songdo, west of Seoul, was selected to house its secretariat. The final approval will be made later this year in Qatar.
The GCF is a U.N. fund launched at the end of 2010. Its main purpose is to channel money from industrialized nations to developing countries, helping them tackle global warming and other problems related to climate change.
It is frequently regarded as the "World Bank" of the green growth and climate change fronts.
"With the decision, our (Korean) companies will be at an advantageous position to acquire information about new projects concerning climate change and to take part in such projects," Seoul's Finance Minister Bahk Jae-wan was quoted as saying.
"More importantly, this provides the basis for our country to become the center for global efforts to counter climate change and move toward green growth," Bahk said, according to the Ministry of Strategy and Finance.
The GCF's decision comes after the government officially delivered its intention to host the GCF secretariat last November and also selected Songdo as a host city of the office.
Korea had been competing with five other countries -- Germany, Switzerland, Mexico, Namibia and Poland. Five rounds of voting were held to eliminate the least vote-receiving country one by one.
Detailed voting results were not revealed, but the country was said to have received wide support from newly developing nations and key advanced countries.
The hosting of the US$800 billion fund is expected to enhance South Korea's green growth image, experts said. They also predicted that it will help bring in a huge amount of economic benefits by housing hundreds of U.N. workers and holding about 120 international meetings every year.
According to a report by the Korea Development Institute, a state-run think tank, the hosting of the GCF office will bring about 380 billion won (343.9 million) worth of economic effects every year. (Yonhap)