Commemorating the 10th anniversary of Korea's DAC membership
By Ham Sang-wook
As the world is reeling from a global pandemic of unprecedented magnitude, countries are coming together to respond. President Moon Jae-in pledged $100 million of humanitarian assistance to support global efforts to tackle COVID-19. Since then, the Republic of Korea has been providing assistance to more than 110 countries, while sharing our experiences in responding to the crisis.
I myself recently visited Ethiopia to deliver COVID-19 medical supplies, together with a message of gratitude and solidarity to the Ethiopian people: “Just as Ethiopia was there for us in 1950 on the war-torn Korean Peninsula, we are here for Ethiopia today to help you win the war against COVID-19.”
This time-honored message captures the very spirit of why Korea joined the OECD Development Assistance Committee (DAC) ― the global donors' club ― 10 years ago. Korea, as one of the more significant beneficiaries of international assistance, formally signaled to the world our readiness and commitment to give back what we received. The accession was a humble reminder of how much we owe the world.
Our story, by now, is fairly well-known. Nearly 70 years ago, a war-devastated Korea struggled to rebuild itself amid pervasive chaos and poverty. In 1953, Korea's per capita GDP stood at a mere $67. The international community then became our companion in the long, challenging journey toward a peaceful and prosperous future. For one, until the late 1990s, Korea received a total of $12.7 billion in foreign aid, which accounted for over 70 percent of total government revenue in the early 1960s.
Making the most of such assistance, the Korean people worked relentlessly to achieve rapid economic development and democratization within the span of a generation. A unique public-private partnership coupled with a strong strategic focus on education and building social and economic infrastructure were the key elements of success. Strengthening security capacity was also critical in preventing another destructive war and maintaining the stability necessary for continued development.
Korea's experience of development shows that aid does work. Yet foreign aid was only a part of the equation. Gradually reducing our reliance on aid, the government strategically mobilized other sources of financing, most notably domestic savings as well as trade and private investment flows, to build the foundation toward sustainable development.
Today, as a full-fledged donor, Korea has been striving to provide quality development assistance tailored to local contexts by drawing upon our experiences ― both successes and failures. More than anything, our recent memory of poverty and conflict helps us better understand the challenges of our partner countries and in turn deliver aid with deep empathy and solidarity.
And to meet the pledge we made upon joining the DAC 10 years ago, Korea has been scaling up the volume of Official Development Assistance (ODA). It grew from $1.17 billion in 2010 to $2.52 billion in 2019 at an annual rate of 11.9 percent ― the fastest among the DAC members. Yet cognizant that only 0.15 percent of our GNI went to aid last year, the Korean government has repeatedly affirmed its commitment to increase ODA to a level befitting Korea's global stature.
At the same time, we have been gradually enhancing the quality of our ODA by introducing legislation to enhance development effectiveness and policy coherence, coordinating various aid schemes, and expanding untied aid.
In fact, as head of the Korean Afghanistan Provincial Reconstruction Team (PRT), which was set up to support the reconstruction efforts of Afghanistan from 2010 to 2014, I personally witnessed how our unique approach to development helped to achieve tangible, sustainable progress.
The PRT, consisting of political, development and security officials, worked closely with local authorities to provide all-encompassing support in the areas of education, rural development, health, governance and security. The Korean hospital was once recognized as one of the more reliable hospitals in the country, while some called the vocational training center the “MIT of Afghanistan.”
As we expand our capacity to provide effective development cooperation, Korea has been committed to making meaningful contributions to the global development agenda. In 2010, as the host of the G20 summit, Korea took the lead in adopting the G20 Development Agenda, and a year later, contributed to shifting the development cooperation paradigm from “aid effectiveness” to “development effectiveness” by hosting the Busan High Level Forum on Aid Effectiveness.
More recently, Korea has been strongly supporting the reform efforts of U.N. Secretary-General Antonio Guterres to overcome the fragmentation across the U.N. system and promote a holistic, coherent approach that integrates the three pillars of the U.N. ― peace and security, development and human rights ― to achieve the 2030 Agenda. While chairing the ECOSOC in 2015-2016, U.N. Peacebuilding Commission in 2017 and the Executive Board of UNDP/UNFPA/UNOPS in 2019, Korea contributed to building the momentum to better accompany countries achieve sustainable development and peace, while fully respecting their national ownership. In doing so, we focused on reinforcing partnerships between the U.N. and relevant stakeholders, especially international financial institutions, regional organizations, civil society and the private sector.
As we celebrate our contributions of the last decade, Korea, with renewed will, is preparing a new chapter of development cooperation in a world that is more interconnected than ever. In solidarity with the international community, Korea will place greater emphasis on building effective and inclusive partnerships to achieve the Sustainable Development Goals (SDGs) and the ambition of leaving no one behind.
Ham Sang-wook (swham91@mofa.go.kr) is deputy foreign minister for multilateral and global affairs.