Introduction

Korea Eximbank, acting as the Economic Development Cooperation Fund (EDCF) operation agency, has prepared a Safeguard Policy in 2016, corresponding to the environmental and social sustainability.

As of July 1, 2020, Korea Eximbank updated the current EDCF Safeguard Policy for addressing environmental and social issues in project design, implementation and operation. With the 2016 EDCF Safeguard Policy continuing to apply to existing projects, the 2016 and 2020 safeguard policies will run in parallel for estimated ten years.

Korea Eximbank will take into account variables such as host country context, the scale and complexity of project impacts, and the associated cost-benefit considerations, as well as those of project performance beyond the level required in the EDCF Safeguard Policy.

Objectives

• Avoid adverse impacts of projects on the environment and affected people, where possible
• Minimize, mitigate, and/or compensate for adverse project impacts on the environment and affected people when avoidance is not possible
• Help the borrowers to strengthen their safeguard systems and develop the capacity to manage environmental and social risks

Principles

• The borrower promotes sustainable development in which conservation and development are harmonized and balanced
• Alternatives and mitigation measures shall be developed based on scientific investigations and predictions
• Relevant information about environmental and social safeguard issues is made available to affected people and other stakeholdersn
• Affected people are represented and participate in the decision-making process
• Establish and maintain a grievance redress mechanism

Procedure

Responsibility