The South Korean Ministry of Economy and Finance reported on Friday that a deal was struck between South Korea and Uzbekistan to settle a debt of around one billion U.S. dollars associated with a joint gas venture. The agreement was reached during Finance Minister Choo Kyung-ho’s visit to the Central Asian nation, where he held talks with his Uzbek counterpart.
In 2008, South Korea and Uzbekistan established a joint venture, Uz-Kor Gas Chemical, which began producing in 2016. The recent settlement focused on the unpaid dues of a subsidiary owned by Uzbekistan’s state-owned gas company, which had procured gas from the joint venture but had issues with payment due to foreign exchange problems.
The Ministry of Economy and Finance did not offer any additional information concerning the agreement. In the course of the bilateral meeting, Minister Choo expressed his wish to strengthen economic ties between the two countries in light of the increasing uncertainties in the global economy. He noted that by utilizing South Korea’s advanced technologies and Uzbekistan’s abundant natural resources, the two countries could enhance their competitiveness in the global value chain, particularly in the field of cutting-edge sectors.
The total amount of trade between South Korea and Uzbekistan in 2022 was $2.21 billion, a dramatic increase from the $3 million in 1992. During his visit, Minister Choo also paid a visit to Uzbek President Shavkat Mirziyoyev, where he discussed measures to broaden bilateral relations in the supply chain and emerging industries. He also requested Uzbekistan’s support for South Korea’s bid to host the 2030 World Expo in the city of Busan.