Summary of the Speech by H.E. Mr. Hayong Moon, Ambassador of the Republic of Korea to Uzbekistan at the AmCham Monthly Meeting June 08, 2006

"Excellencies, dear guests, ladies and gcnllcmcn. First of all, I thank AmCham and its staff for inviting me and giving the opportunity to meet with all of you. I know thai today's topic was given as "Korea's cooperation with Uzbekistan", focusing on their economic relations.

Korea made its diplomatic ties with Uzbekistan in the year of 1992, becoming one of the first countries coming to Uzbekistan to open its Embassy in Tashkent. From the outset, the government of the Republic of Korea paid special attention to this country mainly because of the presence of the Korean community in Uzbekistan, numbering more than 200,000. Those Korean-Uzbeks were brought here in the year of 1937 under the Stalin regime of the former Soviet Union, and survived the insurmountable difficulties faced. Naturally, all Koreans and the Korean government have strong and particular affection and brothership with those Korean-Uzbeks.

In the years of the 1990s, Daewoo Group of Korea, which has now gone into bankruptcy, made a large scale of investment in Uzbekistan such as setting up of UzDacwoo motors and textile companies together with the trading of Uzbek cotton. Business was quite good until the year of 1997, before the outburst of Korean financial or liquidity crisis in December 1997. In the wake of the Crisis, the Daewoo group went into bankruptcy. Korea-Uzbek economic relations and trade volume scaled down substantially and was in a decreasing trend until the year of 2004.

However, Ihe Korean economy, surviving Ihe difficulties, began lo get its vitality back again and the Korean government and companies became even more strengthened in their efficiency, reduction of debt, financial soundness and transparency, and new technologies including IT technology.

In the year 2005, last year, Korean President H.E. Mr. Roh Moo-hyun paid a visit to Uzbekistan. The two heads of state agreed to speed up their bilateral economic cooperation, including energy and resources fields. And in this current year 2006, at the end of March, President H.E. Mr. Islam Karimov paid a return visit to Korea and the two heads of state agreed on a number of projects. During this last visit, the two countries adopted the Joint Declaration on Strategic Partnership between the two countries, reflecting on the already deepened bilateral cooperation. And for Korea, the Joint Declaration symbolizes Korea's earnest desire to contribute to peace and stability in Uzbekistan and in Central Asia. The two countries will launch five oil and gas exploration projects in total, such as the Aral Sea, Surgil, Namangan-Tcrachi, Chust-Pap. and Uzunkui-Tuarkyr projects. We agreed to develop one gold mining project and also agreed with Oxus Mining and Uzbek Geological Committee on the modalities of Korea's participation in the Khandiza project, a copper and zinc mining project. The two countries also started to work on the feasibility of a joint uranium mining project. During the visit of the President H.E. Mr. Islam Karimov in Korea, wc also agreed to expand our cultural cooperation in terms of TV drama, painting and various types of classical music. Korea will extend two projects from EDCF, Korea's Official Development Assistance (ODA), to Uzbekistan, namely computer provisions to Uzbek schools worth 30 million US dollars and establishing a cardiology hospital in Uzbekistan worth 10 million US dollars.

There were Memorandum of Understanding (MOU)s between Korean banks and NBU, National Bank of Uzbekistan, extending a credit line of 30 million US dollars for mainly trade promotion. Korea will try to accept more Uzbeks working in Korea under its new employment permission system, the MOU of which was agreed and signed during the visit. All in all, in a total of 43 MOUs were signed during the President H.E. Mr. Islam Karimov's visit to Korea, covering political, economic, trade, social, cultural, consular and even a sistership MOU between elementary schools of the two countries.

In the future, Korea will continue to work with the Uzbek government and people. I hope more Korean companies will invest in and trade with Uzbekistan. More Koreans will come to visit Uzbekistan and make friends with them, sharing our values and experiences to help each other. 1 would like to hold an optimistic view regarding the future of this country and its people. Uzbekistan is a very young country with about 70 percent of the population under the age of 30. Being young means, as for the person or for the country, that you have a lot of vitality for work and much energy to use to improve the situation in the coming days. As you can see, Korea is a model country of economic development and democratization in Asia and around the world. We are a kind of success story. We want to share our experience of free market and democracy with all Asia countries, including Uzbekistan. In the spirit of win-win principle, we will work together and encourage Uzbek people and Government to the forefront of free market and democracy. Thank you for your kind attention."