Inroads into Ethiopia

MOU signed with Ethiopian Construction Ministry to pave way for Korean builders; UAE holds IR session in Seoul

Korea Construction Association signed an MOU with the Ethiopian Ministry of Construction May 23 to pave the way for Korean construction firms to advance into the African country's construction market, the association said recently.
Present at the signing ceremony were Minister Lee young-sup of the Ministry of Construction and Transportation, Choo Byung-jik, former minister of MOCT, and Chairman Park Deok-heum of the Korea Professional Construction Association.
Chairman Kwon Hong-sa of the Korea Construction Association signed the instrument, while Dr. Kassue Yilala, Minister of Construction for Ethiopia signed the agreement at the Imperial Palace Hotel in downtown Seoul.
Under the MOU, the Ethiopian Construction Ministry would provide all kinds of support to the Korean construction firms to build infrastructure in the African country, which is in the middle of building SOC projects in the country with the financial support from the United States and the World Bank, among others.
Korean construction firms will be able to participate in the construction of roads, houses, power plants, water resources facilities, among others, with the support of the Ethiopian government.
The two signatories have agreed to exchange information on the activities of construction companies in their respective countries and cooperate in the research in the areas of construction, among others. The KCA will invite high-ranking Ethiopian government officials to Korea and provide them with the chances to learn about Korea's construction industry, especially, the technologies and continue to discuss joint undertaking of construction projects in the Middle East and Africa.
Chairman Kwon said the MOU will make it easy for Korean builders to enter Ethiopia to undertake construction projects and the country would be a bridgehead for them to make further advances into Africa, emerging as an alternative to the Middle East in terms of construction projects. Chairman Kwon visited Ethiopia May 3 and called on high-ranking government officials there including the President and Prime Minister to discuss cooperation in construction between Korea and Ethiopia.
The African country is the second largest country in the sub-Saharan region with population of 61 million and with abundant natural resources.
Keangnam Enterprise undertook an airport construction project in the country and road pavement work. Myungsong Overseas Development and Ado Construction Equipment have offices in Addis Ababa, the capital of Ethiopia.
In the meantime, KCA held a briefing session for construction projects in the United Arab Emirates on June 7 at its conference room at its head office in southern Seoul in front of some 100 construction industry people including those representing such large construction firms as POSCO Construction, Kumho Construction, Doosan Construction, Hyundai Construction and Hwasung Construction, among others.
The session devoted most of time on projects in Abu Dhabi, the capital of the UAE, instead of Dubai, which has been in the center of world attention with its mammoth construction projects.
The meeting drawing many participants from construction companies was conducted by Aldar Properties, one of the three largest developers in the UAE, along with Emmar and Nakheel and which is controlled by the UAE government with its 55 percent stake in the company. The company currently is undertaking projects worth $60 billion including the Laha Beach project, the project to redevelop center of town in Abu Dhabi and Yas Island project which will need some $40 billion to complete it.
The UAE Chamber of Commerce held an exhibition to attract investors in construction projects by showing the UAE's investment climate, free economic zones, financial services, media and IT service and real estate market, tourism and aviation industry, among others.
Chairman Kwon said Korean construction firms need to pay attention on the Abu Dhabi projects, which are getting world attention next to Dubai, bringing total investment in construction projects estimated at $230 billion. Korean builders engaged in construction projects in the Middle East country include Samsung Construction building Burj Dubai, the tallest building in the world some 452 meters tall and Hyundai Construction building the Jebel Ali L soft water power plant and Bando Construction building Ubora Tower and Seongwon Construction building Santeville apartment complex. KCA signed an MOU with the UAE Construction Association for promotion of mutual cooperation and development between the two construction bodies in November, last year. nw

CAK Chairman Kwon Hong-sa, 3rd R, shares drinks after signing an MOU May 23 in Seoul with Ethiopian Construction Minister Dr. Kassue Yilala on Korean builders advancement into the African country to undertake construction projects.