South Korea, ADB to set up K-Hub in Seoul to tackle climate change

A memorandum of understanding signing ceremony between Economy and Finance Minister Choo Kyung-ho and ADB President Masatsugu Asakawa on May 3. [Photo provided by Ministry of Economy and Finance]

South Korea’s finance ministry said Wednesday it has signed a memorandum of understanding with the Asia Development Bank (ADB) to launch a new organization for sharing climate-related expertise in the region.

The MOU was signed between Economy and Finance Minister Choo Kyung-ho and ADB President Masatsugu Asakawa during the 56th Annual Meeting of the Board of Governors of the ADB, which kicked off in Incheon this week.

Under the plan, Korea and ADB will open the ADB-Korea Climate Technology Hub, or K-Hub, in Seoul next year. The Korean government and the ADB will share the costs for the K-Hub. Detailed conditions are still under discussion, a ministry official said.

The K-Hub will serve as a networking platform for the climate sector, connecting public and private climate experts in each country, and designing and implementing ADB’s climate projects, including climate knowledge transfer and capacity building, the ministry said. It will also serve as a climate think tank to share and disseminate climate-related policies and knowledge.

ADB decided that Korea was a good fit for the climate hub given the K-Hub’s potential synergies with Korean-based organizations such as the Global Green Growth Institute (GGGI) and the Green Climate Fund (GCF), as well as Korea’s climate technology.

During the meeting, Choo also vowed to contribute an additional $100 million to the e-Asia Knowledge Partnership Fund over six years from this year. The fund is a sole trust fund established by South Korea in 2006 for knowledge sharing in the digital sector.

Korea will also expand contributions to other multilateral funds, such as the Asia Pacific Project Preparation Facility and the ADB Ventures, providing an additional $5 million and $3 million, respectively, the ministry said.