Let us delve a little deeper into the Eastern Economic Forum.
Launched in 2015, the event designed to help develop the Russian Far East... brings together
numerous leaders from the Asia Pacific.
Kim Hyesung outlines what this year's event was about, and shares with us experts' analysis
on President Moon's "Look North for development" policy.
At the Russian port of Vladivostok, the third Eastern Economic Forum, which kicked off Wednesday,
has come to a close.
The annual forum was launched in 2015 to help develop the eastern part of Russia.
(Korean) "The Eastern Economic forum is part of Russian
President Putin's 'New East Policy', outlined in 2012 to attract more investment in the
Russian Far East.
This region is underdeveloped and has a small population.
But with its abundant gas reserves and marine resources, it has enormous value and investment
potential."
According to the EEF, 27% of gas reserves and 17% of oil reserves in the Asia-Pacific
region are concentrated in the Russian Far East, but the level of development of known
oil and gas deposits is still low, at around 12 percent.
(Korean) "Putin sees the Russian Far East as the country's
new growth engine and a strategic region that could connect Russia to the Asia Pacific.
Since 2014, Russia saw zero to negative economic growth due to international sanctions and
a drop in oil prices, but the Russian Far East region saw around 5 percent annual economic
growth, showing just how much is being invested in the region."
But to further develop its chemical and petrochemical industry, Russia needs technology and infrastructure
development, which is why it has been inviting leaders from the Asia-Pacific region, like
South Korean President Moon Jae-in and Japanese Prime Minister Shinzo Abe, to its annual forum.
At his keynote speech, President Moon outlined nine key areas of cooperation, including shipbuilding,
railways, ports, agriculture and seafood.
(Korean) "Given the North's provocations, railroad
projects like Najin Hasan are unfeasible for now, so carrying out small yet feasible projects
is key.
South Korea has top-notch shipbuilding skills.
It can help Russia build ships, containers, and logistics infrastructure, while we can
import natural gas in line with the government's plan to shift away from nuclear energy."
Experts say Korea and Russia's economies are complementary, meaning there's room to expand
exports and imports.
Korean businesses can benefit from Russia's energy and its original technology, while
Korea can in turn help build Russia's infrastructure and logistics through its applied technology.
(Korean) "For Russia, Korea is the best partner in
the region.
Unlike Japan and China, Korea hasn't had any major wars or conflicts with Russia.
China and Russia are close partners, but Russia is always on guard against China's rapid rise.
To boost cooperation with Russia, experts say the formation of the Presidential committee
on economic cooperation with northern countries is a good move.
(Korean) "Having a committee specializing in Russian
Far East development would make two-way cooperation more efficient.
The next step is to build trust by reviewing and carrying out existing cooperation projects,
and have more Russian experts at the Blue House to enhance mutual understanding."
According to the EEF, more than 200 agreements, worth 32 billion U.S. dollars, were signed
last year.
But many of them haven't yet entered the practical stage.
(Korean) "Actual implementation of projects is not
easy due to Russia's lack of global financing standards, and sanctions that make private
investment difficult.
Government support in public-private partnerships would be important to help Korean businesses
invest in the region and protect their interests."
The Asia-Pacific region is emerging as a strategic hub in the 21st century, with China, India,
and Russia all pushing for initiatives to integrate the region economically.
President Moon's "Look North for development" policy is Korea's initiative to connect the
Asia Pacific.
But all this marks just the beginning.
To actually carry out the projects in a feasible manner, detailed plans and cooperation platforms
would be needed.
Kim Hyesung, Arirang News.