SEOUL – March 27 marks the second and last day of the Nuclear Security Summit that has gathered more than 50 leaders from around the world – including President Viktor Yanukovych of Ukraine – to discuss how best to stop nuclear material falling into the hands of terrorists. This summit is expected to help broaden and enhance cooperation in this field. What could Ukraine learn from South Korea’s experience of reform, discarding authoritarianism, overcoming poverty? More on this in the following interview with Vasyl MARMAZOV, Ambassador Extraordinary and Plenipotentiary of Ukraine to the Republic of Korea.
“I would like to point out, in the first place, that on March 22, 2012, Ukraine had honored all of its commitments by ridding itself of the remaining highly enriched uranium stock, having in mind the Nuclear Security Summit in Seoul, March 26-27, 2012. The last shipment of the highly enriched nuclear material, which remained at Physics and Technology Institute in Kharkiv, was made to Russia, aided by the US and IAEA.
“I believe the main objective of the Seoul summit is to lay the foundations for a transfer from the Washington summit’s commitments to concrete deeds, along with outlining further measures aimed at securing all vulnerable nuclear materials, preventing them from falling into the hands of terrorists.
“I expect this summit to succeed in establishing standing multilateral nuclear security discussion procedures – I mean full protection of all nuclear, radioactive materials until a certain date.
“President Yanukovych declared that a nuclear security summit ‘should be placed on a regular basis and be held on each continent. We cannot remain calm while there is a threat to nuclear security. This issue must remain in the limelight with the public, with all countries.’”
SOUTH KOREA’S MODERNIZATION SPECIFICITIES
How could the Republic of Korea show such quick economic growth, overcome totalitarianism, backwardness, and corruption?
“The experience of this country shows a special model. Since the establishment of the republic in 1948, this model has relied on the top priority of economic progress, with a gradual transfer to democracy. Confucian values have been part and parcel of this model, including a corporate approach to any problem, traditional respect for any governmental institution, upholding law and order, as well as social harmony; special emphasis on the role of the family and other social components, self-discipline, the prevalence of communal interests over personal ones; special emphasis on education, respect for the older generation, and so on.
“The historical fact remains that [South] Koreans have succeeded in preserving patriotism and national dignity, despite the periods of economic backwardness, economic and foreign political dependence.
“Among the main factors that can explain this country’s economic miracle are an export-oriented strategy, the government’s leading role in the implementation of reforms, inexpensive manpower, and foreign inland monetary and technological investments (including equipment and know-how).
“South Korea’s traditional light industry, especially textiles, was upgraded in the course of industrialization. The heavy, chemical, machine-building, electronics, ship- and car-building industries showed high growth rates. Before long they had become capable of meeting the domestic market demand and export challenges.
“South Korea’s economic success doubtlessly has everything to do with the implementation of its strategic development model. Obviously, its thriving economy became possible only by a rational combination of market stimuli and government intervention. In explaining the economic miracle of the Republic of Korea, it is important to study its government-business partnership model. Its government has never aimed at getting any business under control while carrying out reform. In fact, South Korea’s prosperity was secured by a balanced use of market leverage and government regulations.”
What lessons do you think Ukraine should learn from South Korea’s experience?
“An export-oriented economy in the first place. This could really benefit Ukraine. Also, the upgrading of the national financial system – here one has to keep in mind that the South Korean and Ukrainian traditions differ in a number of ways, and that the current situation in Ukraine in many respects differs from that in the Republic of Korea in the 1960s, 1970s, even 1980s.
“The South Korean phenomenon can be repeated only by a country where socioeconomic and political problems can be solved in a balanced manner, where [an adequate government] can rely on an industrious people. Ukraine could do just that, considering its unique capacities, after creating the required social climate.”
GREEN GROWTH STRATEGY
What about South Korea’s Green Growth Strategy?
“The Republic of Korea was the first to have declared this national strategy, with the emphasis on the industries, power-engineering, and investments.
“As a result, large [South] Korean corporations are investing big sums in progressive technologies, including solar energy, smart networks, lithium batteries, low carbon plastic, and so on, while such global businesses as Samsung are taking the green lead.
“Not so long ago, I attended a briefing by the Ministry of Environment of the Republic of Korea. The item on the agenda was ‘The Official Policy of the Republic of Korea in the Sphere of the Environment.’ I heard officials’ reports on South Korea’s accomplishments in line with the Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services (IPBES), aimed at combining the efforts of scientists and politicians in the developed countries to preserve the world’s environment.”
SOUTH KOREANS HAVE TO BE PERSUADED TO INVEST IN UKRAINE
How would you describe business relationships between Ukraine and South Korea?
“Enhancing trade and investment tops the agenda of our bilateral relations, although I don’t think that the current status of this cooperation reflects the actual capacities of both countries.
“Ukraine is interested in combining the considerable financial resources of the Republic of Korea with its own potential, among other things by enlisting [South] Korean investments for Ukraine’s agriculture, construction, steel, energy, and hi-tech industries. Investment projects relating to the agrarian, hi-tech, oil-and-gas, and machine-building sectors are being worked out. [South] Korean companies appear to be constantly interested in making investments in the Ukrainian economy.
“On December 14, 2011, the State Agency for Investment and Management of National Projects of Ukraine launched a package of its national investment projects in Seoul, aided by the Ukrainian embassy and KOTRA (Korea Trade-Investment Promotion Agency). Among those present at this Road Show were representatives of more than 60 South Korean corporations and companies, including Kogaz, Hyundai, Samsung, POSCO, LG Electronics, Lotte Co., Ltd., and Doosan Group.”
Do you see any problems with South Korean investments in Ukraine?
“They have to be convinced to make such investments. They should be invited to visit Ukraine to see their prospects. Lotte Co., Ltd. will shortly start working on investment projects in the Ukrainian agrarian sector. Samsung is planning to expand its IT Center in Kyiv, with more than a thousand specialists on payroll. Ukraine has received the first shipment of Hyundai Rotem high speed electric trains to service the Euro-2012 hosting cities.”
