Park Tae-Young is newly appointed Ambassador of South Korea to Nepal. He is currently busy meeting political leaders, government officials and representatives from other sectors of Nepali society. Park recently visited the office of Annapurna Media Network and interacted with the AMN team on wide-range of bilateral issues. Excerpts:
What is your view on Nepal-South Korea relationship?
Very soon, we are completing 50 years of the establishment of bilateral relations. Due to our strong relations, we have collaborated closely in various areas. As we commemorate this momentous occasion, I am contemplating how we can honor and celebrate the friendship between Nepal and South Korea.
How do you find the relationship between Nepal and Korea at a people-to-people level?
Having taken up my position in Nepal just 50 days ago, I have been actively engaging with government agencies to strengthen bilateral ties. I am focused on fostering relations at the people’s level which involves meeting and connecting with diverse individuals. During my interactions, I had the opportunity to meet numerous individuals with connections to Korea, including businessmen who have relatives there. The Employment Permit System (EPS) has undeniably played a significant role in fostering the relationship between Nepal and South Korea at the people’s level. At present, there are approximately 40,000 Nepalis employed in South Korea, and the interest in working there continues to grow. Prior to the Covid-19 pandemic, we were seeing over 40,000 South Korean tourists visiting Nepal annually. The South Korean people are attracted to Nepal’s natural scenery and find visiting Lumbini, the birthplace of Gautama Buddha, particularly appealing. It is noteworthy that there is a balanced flow of people between the two countries. The relationship is characterized by mutual harmony and respect, rather than being one-sided. Furthermore, numerous development programs contribute to the strengthening of bilateral ties.
What initiatives are being undertaken to attract Korean investors to Nepal?
Recognizing the significance of economic cooperation in strengthening bilateral relations, we are actively pursuing initiatives to attract Korean investors to Nepal. South Korea currently holds the fourth position in terms of foreign direct investment in Nepal. Samsung’s television assembly plant is the recent example of South Korean investment in Nepal. It seems South Korean multinationals are eager to invest in Nepal.
In which sector of Nepal are Korean investors particularly interested in?
Korean investors have shown a strong interest in Nepal’s hydropower sector. They recognize that Nepal possesses the second richest water resources in the world. Currently, two hydropower projects with South Korean investment have been completed, while the construction of the Upper Trishuli-1 Hydropower Project (216 MW) is underway and expected to begin generating electricity in 2027. These ventures could significantly contribute to Nepal’s electricity sector. Moreover, Korean companies are also in the construction of transmission lines. In this regard, coordination efforts are being made with the Ministry of Energy and Nepal Electricity Authority. It is not only the larger multinational companies that we seek to attract; we also encourage medium-sized companies to invest in Nepal. I am committed to taking the necessary initiatives to facilitate such investments.
Hi-Mo, a company with South Korean investment, has been producing wigs in Nepal for the past five years. The company employs over 600 Nepali women and exports wigs to South Korea and Japan. Nepal boasts a strong workforce and benefits from its strategic location, situated between two of the world’s most populous countries. This advantageous position creates a conducive industrial environment in Nepal. As investors primarily seek profitability, we are actively collaborating with Nepali government agencies to ensure that foreign investors receive the same facilities and returns as their Nepali counterparts.
How would you evaluate the role of the Nepali government in attracting foreign investment?
The Nepali government is making concerted efforts in this regard. We, too, are making efforts from our side. However, it is crucial for Nepal to effectively communicate to potential investors that it offers a conducive business environment and promising returns on investment.
What type of workforce is essential for the development of a country?
A competent and skilled workforce is crucial for the development of any country. A notable example is South Korea, which had limited natural resources compared to Nepal but succeeded in its development journey due to its abundant labor force. The significant contribution of a skilled workforce played a key role in South Korea’s progress. Similarly, observing the investments made by Nepali citizens in the education of their children, I am optimistic that Nepal is on the path to cultivating an educated workforce. Vocational skill training is being provided in Butwal with the support of the South Korean government. We are also prepared to organize similar training programs in the Madhes and Gandaki provinces. My aspiration is to establish vocational training centers with South Korean support across all seven provinces of Nepal.
In terms of business environment, how do you perceive the situation in Nepal?
Nepal is ranked relatively low, currently placed 94th among countries worldwide. It indicates that there is room for improvement, not just in Nepal but also across South Asia. In the early days, South Korea faced challenges due to a lack of coordination and harmonious relations between employees and businessmen. It is essential for the Nepali government to listen to the voices of the private sector and foster a collaborative environment. By working in coordination, both the government and the private sector can contribute to improving the overall situation and creating a more conducive business environment.
Is it possible to increase the number of Nepali workers under the EPS system?
Nepali workers who have participated in the EPS have made significant contributions to South Korea’s industrial sector and overall economy. Remittances sent back home by these workers have also benefited Nepal and its citizens. Workers from 16 countries are benefiting from EPS. An estimated 90,000 is expected to head to South Korea this year through EPS. South Korea has specifically demanded 15,000 workers from Nepal. Since employers also prefer Nepali workers, they have placed more demands. Currently, over 14,000 Nepalis have already left for South Korea, and it is estimated that more than 20,000 workers will go to South Korea through EPS this year. Among 16 countries, Nepa is the largest contributor of workers to South Korea through EPS this year.
How long will the EPS program continue?
There have been concerns regarding the potential closure of the EPS system. However, due to the ongoing insufficiency of workers in South Korea, the demand for Nepali workers continues to increase steadily. I firmly believe that the EPS program will continue to thrive for a significant period. Workers who participate in this program receive salaries on par with Korean citizens, earning more than Rs 200,000 per month. Notably, Nepali workers have not only earned income but have also acquired valuable skills during their time in South Korea. These skills will play a pivotal role in shaping Nepal’s future. Soon after my arrival in Nepal, I came across a news article highlighting the success story of a returnee from South Korea who was creating jobs by opening an industry in Nepal. Such inspiring examples are on the rise, demonstrating that Nepal is steadily moving closer to prosperity.
How can the skills learned in Korea be utilized in Nepal?
In collaboration with the Korean International Cooperation Agency (KOICA), we have initiated a reintegration program to support returning workers in starting businesses and providing vocational education. Through this program, returnee workers learn how to invest. The success of this initiative will lead to the opening of more industries and the creation of additional job opportunities. It is crucial for media outlets, including Annapurna Media Group, to work for harnessing the skills and investments of these returnee workers.
