The United Kingdom of Great Britain and Northern Ireland (UK) has signed a Memorandum of Understanding (MoU) with the Republic of Korea (ROK).
The MoU enhances cooperation between the UK Department for Business and Trade (DBT) and the Korean Overseas Infrastructure & Urban Development Corporation (KIND) to work on Ukrainian reconstruction projects, as well as global infrastructure development in other markets.
This first of its kind agreement signals an exciting opportunity for British and South Korean businesses to make a difference in Ukraine, as well as demonstrate their expertise to the global market, boosting both countries’ economies while being a force for good.
This agreement was signed in the Old Admiralty Building in London on Thursday 22nd May 2025, between the UK Business and Trade Minister, Gareth Thomas MP, and the KIND CEO, Mr. Bok Hwan Kim. It is KIND’s inaugural MoU with DBT and the UK Government.
The MoU will promote new UK-South Korean business partnerships across third markets in the fields of sustainable transport, healthcare infrastructure, smart cities and urban development, clean energy, water and waste management, and sustainable infrastructure and related technologies. In Ukraine, this agreement will kickstart urgent repairs to critical national infrastructure, including housing, hospitals and power generators.
The partnership will advance the UK’s strong diplomatic and trade ties with the Republic of Korea as set out in the 2023 Downing Street Accord. It is also underpinned by £16.3 billion in bilateral trade and supported through the existing UK-ROK Free Trade Agreement, which the Government has committed to upgrading.
The agreement also builds on the UK’s landmark 100-Year Partnership with Ukraine, whereby reconstruction programmes form a key part of the £5bn the UK Government has provided to Ukraine in non-military support.
Business and Trade Minister Gareth Thomas said:
This agreement is the first of its kind and strengthens our relationship with the Republic of Korea.
As part of our Plan for Change it will secure vital opportunities for UK businesses to work with KIND and South Korean companies in overseas infrastructure and deepen our commitment to supporting Ukrainian reconstruction efforts.
KIND CEO, Bok Hwan KIM, said:
This Memorandum of Understanding with the UK government marks a historic moment that elevates infrastructure cooperation between Korea and the United Kingdom to a new level. KIND is delighted to contribute to Ukraine’s reconstruction and sustainable infrastructure development worldwide through this partnership. By combining our countries’ expertise and technological capabilities, we can make a tangible impact across various sectors, from critical infrastructure repairs to clean energy and smart cities. This collaboration goes beyond business opportunities—it represents our joint response to global challenges, and we are honoured to embark on this important journey alongside British companies.
Background
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KIND was established in June 2018 by the Government of the Republic of Korea to support Korean companies for project planning, feasibility studies, project information and project bankability.
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The UK works with partner countries to jointly deliver high-quality infrastructure projects in third markets through the Third Country Cooperation (TCC) model.
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The TCC partnership builds on the complementary strengths of both countries: South Korea brings globally recognised contracting expertise and cost-effective project delivery; the UK offers advisory services, engineering, project finance (including through UK Export Finance), and high-tech solutions.
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Ukraine is a priority TCC market for both sides, although the agreement will also allow cooperation with other third countries.
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Early reconstruction is vital to Ukraine’s resilience and ultimate victory, and the UK government is committed to mobilising British businesses to support this effort – helping to rebuild critical infrastructure, drive investment, and ensure Ukraine emerges stronger in the face of Russian aggression.
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According to the World Bank’s Fourth Rapid Damage and Needs Assessment (RDNA4), as of 31 December 2024, the total cost of reconstruction and recovery in Ukraine is $524 billion (€506 billion) over the next decade, which is approximately 2.8 times the estimated nominal GDP of Ukraine for 2024.
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The RDNA4 finds that direct damage in Ukraine has now reached $176 billion (€170 billion), up from $152 billion (€138 billion) in the RDNA3 of February 2024, with housing, transport, energy, commerce and industry, and education as the most affected sectors.
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We have developed strong relationships with Ukrainian ministers, local mayors, and officials to identify immediate reconstruction needs, as prioritised by the Government of Ukraine. By promoting the expertise and capabilities of UK businesses, we can ensure UK companies are well-positioned to maximise their contribution to Ukraine’s recovery and reconstruction.
