OVERVIEW

Inclusive Business Solution (IBS) is a business based on strategic partnerships for the common goal of solving social development problems faced by low-income people in developing countries while providing them with employment and business opportunities, and meeting our company's business needs. Inclusive Business considers low-income people in developing countries as producers, distributors/sellers/distributors, and consumers.

DEFINITION

A business that pursues the common goal of solving social problems in partner countries and meeting our company's business needs through supply and production, product and service development, sales, distribution, and marketing activities, targeting the BOP pursued by the existing IBS program.
Excavation method:
- Public contest (for SMEs/social enterprises) Open contest once a year on free topics (sub-topics on key areas determined by mid-term strategies and CPs by sector) and designated topics (local demand).
- Continuous discovery type (for large/medium-sized companies): Applications are accepted and reviewed throughout the year for the above free and designated topics.

KOICA PLATFORM ESG INITIATIVE

- A model that creates sustainability and global social value by upgrading the global CSR business operated mainly by large and medium-sized companies within the existing IBS program and discovering businesses with ESG as the theme, in line with the trend of importance of corporate ESG management.
- Discovery method: Promote business in cooperation with large and medium-sized companies through open recruitment and ad hoc discovery on ESG-specific topics and designated topics (local demand) once a year.

Mixed financial business

- Definition: A business that supports financial investment in social ventures and infrastructure in developing countries, where partner companies execute the entire contribution as investment in developing countries, thereby contributing to economic growth and infrastructure development in developing countries.
- Excavation method: Projects are promoted through open recruitment and ad hoc excavation on topics specified in the annual public notice once a year.

Planning an inclusive business model

KOICA and corporate partners jointly seek ways to actively link corporate business strategies to development cooperation projects. They jointly design models that include BOP* members in the business value chain or provide new products and services to create positive outcomes for both the company and the BOP.

Implementing Inclusive Business

KOICA and corporate partners create a joint matching fund to operate inclusive business models. We carry out various activities with the goal of creating jobs for BOP, increasing income generation, and providing BOP with affordable and high-quality goods and services.

Performance Evaluation

KOICA and corporate partners jointly evaluate financial and development performance.

The Bottom of the Pyramid (BOP)

It is the low-income class with an annual income of less than $3,000, which has limited access to basic goods and services. It accounts for 70% (4.5 billion people) of the world's population and has abundant potential as the consumer market size is $5 trillion.

Participants

- For-profit corporations in Korea : Eligible to participate.
- NGO/NPOs in Korea : Eligible to participate if established by a for-profit corporation.
- Preliminary social enterprises : Must be a corporation and designated as a preliminary social enterprise by the director of a central government agency or the head of a local government.
- Social enterprises : Must be a corporation and certified by the Minister of Employment and Labor.
- Public sector & civil organizations : Not eligible to participate independently, Eligible to participate only if signed a consortium with a for-profit corporation or a social enterprise.

Support Performance

KOICA has secured 92.4 billion KRW (48.2 billion by KOICA and 44.2 billion by corporations) for development funds from 2010 to 2017. KOICA cooperated with 84 companies and conducted 110 projects in 28 countries in the areas of education, agricultural development, health, technology, environment, and energy.

TRANSPORTATION AND URBAN INFRASTRUTURE

Transportation and Urban Infrastructure are the backbone of the economy in the way they bring vitality to the economic activities. Given rapid economic growth and urbanization process, this sector had received the largest ODA volume for Viet Nam over the past 10 years.
KOICA acts as catalyst for comprehensive growth along with systematic transportation and sustainable urban development in Viet Nam. Specifically, KOICA provides technical assistance to central and local governments in planning their cities toward smartness, social inclusion and environmental sustainability. In transportation, KOICA supports policy making and feasibility studies of railways, seaports and inland waterways for a comprehensive land development.

CENTRAL LEVEL:

-The Project for the Establishment of the 2021 -2030
-Comprehensive Social Housing Policy in Vietnam(2018-2020/ 3 million USD)
-Development Experience Exchange Partnership for Transport Sector (DEEP) in Vietnam (2015-2020/ 5 million USD)
-Project for Enhancing Capacity on Cooperation and Management of the Expressway Network in Vietnam(2015-2018/ 1.5 million USD)

1 Thai Nguyen, Kien Giang:
-The Technical Assistance Project for Establishment of Vietnam Green City Master Plan (2015-2018/ 6.5 million USD)

2 Hanoi:
-Pre-Feasibility Study for the Construction of Hanoi Metro Line No.8 (2018-2020/ 4 million USD)

3 Ha Tinh:
-The Feasibility Study for a Railway Link from Vientiane in Lao PDR to Vung Ang in Vietnam (2015-2017/ 3 million USD)

4 Hue:
-The Detailed Planning of the Huong Riverside and Pilot Project (2014-2018/ 6 million USD)
-Project for Modification of Hue City's Master Plan (2011 -2013/ 3.5 million USD)

5. Ho Chi Minh:
-Technical Assistance project for Pre-Feasibility Study and
-11 Feasibility Study for the Ho Chi Minh City Urban Railway
-Construction, Line No. 5 Stage 2 (2015-2017 I 5 million USD)
-Project for Feasibility Study on Bus Rapid Transit (BRT)
-System in Ho Chi Minh City (2009-2011/ 2 million USD)