1. Green Growth Policies as a Strategy for Sustainable Development
The purpose of green growth policies being implemented in Korea and the international community is to get citizens to think beyond themselves. They are also considered policy tools or processes to achieve sustainable development. [Green Growth and Sustainable Development] shows the relationship between green growth and sustainable development. In order to achieve sustainable development, the economy, environment and social development must be in balance.
[Green Growth and Sustainable Development]
Source: Revised from ##3D_LAYER##Jung and Kang (2012) p.42##3D_TEXT:Jung, J.O. and S.J. Kang (2012), Green Economy and Sustainable Development: Issues and Implications for Korea’s ODA Policy, Korea Institute for International Economic Policy 12-07, Korea Institute for International Economic Policy (in Korean), p.42##3D_LINK:https://www.kdevelopedia.org/Resources/economy/녹색경제와-지속가능발전-green-economy-sustainable-development--05201508120139463.do##3D_LAYER_END##
2. Development Projects that Take the Environment into Account
When promoting development projects as a part of green growth policies, the environment needs to be taken into account, and social consensus needs to be formed. During the process of economic growth, indiscriminate development and use of resources led to environmental degradation. The projects that restore the environment, secure sustainable water resources and contribute to regional development can be promoted in developing nations. Hence, when this type of projects is promoted in developing nations, the original goal of the development project that takes the environment into account needs to be achieved based on Korea’s experience. In particular, from the planning stage, various opinions need to be collected sufficiently, and governance needs to be established to incorporate these opinions. Taking the environmental effects into account should be a top priority so that such development projects do not damage the environment.
3. Economic Effects of Green Growth Policies
From the perspective of developing nations that heavily depend on exports, it is true that the increase in investment in the green industry contributes to their economic growth. The global trade pattern and thus the demand in the global market show that the##3D_LAYER## ratio of the green industry##3D_TEXT:Kang, Sung-Jin (2014), “Global Trade Trend and Green Investment,” mimeo (in Korean).##3D_LAYER_END## is increasing. This phenomenon is due to the fact that many developed nations have implemented various environment-friendly policies, and increased the imports of environment-friendly products. Hence, for developing nations, the investment in the green industry increases exports relatively more than the investment in the non-green industry, and will certainly be linked to economic growth.
4. Appropriate Allocation of Roles between the Government and Private Sector
During the initial phase of economic growth, the government-led economic development policies under the strong government leadership are necessary as in Korea’s case. Yet, as the development progresses, the economy shifts to the market-led economy based on the private sector, and the government needs to support this transition. For developing nations at the beginning stage of economic development, the international competitiveness of the private sector is weak, and investment resources are not sufficient, thus requiring government-led economic policies. Particularly, since investment resources are not sufficient, developed nations need to actively support developing nations with foreign aid based on international cooperation or policies such as the support from International Climate Fund.
5. Knowledge Sharing Programs and Green Growth
Developing nations understand the necessity and importance of green growth policies, but do not have sufficient economic, social and environmental infrastructures to promote them. Consequently, it is difficult for developing nations to plan and implement the policies. Hence, in order for developing nations to promote green growth policies, international cooperation from the leaders of green growth and international organizations is necessary. Since 2004, Korea has implemented the knowledge sharing programs (KSP) in order to share its economic growth experience with developing nations. From 2004 to 2012, ##3D_LAYER##projects were implemented##3D_TEXT:Korea Development Institute and Import-Export Bank of Korea (2013), “Knowledge Sharing Program” (in Korean), pp.12~13.##3D_LAYER_END## with 441 topics for 39 partner countries.