IBK, 2.2 Trillion KRW in 'Low-Interest Loans at 1% Range' for Innovative Companies and Small Businesses

[Asia Economy Reporter Kwon Haeyoung] IBK Industrial Bank of Korea announced on the 20th that it will provide more than 2.2 trillion KRW in ultra-low interest loans in the 1% range to expand financial support for innovative companies and small business owners.

IBK has signed business agreements with the Korea Credit Guarantee Fund, the Korea Technology Finance Corporation, and credit guarantee foundations to launch the 'Innovation Growth Special Loan' and the 'Small Business Ultra-Low Interest Special Loan.'

The Innovation Growth Special Loan automatically reduces the loan interest rate by 1 percentage point using a guarantee certificate from a guarantee institution as collateral for companies within 7 years of establishment in innovative industries such as advanced manufacturing, materials, components, and knowledge services. The reduced interest rate is provided for up to 8 years, with a total support scale of 1 trillion KRW.

The Small Business Ultra-Low Interest Special Loan applies the benchmark interest rate at the time of loan execution (as of the 20th, KORIBOR 1-year rate at 1.49%) as the loan interest rate without any additional margin to small business owners and self-employed individuals who have received a guarantee certificate from a guarantee institution. Loans are supported at the benchmark interest rate for up to 3 years, and guarantee fees are also preferentially treated. The total support scale is 1.2 trillion KRW.

An IBK official stated, "We will continue to expand financial support for innovative companies leading future growth and small business owners who are the foundation of the grassroots economy, practicing innovative finance and inclusive finance."

This content was produced with the assistance of AI translation services.