Gwangju Bank Supports Jeonnam Businesses Affected by COVID-19 with Special 1 Billion Won Contribution

[Asia Economy Honam Reporting Headquarters Reporter Park Seon-gang] Gwangju Bank (President Song Jong-wook) announced that on the 4th, following a special contribution of 1 billion KRW to the Gwangju Credit Guarantee Foundation on the 26th of last month, it signed a "Special Contribution Business Agreement to Support COVID-19 Affected Companies" with the Jeonnam Credit Guarantee Foundation.

As loan and guarantee support applications from small businesses and small merchants, hit hard by the recession caused by the spread of COVID-19, have surged, Gwangju Bank made a special contribution of 1 billion KRW to the Jeonnam Credit Guarantee Foundation to overcome regional difficulties together. The Jeonnam Credit Guarantee Foundation will use these funds to provide a total of 12 billion KRW in special guarantees.

The support targets are small businesses and small merchants located in Jeonnam who have been affected by COVID-19, recommended by either Gwangju Bank or the Credit Guarantee Foundation, with support of up to 100 million KRW per company.

The loan period is within 5 years, and the guarantee rate borne by customers will be preferentially applied at 0.8% or less regardless of credit rating, with loan interest rates also specially discounted by up to 1.0 percentage points (p).

Starting with the special contribution of 1 billion KRW to the Gwangju Credit Guarantee Foundation on the 26th of last month to support COVID-19 affected companies in the Gwangju area, Gwangju Bank plans to make early contributions to the Korea Credit Guarantee Fund and the Korea Technology Finance Corporation following this agreement with the Jeonnam Credit Guarantee Foundation.

Additionally, Gwangju Bank has established a "Dedicated Window for COVID-19 Affected Companies" at all 145 branches to provide one-stop financial support through prompt financial consultations. At the dedicated window, in addition to linkage with the Credit Guarantee Foundation, the bank also supports its own special funds amounting to 100 billion KRW if necessary.

Song Jong-wook, President of Gwangju Bank, said, "I hope to be a source of strength for small businesses and small merchants in the region who are experiencing difficulties such as decreased sales due to the spread of COVID-19, and furthermore, to be a spark that revitalizes the local economy." He added, "We will continue to fulfill our role as the representative bank of Jeonnam and Gwangju by achieving mutual growth through various financial supports for local residents."

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