Woori Bank and Shinbo Sign Financial Support Agreement for 'COVID-19 Affected Companies'

[Asia Economy Reporter Kim Hyo-jin] Woori Bank announced on the 23rd that it has signed a 'Financial Support Agreement for Innovation Growth, Export, Job Creation, and COVID-19 Affected SMEs' with the Korea Credit Guarantee Fund to support companies affected by the novel coronavirus infection (COVID-19), innovative companies, and export companies.

Woori Bank will make a special contribution of 6.5 billion KRW to the Korea Credit Guarantee Fund and use this as a resource to provide financial support totaling 460 billion KRW, including 370 billion KRW in 'Guarantee Fee Support Agreement Guarantees' and 90 billion KRW in 'Special Contribution Agreement Guarantees.'

The target companies for the Guarantee Fee Support Agreement Guarantees are SMEs affected by COVID-19, promising service companies, and companies operating in regional representative industries. Woori Bank will support guarantee fees of 0.2 percentage points annually for three years to companies, using 2 billion KRW as the resource for guarantee fee support.

The target companies for the Special Contribution Agreement Guarantees are innovation growth leading companies, export SMEs, and job-creating companies. Using Woori Bank's special contribution of 4.5 billion KRW as a resource, companies can receive guarantees with a 100% guarantee ratio to lower loan interest rates, and loans can be used for up to 11 years. Additionally, they can use loans with even lower interest rates by utilizing the Bank of Korea's financial intermediation support system (C1, C2), among others.

A Woori Bank official said, "We will do our best to support SMEs facing difficulties through collaboration with the Korea Credit Guarantee Fund," adding, "In particular, we will make greater efforts to provide practical financial support to SMEs struggling due to the spread of COVID-19."

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