Namdong Power Supports Package for SMEs Affected by COVID-19

Expansion of Labor Cost Application in Support Projects
Interest Reduction on Business Operating Loans
Extension of Project Period Due to Domestic and International Travel Restrictions Causing Business Disruptions

Korea South-East Power Gyeongsangnam-do Jinju Headquarters building. (Photo by Korea South-East Power)

[Asia Economy Reporter Moon Chaeseok] Korea South-East Power has stepped up to support small and medium-sized partner companies suffering direct and indirect damage due to the novel coronavirus infection (COVID-19) crisis.

On the 13th, South-East Power announced that it will implement a support package for small and medium-sized enterprises in three areas: management, safety, and market access to overcome the COVID-19 crisis.

They will promote seven detailed projects. Specifically, these include ▲expanding the application of labor costs when carrying out support projects ▲interest reduction on loans for corporate operating funds ▲extension of project periods if support projects are disrupted due to domestic and international travel restrictions ▲provision of safety supplies such as hand sanitizers ▲on-site quarantine support for local small and medium-sized enterprises ▲support for insurance premiums for advance payment performance bonds when signing contracts ▲support for acquiring excellent certification in export-import safety management.

South-East Power conducted a survey targeting 119 partner companies and prepared measures based on 35 identified difficulties, judging these projects to be the most effective in helping small and medium-sized enterprises.

For example, the policy supporting insurance premiums for advance payment performance bonds is a support measure that induces an expansion of advance payment rates, aligning with the government's early fiscal execution policy.

Purchasing safety supplies such as hand sanitizers will be supported through the Win-Win Growth Mall operated by the Small and Medium Business Distribution Center, an affiliate of the Ministry of SMEs and Startups, to help small and medium-sized enterprises secure market access.

A South-East Power official said, "We hope this package support measure will help alleviate the difficulties of small and medium-sized enterprises even a little," adding, "We will continuously monitor the field and strive to overcome COVID-19."

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