Geumcheon-gu Focuses on Reviving the Local Economy to Overcome COVID-19

From late April, the Local Economy Division will establish the 'Golmok Economy Support Center'... Implementing measures such as financial support, cost compensation, and consumption promotion to revitalize the Golmok economy... Providing one-on-one consultation and various support projects through the Golmok Economy Support Center

[Asia Economy Reporter Park Jong-il] Geumcheon-gu (Mayor Yu Seong-hoon) is implementing various livelihood economy revitalization measures to support small businesses, small merchants, and self-employed individuals struggling due to the COVID-19 crisis.

On the 22nd, the district held a livelihood economy revitalization support measures meeting chaired by Mayor Yu Seong-hoon to discuss various plans to revive the depressed local economy, including the operation of the Alley Economy Support Center.

The district will operate the "Alley Economy Support Center," which oversees livelihood economy revitalization support measures, under the Regional Economy Division of the district office starting from the end of April. The "Alley Economy Support Center" will be led by the Director of the Economic Environment Bureau and will consist of four dedicated teams: General Support Team, Financial Loan Support Team, Grievance Counseling Support Team, and others. The center will counsel businesses and merchants on their difficulties and connect them with various support projects.

To overcome the economic crisis, the district will promote various livelihood economy revitalization support measures such as financial support, cost compensation, and consumption stimulation.

First, as a financial support project, the district will provide unsecured and interest-free loans to local small merchants and self-employed individuals facing difficulties due to COVID-19.

To support small merchants who previously had difficulty accessing institutional loans, the credit rating system has been expanded from the existing 6 grades to 9 grades, lowering the loan threshold.

Additionally, to alleviate funding difficulties for small and medium-sized enterprises, the Small and Medium Enterprise Development Fund will be increased from the existing 4 billion KRW, expanding loan support, and the loan interest rate will be lowered from 1.5% to 0.8% to reduce interest burdens.

Furthermore, a new interest differential compensation project will be established to support the interest difference on loans from commercial banks, and the traditional market loan project will be expanded.

The district's COVID-19 support measures also include a "cost compensation" project that directly supports expenses.

For businesses with fewer than five employees that suffered damage due to confirmed cases visiting, the district will directly support fixed costs such as labor costs and rent. Affected small merchants and franchise business owners can receive up to 1.95 million KRW depending on the closure period. Eligible businesses can apply to the Geumcheon-gu Regional Economy Division by the 24th.

In addition, to support business owners who suffered damage due to closures during the COVID-19 period, the district is promoting employment retention subsidies, voluntary closure subsidies for multi-use facilities, and closure support subsidies for academies and private institutes.

The district is also focusing on "consumption stimulation" to revitalize the local economy depressed by COVID-19.

The issuance scale of the local love currency, "Geumcheon G-Valley Love Gift Certificate," will be expanded from 3 billion KRW to 5 billion KRW, with a 10% special discount sale and prize events to promote consumption activities.

Additionally, the district office and traditional markets will promote a "One Department-One Traditional Market" sisterhood agreement, designating one day per month for each department to visit traditional markets to stimulate consumption.

Moreover, a project will be promoted where welfare centers operating free meals and traditional markets sign agreements to purchase up to 10% of free meal ingredients from local traditional markets.

The district plans to provide one-on-one guidance on relevant support policies through the "Alley Economy Support Center" to ensure that no eligible small businesses, small merchants, or self-employed individuals miss out on benefits due to lack of information.

Mayor Yu Seong-hoon of Geumcheon-gu said, "Many COVID-19 livelihood economy support measures have been announced so far, but many residents do not know what benefits they can receive or how to apply." He added, "Based on the 'Alley Economy Support Center,' public officials will go directly to the field to find residents struggling due to COVID-19 and ensure that no one is left out from receiving practical help."

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