Shinbo, SME Support Regulations Shifted to 'Comprehensive Negative Regulation'

[Asia Economy Reporter Haeyoung Kwon] On the 7th, the Korea Credit Guarantee Fund announced that it will convert its internal regulations related to supporting small and medium-sized enterprises (SMEs) into a comprehensive negative regulation system to flexibly respond to technological innovation and market changes.

Comprehensive negative regulation is a new paradigm of industrial regulation that relaxes rigid and limited legal frameworks to fit the era of the 4th Industrial Revolution, characterized by technological convergence and rapid changes, allowing anything not explicitly prohibited.

At the government policy coordination meeting held that day, the Korea Credit Guarantee Fund included 10 tasks (a total of 206 tasks) in the plan to transition to comprehensive negative regulation. In particular, the task to expand the support targets for SMEs relocating to local areas was introduced as one of the representative cases among the 206 tasks.

Additionally, the Fund is promoting the transition to comprehensive negative regulation for various tasks aimed at fostering new industry development and revitalizing existing industries, such as expanding support targets for smart factories and expanding companies eligible for investment option guarantees.

A representative from the Fund stated, "We will continue to actively discover tasks for regulatory transition and strive to create regulatory improvement outcomes that the public can feel."

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