Gwangju Bank and Gwangsan-gu Sign 10 Billion KRW Agreement for SME Financial Support

[Asia Economy Honam Reporting Headquarters Reporter Park Seon-gang] Gwangju Bank (President Song Jong-wook) announced on the 8th that it signed a business agreement for financial support for technology-based small and medium enterprises (SMEs) at the Gwangsan District Office of Gwangju Metropolitan City, attended by Song Jong-wook, President of Gwangju Bank, Kim Sam-ho, Head of Gwangsan District Office, and related officials, and will offer related loans.

This agreement is a tripartite agreement with Gwangsan District of Gwangju Metropolitan City and the Korea Technology Finance Corporation, providing a special guarantee of 10 billion KRW to technology-innovative SMEs and SMEs located in Gwangsan District that are struggling due to the impact of COVID-19.

The loan limit under the agreement is up to 500 million KRW per company, with a loan period of 1 year and a possible extension of up to 5 years.

Gwangju Bank has enabled companies to use the agreement loan at an interest rate in the low 3% range through a minimum interest rate reduction of 0.7%p, and supported a guarantee fee of 0.5%p for one year, reducing the burden of guarantee fees borne by customers to the Korea Technology Finance Corporation.

Song Jong-wook, President of Gwangju Bank, said, “I hope this will help revitalize the local economy by actively providing financial support to local SMEs that are suffering from financial difficulties due to the recent COVID-19 damage and difficult economic conditions.” He added, “We will continue to fulfill our mission as the representative bank of Gwangju and Jeonnam by preparing various financial support measures for local residents and achieving mutual growth with the region.”

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