Incheon City Offers Up to 300 Million KRW Interest-Free Loans to Employment-Retaining Companies... Firms with Fewer Than 50 Employees

Incheon City Hall

[Asia Economy Reporter Park Hyesook] Incheon City announced on the 8th that it will expand the scale and scope of the 'Employment Guarantee-Linked Special Fund' to support small and medium-sized enterprises (SMEs) affected by the novel coronavirus disease (COVID-19) crisis.

Recently, due to the resurgence of COVID-19, the city will increase the interest-free operating funds provided to companies that maintain employment for more than six months from 100 million KRW to a maximum of 300 million KRW to support the business stability of SMEs facing financial difficulties.

The support target has also been expanded from manufacturing companies with fewer than 30 employees to those with fewer than 50 employees, and the minimum support amount has been significantly raised from 10 million KRW to 50 million KRW.

The support amount is based on one-third of the most recent settlement sales or the amount equivalent to three months' wages of the affiliated workers, with a two-year maturity lump-sum repayment condition. The total support scale is 30 billion KRW, fully funded by the Incheon City SME Development Fund.

Byun Jooyoung, Head of the Incheon City Job Economy Headquarters, said, "This support is expected not only to build a social safety net through employment retention but also to enhance corporate competitiveness by maintaining workers' job proficiency, helping a rapid economic recovery in the post-COVID-19 era."

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Applications for the special fund can be submitted from the 9th at the Incheon Technopark Smart Manufacturing Innovation Center. Applicants must submit basic documents such as factory registration certificates and financial statements, proof of COVID-19 damage, and employment insurance-related documents along with the application form.

Detailed information can be found on the Biz-ok website, a customized one-stop support system for SMEs, and for consultations, inquiries can be made to the Incheon Technopark Smart Manufacturing Innovation Center at 032-260-0621~4.

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