Dokyu-sang "Reviewing Further Extension of Loan and Interest Repayment for SMEs and Small Business Owners" (Update)

Dokyu-sang, Vice Chairman of the Financial Services Commission

[Asia Economy Reporter Kwangho Lee] The government has decided to extend loan maturities and support repayment deferrals for small and medium-sized enterprises (SMEs) struggling due to the impact of the novel coronavirus disease (COVID-19).

On the 26th, Do Kyoo-sang, Vice Chairman of the Financial Services Commission, presided over the 33rd Financial Risk Response Team meeting and stated, "It seems inevitable to re-extend temporary financial support measures such as maturity extensions and repayment deferrals for SME loans," adding, "We will prepare a soft-landing plan to ensure that umbrellas are not taken away when it rains."

The government is currently implementing maturity extensions and repayment deferrals until March for small business owners and SMEs affected by COVID-19. The loan amount for SMEs and small business owners from the four major domestic banks is estimated at approximately 408 trillion won, with about 1.84 million borrowers.

Vice Chairman Do emphasized, "COVID-19 has caused an 'unequal shock' and deepened economic and social polarization," and added, "The government will faithfully implement the '175 trillion won +@ livelihood stabilization package program' to actively alleviate the difficulties faced by small business owners and SMEs affected by COVID-19."

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