New Report: Infrastructure Guarantee Supply Expanded to 2.2 Trillion KRW This Year

Expanding Supply Scale for Stable Establishment of Korea New Deal Policy

[Asia Economy Reporter Kwangho Lee] The Korea Credit Guarantee Fund announced on the 8th that it will expand the supply scale of infrastructure guarantees to 2.2 trillion won this year, an increase of 200 billion won compared to the previous year's plan, to ensure the stable establishment of the Korean New Deal policy.

Infrastructure guarantees are a system that guarantees loans for businesses related to social overhead capital (SOC) construction projects. It was started in 1995 to supplement insufficient government funds by utilizing private capital and to introduce private sector efficiency into the public sector.

Last year, in line with the government's policy to expand SOC investment to boost economic vitality and enhance public convenience, the Korea Credit Guarantee Fund supported a total of 12 projects, including the Dongbuk Line urban railway private investment project and the Busan New Port Phase 2 Rear Road private investment project, with 2.0513 trillion won, recording a supply performance that increased by 13.3% compared to 2019.

This year, the Fund plans to expand support for various types of social infrastructure in line with the amendment of the Private Investment Act on social infrastructure and the announcement of the Korean New Deal comprehensive plan, and to respond swiftly to the rapidly changing private investment project market by introducing new financial methods such as the New Deal Fund.

Additionally, by leveraging its accumulated expertise, the Fund intends to actively support the financial restructuring of existing projects and provide financial advisory support for regional development projects.

A representative of the Fund said, "We will strive to revitalize the private investment project market and ensure the early establishment of the Korean New Deal policy through the expansion of infrastructure guarantee supply and the advancement of support systems."

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