Daegu City Provides 50 Billion Won 'Low-Interest Loans' to Tenant Small Business Owners... Special Preferential Interest Rates Applied

Announcement of Detailed Measures on the 24th

On the afternoon of the 19th, during a vaccine transport drill held at Daegu Buk-gu Health Center, a model of the AstraZeneca vaccine transported under police escort from the storage warehouse arrived at the health center.
[Image source=Yonhap News]

[Asia Economy Yeongnam Reporting Headquarters Reporter Park Dong-wook] Daegu City announced on the 21st that, as part of the first Daegu-type COVID-19 economic quarantine measures this year, it will establish and support a special management stabilization fund of 50 billion KRW for small business owners' rental fee support.

Daegu City, which announced plans to support a 1 trillion KRW management stabilization fund by abolishing the annual sales limit this year, will establish a special fund sector to support small business owners who rent properties and will announce detailed plans on the 24th.

According to a survey by the Korea Real Estate Agency, small-scale commercial rents in the Daegu area increased in all quarters in 2020 compared to the previous year, even as COVID-19 spread. The vacancy rate also rose from 5.2% in the first quarter of 2020 to 7.1% in the fourth quarter.

The establishment of this special management stabilization fund is a measure to respond to the financial needs of small business owners who are suffering double burdens due to monthly rental fees despite a sharp decline in sales caused by the resurgence of COVID-19.

The support target is small business owners in the area who operate businesses by renting buildings owned by others. The loan scale is 50 billion KRW, with interest rates of 1.7% to 2.2% applied with special preferential rates for one year, within a limit of 100 million KRW per company. Interested small business owners can apply at one of the six nearby Daegu Credit Guarantee Foundation branches.

Hong Ui-rak, Deputy Mayor for Economic Affairs of Daegu City, said, "We hope this support will alleviate the financial difficulties of local small business owners whose livelihoods are threatened even a little," and added, "We will continuously identify blind spots and serve as a reliable support for local small business owners going through difficult times."

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