Daegu City Expands Support for 'Noran Usan Gongje' to Protect Small Businesses... 4,000 New Companies to Benefit

Budget Doubled to 1.3 Billion Won Compared to Last Year... Annual Income Deduction of 5 Million Won for Subscribers

[Asia Economy Yeongnam Reporting Headquarters Reporter Dongwook Park] Daegu City announced on the 14th that as part of the first economic quarantine measures this year, it will invest 1.3 billion KRW of city funds to expand support for the 'Noran Usan Gongje' Hope Incentive.

The support project for the Noran Usan Hope Incentive for small business owners in the Daegu area, which started in the second half of 2019, gained popularity last year to the extent that the project budget was exhausted within three months of the application opening.

Among 299,981 small enterprises and small business owners eligible for enrollment in Daegu City, 67,496 are currently enrolled, recording a subscription rate of 22.5% (as of the end of 2020). This is the fifth highest rate following major local governments Daejeon (26.7%), Gangwon (25.0%), Seoul (23.6%), and Incheon (22.6%).

This year, Daegu City invested 1.3 billion KRW of city funds to support the Noran Usan Gongje Hope Incentive, enabling about 4,000 newly registered businesses to benefit.

The Noran Usan Gongje Hope Incentive support project is operated and managed by the Korea Federation of SMEs and is a public mutual aid system that provides livelihood stability and business recovery opportunities from threats such as business closure or death for small enterprises and small business owners.

The Noran Usan Gongje allows new subscriptions in increments of 10,000 KRW, ranging from 50,000 KRW to 1,000,000 KRW per month. Among these, Daegu City supports small business owners with annual sales of 300 million KRW or less by providing 20,000 KRW monthly for one year as the 'Noran Usan Gongje Hope Incentive.'

Subscribed businesses can receive an income deduction of up to 5 million KRW annually. Additionally, seizure is prohibited by law, and various benefits such as accident insurance support and free consultations with experts in law, taxation, labor, and accounting are available.

Subscription to Noran Usan Gongje can be done through commercial banks, the Noran Usan Gongje website and customer center, or the Korea Federation of SMEs Daegu-Gyeongbuk Regional Headquarters.

Jee Eegwan, Director of the Economic Bureau of Daegu City, stated, "We have prepared and are implementing the '2021 First Economic Quarantine Measures' for Daegu citizens enduring difficult times," adding, "We will gradually increase the amount of the Hope Incentive support and consider expanding the subscription targets for Noran Usan Gongje to strengthen the social safety net."

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