Jungjingong Begins Accepting Applications for Employment Retention Plus Fund

For Companies with 30% Revenue Decline, 1% Ultra-Low Interest Rate Conversion for 1 Year of Employment Retention

[Asia Economy Reporter Kim Cheol-hyun] The Ministry of SMEs and Startups (Minister Kwon Chil-seung) and the Small and Medium Business Corporation (Chairman Kim Hak-do, hereinafter referred to as SBC) announced on the 5th that they will establish an Employment Maintenance Plus Fund worth 200 billion KRW and provide customized support for companies affected by COVID-19.

The Employment Maintenance Plus Fund is a policy fund that reduces the loan interest rate from 2.15% to a super-low rate of 1% from the second year until maturity if the number of employees does not decrease for one year after the loan. The target is small and medium enterprises whose sales have decreased by more than 30% due to management difficulties such as COVID-19 damage, bankruptcy of business partners, and deterioration of payment conditions.

Kim Hak-do, Chairman of SBC, said, "We plan to expand the originally planned 500 billion KRW emergency management stabilization fund to 700 billion KRW and use 200 billion KRW for the Employment Maintenance Plus Fund," adding, "SBC will continue to closely monitor market conditions to ensure that policy funds are appropriately supported where needed."

Applications for the Employment Maintenance Plus Fund can be made online through the SBC website, and detailed information can be obtained by contacting one of the 32 regional SBC branches nationwide or the SME Integrated Call Center.

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