The Richest District Mayor of Gangnam-gu Provides Another 10 Billion Won Loan Support to Small and Medium Enterprises and Small Business Owners

Following 38.7 billion KRW in the first half, up to 300 million KRW per company will be loaned at a low interest rate of 0.8% in the second half

[Asia Economy Reporter Jong-il Park] Gangnam-gu (District Mayor Jeong Soon-gyun) will launch a loan support project worth 10 billion KRW starting from the 27th to assist small and medium-sized enterprises (SMEs) and small business owners struggling due to the prolonged COVID-19 pandemic.

The support targets businesses that have been registered for more than one year and have business locations within the district. Eligible applicants include corporations and individual business owners with collateral capabilities such as real estate or credit guarantees according to bank credit regulations.

The maximum loan amount is 300 million KRW for corporate businesses and 50 million KRW for individual business owners. The loan interest rate is fixed at 0.8% per annum, with a repayment period of 1 year grace period followed by 4 years of equal installment repayments.

Applications will be accepted from the 27th until October 15th. Interested companies should submit loan application forms, business plans, and other documents to the District Office’s Local Economy Division.

For more details, please check the Gangnam-gu District Office website or contact the Local Economy Division.

Earlier this year, the district provided interest-free and collateral-free loans totaling 28.7 billion KRW to small business owners and 10 billion KRW to 116 SMEs in the first half of the year.

Additionally, to alleviate financial difficulties for SMEs and small business owners, the district is implementing an interest subsidy program in cooperation with commercial banks, supporting part of the loan interest (up to 2.5% support, with a minimum interest rate of 1.0%).

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