Sejong City Provides 55 Billion KRW Loan Support for Small and Medium Enterprise Development Funds

[Asia Economy (Sejong) Reporter Jeong Il-woong] Sejong City will raise 55 billion KRW this year to support loans for small and medium-sized enterprises (SMEs).

The city announced on the 12th that it will support local SMEs by investing SME development funds to provide financial support using commercial bank funds and to compensate for the interest rate difference on loans.

The support funds are allocated as 6 billion KRW for startup funds, 11 billion KRW for competitiveness enhancement funds, 12 billion KRW for innovation funds, and 1 billion KRW for corporate rehabilitation funds, with loan interest rates ranging from 1.46% to 2.44%.

Additionally, the scale of management stabilization funds, which compensate 2% to 3%p interest for SMEs struggling due to lack of funds, will increase by 8 billion KRW from 12 billion KRW last year to 20 billion KRW this year. A separate 5 billion KRW emergency management stabilization fund has been established to provide financial support for companies affected by COVID-19.

Applications for SME development funds will be accepted from the 20th and will be open year-round until funds are exhausted.

The support targets are SMEs in manufacturing, construction, and knowledge service industries with business locations in Sejong as of the application date, with support amounts ranging from a minimum of 300 million KRW to a maximum of 2 billion KRW per company.

For more detailed information regarding SME development fund support, inquiries can be made to the City Hall Corporate Support Division or the Sejong Technopark Corporate Innovation Growth Team.

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