Gangnam-gu Provides 10 Billion KRW Low-Interest Loans at 0.8% to SMEs and Small Business Owners

0.8% Low-Interest Loans, Full Interest-Free Period for 1 Year from Execution Date... Corporate Limit 300 Million KRW, Individual Business Limit 30 Million KRW

[Asia Economy Reporter Jongil Park] Gangnam-gu District Office (Mayor Jeong Soon-gyun) will implement a loan support project worth 10 billion KRW for small and medium-sized enterprises (SMEs) and small business owners starting from the 7th.

The support targets business establishments located in Gangnam-gu that have been registered for more than one year. Applicants must have collateral capability such as real estate or credit guarantees according to financial institution loan regulations. The interest rate is fixed at 0.8% per annum, with a maximum limit of 300 million KRW for corporate businesses and 30 million KRW for individual business owners. The loan is provided interest-free for one year, with a one-year grace period followed by four years of equal installment repayments.

Applications are accepted from the 7th to the 23rd. Interested companies should prepare a loan application form, business plan, and other required documents and visit the reception desk on the basement level 1 of the district office main building to apply.

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

Gangnam-gu is conducting an ‘Interest Subsidy for Commercial Bank Cooperation Funds’ program that supports part of the bank loan interest (up to 2.5%) to alleviate financial difficulties of SMEs and small business owners. The interest subsidy amount has been significantly increased from 1 billion KRW last year to 4.5 billion KRW this year, supporting interest on a total of 180 billion KRW in bank loans.

Mayor Jeong Soon-gyun of Gangnam-gu said, “During the 7th local government term, Gangnam-gu is helping stabilize the management of local businesses through loan support and interest subsidy projects,” and added, “We hope that many SMEs and small business owners who are struggling due to COVID-19 will show interest and apply.”

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