Emergency Management Stabilization Fund Support for SMEs Affected by the Ukraine Crisis

Russian and Ukrainian Export-Import SMEs and Related Partner Companies

[Asia Economy Reporter Kim Cheol-hyun] The Ministry of SMEs and Startups (Minister Kwon Chil-seung, hereinafter referred to as the Ministry) and the Small and Medium Business Corporation (Chairman Kim Hak-do, hereinafter referred to as SBC) announced on the 16th that they will provide emergency management stabilization funds to SMEs affected by the Ukraine crisis.

This is in response to the recent exclusion of Russia from the Society for Worldwide Interbank Financial Telecommunication (SWIFT) and trade sanctions due to the Ukraine crisis, which have increased domestic and international economic uncertainties. In particular, consideration was given to the worsening management difficulties of SMEs that have trade relations such as exports and imports with Russia and Ukraine.

The eligible applicants are domestic SMEs with an export-import ratio of 30% or more with Russia and Ukraine, or those with a transaction ratio of 30% or more with companies operating or exporting/importing in Russia and Ukraine.

The loan period for the emergency management stabilization funds is a 2-year grace period followed by a 3-year installment repayment, with a support limit of up to 1 billion KRW per company. In addition, SBC plans to provide prompt loan support to affected companies through flexible consultations at a dedicated counseling window without applying the scale requirement of management difficulties to ease application conditions.

Chairman Kim Hak-do said, "Due to the recent Ukraine crisis, damage to export-import companies and related partners is a concern, and SBC will strive to help normalize the management of SMEs experiencing management difficulties."

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