Jungjingong and Korea Development Bank Join Hands for Proactive Autonomous Structural Improvement Program

Linking Policy Projects with Financial Sector... Support for Business Normalization Focused on Structural Improvement
Eligible Targets: Companies with Over 3 Years in Business and Total Credit Provided Under 15 Billion KRW

[Asia Economy Reporter Kim Cheolhyun] The Small and Medium Business Corporation (Chairman Kim Hakdo, hereinafter referred to as SBC) announced on the 30th that it has signed a business agreement for a proactive autonomous restructuring program with the Korea Development Bank (President Kang Seokhun).

The proactive autonomous restructuring program is a project in which SBC cooperates with financial institutions to support the restructuring procedures of small and medium venture companies facing management difficulties, helping them quickly normalize management and providing opportunities for a new leap forward.

SBC and the Korea Development Bank agreed to actively cooperate to revitalize the proactive autonomous restructuring program and to establish management improvement plans and provide prompt financial support for small and medium enterprises facing management difficulties.

Specifically, they agreed to join forces in ▲ discovering companies eligible for proactive restructuring support ▲ supporting the establishment and implementation of management improvement plans ▲ supporting business restructuring such as business conversion and entry into new businesses ▲ linking support with policy projects such as consulting, export, and sales channels.

SBC will support the supply of new funds and the establishment of management improvement plans, including financial structure improvement and self-rescue plans. The Korea Development Bank will recommend target companies and jointly support financial programs such as new loans, interest rate reductions, and maturity extensions.

The support targets are corporations with more than three years of business experience and total credit exposure of less than 15 billion KRW, classified as small and medium venture companies. Innovative small and medium enterprises such as those holding industrial property rights like patents, venture companies, Inno-Biz, and companies certified for new technology or green technology will be given preferential treatment.

Choi Haksoo, Head of Innovation Growth Division at SBC, said, "We expect this business agreement with the Korea Development Bank to be helpful to companies struggling due to COVID-19 and changes in the external environment," adding, "Based on close mutual cooperation with financial institutions, we will support the restructuring procedures in a package form to help small and medium venture companies quickly normalize their management."

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