Yoon Jong-won, CEO of Industrial Bank of Korea, "Active Role of Policy Banks Crucial for SMEs in Adverse Conditions"

[Asia Economy Reporter Bu Aeri] Yoon Jong-won, President of IBK Industrial Bank of Korea, stated that "an active role of policy banks is essential for small and medium-sized enterprises (SMEs) facing unfavorable conditions such as high credit risk and weak collateral power."

President Yoon made this assertion on the 12th at the St. John's Hotel in Gangneung, Gangwon Province, during the "70th Anniversary Policy Symposium of the Korean Economic Association."

The policy symposium, held under the theme "100 Days Since the New Government's Inauguration: Achievements and Challenges of Economic Policy," was attended by Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho, Vice Chairman of the Financial Services Commission Kim So-young, among others.

Participating in the New Growth and Financial Policy session with presentations and discussions, President Yoon emphasized IBK's role for SMEs, including providing a financial safety net during crises, improving financial accessibility, mitigating loan volatility, and supporting innovative growth and sustainability. As empirical evidence, he cited the increased loan market share during crisis periods, empirical analysis showing that loans are countercyclical unlike those of commercial banks, and the high proportion of loans to medium- and low-credit companies.

President Yoon added, "Beyond traditional loan-centered funding support, we will expand the supply of venture capital and strengthen startup incubation through IBK Changgong."

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