Gwangju Bank Provides 600 Billion KRW Special Funds for SMEs During Chuseok Holiday

[Asia Economy Honam Reporting Headquarters Reporter Park Jin-hyung] Gwangju Bank announced that it will urgently support 300 billion KRW in new funds through the ‘Special SME Fund Loan’ until September 30 to assist small and medium-sized enterprises (SMEs) and small business owners in the region facing difficulties with operating funds ahead of the Chuseok holiday.

This special fund support was quickly implemented ahead of Chuseok, when demand for funds is concentrated, as a livelihood stabilization measure considering the prolonged COVID-19 pandemic and the stagnant regional economy.

Accordingly, the plan is to support labor costs, unpaid wages, raw material purchase funds, and emergency payment funds for local SMEs and small business owners.

In addition, 300 billion KRW in maturity extension funds have been allocated together, allowing loan customers whose loans mature during this period to extend the maturity if desired, except in special cases.

This amount is 100 billion KRW more than the 200 billion KRW maturity extension funds allocated during the last Lunar New Year holiday.

The support limit per company for this Chuseok special fund loan is up to 5 billion KRW, which is also 2 billion KRW higher compared to the last Lunar New Year special fund loan, and by offering up to 0.70 percentage points (P) preferential interest rates compared to the calculated interest rate, it is expected to reduce the financial burden on SMEs and small business owners.

Song Jong-wook, President of Gwangju Bank, said, “I hope this Chuseok special fund loan support will provide practical help in resolving the financial difficulties of local SMEs and small business owners,” and added, “Going forward, Gwangju Bank will continue to pursue value beyond profit with the responsibility of being the representative bank of Gwangju and Jeonnam, and will implement various financial support measures for SMEs and small business owners in the region to achieve mutual growth with the community.”

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