Daejeon City to Provide 200 Billion KRW in Business Stability Funds for Small Merchants This Year

[Asia Economy (Daejeon) Reporter Jeong Il-woong] Daejeon City will provide 200 billion KRW this year as management stabilization funds for small business owners.

The city announced on the 9th that it will accept applications for the "2023 Small Business Management Improvement Fund" through 12 partner banks, including Daejeon Credit Guarantee Foundation and Hana Bank.

Applications can be submitted starting from the 11th of this month. This year's management improvement fund is twice the size of last year's, and the city plans to provide funds in a total of 11 rounds to help local small business owners struggling with recent high interest rates.

The first round of support amounts to 30 billion KRW, and the eligible recipients are small business owners registered in Daejeon. The loan limit is 50 million KRW per business, with a two-year grace period and lump-sum repayment condition. The city plans to support 2% of the loan interest for two years.

To receive the first round of management improvement fund support, applicants must apply online through the Daejeon Credit Guarantee Foundation website starting at 10 a.m. on the 11th of this month (first-come, first-served), receive a registration number via text message, and then submit the application documents to one of the 12 partner banks such as Hana Bank and NongHyup Bank.

In particular, socially vulnerable groups such as Good Price Businesses, persons with disabilities, national merit recipients, families with multiple children, and multicultural small business owners can receive an additional 1% interest subsidy, totaling 3% loan interest support.

For more detailed information regarding the small business management improvement fund support, please refer to the Daejeon Credit Guarantee Foundation website.

Previously, the city supported 3,308 small business owners with 100 billion KRW in management improvement funds last year. Additionally, about 13,000 small business owners benefited from the special guarantee program with zero interest and zero guarantee fees to overcome crises.

Kim Young-bin, Director of the Economic Science Bureau of the city, said, “We hope that the management improvement fund support will help local small business owners who are struggling with high interest rates, high prices, and high exchange rates,” and added, “The city will continue to develop and implement various policies to help small business owners overcome the COVID-19 crisis and recover their businesses.”

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