Interest Rate Benefits Based on ESG Performance... Hana Bank Provides 500 Billion KRW Support to SMEs

If ESG Goals Are Achieved, 1.2% Preferential Interest Rate Also Offered

Hana Bank will provide funding worth 500 billion KRW to support the expansion of ESG (Environmental, Social, and Governance) management among small and medium-sized enterprises (SMEs).

On the 29th, Hana Bank announced that it signed a business agreement with the Korea Chamber of Commerce and Industry (KCCI) the previous day at the KCCI headquarters in Jung-gu, Seoul, to support ESG management for SMEs.

Accordingly, Hana Bank will launch the ‘Hana ESG Sustainability-Linked Loan (SLL type)’ product, a sustainability-linked loan for SMEs, next month and provide a total of 500 billion KRW in funding to eligible companies. The sustainability-linked loan is a loan product that offers benefits such as preferential interest rates if SMEs set their own ESG goals and evaluation criteria and faithfully implement them.

The Korea Chamber of Commerce and Industry will measure and evaluate the annual ESG performance of SMEs seeking loans through its ESG management diagnosis platform and issue an ESG management performance certificate based on this. Depending on the ESG score and rating, Hana Bank will offer a preferential interest rate of up to 1.2%.

In addition, Hana Bank plans to participate in the ‘SME and Mid-sized Enterprise Supply Chain ESG Diagnosis and Consulting Service’ conducted by the Korea Chamber of Commerce and Industry. Through this, it plans to provide trading companies with ▲ ESG management diagnosis consulting ▲ additional financial and tax consulting support.

Lee Seung-yeol, CEO of Hana Bank, said, "With the global expansion of ESG management, SMEs are continuously required to respond to ESG management." He added, "Hana Bank will steadily expand various support measures so that SMEs facing difficulties can strengthen their ESG capabilities independently in anticipation of these changes."

Lee Seung-yeol, President of Hana Bank (left), and Woo Tae-hee, Vice Chairman of the Korea Chamber of Commerce and Industry, are posing for a commemorative photo after signing a business agreement to support ESG management for small and medium-sized enterprises at the Korea Chamber of Commerce and Industry headquarters in Jung-gu, Seoul, on the 28th. (Photo by Hana Bank)

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