Yangcheon-gu Provides 12.5 Billion KRW Special Loans to Alleviate Financial Difficulties of Small Merchants

Yangcheon-gu Provides 12.5 Billion KRW Special Loans to Alleviate Financial Difficulties of SMEs and Small Business Owners

Woori Bank Collaborates with Seoul Credit Guarantee Foundation to Offer Special Loan Support Worth 12.5 Billion KRW to Local SMEs and Small Business Owners

Maximum Guarantee Limit of 100 Million KRW per Company, Guarantee and Loan Period of 5 Years

Plans to Expand 2.5 Billion KRW Mid-Year SME Loan Support and Increase Limit for Yangcheon-gu Recommended Special Credit Guarantees

Yangcheon-gu (Mayor Lee Gi-jae) announced that it will implement special loan support worth 12.5 billion KRW in cooperation with Woori Bank and the Seoul Credit Guarantee Foundation to revitalize the local economy by alleviating the financial difficulties of SMEs and small business owners facing management crises.

For this loan support, Woori Bank will make a special contribution of 1 billion KRW, and the Seoul Credit Guarantee Foundation will provide credit guarantees within a limit of 12.5 billion KRW, which is 12.5 times the contribution amount, enabling local SMEs and small business owners to receive loans for business stabilization.

The support targets SMEs and small business owners who have been registered in the district for more than six months. The guarantee limit per company is up to 100 million KRW, and the guarantee and loan period is five years. In particular, individual business owners can enjoy a special benefit where the interest for the first month after a new loan is fully refunded the following month.

The application period is until the funds (12.5 billion KRW) are exhausted, and companies and small business owners wishing to apply can visit the Yangcheon branch of the Seoul Credit Guarantee Foundation to submit their applications.

Meanwhile, in the first half of this year, the district supported loans totaling over 2.4 billion KRW to 43 local businesses through the SME Development Fund. The district plans to continue various support measures, including mid-year SME loan support worth 2.5 billion KRW in August and expanding the limit of the Yangcheon-gu recommended special credit guarantees signed with the Seoul Credit Guarantee Foundation in 2020.

Lee Gi-jae, Mayor of Yangcheon-gu, said, “We hope this special loan support will serve as a catalyst for the revival of SMEs and small business owners in the district who are experiencing management difficulties,” adding, “We will continue to actively discover and implement effective support policies to drive the local economy.”

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