Junggi Joonganghoe Offers 'Payment Deferral and Interest-Free Loans' to SMEs Affected by Heavy Rain

Over 42,000 Businesses Located in Special Disaster Areas
Application Period Until October 19

Small and medium-sized enterprises (SMEs) affected by heavy rain will be able to postpone their Yellow Umbrella subscription payments or receive interest-free loans.

The Korea Federation of SMEs announced on the 26th that among Yellow Umbrella and mutual aid fund subscribers who suffered flood damage due to heavy rain, subscription payments will be deferred for six months, and interest-free loans and loan interest rate reductions will be implemented.

Kim Ki-moon, Chairman of the Korea Federation of SMEs / Photo by Dongju Yoon doso7@

The support targets are approximately 42,000 businesses located in special disaster areas that were damaged by heavy rain. The special disaster areas include Sejong City; Cheongju and Goesan in Chungbuk; Nonsan, Gongju, Cheongyang, and Buyeo in Chungnam; Iksan, Gimje, and Juksan-myeon in Jeonbuk; and Yecheon, Bonghwa, Yeongju, and Mungyeong in Gyeongbuk.

For Yellow Umbrella subscribers in the affected areas, subscription payments will be deferred for six months. If a disaster confirmation certificate is issued, interest-free loans of up to 20 million KRW within the paid subscription amount are available.

Mutual aid fund subscribers will also have their subscription payments deferred for six months. The loan interest rate for mutual aid funds will be reduced by 2 percentage points.

The application period is until October 19, three months after the declaration of the special disaster zone.

Kim Ki-moon, Chairman of the Korea Federation of SMEs, emphasized, “We have urgently prepared support measures to help alleviate the management burden of SMEs and small business owners in flood-affected areas,” adding, “We hope this measure will provide some assistance in stabilizing flood-damaged businesses.”

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