Kibo Implements 1 Trillion Won Export Special Guarantee to Strengthen Export Companies' Competitiveness

Establishing a Customized Support System for Export Companies

The Korea Technology Finance Corporation (Chairman Kim Jong-ho, hereinafter referred to as Kibo) announced on the 6th that it will implement three types of special guarantees exclusively for exports and overseas expansion to help export companies overcome the crisis caused by the global economic downturn and to foster companies expanding overseas, providing a total of 1 trillion won in funds through a customized support system for export companies.

In order to actively participate in the 'Comprehensive Export Finance Support Plan' jointly announced by related organizations last August, Kibo established three new special guarantees: ▲ Special Guarantee for Export Diversification Support ▲ Special Guarantee for Strategic Item Export Support ▲ Special Guarantee for Overseas Joint Expansion. The special guarantees will be supported with a total scale of 1 trillion won, and in connection with banks' interest rate reductions (up to 1.5 percentage points), financial costs for user companies will be minimized.

The Special Guarantee for Export Diversification Support was introduced to provide sufficient funds to companies entering new export markets. It offers benefits such as increased guarantee ratios, reduced guarantee fees, and preferential calculation of guarantee amounts to companies expanding export countries or entering promising export countries. The Special Guarantee for Strategic Item Export Support supports companies engaged in items and industries recognized as needing strategic export support, such as core industries, new export growth sectors, and ultra-gap future strategic industries. The Special Guarantee for Overseas Joint Expansion supports small and medium-sized enterprises and mid-sized companies that are partners of large corporations in pursuing overseas expansion by providing guarantees for overseas investment funds and overseas business funds up to 20 billion won.

To establish the support foundation for these special guarantees, Kibo plans to enhance a customized export company support system by ▲ setting focused export support sectors ▲ strengthening linkage with government export support policies ▲ creating a new support track for excellent export SMEs, thereby steadily promoting the 1 trillion won scale special guarantees. Kim Jong-ho, Chairman of Kibo, stated, "By preparing special guarantees exclusively for exports and overseas expansion in line with the government's export support policies, Kibo can actively support the expansion of exports and scale-up leaps of technology-based SMEs," adding, "Going forward, Kibo will take the lead as a dedicated support institution for technology companies in pioneering new export routes and strengthening the competitiveness of export strategic industries."

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