Suncheon-si Provides 15 Billion Won Loan Support for Small Business Owners

Application Submission for Small Business Support Starts from the 26th

Suncheon City, Jeollanam-do (Mayor Noh Gwan-gyu) will provide loan funds worth 15 billion KRW to support small business owners struggling due to the economic downturn and the 3 highs (high inflation, high interest rates, high exchange rates).

The city will operate the ▲Small Business Owner Guarantee Loan Program (general guarantee, special guarantee) and ▲Small Business Owner Loan Interest Subsidy Program (interest support) from the 26th until funds are exhausted to alleviate financial difficulties and stabilize management for small business owners.

[Photo by Suncheon City]

The city signed agreements with the Jeonnam Credit Guarantee Foundation and eight financial institutions (NH Nonghyup Bank, Kookmin Bank, Hana Bank, Woori Bank, Gwangju Bank, Shinhan Bank, Suncheon Credit Union, Suncheon Central Credit Union) regarding the loan period, interest rate calculation methods, and types of loans.

According to the agreement, small business owners can obtain loans at interest rates lower than market rates.

The loan limit is up to 30 million KRW per business, with a two-year grace period and lump-sum repayment method, and interest subsidies of up to 5% of the loan interest will be provided for two years.

Applications for support can be made from the 26th at the Suncheon Small Business One-Stop Support Center.

Eligible applicants are small business owners who have registered their business in Suncheon City and have operated their business continuously for more than one year.

Loans will be accepted quarterly with a scale of 6 billion KRW in Q1, 5 billion KRW in Q2, 3 billion KRW in Q3, and 1 billion KRW in Q4.

A city official stated, “To ease the burden on small business owners amid the ongoing economic downturn and high interest rates, we plan to raise the interest subsidy rate from 3% in 2023 to 5%. We will continue to prepare practical support measures so that small business owners can live without worries.”

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