Busan Bank Signs Regional Coexistence Financial Support Agreement with Korea Credit Guarantee Fund

On June 20, Busan Bank announced that it had signed a "Regional Coexistence Financial Support Agreement for the Recovery of the Real Economy and Enhancement of SME Competitiveness" with Korea Credit Guarantee Fund, in celebration of the opening of the Haeundae branch of the Korea Credit Guarantee Fund.

This agreement was established to commemorate the opening of the Haeundae branch, which is the 100th branch of the Korea Credit Guarantee Fund, and to support smooth funding for small and medium-sized enterprises (SMEs) as well as the recovery of the local economy.

The two organizations will provide a total of 60 billion KRW in credit guarantee-backed loans to SMEs, including companies engaged in new growth engines and job-creating enterprises. Busan Bank will make a special contribution of 3 billion KRW, and the Korea Credit Guarantee Fund will issue guarantees based on this contribution. In addition, Busan Bank plans to operate an additional 500 million KRW guarantee fee support fund to help reduce the financial burden on SMEs.

The credit guarantee-backed loans will be handled under two categories: special contribution guarantees and guarantee fee support guarantees. For special contribution guarantees, borrowers can receive a full credit guarantee for the first three years and a 0.2 percentage point reduction in the guarantee fee rate. For guarantee fee support guarantees, a 0.5 percentage point reduction in the guarantee fee rate will be applied for three years.

Bang Seongbin, CEO of Busan Bank, stated, "This agreement will provide substantial financial support to SMEs facing difficulties in raising funds and serve as an opportunity to revitalize the local economy. We will continue to expand financial support for the recovery of the local economy and for supporting SMEs in the future."

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