Yeosu City Expands Interest Subsidy Support for 'Industrial Crisis Response' Companies

Loan Limit Raised to 1 Billion Won, Eligible Industries Expanded
Application Deadline Extended to December 11

Yeosu City in South Jeolla Province (Mayor Chung Kimyung) announced on October 22 that it will expand the implementation of the "Regional Industrial Crisis Response Corporate Operating Fund Interest Subsidy Program," which has been promoted to stabilize the management of local small and medium-sized enterprises as well as mid-sized companies since the city was designated as a "Preemptive Response Area for Industrial Crisis" in May.

This expansion follows the Ministry of Trade, Industry and Energy's announcement on October 21 regarding changes to the program, including adjustments to the application deadline, loan limits, and eligible industries. The measure aims to ease the financial burden on local companies facing management difficulties and to strengthen practical support.

Yeosu National Industrial Complex panorama.

The "Regional Industrial Crisis Response Corporate Operating Fund Interest Subsidy Program" provides government support in the form of an interest subsidy, covering part (3.0%) of the interest on operating fund loans. Applications have been accepted since August 28.

According to the revised announcement from the Ministry of Trade, Industry and Energy, the application deadline has been extended from November 14 to December 11. The range of eligible industries has also been expanded from the original basic chemical manufacturing (C201) and synthetic rubber and plastic manufacturing (C202) to all chemical substances and chemical product manufacturing industries (excluding pharmaceuticals, C20).

The loan limit per company has been increased from a maximum of 500 million won to 1 billion won, and the number of participating banks has grown from seven to eleven (Gyeongnam, KB Kookmin, IBK, Gwangju, Nonghyup, Shinhan, IM, Woori, Busan, Hana, and Korea Development Bank).

With these changes, the scope of support, which was previously centered on petrochemicals, has been broadened to encompass the entire chemical products sector, allowing partner companies and those in upstream and downstream industries to benefit as well. In addition, the increased loan limit is expected to provide substantial assistance in securing liquidity and stabilizing business operations.

Mayor Chung Kimyung stated, "We will actively guide local businesses so that the government's support measures for preemptive response areas to industrial crisis can effectively reduce their financial burden and contribute to the rapid stabilization of the overall industrial ecosystem," adding, "We will do our utmost to revitalize the local economy."

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