Seoul City to Provide 100 Billion Won in Loans to SMEs and Small Businesses... Strengthening Hoarding Inspections

'Emergency Economic Response Task Force Meeting for the Middle East Crisis' Held
Review of Living Economy Trends and Status of Damages to Export Companies
Export Insurance and Guarantee Fee Support Raised to 8 Million Won

The Seoul Metropolitan Government will provide loan support totaling 100 billion won to small and medium-sized enterprises (SMEs) and small business owners whose profitability has deteriorated due to rising oil prices and other cost increases.

On March 11, at City Hall's main building, the city announced this measure after holding the "Emergency Economic Response Task Force Meeting for the Middle East Crisis," presided over by the First Deputy Mayor for Administration. The meeting reviewed trends in living costs such as oil prices and inflation, as well as the status of damages to export companies.

Amid growing global economic uncertainty, the Seoul Metropolitan Government has decided to strengthen its response system to stabilize consumer prices, support export companies affected by the crisis, and provide financial support to SMEs.

First, the city will provide 100 billion won in SME promotion funds (support funds for vulnerable businesses) through loans to SMEs and small business owners whose profitability has worsened.

The support conditions are up to 50 million won per business, with the actual interest rate for small business owners ranging from 1.9% to 2.4%. The city plans to expand the support scale if the funds are exhausted early.

Mannam Square Gas Station, Seocho-gu, Seoul. 2026.3.9 Photo by Jinhyung Kang

To support companies expected to be affected by the Middle East crisis, the Seoul Business Support Center is operating a corporate difficulties reporting center.

Through the Seoul Business Support Center, companies can report issues such as export and import logistics delays, delays in collecting export payments, increases in exchange rates, and rising raw material prices. The city will review submitted cases in cooperation with relevant departments and related organizations to consider support measures and formulate countermeasures.

The city also plans to strengthen support measures for export companies affected by the Middle East crisis, such as expanding export vouchers and export credit insurance fee support. At the meeting, it was decided to increase export voucher support for companies predicted to be affected by the crisis.

The Seoul Business Agency (SBA) is currently supporting logistics costs and overseas marketing through its 600 million won export support voucher program this year.

The Seoul Metropolitan Government is also helping export SMEs respond to transaction risks and exchange rate fluctuations through a total of 1.6 billion won in support for export insurance and guarantee fees.

In particular, to ease the burden on companies struggling due to the Middle East crisis, the city will raise the support limit for export insurance and guarantee fees from the previous 3 million won per company to 8 million won.

Additionally, the city is conducting an emergency joint inspection of all 424 gas stations in Seoul. The inspection focuses on checking for compliance with the petroleum price display system, monitoring price increase trends, excessive price hikes taking advantage of rising oil prices, and any acts that disturb the distribution order.

To stabilize consumer prices, the city will also strengthen continuous monitoring and inspections to prevent hoarding. Price trends for 87 key items are being closely monitored at 97 traditional markets and 25 large supermarkets. The city will also intensify inspections for signs of hoarding or abnormal activity for 10 essential items such as instant noodles and bottled water.

Furthermore, the scope of inspections will be expanded beyond offline channels like traditional markets and large supermarkets to include online platforms (such as agricultural product distribution information and AT KAMIS), ensuring thorough efforts to stabilize living costs.

A city official stated, "If signs of hoarding or cornering the market are detected, Seoul will request the Ministry of Economy and Finance to issue a market cornering designation notice (and, if necessary, introduce a price ceiling system)."

The official added, "If prices surge rapidly, the city will mobilize all available means, including joint public-private on-site inspections, collaborative discount events with large supermarkets, and stabilization measures for agricultural product supply, to respond promptly."

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