Gangwon Province Provides Proactive Support for Small Businesses Affected by Drought... Special Loan and Interest Assistance

Governor Kim Jin-tae of Gangwon Special Self-Governing Province visited the Hongje Water Purification Plant in Gangneung on the afternoon of the 16th to deliver snacks and encourage field workers, including firefighters and military personnel, who are working hard to overcome the drought.

Gangwon Province Governor Jin-Tae Kim visited Hongje Water Purification Plant in Gangneung on the afternoon of the 16th to deliver snacks and encourage firefighters, military personnel, and other field workers who are striving to overcome the drought. Photo by Gangwon Province

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The snacks were prepared by bakeries and cafes in the Gangneung area, and are expected to not only boost the morale of field workers but also support local small business owners.

Meanwhile, in the case of typical natural disasters such as typhoons, the province provides support after the disaster ends by assessing physical damages. However, for droughts, recovery often becomes difficult or damages rapidly increase if support begins only after the drought ends. For this reason, the province is implementing proactive support measures to minimize damages to small business owners.

In particular, the province requested that the Ministry of SMEs and Startups recognize intangible damages, such as decreased sales, as disaster-related damages. As a result, with the special approval granted on September 15, it is now possible to issue disaster small business owner certificates.

Through this, small business owners can apply for emergency business stabilization funds by calculating the amount of sales decrease as the damage amount. Each business can receive up to 100 million won, with a five-year repayment period, a two-year grace period, and a fixed interest rate of 2%.

The province will cover the entire 2% interest rate, effectively reducing the financial burden on small business owners.

In addition, in cooperation with Gangwon Regional Office of SMEs and Startups, Gangneung City, Gangwon Regional Headquarters of the Small Enterprise and Market Service, and Gangwon Credit Guarantee Foundation, a 'One-Stop Support Center' has been operating at Gangneung City Hall since September 12, providing tailored consultations on emergency business stabilization fund loans, guarantee issuance, and support policies.

Governor Kim Jin-tae stated, "The damage from drought is not always visible, and after the disaster ends, it can even lead to business closures. Therefore, proactive support is necessary. We will support loans to cover sales decreases and the province will fully cover the interest, easing the burden on small business owners."

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