Gwangju Seogu’s Special Guarantee Support Program Uses 2.1 Billion Won in Just One Month

by Shin Dongho

Published 05 Nov.2025 14:53(KST)

Support for Businesses Near the Urban Railway Line 2 Construction Site

Gwangju Seogu District secured a total of approximately 6.5 billion won for a special guarantee support program in September. Within just over a month of implementation, about 2.1 billion won (roughly 33%) of the funds have already been used.

According to Seogu District on November 5, this additional special guarantee support program was established to assist small business owners facing difficulties due to the economic downturn and the prolonged construction of Urban Railway Line 2.

Seogu District Office view. Provided by Seogu District, Gwangju

Under the program, small business owners and self-employed individuals with businesses located in Seogu District can receive unsecured loans of up to 20 million won, with the district providing support for loan interest rates up to 5% for a maximum of one year.

In particular, Seogu District is focusing support by allocating a total of 3.6 billion won in special guarantees to businesses located within a 300-meter radius of the Urban Railway Line 2 construction site.

Previously, on September 19, Seogu District signed a 2025 special guarantee support agreement for small business owners with the Gwangju Credit Guarantee Foundation and Gwangju Bank. By contributing 300 million won from the district budget and converting the remaining 2.92 billion won credit limit from Gwangju Bank for the years 2022 and 2023, a total of 6.52 billion won in management stabilization funds was secured.

Lee Ikang, Mayor of Seogu District, stated, "We expect that this special guarantee will serve as a catalyst for real recovery for merchants suffering from the impact of construction. Moving forward, we will continue to expand on-site, customized financial support policies so that small business owners, the backbone of the local economy, can operate their businesses with peace of mind."

Meanwhile, in February, Seogu District contributed to the stabilization of small business management by providing 4.2 billion won in funds to 222 small business owners through the first round of special guarantees.