[Asia Economy Reporter Kim Daeseop] Fourteen small and medium enterprise (SME) organizations, including the Korea Federation of SMEs, announced on the 12th that the prompt passage of the supplementary budget bill currently pending in the National Assembly is necessary to minimize the damage caused by the novel coronavirus infection (COVID-19) and to recover the economy.
On this day, the SME organizations emphasized in an appeal, "Due to the recent spread of COVID-19, small and medium enterprises and small business owners are facing an unprecedented crisis, and especially the Daegu and Gyeongbuk regions have suffered severe damage, being on the verge of collapse."
They also urged the National Assembly to take interest and promptly pass the supplementary budget bill. The supplementary budget includes comprehensive support measures for domestic economic recovery such as ▲advancement of the quarantine system including infectious disease inspection, diagnosis, and treatment ▲support for SMEs and small business owners ▲support for livelihood and employment stability ▲support for regional economic recovery.
The SME sector is also contributing to overcoming COVID-19. They have prepared various self-help measures such as ▲Good Landlord Movement ▲reduction of loan interest rates for the Yellow Umbrella Mutual Aid Fund ▲extension of loan repayment deadlines for the mutual aid fund ▲support for a dedicated guarantee system for joint purchasing of raw materials.
The appeal includes participation from the Korea Federation of SMEs as well as ▲Korea Specialty Contractors Association ▲Korea Mechanical Equipment Construction Association ▲Korea Women Entrepreneurs Association ▲Korea Foodservice Industry Association ▲Korea Venture Capital Association ▲Venture Business Association ▲Korea Federation of SME Cooperatives ▲Korea Women Venture Association ▲Korea Franchise Industry Association ▲Korea Internet Corporations Association ▲IT Women Entrepreneurs Association ▲Korea Management Innovation SME Association ▲National Merchants Federation.
The SME organizations plan to visit the National Assembly soon to explain the difficulties faced by SMEs and the urgency of passing the COVID-19 supplementary budget bill.
Seo Seungwon, Executive Vice President of the Korea Federation of SMEs, said, "The economic difficulties of small and medium enterprises and small business owners are intensifying due to the already difficult economic situation compounded by unexpected adverse factors such as COVID-19," and added, "The National Assembly must promptly pass the supplementary budget bill considering that the current situation is an emergency."
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