5 Small and Medium Enterprises and 113 Small Business Owners Supported with 3% Annual Interest Differential for 5 Years
[Asia Economy Yeongnam Reporting Headquarters Reporter Choi Soon-kyung] Hapcheon-gun, Gyeongnam announced on the 27th that it will support the interest difference on loans amounting to 5.4 billion KRW for 118 companies to help stabilize the management of small and medium-sized enterprises (SMEs) and small business owners struggling due to the prolonged impact of the novel coronavirus infection (COVID-19).
This measure aims to quickly resolve the financial difficulties of SMEs and small business owners in the first half of this year. Last year, loan applications were accepted up to 500 million KRW for SMEs and up to 50 million KRW for small business owners, and on the 22nd, decisions were made after a document review of eligibility requirements.
Through this review committee decision, SMEs will receive support from the county for part of the interest difference (3% per annum) on loans totaling 1.45 billion KRW for 5 companies, and small business owners will receive support for loans totaling 4 billion KRW for 113 companies over five years.
This year, the county is expanding the loan support scale from 9.4 billion KRW to 14 billion KRW due to the prolonged COVID-19 situation.
To ensure stable guarantee supply for companies lacking collateral, support measures are being strengthened, including increasing the contribution fund of the Gyeongnam Credit Guarantee Foundation to 200 million KRW this year.
Chairman Choi Yong-nam said, “This loan support aims to provide early funding necessary for management stabilization to local companies and small business owners who are facing increasing difficulties before the Lunar New Year holiday,” adding, “We hope that the economic burden on SMEs and small business owners struggling due to the impact of COVID-19 will be alleviated even a little.”
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