Shinhan Bank Makes Special Contribution of 7 Billion Won to Seoul Credit Guarantee Foundation... Supports 105 Billion Won in Loans

Agreement between Seoul Credit Guarantee Foundation and Small Business Financial Support

[Asia Economy Reporter Kwangho Lee] Shinhan Bank announced on the 25th that it has signed a business agreement with the Seoul Credit Guarantee Foundation to support small business owners in Seoul who are struggling due to the damage caused by COVID-19.

Through this business agreement, Shinhan Bank will make a special contribution of 7 billion KRW to the Seoul Credit Guarantee Foundation, the Seoul Metropolitan Government will provide special operating funds using the Small and Medium Business Development Fund, and the Seoul Credit Guarantee Foundation will issue guarantees worth 105 billion KRW based on Shinhan Bank's special contribution funds.

The guarantee fee for the special operating fund loan is 1% per annum, which is 0.2% to 0.5% cheaper than before, the loan maturity is up to 5 years, and the loan interest rate is at the lowest level of the low 1% per annum. It is expected that a total of about 4,000 small enterprises and small business owners will benefit through the 105 billion KRW guarantee.

A Shinhan Bank official said, "We currently contribute 15 billion KRW annually to the Seoul Credit Guarantee Foundation, and including this 7 billion KRW and an additional 8 billion KRW scheduled for May, we will continue to promote business agreements to revitalize the Seoul local economy and stabilize the management of small business owners."