17 Billion KRW Scale for 509 Companies with Principal Repayment Due in First Half of 2021... Ongoing Applications Until June 30 at Woori Bank (Dongjak-gu Office Branch) and IBK (Noryangjin Branch)
[Asia Economy Reporter Jongil Park] Dongjak-gu (Mayor Changwoo Lee) is implementing both a deferment of repayment and an extension of maturity for loans from the Small and Medium Business Development Fund to alleviate the principal repayment burden on small and medium-sized enterprises (SMEs) and small business owners facing financial difficulties due to the prolonged COVID-19 pandemic.
This initiative aims to strengthen financial support for local SMEs and small business owners and help stabilize their management.
As part of this policy, the district has been accepting applications for a 2 billion KRW loan for business stabilization purposes since January, temporarily applying a zero-interest rate for one year upon loan approval.
The deferment and maturity extension apply to companies repaying the Small and Medium Business Development Fund loans in the first half of 2021, with 509 companies and a total principal amount of 1.7 billion KRW scheduled for repayment in the first half.
The deferment period is up to six months starting from the month including the application date, including the maturity extension, and applies only to the principal repayment portion of loans due for repayment; interest is excluded.
Companies wishing to defer repayment should visit Woori Bank (Dongjak-gu Office Branch) or Industrial Bank of Korea (Noryangjin Branch) to apply by June 30.
Those who took loans secured by credit guarantees should consult the Credit Guarantee Foundation before applying.
For more details, inquiries can be made to the Economic Promotion Division.
Kim Jungwon, head of the Economic Promotion Division, said, “We hope that the loan repayment deferment will provide some relief to SMEs and small business owners,” adding, “We will do our best to prepare various support measures to overcome these difficult times together with businesses.”
Last year, as part of the COVID-19 response, the repayment schedule for loans was temporarily deferred for companies experiencing management difficulties.
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