Shinhyup Central Association Receives Presidential Citation at 'Social Economy Expo'

The National Credit Union Federation of Korea received the Presidential Citation at the 3rd Korea Social Economy Expo held on the 2nd.

[Asia Economy Reporter Song Seung-seop] The National Credit Union Federation of Korea (NACUFOK) announced on the 5th that it received the Presidential Citation at the 3rd Korea Social Economy Expo.

At the expo held on the 2nd at the Kim Dae-jung Convention Center in Gwangju, NACUFOK was awarded the 'Presidential Citation for Social Economy Contributors' for contributing to social value creation through financial support for social economy enterprises. The expo was attended by 17 central government ministries including the Ministry of Economy and Finance, 8 private organizations, and over 200 companies.

In June 2016, NACUFOK launched the Win-Win Cooperation Loan, a dedicated loan product for social economy enterprises (social enterprises, cooperatives, village enterprises, and self-support enterprises). The funds are self-raised and managed through the Social Economy Support Fund, offering loans at an interest rate of around 2.5~3.0%. The cumulative loan amount surpassed 100 billion KRW as of last month. The Social Economy Fund, currently at 8 billion KRW, is planned to be expanded to a total of 10 billion KRW by 2022.

Additionally, to expand social finance, NACUFOK signed business agreements with Gyeonggi Province in 2019 and Chungcheongnam-do Province in 2020. According to the agreements, each local government supports 2.0% interest. Social economy enterprises with business locations in these regions can receive low-interest loans of around 1.0% from NACUFOK.

In 2015, NACUFOK introduced the online platform ‘CU Bizcoop’ for social economy enterprises. CU Bizcoop is a tax and accounting platform provided free of charge by NACUFOK to support the development and self-reliance of small social economy enterprises. It allows integrated management of accounting (settlement, bookkeeping, etc.), taxation (VAT filing, etc.), and management of members and investments.

Kim Yoon-sik, Chairman of NACUFOK, emphasized, “Based on the identity as a financial cooperative, NACUFOK contributes to social value creation through social finance activities,” adding, “We will continue to create diverse social values and grow together with local communities.”