Jongno-gu Mayor Kim Young-jong Selected as an Innovation Case by the Ministry of the Interior and Safety for 'Small Business Loan Support' and Smiles

Selected for the Ministry of the Interior and Safety's 'Resident Life Innovation Case Expansion Support Project' with 30 million KRW funding secured... Providing low-interest loans for small business owners hit hard by COVID-19 and receiving positive evaluations

[Asia Economy Reporter Park Jong-il] Kim Young-jong, Mayor of Jongno-gu, smiled brightly after being selected as an innovation case by the Ministry of the Interior and Safety for his small business support project.

Jongno-gu was honored to be finally selected for the Ministry of the Interior and Safety’s “2021 Resident Life Innovation Case Expansion Support Project” with the “Small Business Low-Interest Loan Support Project,” securing a budget of 30 million KRW.

The “Resident Life Innovation Case Expansion Support Project” aims to nationally expand excellent innovation cases and achievements of local governments discovered through various evaluations and competitions last year. The purpose is to go beyond discovering regional achievements and to spread them so that more residents can feel the impact in their daily lives.

This year, after expert evaluations in May, a national online preference survey, and on-site verification, 34 excellent regional innovation cases were selected across five fields: ▲resident-centered key promotion tasks ▲public-private cooperation ▲active administration ▲space sharing ▲smart services.

In the case of Jongno-gu, the project received favorable evaluations by promoting a low-interest loan support program for small business owners struggling due to the frozen economic situation.

Located at the heart of Korea’s historical and cultural center connecting Gyeongbokgung Palace, the Blue House, and Gwanghwamun, Jongno faced a crisis with the second-highest closure rate among Seoul’s 25 districts due to a decrease in tourists amid the prolonged COVID-19 pandemic and an increase in telecommuting workers.

To help alleviate the financial difficulties and stabilize the management of local small business owners, a loan support program worth 20 billion KRW was implemented in collaboration with financial institutions.

Jongno-gu supports the interest for one year up to a limit of 20 million KRW per business, and since May 24 of this year, loans exceeding 10 billion KRW have been executed.

In addition, Jongno-gu has continuously carried out initiatives such as issuing the Jongno Love Gift Certificate to help increase sales and the Good Rent Movement to support local merchants in overcoming the economic downturn caused by the prolonged COVID-19 situation.

They have also regularly disinfected traditional markets, distributed related supplies such as masks, hand sanitizers, and prevention guideline posters, and held sales promotion events and social markets to support social economy distribution channels for business district recovery.

For self-employed and small business owners, the “Seoul-type Good Landlord Support Project” was promoted to support private landlords who voluntarily reduce rent, making multifaceted efforts to overcome the nationwide crisis by encouraging coexistence between landlords and tenants.

Mayor Kim Young-jong said, “I hope Jongno-gu’s loan support project will spread nationwide and help more small business owners overcome their crises,” adding, “We will not be complacent with this result but will strive to prepare effective policies that improve residents’ quality of life while resolving various difficulties in the local community.”