NH Nonghyup Bank Supports Financially Vulnerable Groups with 12.6 Trillion KRW Program

Interest Rate Reduction Implemented with Expanded Preferential Rates

Special Contribution by Regional Credit Guarantee Foundation

Complete Waiver of Electronic Financial Transfer Fees

New Product Launch Related to Hometown Love Donation System

[Asia Economy Reporter Sim Nayoung] NH Nonghyup Bank announced on the 18th that it will provide financial support worth 12.6 trillion KRW. This support consists of four parts: 'interest rate reduction for financially vulnerable groups,' 'special contribution to regional credit guarantee foundations to support small and medium-sized enterprises (SMEs) and small business owners,' 'complete exemption of NH All One Bank transfer fees,' and 'activation of the Hometown Love Donation System.' It is expected that financial benefits worth approximately 100 billion KRW annually will be returned to consumers through this.

To take the lead in sharing the burden of financially vulnerable groups such as small self-employed individuals, loan interest rates will be reduced. Preferential interest rates provided to farmers for household and corporate loans will be increased by 0.2 percentage points from 0.3% to 0.5%. Preferential interest rates for SMEs and small self-employed operators running agri-food businesses will be increased by 0.2 percentage points from 0.1% to 0.3%. For young people struggling due to rising interest rates, the preferential interest rate for the Youth Jeonse and Monthly Rent Mutual Support will be raised by 0.2 percentage points from 0.3% to 0.5%. The interest rate on variable-rate mortgage loans will be lowered by 0.8 percentage points.

To support SMEs and small business owners, a special contribution of 70 billion KRW will be made to regional credit guarantee foundations to support funds worth 1 trillion KRW. In addition, transfer fees for electronic financial transactions via NH All One Bank will be completely waived for all customers.

To activate the 'Hometown Love Donation System,' which is being implemented from this year, 'NH Hometown Love Donation Savings and Deposits' and 'NH Hometown Love Donation Card' will be launched. 'NH Hometown Love Donation Savings and Deposits' offer a preferential interest rate of 0.5 percentage points to customers who pay hometown love donation funds, and 0.1% of the annual average balance will be supported in the region selected by the customer. The 'NH Hometown Love Donation Card' provides up to 1.7% reward benefits when donors visit and use the donation region.

President Lee Seok-yong said, "I hope this support will bring comfort and help to companies and citizens who are doing their best to overcome difficulties," and added, "We will continue to faithfully fulfill the role of a 'warm financial institution that shares warmth.'"