Gyeonggi-do Provides 1 Trillion Won Low-Interest Support to 200,000 Youths

Gyeonggi Provincial Government Gwanggyo New Office Building

[Asia Economy (Suwon) = Reporter Lee Young-gyu] Gyeonggi Province is launching the nation's first youth financial support policy this year called the '2023 Gyeonggi Youth Startup Bridge Finance' project. Additionally, financial institutions that will jointly implement this project will be publicly recruited from February 26 to March 9.

The Gyeonggi Youth Startup Bridge Finance is a youth financial product supported by Gyeonggi Province that provides small and long-term financial services at low interest rates to young people aged 25 to 34 who are registered residents of Gyeonggi Province, giving them the opportunity to pursue their dreams.

The loan supply scale is 1 trillion KRW, targeting approximately 200,000 people. It is a minus account type that can be used for up to 10 years at a relatively low contracted interest rate of up to 5 million KRW per person. When the account balance is 0 KRW or more, not minus, a special preferential interest rate is applied, allowing for a saving effect as well. The province plans to design it as a demand deposit account that allows both loans and savings to help youth financial independence.

The finally selected financial institutions will sign an agreement with Gyeonggi Province and carry out detailed design and implementation of the financial product.

Eligibility includes banks under the 'Banking Act,' mutual finance, mutual savings banks, and specialized credit finance companies.

Yeom Tae-young, Deputy Governor for Economy of the province, said, "The Gyeonggi Youth Startup Bridge Finance, aimed at alleviating financial inequality among youth, is the nation's first youth financial support policy that provides opportunities for any youth in Gyeonggi Province to access finance. As this is a meaningful project that offers more and more equitable economic opportunities to youth, we ask for the interest and participation of capable financial institutions."