BNK Gyeongnam Bank, 'Taking Action to Support the Activation of Defense Industry Exports'

Signing of Financial Support Agreement between Defense Acquisition Program Administration and Financial Institutions

BNK Gyeongnam Bank has signed a 'Defense Industry Export Financial Support Business Agreement (MOU)' jointly with the Defense Acquisition Program Administration and others.

The business agreement ceremony held on the 6th at the Government Sejong Convention Center was attended by Park Sang-ho, Head of Credit Sales Division at BNK Gyeongnam Bank, Jang Young-jin, 1st Vice Minister of the Ministry of Trade, Industry and Energy, Kang Hwan-seok, Deputy Administrator of the Defense Acquisition Program Administration, Kim Yoon-tae, Vice President of KOTRA, and Yoon Jong-bae, Head of Korea Trade Insurance Corporation, among others.

BNK Gyeongnam Bank jointly signed a 'Defense Industry Export Financial Support Business Agreement (MOU)' with the Defense Acquisition Program Administration and others.

The defense industry export financial support business agreement is being promoted as a follow-up measure to the government's announced 'Defense Industry Export Strategy Meeting' and the '10th Defense Industry Development Council' to foster the defense industry and revitalize exports of defense companies.

The agreement banks, including BNK Gyeongnam Bank, will provide tailored export financing loans amounting to 100 billion KRW annually to defense industry partners through policy guarantees from export guarantee institutions and offer preferential interest rates.

KOTRA's Defense Material Trade Support Center manages the overall project, including planning and executing collaboration measures, while the Defense Acquisition Program Administration selects and manages support targets by recommending promising small and medium-sized defense companies.

The Korea Trade Insurance Corporation offers preferential benefits such as increasing the guarantee ratio and discounting guarantee fees for target companies, and supports guarantee screening and issuance of guarantee certificates.

Head Park said, "We will continue to provide policy support to help defense export companies struggling due to the prolonged COVID-19 pandemic secure liquidity and enhance export competitiveness. We will do our best to achieve mutual growth with the regional economy through continued support for the defense industry."