Financial Services Commission Chairman: "Expansion of Corporate Normalization Fund to 4 Trillion Won by 2027"

'Corporate Restructuring Fund Business Agreement Ceremony' Held in Busan
Chairman Kim Juhyun: "Kamco, Please Deliver Operational Performance"

Kim Ju-hyun, Chairman of the Financial Services Commission, is delivering opening remarks at the 'Venture Business Financial Support Meeting' held on the 10th at Front1 in Mapo-gu, Seoul. Photo by Kang Jin-hyung aymsdream@

On the 11th, Kim Ju-hyun, Chairman of the Financial Services Commission, stated, "We will newly establish a Corporate Restructuring Innovation Fund worth up to 4 trillion won by 2027 to support corporate normalization through the capital market."

Chairman Kim attended the ‘Corporate Restructuring Innovation Fund Business Agreement Ceremony’ held at the Busan International Finance Center (BIFC) in Busan that afternoon and said, "We will actively work to resolve corporate difficulties by expanding the scope of new fund support by Korea Asset Management Corporation (KAMCO) to workout companies under the Corporate Restructuring Promotion Act," expressing his commitment.

The agreement ceremony was attended by Kang Seok-hoon, President of Korea Development Bank; Yoon Hee-sung, President of Export-Import Bank of Korea; Kim Sung-tae, President of Industrial Bank of Korea; and Kwon Nam-joo, President of KAMCO. At the ceremony, policy financial institutions pledged cooperation among agencies along with a 500 billion won policy fund investment to raise 1 trillion won for the Corporate Restructuring Innovation Fund this year.

The Corporate Restructuring Innovation Fund established this year will be managed by KAMCO, which plans to enhance the fund’s corporate normalization effects through linkage with its own programs. Chairman Kim urged KAMCO, "Please achieve better operational results by creating excellent investment cases through synergy with your accumulated corporate support experience and proprietary corporate support programs."

After the business agreement ceremony, Chairman Kim visited TankTech located in Saha-gu, Busan. TankTech, established in 1991, is a shipbuilding equipment manufacturer with over 30 years of experience. It is the only company in Korea producing ship ballast water balance maintenance devices, contributing to the localization of shipbuilding equipment.

In September 2020, when the entire shipbuilding industry was suffering from a recession, TankTech overcame liquidity crises by utilizing KAMCO’s ‘Sale & Lease Back’ program. KAMCO purchased assets such as buildings and leased them back to the company, supplying about 35.8 billion won in liquidity while supporting the continuation of its operations.

Chairman Kim stated, "We are making various customized financial support efforts such as preferential interest rate loans and preferential guarantees to alleviate the financial difficulties faced by small and medium-sized enterprises," and added, "We will listen carefully to field difficulties and provide the necessary financial support to the fullest extent."