Noran Usan Gongje Expands Childbirth Support

Yellow Umbrella Mutual Aid Interest-Free Loans and Contribution Payment Deferral Approved

The Ministry of SMEs and Startups and the Korea Federation of SMEs announced on the 30th that starting from the 1st of next month, the reasons for interest-free loans and payment deferrals on the Yellow Umbrella Mutual Aid Fund will be expanded to include cases where the insured member gives birth.

The Yellow Umbrella Mutual Aid Fund was introduced in 2007 to protect small businesses and small merchants from livelihood threats such as business closure or old age. As of August this year, it has 1,767,000 registered members and mutual aid funds totaling 27.2 trillion KRW, establishing itself as a representative social safety net for small businesses and small merchants.

This childbirth support is part of the government’s ‘Comprehensive Measures for Small Business Owners and Self-Employed’ announced in July. It was prepared to alleviate urgent financial needs and burdens related to childbirth for small merchants enrolled in the mutual aid. The scope of support has been expanded by adding ‘childbirth’ to the existing four types of interest-free loan products and six types of payment deferral reasons.

Hwang Young-ho, head of the SME COVID-19 Recovery Support Team at the Ministry of SMEs and Startups, said, “We hope this childbirth support will help small merchants give birth to and raise children in this era of low birth rates, even if just a little.” “We will continue to strive to expand benefits centered on members so that the Yellow Umbrella Mutual Aid Fund becomes a reliable social safety net for small merchants.”