Suncheon City to Ease Financial Struggles of Small Businesses... 5% Loan Interest Support

Applications Accepted at Small Business One-Stop Support Center
Starting from the 24th

Suncheon City, Jeollanam-do (Mayor Noh Gwan-gyu) announced on the 14th that it will officially implement a guarantee loan and loan interest support program totaling 15 billion KRW to help revitalize the local economy and alleviate financial difficulties for small business owners.

A promotional flyer from Suncheon City announcing loan support for small business owners. Provided by Suncheon City

This year, in particular, the special guarantee for low-credit small business owners has been doubled from the previous year to 3 billion KRW, allowing more small business owners to benefit from the program.

By contributing 1.6 billion KRW to the Jeonnam Credit Guarantee Foundation, the city will support small business owners to receive loans of up to 30 million KRW for two years. Guarantee certificates can be issued without collateral, and when loans are taken out through eight partner commercial banks, the city will support an annual interest rate of 5% for two years.

Notably, the city's annual 5% interest support rate is higher than the average 3~3.5% offered by other local governments. By working with partner banks to lower the additional interest rate, the city has focused on reducing the interest burden for small business owners.

Financial support for small business owners in 2025 will be provided quarterly, and applications for first-quarter loans will be accepted from the 24th until funds are exhausted.

Small business owners who have operated for more than one year with a business located in Suncheon City can apply by visiting the 'Suncheon City Small Business One-Stop Support Center.'

A city official stated, "Through this financial support program, we aim to help stabilize the management of small business owners and contribute to the recovery of the stagnant local economy," adding, "We will carefully ensure that this program provides practical help to small business owners facing management difficulties."