Gwangju Bank and Jeonnam Province Sign Special Agreement to Support Small Business Owners in Overcoming Crisis

Gwangju Bank signed a special contribution agreement with Jeonnam Province and Jeonnam Credit Guarantee Foundation to support financing for small businesses and small merchants. Photo by Gwangju Bank

Gwangju Bank (President Ko Byungil) announced on the 19th that it has signed a "Special Contribution Agreement for Financial Support to Small Enterprises and Small Business Owners."

The signing ceremony, held at the Jeonnam Provincial Government Office, was attended by Kim Yungrok, Governor of Jeonnam Province, Kim Jonghoon, Vice President of Gwangju Bank, Lee Kanggeun, Chairman of Jeonnam Credit Guarantee Foundation, and other related officials.

Through this agreement, Gwangju Bank will make a special contribution of 1.5 billion KRW to the Jeonnam Credit Guarantee Foundation to expand financial support for small business owners in the Jeonnam region who are struggling due to high interest rates and economic downturn.

The Jeonnam Credit Guarantee Foundation plans to use these funds to provide a total of 22.5 billion KRW in special guarantee loans. The support targets small enterprises and small business owners located in Jeonnam, recommended by Gwangju Bank or the Jeonnam Credit Guarantee Foundation, with a maximum of 200 million KRW per business. The loan period is up to five years, and the interest rate will be reduced by up to 1.5 percentage points per annum.

Meanwhile, since 2020, Gwangju Bank has contributed 1 billion KRW annually and increased the amount to 1.5 billion KRW from 2024 to the Jeonnam Credit Guarantee Foundation, providing a total of 7 billion KRW in special contributions and 93 billion KRW in special guarantee loans over the past six years, thereby revitalizing the local economy.

Kim Jonghoon, Vice President of Gwangju Bank, said, "I hope this special guarantee will bring warmth and stability to small enterprises and small business owners in Jeonnam who are facing difficulties in securing funds due to the economic downturn. We will continue to actively participate in the policies of Jeollanam-do, achieve mutual growth with the local community, and do our best as the leading bank representing Gwangju and Jeonnam."