KB Kookmin Bank announced on the 25th that it has signed a business agreement with Hyundai Motor Group and the Korea Credit Guarantee Fund to support small and medium-sized enterprises (SMEs) and mid-sized partner companies.
The business agreement, held the previous day, was established for KB Kookmin Bank, Hyundai Motor Group, and the Korea Credit Guarantee Fund to cooperate in providing smooth financial support and promoting mutual growth for Hyundai Motor and Kia Motors' partner companies.
KB Kookmin Bank will launch exclusive products for Hyundai Motor and Kia Motors' partner companies to provide financial support for mutual growth. The Korea Credit Guarantee Fund will issue preferential guarantees to partner companies recommended by Hyundai Motor Group, using 5 billion KRW contributed to KB Kookmin Bank. Hyundai Motor Group will deposit a total of 100 billion KRW with KB Kookmin Bank and support interest subsidies on loans to partner companies using the interest income generated from the deposit.
The mutual growth financial support will be conducted on a scale of 100 billion KRW. The loan targets are first to third-tier partner companies of Hyundai Motor and Kia Motors. The maximum loan amount per company is up to 5 billion KRW for first-tier partners and up to 2 billion KRW for second and third-tier partners.
To alleviate the financial burden on partner companies, in addition to Hyundai Motor Group's interest subsidy, KB Kookmin Bank will provide preferential interest rate benefits.
A KB Kookmin Bank official stated, "Through this agreement, partner companies facing difficulties due to uncertain external environments can secure necessary funds promptly at low interest rates," adding, "Going forward, KB Kookmin Bank will continue to do its best to activate ESG and win-win finance and fulfill corporate social responsibility, actively supporting the mutual growth of companies."
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