Korea Federation of SMEs, Emergency Support for SMEs and Small Business Owners Affected by Wildfires

Compensation for Yellow Umbrella Fund Subscribers
Interest-Free Loans Up to 20 Million KRW
Reduced Loan Rates for SME Mutual Aid Fund Members

The Korea Federation of SMEs announced on the 1st that it will provide prompt support to small and medium-sized enterprises (SMEs) and small business owners affected by the wildfires that occurred in Ulsan, Gyeongbuk, Gyeongnam, and other areas.

First, small enterprises and small business owners subscribed to the Yellow Umbrella Fund located in areas declared as special disaster zones, such as Sancheong-gun in Gyeongnam, can receive compensation for social disasters by submitting a damage confirmation certificate issued by local governments or a disaster SME confirmation certificate.

Korea Federation of Small and Medium Business. Provided by Korea Federation of Small and Medium Business

Yellow Umbrella Fund subscribers who have received a disaster SME confirmation certificate due to wildfire damage can utilize interest-free loans up to a limit of 20 million KRW based on their contributions, and can receive a six-month deferral on contribution payments.

For subscribers of the SME Mutual Aid Fund, contribution payments can be deferred for six months upon application, and the loan interest rate for affected companies will be reduced by 2 percentage points.

Kim Ki-moon, Chairman of the Korea Federation of SMEs, said, "It is especially regrettable that SMEs and small business owners who have quietly continued their livelihoods amid difficult situations such as the economic downturn have suffered damage from this wildfire," adding, "We hope this measure will help the affected companies return to normalcy, even if only a little."