Jungjinkong Supports Disaster Funds for Small and Medium Venture Companies Affected by Wildfires

Up to 1 Billion KRW in Emergency Management Stabilization Funds Per Company
Loan Interest Rate Reduced by 0.4 Percentage Points

The Small and Medium Business Corporation announced on the 8th that it will provide disaster funds to small and medium-sized enterprises (SMEs) affected by large-scale wildfires in Gyeongbuk, Gyeongnam, and Ulsan.

The Ministry of SMEs and Startups held a 'Special Measures Meeting for Supporting SMEs Affected by Wildfires' chaired by the minister last month and announced support measures for SMEs and small business owners affected by the wildfires. As a follow-up, the Small and Medium Business Corporation will provide emergency management stabilization funds as disaster funds to help the affected SMEs quickly recover and normalize their operations. Loans are available up to a maximum of 1 billion KRW per company, with a loan period of 5 years (including a grace period of up to 2 years).

Small and Medium Business Corporation

To ease the interest burden on policy funds for wildfire-affected companies, the Small and Medium Business Corporation will lower the emergency management stabilization fund loan interest rate from the existing 1.9% to 1.5%, and will also support repayment deferrals and maturity extensions for existing loans.

Eligible SMEs must report the damage to the relevant local government, obtain a 'Disaster SME Confirmation Certificate,' and submit it to the Small and Medium Business Corporation. Unlike general policy funds, disaster funds do not require online application submission, and the decision on support will be made quickly within 5 days through an on-site evaluation by Ambulanceman.

Kim Il-ho, Director of Corporate Finance at the Small and Medium Business Corporation, said, "We hope this disaster fund support will help affected companies normalize their management even if only a little."