Establishing a Cooperative System with Woori Financial Group, Korea Aerospace Industries, and the Korea Aerospace Industries Association
On May 12, Kibo (Korea Technology Finance Corporation) announced that it had signed a "Mutual Cooperation Agreement for the Aerospace Industry" with Woori Financial Group, Korea Aerospace Industries (KAI), and the Korea Aerospace Industries Association.
This agreement was established to proactively support small and medium-sized enterprises (SMEs) in the aerospace industry that are facing difficulties amid increasing uncertainties both domestically and internationally, such as the recent restructuring of global supply chains and export restrictions. It also aims to promote the activation of a private sector-led aerospace industry.
Jongho Kim, Chairman of Kibo (from the right), Minseok Kim, Vice Chairman of the Korea Aerospace Industries Association, Jongryong Lim, Chairman of Woori Financial Group, and Guyoung Kang, President of Korea Aerospace Industries, are posing for a commemorative photo after signing a business agreement.
Under the agreement, each organization will build an organic and mutually cooperative system and jointly discover outstanding technology companies in the aerospace sector to provide tailored financial support. Through these efforts, the institutions plan to improve financial accessibility for aerospace companies and enhance the overall competitiveness of the industry.
In addition, Kibo will sign separate detailed agreements with Woori Bank, KAI, and the association to provide up to 113 billion KRW in guarantee support, based on Woori Bank's special contributions and guarantee fee support.
Kibo will use a special contribution fund of 2 billion KRW to provide a special contribution guarantee agreement worth 40 billion KRW, applying preferential measures such as raising the guarantee ratio (from 85% to 100% for three years) and reducing guarantee fees (by up to 0.3 percentage points for three years). Furthermore, Kibo will supply a guarantee fee support agreement worth 73 billion KRW based on Woori Bank's 1 billion KRW in guarantee fee support, while Woori Bank will support guarantee fees (up to 0.8 percentage points for two years).
The support targets are new technology businesses that meet Kibo's technology guarantee requirements, including companies recommended by KAI or the association, and SMEs operating in the aerospace industry.
Jongho Kim, Chairman of Kibo, stated, "This agreement has established a systematic cooperation plan to strengthen the competitiveness and support the innovative growth of the aerospace industry, which is concentrated with advanced technologies. Kibo will continue to provide proactive policy-based financial support to aerospace companies, respond to the restructuring of global supply chains, and strive to ensure that the aerospace industry becomes a key national industry."
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