Minister Oh Youngju Urges Swift Execution of Supplementary Budget
to Ensure SMEs and Small Business Owners Feel Policy Impact
On May 13, the Ministry of SMEs and Startups announced that it held a policy council at the Seoul branch of the Korea Technology Finance Corporation, with the heads of 11 affiliated public institutions in attendance, to discuss overcoming trade crises for SMEs and small business owners and restoring the livelihood economy.
This policy council, presided over by Minister Oh Youngju, was convened to review the status of policy implementation by each public institution aimed at stabilizing the management of SMEs and small business owners, who are facing difficulties due to rapid changes in the external environment such as recent U.S. tariff measures and the continued domestic demand slump. The meeting also aimed to encourage the swift execution of the supplementary budget confirmed on May 1.
During the meeting, participants first reviewed the status of policy implementation and budget execution discussed between the Ministry’s departments and public institutions in the first half of the year, as well as each institution’s efforts to improve their systems. They also focused on discussing the implementation of export support projects and supplementary budget programs by each institution to respond to trade crises, including the follow-up to the "Export Support Plan for SMEs and Startups" announced in February.
The Korea SMEs and Startups Agency is expanding emergency management stabilization funds and new market funds for companies affected by U.S. tariffs and wildfires, and has established an emergency fund to respond to trade risks, focusing on supporting liquidity for exporting companies. The agency also plans to provide expert consulting for tariff response and resolving difficulties through the export voucher program. The Korea Technology Finance Corporation is working to enhance the export capabilities of SMEs by supplying a total of 1.2 trillion won in special export guarantees, expanding guarantee ratios and lowering guarantee fees for companies affected by tariff measures and high-tech companies.
To help small business owners overcome crises and stimulate consumption?a major focus of this supplementary budget?the Korea Small Business Market Promotion Corporation plans to expand programs such as: the Small Business Burden Relief Credit, which provides up to 500,000 won to small business owners with annual sales of 300 million won or less for utility bills and insurance premiums; the Win-Win Payback program, which reimburses 20% of the monthly card spending increase compared to last year’s average as digital Onnuri gift certificates; as well as expanded small business loans, Onnuri gift certificate reimbursements for vulnerable business districts, and the Hope Return Package, which supports store demolition costs and business restarts.
In addition, each institution will newly launch or expand support for technology development and overseas marketing projects for export companies, tailored to their specific operational characteristics. Minister Oh emphasized, "Please ensure that the supplementary budget programs are implemented swiftly so that SMEs and small business owners can feel the effects of these policies on the ground," and added, "With the early presidential election approaching, political neutrality in the public sector is more important than ever, so please thoroughly manage the conduct of public institution employees."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
