300 Billion KRW in Support Measures Secured
Following Passage of Supplementary Budget by Standing Committee
Changwon Special City announced on May 14 that the preliminary review by the Economic, Welfare, and Women’s Committee of the City Council has approved the budget aimed at revitalizing the local economy, including the recovery of the Masan area commercial district, which has stagnated following the recent NC Park incident.
The city plans to invest 30 billion KRW to implement several initiatives: revitalizing traditional markets in the Masan area, such as Sanhodong Shopping Street; providing support funds for small business owners; offering the Hope The Dream special funds for small business owners; and launching unsecured, non-guaranteed credit loans for emergency business stabilization in partnership with Gyeongnam Bank. In addition, the city will conduct a relay campaign encouraging the use of Sanhodong Shopping Street in cooperation with local organizations and associations, focusing all administrative efforts on revitalizing the commercial district.
To begin with, a total project budget of 140 million KRW will be allocated for the revitalization of Sanhodong Shopping Street, a traditional market near NC Park. This will cover online and offline promotional marketing, the creation of SNS promotional channels, and the hosting of the Masan Baseball Street Festival. Additionally, 2.9 billion KRW will be invested in projects to modernize and revitalize other traditional markets in the Masan area, including Changdong Integrated Shopping Center, Masan Fish Market, Masan Fisheries Market, and Jungwoo New Fish Market.
The most in-demand initiative, providing support funds for small business owners, involves issuing guarantees through the Gyeongnam Credit Guarantee Foundation, allowing recipients to obtain loans from banks and covering a 2.5% interest rate differential. In the first half of this year, loans totaling 24 billion KRW were provided, and with this supplementary budget, an additional 14.4 billion KRW in loans will be supported.
In partnership with Gyeongnam Bank, the city will provide unsecured, non-guaranteed loans of up to 20 million KRW to individual business owners with annual incomes of 40 million KRW or less. The repayment method will be installment payments within five years (equal principal payments), with no early repayment fees. This initiative is expected to provide substantial financial support to small business owners in financial blind spots, and Gyeongnam Bank is reportedly reviewing measures to further strengthen support.
To boost the use of Masan commercial districts, including Sanhodong Shopping Street, the city will launch a relay mutual growth campaign with the Association of Community Leaders, Changwon Chamber of Commerce and Industry, and labor organizations to encourage the use of local stores in the Masan area.
Cho Youngwan, Director of Economic and Job Affairs, said, "The Masan commercial district is experiencing unprecedented difficulties following the closure of NC Park." He added, "If the supplementary budget passes the City Council, we will immediately implement the projects starting in May, focusing all administrative resources on ensuring the business stability and sustainable growth of small business owners so that the Masan commercial district can regain its vitality."
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