Support for Small Business Owners: 2.02 Trillion Won, and More
The Korea Federation of Banks announced that the total amount executed for the banking sector's "Autonomous Program," implemented as part of a 2.1 trillion won financial support plan for the livelihood of the people launched in February last year, reached 591.8 billion won as of the first half of this year. This represents approximately 96% of the target amount of 615.6 billion won. The remaining balance is scheduled to be executed in the second half of the year. During the first half, 64 billion won was executed.
The Autonomous Program consists of support for small business owners and small enterprises, support for youth and financially vulnerable groups, contributions to the Korea Inclusive Finance Agency, and support for low-interest refinancing programs. The banking sector executed 202 billion won in support of small business owners and small enterprises, with 31.6 billion won executed in the first half. Specifically, 11 billion won was allocated to reduce principal and interest payments on loans, 8.3 billion won to support guarantee fees for guarantee institutions, 4 billion won to subsidize expenses such as electricity and communication bills, and 3.3 billion won to provide interest cashback.
A total of 159.4 billion won was executed to support youth and financially vulnerable groups. Of this, 32.4 billion won was executed in the first half, including 7 billion won for student loans, 4.3 billion won for living stabilization funds such as housing and food expenses, and 3.9 billion won for support to seniors, multicultural families, and those in the agriculture and fisheries sectors. Contributions to the Korea Inclusive Finance Agency and support for low-interest refinancing programs amounted to 230.4 billion won, which was fully executed last year.
The banking sector concluded a 1.5 trillion won interest refund program for self-employed individuals and small business owners in the first half of this year. An unexecuted amount of 18.5 billion won remains, which is now being managed as part of the Autonomous Program.
The Korea Federation of Banks stated, "We plan to actively execute the remaining 39 billion won of the 'Autonomous Program' in the second half of the year to ensure the successful completion of the 2.1 trillion won financial support plan for the livelihood of the people."
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