Up to 200 Billion Won in Agreement Guarantees to Be Supplied
On September 12, Korea Technology Finance Corporation announced that it had signed a 'Financial Support Business Agreement for Fostering AI Innovative Companies' with Industrial Bank of Korea and the Korea Association for ICT Promotion (KAIT). This agreement was established to promote the growth of the artificial intelligence (AI) industry in line with the new government's digital innovation growth policy and to contribute to the creation of the AI ecosystem and securing the nation's future growth engines through cooperation among policy institutions.
Through this agreement, each institution will establish an organic cooperation system and strengthen the financial support framework to ensure that AI technology-based small and medium-sized enterprises can secure stable funding. The goal is to enhance the overall competitiveness of the AI industry.
Under the agreement, Korea Technology Finance Corporation will provide a total of 200 billion won in guaranteed loans, based on special contributions and guarantee fee support from Industrial Bank of Korea. Korea Technology Finance Corporation will support 100 billion won in special contribution agreement guarantees using 5 billion won in special contributions as funding, and will offer preferential benefits such as an increased guarantee ratio (from 85% to 100% for three years) and a reduction in guarantee fees (by 0.2 percentage points for three years). In addition, Korea Technology Finance Corporation will provide 100 billion won in guarantee fee support agreement guarantees based on 1.5 billion won in guarantee fee support funds from Industrial Bank of Korea, which will cover guarantee fees (0.5 percentage points for three years).
The support targets are new technology businesses that meet Korea Technology Finance Corporation's technology guarantee requirements, including companies recommended by KAIT, as well as companies that are directly developing and commercializing AI technology or pursuing technological innovation by integrating AI into manufacturing or service sectors.
Kim Jongho, Chairman of Korea Technology Finance Corporation, stated, "In an era where AI utilization is no longer a choice, a foundation has been established to actively support small and medium-sized enterprises in their use of AI and to foster an innovation ecosystem." He added, "Korea Technology Finance Corporation will continue to strengthen cooperation with related institutions to support the AI transformation of small and medium-sized enterprises, and will do its utmost to help Korea become one of the world's top three AI powerhouses."
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