Korea Technology Finance Corporation Partners with Busan Bank and Busan City to Foster Startups and Venture Companies

Special Contribution and Interest Subsidy Linked
Alleviating Financial Difficulties for Startups

Korea Technology Finance Corporation announced that it has signed a "Financial Support Business Agreement for Fostering Startups and Venture Companies in Busan" with Busan Bank and Busan Metropolitan City, and will begin providing financial support starting on the 15th.

This agreement was promoted to discover and nurture promising startups and venture companies in the Busan region, and to revitalize the local economy, leveraging the corporate support capabilities of Korea Technology Finance Corporation, Busan Bank, and Busan Metropolitan City.

Under the agreement, Korea Technology Finance Corporation will provide a special agreement guarantee worth 100 billion won, funded by a 5 billion won special contribution from Busan Bank. Preferential benefits include an increased guarantee ratio (from 85% to 100% for three years) and a reduction in guarantee fees (by 0.4 percentage points for three years). Busan Metropolitan City will provide interest subsidy funds to support loan interest rates (up to 1.5 percentage points for three years).

The support targets are small and medium-sized enterprises that meet the technology guarantee requirements of Korea Technology Finance Corporation, have their headquarters or main business location in Busan, and operate in the fields of innovative growth, technology startups, or job creation.

This agreement is expected to provide customized financial support by simultaneously reducing guarantee fees and interest rates, thereby alleviating the financial burden on startups and venture companies in Busan and establishing a foundation for activating the startup ecosystem.

Kim Jongho, CEO of Korea Technology Finance Corporation, stated, "With this agreement, a foundation has been established for small and medium-sized enterprises in Busan to grow stably from the early startup stage to the growth stage," and added, "Korea Technology Finance Corporation will continue to expand public-private cooperation to actively support small and medium-sized venture companies so that they can become the driving force of the regional economy."