Gwangju Bank Signs Special Guarantee Agreement for Small Businesses in Seo-gu

At the agreement ceremony held on the 19th at Seo-gu Office in Gwangju, (from left) Yeom Kyusong, Chairman of Gwangju Credit Guarantee Foundation, Kim Ikang, Mayor of Seo-gu, Gwangju, and Lee Sangchae, Vice President of Gwangju Bank, are taking a commemorative photo. Photo by Gwangju Bank

Gwangju Bank announced on the 22nd that it has signed a "Seogu Small Business Special Guarantee Financial Business Agreement" with Seo-gu District of Gwangju and the Gwangju Credit Guarantee Foundation.

The agreement ceremony, held on the 19th at Seo-gu Office in Gwangju, was attended by Kim Ikang, Mayor of Seo-gu, Gwangju, Lee Sangchae, Vice President of Gwangju Bank, and Yeom Kyusong, Chairman of the Gwangju Credit Guarantee Foundation.

Through this agreement, Gwangju Bank will provide an additional 200 million won in funding to support local small business owners struggling with prolonged high inflation and economic downturn, following its contribution of 150 million won in February this year.

Using this fund, the Gwangju Credit Guarantee Foundation will supply special guarantees totaling 6.25 billion won. Seo-gu District of Gwangju will support up to 5.0% interest subsidies (4.0% for high-credit borrowers, 5.0% for mid- to low-credit borrowers) to ease the loan burden.

The support targets small business owners operating in Seo-gu, Gwangju, with priority given to businesses directly or indirectly affected by the construction of Subway Line 2. The maximum loan limit is 20 million won per business, and the loan period can be up to five years.

Since 2021, Gwangju Bank has made special contributions totaling 550 million won to support small businesses in Seo-gu, continuing to provide financial support amounting to 18.6 billion won.

Lee Sangchae, Vice President of Gwangju Bank, stated, "We hope this special guarantee will provide real help to local small business owners struggling with the economic downturn and contribute to the recovery of business districts affected by the Subway Line 2 construction. As the region's leading bank, we will continue to develop various financial support measures and pursue management that grows together with local residents."