The Gwangju and Jeonnam Branch of the Bank of Korea announced on January 19 that the deadline for new loans under the temporary special fund support for small and medium-sized enterprises (SMEs) will be extended by six months, from this month to July.
This measure follows the decision by the Monetary Policy Board of the Bank of Korea to extend the temporary special support for SMEs by utilizing the reserved portion of the Bank Intermediated Lending Support Facility. The support is targeted at low-credit SMEs with credit ratings between grades 6 and 10 located in the jurisdiction of the Gwangju and Jeonnam Branch, in order to strengthen selective assistance.
The total amount is 772.9 billion won, with 75% of the loan volume handled by financial institutions to be provided at an annual interest rate of 1.00%.
An official from the Gwangju and Jeonnam Branch of the Bank of Korea stated, "Although the economy continues to improve, with consumption recovering and exports increasing, the recovery of local SMEs and self-employed individuals has been delayed. Therefore, we believe it is necessary to continue providing support."
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