Ansan to Provide 150 Billion Won in SME Development Funds This Year

Up to 500 Million Won in Working Capital Loans
50 Million Won in Startup Funds at Low Interest Rates

On February 2, the city of Ansan in Gyeonggi Province announced that it will provide 150 billion won in loans this year to support the financial burden relief and management stability of local small and medium-sized enterprises (SMEs) struggling with prolonged high interest rates and economic recession. In addition, the city will also implement a special guarantee support program worth 13.6 billion won.

The SME development fund loan program is available to local SMEs, social enterprises, and cooperatives. Working capital loans are available up to 500 million won per company, 50 million won for startups, and 20 million won for social enterprises and cooperatives.

The loan interest rate will be based on the standard rate set by financial institutions, but the city plans to subsidize the interest rate difference by 1.5% to 1.8% per year, thereby reducing the actual financial costs for businesses.

Loan applications will be accepted through partner financial institutions starting from February 9 until the funds are exhausted.

The city will also implement a special guarantee support program totaling 13.6 billion won for companies with technological capabilities but insufficient collateral or credit, making it difficult for them to access financing. The maximum guarantee support per company is 300 million won, and applications can be submitted at any time throughout the year. The special guarantee can be accessed after a consultation and recommendation process with the Gyeonggi Credit Guarantee Foundation.

Lee Min-geun, Mayor of Ansan, stated, "We will continue to promote effective financial support policies that reflect the voices of the field."

For more details about the policy, please check the 'Notices and Announcements' section on the Ansan City Hall website or contact the Ansan City Business Support Division for guidance.