Goheung County Provides Interest Support on Loans to Ensure Small Business Management Stability

Up to 30 Million Won in Loans per Business
3% Annual Interest Subsidy for Two Years

Goheung County in South Jeolla Province announced that, following last year, it will fully implement the "Interest Subsidy Program for Small Business Loans" starting in March, in order to ease the financial burden on local small business owners struggling with high interest rates and to support the stabilization of their business operations.

This program targets small business owners who, as of the program announcement date, have been operating for at least three months with both their business premises and address located in Goheung County. Selected beneficiaries can receive loans of up to 30 million won per business, and Goheung County will subsidize the interest rate differential equivalent to 3% per annum of the agreed interest rate.

The loan terms are a lump-sum repayment after a two-year grace period, and this support applies only to new loans executed after selection.

Small business owners wishing to receive the interest subsidy must first consult with the Jeonnam Credit Guarantee Foundation and, if issuance of a guarantee is possible, visit the Economic and Industrial Division of Goheung County Office to apply. After that, they can receive the loan by visiting one of the eight financial institutions that have signed agreements with Goheung County.

The partner financial institutions are eight in total: the Goheung County Branch of NH Nonghyup Bank, the Goheung Branch of Kwangju Bank, Goheung Nonghyup, Goheung County Suhyup, Goheung Saemaeul Geumgo, Nokdong Saemaeul Geumgo, Uju Saemaeul Geumgo, and Nokdong Credit Union.

However, businesses in excluded sectors such as gambling and other speculative industries, finance and insurance, and certain professional occupations; businesses that are closed or suspended; businesses in arrears on local or national taxes; and businesses currently using Jeollanam-do Small Business Development Funds are not eligible for support. If false documents are submitted or the loan is used for purposes other than those intended, the interest subsidy will be reclaimed.

An official from the Economic and Industrial Division of the county said, "We hope this support program will substantially reduce the financial burden on small business owners and serve as an opportunity to revitalize local commercial districts," adding, "We will continue to promote various support measures to stabilize the management of small businesses."