New Benefits for Introducing Eco-Friendly Facilities
Loan Applications Open from March 3 to 16
Jeju Special Self-Governing Province will provide a total of 100 billion won in loans and repayment support from the Tourism Promotion Fund for the first half of 2026 to help stabilize the management and restore the self-sufficiency of tourism businesses in the province.
Notably, starting this year, customized benefits will be significantly expanded, including the introduction of a new fund for eco-friendly energy facilities and an increase in the loan limits for replacing aged chartered buses. Applications will officially open on March 3.
According to Jeju Province on the 27th, this loan support targets tourism businesses in 46 sectors with business locations in the province. The program is operated by subsidizing the interest rate difference on loans to support facility construction and renovation, management stabilization, digital upgrades, and the introduction of eco-friendly energy facilities.
This year’s total budget for interest subsidies has been set at 12 billion won, including 1.4 billion won from the lottery fund.
The most notable change is the introduction of a new "eco-friendly energy facility fund." Tourism businesses that adopt eco-friendly facilities such as heat pumps or solar power can benefit from a fixed interest rate of 1.5% (with a maximum loan limit of 800 million won for individuals and 1.7 billion won for corporations). This provides a preferential rate that is 0.71 percentage points lower than the existing variable interest rate for facility and management stabilization funds (2.21% as of the first quarter of 2026).
In addition, the loan limit for replacing aged chartered buses has been raised from 60 million won to 80 million won for internal combustion vehicles, and from 150 million won to 200 million won for electric and hydrogen buses. The loan limit for management stabilization funds for rural guesthouses has also increased from 30 million won to 50 million won. Furthermore, businesses located in investment promotion districts for which the tax benefits have ended and all investment plans have been completed are now newly eligible for loan support. Interest subsidies will also continue to be provided during periods of unavoidable business suspension due to construction or renovations.
Repayment support will also be provided for businesses struggling with long-term financial difficulties and sluggish sales that make it hard to repay principal and interest. Businesses that received Tourism Promotion Fund loans before December 31, 2024, and are due to repay or are currently repaying the principal and interest this year, may choose either a one-year deferment of principal and interest repayment or an extension of the repayment period by one to two years. However, the one-year deferment option is only available to businesses that have recorded a net loss in the past two years (2024-2025) or have seen a drop in sales or income of 10% or more compared to the previous year. For a two-year extension of the repayment period, the borrower’s interest rate will be increased by 1 percentage point.
Applications for loan support can be submitted online via the Jeju Tourism Promotion Fund Loan System or in person at the Provincial Tourism Policy Division from March 3 to March 16. Repayment support can be applied for at existing financial institutions throughout the year starting March 3; however, for a two-year extension of the repayment period, visiting the Provincial Tourism Policy Division in person is mandatory.
Yangbo Kim, Director of Tourism Exchange at Jeju Province, stated, "We hope this support will help stabilize the management and enhance the competitiveness of tourism businesses facing difficulties," adding, "We will continue to prepare diverse support policies to ensure that Jeju tourism can coexist and prosper with the local community."
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