The financial authorities have completed 16 financial support projects aimed at expanding housing supply and are closely monitoring funding challenges at over 300 residential project financing (PF) sites. The government plans to establish an integrated housing supply support center by the end of the year to continue on-site assistance addressing both permitting and financial issues.
According to the Financial Services Commission and the Ministry of Land, Infrastructure and Transport, the government announced during the first regular briefing on housing supply that it has completed 48 out of 145 detailed tasks outlined in the rapid housing supply plan announced in August. Of these, 16 tasks fall under the jurisdiction of the Financial Services Commission.
The completed financial support measures include recognizing exceptions for total household loan management for relocation loans and expanding the guarantee ratio for residential PF projects to 100%. The government has also strengthened financial support for housing sales and rental businesses and improved guarantee requirements for quasi-housing.
The aim is to maintain the overall management of household loans while ensuring smooth funding for redevelopment projects and housing construction. Relocation loans are recognized as exceptions to total management to support funding for redevelopment projects, while the expansion of guarantees for residential PF reduces the financial burden on project operators.
The Financial Services Commission and the Financial Supervisory Service continue to closely manage over 300 residential PF sites. They have designated responsible personnel for each site to identify funding challenges and provide tailored financial support solutions.
The government is also establishing a support system to address permitting and financial issues in housing supply. By the end of the year, it plans to create an 'Integrated Housing Supply Support Center' that combines the Ministry of Land's rapid permitting support center, the on-site issue resolution center, and the Financial Supervisory Service and Industrial Bank's PF and construction financial issue resolution center.
The integrated center will be located within the Ministry of Land, positioned in Seoul to closely support projects in regulated areas of the metropolitan region. It aims to address obstacles in the project process, from permitting delays and regulatory issues to funding challenges, all in one place.
* This article has been translated by AI.
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