IBK Bank is set to offer a total of 1.5 trillion won in financial support to small businesses and medium-sized enterprises facing increased financial burdens due to high interest rates and the end of policy fund support. The initiative aims to alleviate the pressure of rising interest rates on existing policy loans while expanding new funding to stabilize the management of small businesses.
On October 22, IBK Bank announced the implementation of a 1 trillion won 'Small Business Policy Fund Soft Landing Support Loan' and a 500 billion won 'Small Business Competitiveness Enhancement Program.' Both programs will provide interest rate reductions of up to 1.5 percentage points.
The Small Business Policy Fund Soft Landing Support Loan, launched on October 20, targets businesses expected to face rising interest rates as government or local government policy fund support periods end. This dedicated product allows businesses to refinance existing policy loans obtained from IBK Bank, focusing on easing the interest burden that may arise after the end of policy fund support.
Starting October 23, the Small Business Competitiveness Enhancement Program will be available to businesses that have received guarantees from credit guarantee foundations. The program plans to reduce interest rates by up to 1.5 percentage points when providing new working capital and facility funds, thereby lowering the financial burden on small businesses.
Through this financial support, IBK Bank aims to reduce the financial burden resulting from the end of policy fund support while also assisting small businesses that require new funding for their operations.
Jang Min-young, CEO of IBK Bank, stated, "We will continue to expand our inclusive finance policy to lower the financial barriers for underserved groups."
* This article has been translated by AI.
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