Industrial Bank of Korea said on the 22nd that it has launched a 1.5 trillion won ($1.05 billion) financing program for small business owners and small and medium-sized enterprises struggling with high interest rates and the expiration of government policy loans.
The first part of the program is a refinancing product for borrowers facing heavier interest costs after their policy loans ended. The loan is designed solely to replace existing policy financing and cuts rates by up to 1.5 percentage points.
The bank is also rolling out a competitiveness program for small business owners. It targets companies that have obtained guarantees from regional credit guarantee foundations and cuts rates by up to 1.5 percentage points on working capital and facility loans.
"We will continue to expand IBK-style inclusive finance policies to lower funding barriers for those excluded from the financial system," IBK President Chang Min-young said.