Shinhan Bank Offers Low-Interest Loans in the 1% Range to Busan Small Business Owners, Up to 30 Million Won

[Financial News] Shinhan Bank is partnering with Busan and the Busan Credit Guarantee Foundation (BCGF) to provide low-interest loans in the 1% range to small business owners in Busan facing management difficulties. Each business can borrow up to 30 million won.
On the 15th, Shinhan Bank announced that it had signed an agreement with Busan and the BCGF on “Low-Interest Loans in the 1% Range and High-Interest Loan Refinancing for Small Businesses Facing Management Crises.” The parties will jointly implement the “Livelihood Security Partnership Guarantee” program to ease the financial burden on small business owners in Busan.
The “Livelihood Security Partnership Guarantee” was established to support the business stability of small businesses and small business owners in Busan struggling with financial costs. Five financial institutions, including Shinhan Bank, will participate and provide partnership guarantees totaling 500 billion won. Applications will be accepted starting on the 17th through the BCGF’s “Guarantee Dream” app or at Shinhan Bank branches.
Eligible applicants are small businesses and small business owners that are registered and operating in Busan. An interest-rate subsidy of 4.0 percentage points will apply during the first year, followed by 2.0 percentage points thereafter, reducing the financial burden so that small business owners can access funds at an effective interest rate in the 1% range. Each business can receive up to 30 million won and choose between equal installment payments over five years or a one-year grace period followed by four years of installment payments.
A Shinhan Bank official said, “We will continue to expand inclusive finance for small business owners and vulnerable groups in need of financial support, while consistently practicing mutually beneficial finance that grows together with local communities.”
[email protected] Hyun-jung Lee Reporter