NH NongHyup Financial Group Expands Regionally Focused Productive and Inclusive Finance

[Financial News] NH Financial Group Inc. will expand investment in regional strategic industries and support for financially vulnerable groups. It plans to pursue productive and inclusive finance initiatives in earnest, drawing on its nationwide network of branches and collaboration among affiliates.
According to financial industry sources, NH Financial Group Inc. held the fourth meeting of its Special Committee on Productive and Inclusive Finance at its headquarters in Seodaemun, Seoul, on the 29th, and reviewed progress on key initiatives. It also discussed priorities for the future and ways to strengthen cooperation among affiliates.
NH NongHyup Financial Group plans to strengthen its comprehensive financial support system linked to strategic industries in each region. Following the Comprehensive Support Center for Maritime, Aviation and Defense Industries in the southeast and the NH Financial Hub in Jeonbuk, it plans to expand region-specific financial support centered on the NH Financial Hub in the southwest.
It will also expand investment in innovative companies in advanced industries. NH NongHyup Financial Group is pursuing the establishment of the NH Financial Private Venture Fund of Funds (working title), which will invest in companies in artificial intelligence (AI), semiconductors, mobility and robotics. Affiliates of NH NongHyup Financial Group plan to contribute a total of 100 billion won jointly, with NH Venture Investment managing the fund. This will link policy financing invested by the Fund of Funds and other sources with the group’s own investment capabilities, and enable expanded investment at each stage of venture and innovative companies’ growth as well as the identification of promising businesses.
In connection with the National Growth Fund, the group decided to use the second NH Win-Win Growth Fund to identify investment opportunities in corporate finance and those related to the National Growth Fund. The fund is a group-wide joint fund worth a total of 400 billion won, with 60% to be invested in corporate finance and 40% in the National Growth Fund. The group will also strengthen joint investment among affiliates and its financial-arrangement capabilities in future growth industries, including AI data centers and renewable energy, as well as in regional infrastructure.
In the area of inclusive finance, affiliates will jointly contribute 100 billion won to support the launch of the NH Microfinance Foundation within the year. The move is expected to expand support for financially vulnerable groups who have difficulty accessing formal financial services, including young people and low-income residents of rural areas.
The group will also expand financial products for borrowers with medium and low credit ratings. It will offer bank refinancing loans and other products to borrowers who have diligently repaid loans from non-bank financial institutions, and plans to improve access to finance for customers with limited financial transaction histories by enhancing an alternative credit assessment model that uses non-financial data.
The group will also strengthen financial support for locally based businesses, including village enterprises, in cooperation with regional credit guarantee foundations. It plans to provide an additional 150 billion won in loans guaranteed by regional credit guarantee foundations and include village enterprises among those eligible for special contributions and guarantees under agreements with local governments. Across the NongHyup Group, it also plans within the year to write off or reduce long-term delinquent debt totaling 927.6 billion won and suspend collection efforts.
NH Financial Group Inc. Chairman Lee Chan-woo urged, "Expand differentiated financial support initiatives based on NH NongHyup Financial Group’s unique regional presence and the collaborative capabilities of its affiliates, and strengthen execution so that they lead to results that can be felt on the ground."

[email protected] Seo Ji-yoon Reporter