“Easing the burden of raw material imports” ... Woori Bank to provide financing support to materials, parts and equipment firms with KOTRA and K-SURE

[Financial News] Woori Bank is launching financial support to help domestic SMEs and mid-sized companies in the materials, parts and equipment sector secure a stable supply of raw materials. In cooperation with the Korea Trade-Investment Promotion Agency (KOTRA) and the Korea Trade Insurance Corporation (K-SURE), it will provide loans needed to import raw materials and reduce financing costs through preferential interest rates and fees, as well as support for guarantee fees.
According to financial industry sources on the 12th, Woori Bank signed an MOU with KOTRA and K-SURE that day. The agreement aims to support materials, parts and equipment companies, including semiconductor and secondary battery firms, that are struggling to secure import financing amid raw material price volatility and uncertainty in global supply chains.
The three institutions plan to combine their respective strengths in identifying companies, insurance and finance to facilitate raw material imports and ensure stable financing. KOTRA will assess the financial needs of companies participating in supply chain stabilization support programs and recommend eligible firms, while K-SURE will provide “Import Insurance (Global Supply Chain).” Woori Bank will offer practical financial support, including loans for import payments linked to the insurance. 
Woori Bank will offer eligible companies preferential fees for opening import letters of credit and preferential interest rates on loans for import payments, and will cover the first installment of K-SURE’s guarantee fee. K-SURE will also help improve companies’ access to financing by increasing import insurance limits, raising coverage ratios and offering premium discounts. 
The initiative is intended to help companies secure the funds needed to import raw materials in a timely manner and respond flexibly to supply chain changes, including through stable inventory management.  
Yeon-su Bae, vice president of Woori Bank’s Corporate Group, said, “With uncertainty in global supply chains persisting, securing a stable supply of raw materials and smooth access to financing are important elements of corporate competitiveness. Building on cooperation with policy finance institutions and the bank’s foreign exchange and trade finance capabilities, we will spare no effort to help domestic manufacturers strengthen their global competitiveness.”

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