Bank of Korea provides 20 billion won to support SMEs in flood-hit Gyeongnam

The Bank of Korea has allocated 20 billion won from its financial intermediary support loan reserve to its Gyeongnam branch to provide emergency assistance to small and medium-sized enterprises (SMEs) impacted by recent heavy rainfall. This financial support aims to help businesses recover from the extensive damage caused by the downpours.

Eligible SMEs must have obtained a 'Disaster Damage Confirmation' from their local government or township office. The support will cover up to 100% of new loans, including extensions and refinancing, with a maturity of one year or less, provided by financial institutions to these affected businesses.

The central bank stated it will closely monitor the extent of the damage and the demand for loans from the affected SMEs. Based on this assessment, the Bank of Korea is prepared to provide additional financial aid if the initial allocation proves insufficient to meet the recovery needs.

This initiative underscores the government's efforts to mitigate the economic fallout from the severe weather events, ensuring that businesses in the affected Gyeongnam region can access necessary funds for reconstruction and operational continuity.