Industrial Bank of Korea (IBK) said on the 4th that it signed a business agreement on "financial support to expand inclusive and productive finance" with Korea Credit Guarantee Fund (KODIT) and Korea Technology Finance Corporation (KOTEC). The scale of financial support is 500 billion won for inclusive finance and 1 trillion won for productive finance.
For small corporations, start-ups that have graduated from incubators, and traditional manufacturers—small and midsize enterprises in policy blind spots—IBK will cut interest rates by up to 1.3 percentage points (p) and cover the full amount of first-year guarantee fees. For high-quality small and midsize enterprises engaged in productive areas such as future strategic industries, it will offer up to a 1.3 p interest rate reduction along with guarantee fee support of up to 0.8 p for two years.
An Industrial Bank of Korea (IBK) official said, "This agreement is a comprehensive support plan for small and midsize enterprises in policy blind spots and for future growth corporations."
Industrial Bank of Korea (IBK) has formed a policy finance institutions council with Korea Development Bank, Export-Import Bank of Korea, KODIT, Korea Technology Finance Corporation (KOTEC), and Korea Trade Insurance Corporation, focusing its capabilities on expanding productive finance. As the first cooperative project, on Apr. it selected Hyundai Motor Group's Saemangeum project worth about 9 trillion won.