The Ministry of SMEs and Startups said on the 19th that it gathered opinions on operational direction in a meeting at KB Securities' headquarters in Seoul with institutions using the mutual benefit payment system.
The mutual benefit payment system is a method that ensures the payment for delivered goods paid by purchasing corporations, such as large corporations, is reliably passed on to suppliers at the second tier and below. Partners are guaranteed cash payment on the settlement date and can secure funds early at lower interest rates by leveraging the purchasing corporation's creditworthiness. Since the system was launched in 2015, annual usage has steadily increased, reaching 189 trillion won last year.
This roundtable was arranged for follow-up discussions on the "large and small corporations mutual growth strategy" announced in January, and was attended by financial institutions and public institutions that use the mutual benefit payment system, as well as purchasing corporations.
Before the roundtable, KB Securities, Doosan, the Korea Environmental Industry & Technology Institute (KEITI), and the Foundation of Large & Small Business, Cooperatives and Farming (win-win cooperation foundation) held a signing ceremony for a business agreement to expand the mutual benefit payment system.
KB Securities became the first securities firm to join as a partner financial institution for the mutual benefit payment system and, as the first among financial institutions, also introduced the "one-stop mutual benefit payment system." Doosan and the Korea Environmental Industry & Technology Institute (KEITI) will offer new mutual benefit payment financial services based on this.
The one-stop mutual benefit payment system is a platform that improves the previous payment structure, which required opening an account at the same bank, by enabling payments to be made to accounts at other banks. Partners no longer need to open additional accounts, and they can handle all tasks related to the mutual benefit payment system in one system, which is expected to improve accessibility and convenience.
At the ensuing roundtable, the institutions using the mutual benefit payment system shared on-the-ground views and engaged in communication to expand the system in the private (large corporations, etc.) and public (public institutions) institutional sectors going forward.
Lee Byeong-gweon, the second vice minister of the Ministry of SMEs and Startups (MSS), said, "In a challenging internal and external environment marked by high inflation and a strong dollar, the mutual benefit payment system is very important as a key task for building an ecosystem of mutual growth," and added, "With the introduction of this one-stop mutual benefit payment system, the MSS will work to encourage many corporations and institutions to participate in the mutual benefit payment system."