Gyeonggi Province Increases Low-Interest Loan Program for Food Business Facilities from 6 Billion to 7.5 Billion Won

[Suwon Ilbo=Reporter Park No-hun] Gyeonggi Province announced on the 3rd that it has decided to increase loan program funds to support facility improvement costs for food manufacturing and processing businesses and food service establishments, as well as operational funds for model restaurants and hygiene-designated businesses.

The province is conducting low-interest loan programs at 1% this year to support food-related businesses in the region that are facing difficulties in operations and facility maintenance.

This project is funded through the Gyeonggi Province Food Promotion Fund. During the "Gyeonggi Province Food Promotion Fund Review Committee" held May 25-29 (written review), it was decided to increase the loan program funds from the existing 6 billion won to 7.5 billion won, an increase of 1.5 billion won, so that more businesses could benefit.

Manufacturing and processing businesses can receive loans of up to 500 million won, while food service establishments can receive loans for facility improvements of up to 100 million won. The repayment terms are a 1% interest rate with a 2-year grace period followed by 3-year equal installment repayment.

Model restaurants and hygiene-designated businesses can receive operational loans of up to 30 million won. The repayment terms are a 1% interest rate with a 1-year grace period followed by 2-year equal installment repayment.

For each business, the loan amount is determined after reviewing personal financial creditworthiness and collateral status. Businesses lacking creditworthiness and collateral can also receive loans with credit guarantees from the Gyeonggi Credit Guarantee Foundation.

Eligible businesses must have received business registration and licensing approval in Gyeonggi Province. Businesses seeking loans can inquire by phone or visit the nearest branch of Nonghyup Bank (excluding regional agricultural cooperatives) or the sanitation departments of each city or county.

Kang Seon-moo, Director of Food Safety at Gyeonggi Province, stated, "We have significantly increased support funds to help more food-related businesses facing economic difficulties," and added, "We hope that many business owners can ease the burden of operating their businesses and provide safer food to residents while achieving mutual prosperity."

Meanwhile, since 1993, Gyeonggi Province has provided loan support of 168.8 billion won to a total of 3,782 businesses through this project. As of this year, the province has supported 43 businesses with 4.4 billion won.