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Gyeonggi Province provides 600 billion KRW in special support to small and medium-sized enterprises amid the Middle East crisis
Gyeonggi Province has decided to raise 600 billion KRW in “Special Emergency Funds for Middle East Crisis Response” to support small and medium-sized export companies facing difficulties due to the unstable situation in the Middle East. This initiative aims to alleviate the operational crises caused by sudden changes in the international situation.
The special funds will be provided through the Gyeonggi Credit Guarantee Foundation in the form of loans up to 500 million KRW per company. The loan terms include a one-year grace period followed by four equal annual repayments, with a subsidy of 2 percentage points on the bank’s interest rate to reduce the financial burden on businesses.
Additionally, to support logistics costs for overseas exports, Gyeonggi Province has increased the logistics support cap from 3 million KRW to 5 million KRW per company. Support for maritime and air freight will also be expanded, with a maximum of 5 million KRW per maritime shipment and 2 million KRW per air shipment.
Furthermore, Gyeonggi Province plans to provide customized export support services to 182 small and medium-sized enterprises through export vouchers totaling 1.37 billion KRW. Each company will receive services valued at 10 million KRW, with 7 million KRW covered by Gyeonggi Province and the remaining 3 million KRW borne by the companies themselves.
To directly address the worsening situation in the Middle East, Gyeonggi Province will establish the “Middle East Situation Damage Reporting Center” and a dedicated “Middle East Response Organization” to gather on-site feedback and quickly develop support plans. These measures are expected to help small and medium-sized enterprises maintain stable operations amid ongoing instability in the Middle East.