[Shinhan Bank]
[Shinhan Bank]

Shinhan Bank will provide 15.2 trillion won ($11.1 billion) in financial support to small and medium-sized enterprises facing temporary cash shortages ahead of the Chuseok holiday. The measure is designed to ease short-term liquidity pressures on businesses that see heightened demand for funds around the holiday to cover payroll and raw materials payments.

The bank said Wednesday it will offer new loans of up to 1 billion won per company to small and medium-sized enterprises through Oct. 16, with interest rates discounted by up to 1.5 percentage points. Loan maturities will be extended without requiring partial principal repayment, and installment payments will be deferred.

Shinhan Bank has also been expanding support for financially vulnerable customers. It launched the "Super SOL Mid-Rate Loan" on Aug. 21, offering up to 20 million won to customers in the bottom 50 percent of external credit scores. Starting Aug. 26, the bank also extended by one year a program that caps household loan interest rates above 9.8 percent annually at that level.


forest@heraldcorp.com