Eased loan screening, higher collateral ratios under review

Bank extends 37.4 billion won in SME support, delivers 300 million won scholarship

NH NongHyup Bank President Kang Tae-young (right) and South Jeolla-Gwangju Integrated Special City Mayor Min Hyeong-bae pose for a commemorative photo at a scholarship presentation ceremony held to support talent development for the city's semiconductor cluster. [NH NongHyup Bank]
NH NongHyup Bank President Kang Tae-young (right) and South Jeolla-Gwangju Integrated Special City Mayor Min Hyeong-bae pose for a commemorative photo at a scholarship presentation ceremony held to support talent development for the city's semiconductor cluster. [NH NongHyup Bank]

NH NongHyup Bank said it will expand financial support for companies entering the South Jeolla-Gwangju Integrated Special City's semiconductor cluster and step up efforts to cultivate local talent.

The bank visited the city's Gwangju office Monday to meet with Mayor Min Hyeong-bae, discussing plans to provide financial backing for the development of a semiconductor-focused city and the revitalization of the regional economy.

NH NongHyup Bank plans to introduce a preferential financing regime for cluster tenants, easing loan screening requirements and raising collateral recognition ratios. It will also offer tailored financial services to company employees, including asset management programs.

Support for local small and medium-sized enterprises and small business owners will continue as well. A dedicated SME and small business loan product launched in July carries an additional preferential interest rate of 0.4 percentage points; the bank has extended 174 loans totaling 37.4 billion won ($27 million) through the program to date.

The bank has also made a special contribution of 5 billion won to a credit guarantee institution, enabling roughly 125.7 billion won in loan support. Through its NH Growth Partnership Center, it has provided 132 consulting sessions this year covering startup, management and tax affairs.

NH NongHyup Bank is also supporting workforce development in the semiconductor and AI sectors. On Monday, it delivered a 300 million won scholarship to be used for the academic support of middle school, high school and university students in the region. The funds are earmarked for training specialists in advanced industries including semiconductors and AI.

"To ensure the successful development of the semiconductor cluster and a leap forward for the regional industry, it is vital to provide financial support to businesses while also nurturing local talent who will lead the industries of the future," NH NongHyup Bank President Kang Tae-young said. "NH NongHyup Bank will actively support the successful establishment of the South Jeolla-Gwangju Integrated Special City's semiconductor cluster and will continuously expand support in finance and education so that businesses and talent can put down stable roots in the region."

Meanwhile, NH NongHyup Bank earlier served as the lead financial arranger for the first phase of the city's Champions City mixed-use development project, signing a financing agreement worth around 340 billion won. The total funding package stands at 1.1 trillion won, with the bank participating in project financing alongside affiliates within the broader NongHyup group from the project's early stages.


rim@heraldcorp.com