KB Kookmin Bank extends $278 mn in livelihood support

[Courtesy of KB Kookmin Bank]

KB Kookmin Bank has announced the most extensive support program for shared growth in the Korean financial sector, extending a total of 372.1 billion won ($278 million) for livelihood finance assistance, with a focus on self-employed individuals, small business owners, and vulnerable groups.

The bank’s support measures include interest cashback and other programs, with the interest cashback being part of the shared growth finance project jointly implemented by the banking industry in December 2023.

Around 320,000 self-employed individuals and small business owners will benefit from a relief of about 308.8 trillion won in interest burdens via the interest cashback program. For loans up to 200 million won with an interest rate exceeding 4 percent, the program will reimburse 90 percent of the interest payment amount for a year, up to a maximum of 3 million won, until March 2024.

The bank also plans to invest 63.3 billion won in programs to help small businesses via a guarantee agency and other routes.

Alongside these programs, KB Financial Group has been providing support to small business owners and self-employed individuals by allocating 20 billion won annually for three years, starting in 2023. The bank’s support focused on assisting small business owners and self-employed individuals with energy costs, rent, and other expenses that year and a similar program is expected to be implemented in 2024.

KB Kookmin Bank will also extend support to victims of lease fraud via the KB Jeonse Assurance Program. The bank offers legal advice and financial counseling to victims of lease fraud nationwide, including cities such as Incheon, Suwon, and Daejeon, in addition to financial assistance.