Comprehensive Financing Support for Exports: Market Development, Financing, and Supply Chain Funds

In August 2023, the Financial Services Commission announced the Comprehensive Financing Support Measures for Exports to provide additional policy funding and financing support for export-focused businesses. The Support Measures are intended to counter on-going disruptions in the global supply chain; and to boost Korean industrial competitiveness in newly emerging high-tech sectors such as semiconductor and battery industries. 

The Measures cover three major policy initiatives:

1. Market development, financing, and supply chain support funds: 4.1 trillion KRW
2. Domestic industrial competitiveness measures: 18.7 trillion KRW
3. Regulatory support for export financing (e.g., extending loan periods, concessionary rates)

Specific measures included in the market development, financing, and supply chain support funds are:

• Loan guarantees and preferential interest rates for businesses exporting to new and emerging markets (KRW 800 billion)
• Funding support for collaboration between conglomerates and SMEs on the creation of domestic supply chain for export markets (KRW 1 trillion)
• Designated loans for export-focused SMEs with low credit ratings (KRW 1.5 trillion)
• Financing support for Korean businesses participating as vendors in large overseas projects (KRW 300 billion)
• Capitalization of a Supply Chain Support Fund aimed at providing R&D, capital investment, M&D, joint venture activity, and export market entry support (KRW 500 billion)

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