Hana Bank said on Friday it will provide special funding worth a total of 15 trillion won for small merchants and small and midsized enterprises with high financing demand around the Lunar New Year holiday through March 13.

Eligible support covers new corporate loans with a maturity of up to 1 year and extensions, including refinancing, of existing holiday special-fund loans for Lunar New Year and Chuseok. Products include general loans for working capital and facilities, commercial bill discounting and trade bill loans. The bank will offer loan-rate reductions of up to 1.5 percent.

The funding limit totals 15 trillion won, comprising 6 trillion won for new loans and 9 trillion won for extensions. It is expected to significantly reduce interest burdens on new and existing loans and help SMEs, including sole proprietors, that need funds around the holiday period.

Hana Bank will also offer an on-site financial service for travellers returning to their hometowns who want to exchange banknotes for new bills. It will hold a new-banknote exchange event through its 'Moving Hana Bank' service at the Yangjae Mannameui Gwangjang rest area on the southbound side from 10 a.m. to 5 p.m. on Feb. 13 and 14.

A Hana Bank official said, "We hope it will help, even a little, small merchants and SMEs that need funds during the Lunar New Year holiday," and added, "We hope you spend a warm and abundant holiday with your family."