NH NongHyup Bank will join hands with the Korea Credit Guarantee Fund to supply 383 billion won worth of agreement-based guarantees to growth companies and small and medium-sized firms outside the Seoul metropolitan area. It will also expand financial support for new growth industries and exporters, as well as region-based industries and companies relocating to provincial areas.

NongHyup Bank said on Tuesday it signed a business agreement with the Korea Credit Guarantee Fund on productive finance and region-tailored financial support.

Under the productive finance agreement, the bank will contribute 5 billion won, including special contributions and guarantee fee support funds, to supply 220 billion won worth of agreement-based guarantees. Eligible firms include companies in new growth engine industries and startups, exporters, job-creating firms and venture companies.

It will also contribute 5 billion won under a region-tailored agreement to supply 163 billion won worth of agreement-based guarantees. Eligible recipients include companies in region-based industries, small and medium-sized firms relocating to provincial areas and companies investing in provincial regions.

The Korea Credit Guarantee Fund will apply a 100 percent guarantee ratio for three years and cut guarantee fees. NongHyup Bank will also support guarantee fees for two years.

A NongHyup Bank official said, "We will expand financial support for companies with high growth potential and regional companies to contribute to strengthening corporate competitiveness and revitalising regional economies."

Separately, NongHyup Bank also took part as a lead financial arranger in the first phase of the 'Champions City mixed-use development' project for the Jeonnam-Gwangju Integrated Special City, with a total project cost of 2.7 trillion won. It signed a 340 billion won financing agreement on Monday, and the total funding 규모 is 1.1 trillion won.