Shinhan Bank is strengthening financial support for marine industries in South Korea's southeast region, centred on Busan, including shipbuilding, defence, ports and logistics.

Shinhan Bank said on Aug. 12 it held an opening ceremony on Aug. 11 for Shinhan SOL Cluster Busan at the Busan Seomyeon Financial Center in Busan's Busanjin district.

Shinhan SOL Cluster Busan is a regional hub financial platform that began operating on July 1. It is tasked with identifying companies focused on regional strategic industries and supporting them from diagnosing funding needs to executing financial support, including links to policy finance and group affiliates.

It focuses not only on credit support for individual companies but also on analysing changes in regional industries and investment plans to identify companies with high growth potential and new projects.

The Busan cluster will prioritise support for shipbuilding, defence and naval vessel maintenance, repair and overhaul, as well as ports and logistics. It will target support across the supply chain, including major shipbuilders and defence and shipping companies, as well as small and mid-sized partner companies in equipment, parts and maintenance.

It also plans to respond to financial demand in shipping, ports and logistics arising from efforts to develop Arctic shipping routes and shift to smart ports.

Depending on a company's growth stage and business characteristics, it will support working capital before orders and deliveries, raw material purchase funding, export-import finance and facilities investment finance. It will also link financial services within Shinhan Financial Group, including investment finance, capital market solutions and corporate consulting.

Shinhan Bank deployed specialised relationship managers with industry expertise and corporate finance capabilities, as well as professional credit reviewers from its corporate credit assessment department, on site. Together with regional headquarters and branches, they will review business plans, funding structures and feasibility from the early stage. If needed, the bank plans to work with its head office investment banking department, group affiliates and policy and related institutions to arrange funding plans.

Shinhan Bank plans to work with the Busan city government, Korea Ocean Business Corp and industry groups to review regional companies' order and investment plans and financing difficulties. It will operate a support system linking company identification, financing execution and follow-up management.

Shinhan Bank CEO Jeong Sang-hyeok (정상혁) said, "Through Shinhan SOL Cluster Busan, we will work closely with local companies, identify the financial solutions they need first and create meaningful growth together."