NH NongHyup Bank will provide financial support worth 150 billion won to reduce the burden of financing costs for locally based businesses such as village enterprises.

The bank said on Wednesday it will make a special contribution totalling 10 billion won to regional credit guarantee foundations nationwide to 추진 tailored financial support worth 150 billion won.

For locally based businesses struggling with high interest rates, it will provide support by easing interest burdens through interest subsidies linked to local government partnership loans.

The institutional foundation to support village enterprises has also been strengthened. The village enterprise system, previously run under implementation guidelines, will now have a legal basis as the Act on the Promotion and Support of Village Enterprises takes effect this month.

The bank sees the financial support as helping village enterprises and other locally based businesses secure funding and build a foundation for growth.

Kang Tae-young (강태영), head of NH NongHyup Bank, said, "I hope this financial support worth 150 billion won will become a solid foundation for the sustainable growth of village enterprises and locally based businesses that are the backbone of the regional economy." He added, "We will continue to expand tailored financial support for regions and inclusive finance."