Hana Bank is joining hands with Hyundai Mobis and the Korea Technology Finance Corporation (Kibo) to provide up to 500 billion won in financial support for small and medium-sized enterprises (SMEs).

The three organizations signed a comprehensive business agreement aimed at mutual benefit and shared growth, officially launching their SME support program. The signing ceremony was held at Hyundai Mobis headquarters in Gangnam-gu, Seoul. Hana Bank President Lee Ho-sung, Hyundai Mobis CEO Lee Kyu-seok, and Kibo Chairman Kwon Hyung-taek attended the event to discuss the challenges facing SMEs and possible support measures.

The funding will be raised through a fund structure. Hana Bank and Hyundai Mobis each contributed 24 billion won and 6 billion won respectively to create a total fund of 30 billion won, which will be used to supply up to 500 billion won in liquidity to partner SMEs. The beneficiaries are SMEs recommended by Hyundai Mobis, and the funds will be used for various business stabilization purposes, including research and development (R&D), facility investment, and operating capital.

Preferential terms to ease financial cost burdens are also a key part of the agreement. To reduce the financial burden on SMEs, the agreement-based guarantees will apply a 100% guarantee ratio for three years, cut the guarantee fee rate by 0.4 percentage points, and fully cover the first year's guarantee fees. As a result, SMEs with insufficient credit and collateral will also be able to benefit from easier access to financing.

Through this agreement, Hana Bank plans to improve SMEs' access to loans and create an environment where companies with physical AI technologies, such as robotics and autonomous driving, can focus on technological innovation. The bank will also push to expand productive finance and build a virtuous cycle of capital flow.

Hana Bank President Lee Ho-sung said, "The three organizations will work closely together so that SMEs with technological capabilities and potential do not lose opportunities for growth," adding, "Going forward, we will continue to make efforts to build a virtuous cycle of capital through the expansion of productive finance and to support the recovery of the real economy and the growth of SMEs."