President Hur Yin of KB Kookmin Bank.

KB Kookmin Bank has been focusing on supporting SMEs’ reformed growth and expanding its role to introduce funds to strengthen its role as a leading financial institution.

The bank has been releasing funds based on the possibility of growth, not necessarily based on present financial results, to go along with the government policy to create new jobs by extending financial support to startups. The lender sees itself as a pillar of support for small business owners around the country through the Startup Support Centers.

Last year, the bank kicked off its special financing program aimed at providing funds to SMEs with great potential for growth, as well as startups, based on a new credit evaluation system. The system is different from the past systems in that it focuses on the growth potential instead of current financial results of borrowers.

Another point of differentiation is that it gives a special 0.5 percent discounted interest rate for business firms which turn irregular workers to regular, full time workers to create new jobs.

The business firms eligible for this type of loans should be SMEs in the 45 business areas with great potential for growth, including AI robots, medical equipment, medicine, electric car production, environment-friendly energy, among others. They also include the fashion industry and medical equipment.

The bank introduced the KB Hopeful Growth Area Business Firms Special Loans in order to provide systematic support to those business firms in the 45 areas with great growth potential so they will get financial support they need early in their growth stages.

The bank will get ready to provide them with other forms of support in cooperation with its affiliates including KB Securities in such areas as IPO and others during their growth stages.

KB Financial Group was established in September 29, 2008 with comprehensive transfer of major subsidiary companies' shares in accordance with middle and long term development plan for overall companies to cope with the change of financial environment such as global acceleration of financial industry, decrease of profitability of electronic bank service, extension of capital market followed by the introduction of the law of capital market integration, and the increase of needs for comprehensive financial service.

KB Financial Group contributes to the development of Korea's Financial industry by the extension of non-bank financing portfolio and reinforcement of competitiveness, increase of customer satisfaction by providing comprehensive financial services, and maximization of enterprise value through synergy creation. KB FGI is a comprehensive financial group with 299 trillion won in assets and the largest domestic customer base as well as the widest network of service branches in Korea.

Currently, domestic subsidiaries under the umbrella of KB Financial Group consist KB Asset Management, KB Real Estate Trust, KB Investment, KB Futures, KB Credit Information, KB Date Systems, Kookmin Bank Hong Kong Ltd. (UK), Kookmin Bank International Ltd. (UK), and KB Investment & Securities Hong Kong Ltd. (HK)

The view of the Kookmin Bank building in Yeouido, Seoul. (Photos: KB Kookmin Bank)