Business · Trade · 2 hrs ago
Korea Eximbank and procurement agency join to help firms secure key materials
South Korea’s Export-Import Bank and Public Procurement Service agreed to help companies secure key raw materials through a new partnership.
They signed the agreement on October 28 at the bank’s headquarters in Seoul.
The procurement agency will share information about businesses that take part in its stockpiling system and small, innovative firms that use stored materials.
The bank’s new financing program will offer loans to buy strategic materials and build or expand storage facilities.
Eligible companies can get interest-rate discounts of up to 2.4 percentage points, and loan limits will be 10% higher than before.
The support is meant to encourage companies to hold more supplies and reduce their costs.
The bank says it will focus on supply-chain funding so essential goods can keep reaching businesses during disruptions.
Korea Eximbank and the Public Procurement Service have agreed to help companies secure key raw materials.
The agreement links the procurement service’s strategic-material stockpiling system with the bank’s supply-chain financing.
The bank plans to offer loans for buying strategic materials and building or expanding stockpiling facilities.
Eligible companies will receive preferential interest rates of up to 2.4 percentage points and a loan limit 10% higher than before.
- Who
- Korea Eximbank and the Public Procurement Service.
- What
- They signed an agreement to link strategic-material stockpiling with supply-chain financing and support companies seeking key raw materials.
- When
- The agreement was signed on October 28; the bank announced it on October 29.
- Where
- Korea Eximbank’s headquarters in Yeouido, Seoul.
- Why
- To help companies secure key raw materials and strengthen supply-chain stability.
This story does not have two clearly opposing sides.
Korea Eximbank and the Public Procurement Service signed an agreement at the bank’s headquarters in Yeouido, Seoul.
Korea Eximbank announced the agreement and its planned support for companies.
- Agreement
- Strategic-material stockpiling and supply-chain finance
- Loan uses
- Purchasing strategic materials and building or expanding stockpiling facilities
- Preferential interest rate
- Up to 2.4 percentage points
- Loan limit
- 10% higher than before
- Institutions
- Korea Eximbank and the Public Procurement Service
What people are saying
To raise our ability to respond to supply-chain crises, participation by private companies is essential as well as efforts at the government level.
The aim is to ease companies’ cost burden and encourage them to increase their stockpiles.