Labor ministry expands safety loan discounts to private banks

The labor ministry announced Thursday that small and midsize companies recognized for excellent safety management will now receive loan interest rate discounts of up to 2.1 percentage points from private financial institutions. This marks the first time such support has expanded beyond public lenders to include the private sector.

The Korea Occupational Safety and Health Agency signed a memorandum of understanding with NH NongHyup Financial Group at the agency's Seoul Metropolitan Regional Headquarters on July 30. Under the agreement, firms that pass the agency's risk assessment and earn safety excellence certification can access preferential lending products offered by the financial group. The deal also leverages NongHyup's nationwide branch network to deliver technical and financial support information to agricultural corporations and small businesses in rural and small-city areas where access to such data has been difficult.

Beyond interest rate relief, the two organizations plan to jointly diagnose the ESG levels of participating companies using industrial accident prevention data provided by the safety agency, linking results to financial support projects. They will also work together to identify and support venture firms holding safety technologies or products.

Kim Hyun-joong, chairman of the Korea Occupational Safety and Health Agency, said, "Just as our slogan states that safety is the fastest route, we will open an era where safety becomes a company's competitiveness and a foundation for growth alongside the private financial sector." He added that the partnership would ensure safety culture reaches previously neglected regions like rural communities through NongHyup's extensive infrastructure.

Lee Chan-woo, chairman of NH NongHyup Financial Group, stated, "Through this agreement, we will usher in an era of 'safety and health finance' where industrial safety becomes a core competitive advantage for enterprises." He emphasized that the financial group will continue to expand win-win financial models allowing companies and financiers to grow together in line with government policies.