Image Credit: The Pulse News Korea

Bank loans to SMEs in Korea surge on new rule to promote corporate loans

Bank lending to small- and medium-sized enterprises in South Korea surged nearly 30 trillion won ($25 billion) over a year on new regulations aimed to increase funding for the smaller business sector and contain household loans. Market analysts attributed the surge in banks’ SME loans to the country’s new loan-to-deposit ratio (LDR) rule, requiring lenders to increase loans to companies and reduce the share of consumer loans.

News via The Pulse News Korea