The state-run Korea Development Bank (KDB) has set out to provide 300 billion won worth of assistance to startup and venture companies suffering from the COVID-19 crisis.
KDB's program to support ailing startups on April 3 consists of investment to cope with the virus crisis, convertible bonds for growth sharing, bridge loans and special mega-venture loans to support scale-up of prospective unicorn companies.
In fact, according to an in-house survey of companies already invested by KDB in March, 45.3 percent of the respondents were affected by the COVID-19, including a drop in sales and delayed supply and demand of raw materials.
KDB plans to sharply expand investment and loans to venture firms this year. The first-quarter figure is 145.9 billion won, already higher than the previous year's annual support record of 125.4 billion won.
KDB has raised 5.7 trillion won in growth support funds to provide large-scale venture capital to small and venture companies. It invested 1.5 trillion won as of the end of February. Another 2.5 trillion won will be raised this year.