Shinhan to support Korea's New Deal projects

Shinhan Financial Group headquarters in Seoul / Yonhap

By Park Jae-hyuk

Shinhan Financial Group said Monday it will launch a project named N.E.O. ― standing for “new economic growth supporting operations” ― to help the government's ongoing efforts to develop the country's new growth engines with a Korean version of the New Deal.

According to the nation's leading banking group, the project is aimed at offering financial support to innovative industries, leading digital financing and fostering a new business ecosystem.

To achieve these goals, Shinhan plans to extend more loans to startups and small- and medium-sized enterprises (SMEs) engaging in data, digital infrastructure, social overhead capital and eco-friendly businesses.

It also joined hands with Yonsei University to create a system to measure the social value of companies that seek to receive its financial support.

Shinhan said it will inject 85 trillion won ($71 billion) over the next five years to help the innovative startups and SMEs.

In addition, it vowed to make efforts to boost the government-run financial data exchange with its abundant financial data and digitize every sector of corporate financing.

As for the new business ecosystem, Shinhan said it will help with the establishment of innovative growth platforms nationwide as it did for the Startup Park in Songdo in Incheon.

It will also invest 110 billion won in startups by 2023 through its startup accelerator program named Shinhan Future's Lab.

The group added it will hire 6,700 new employees over the next five years and ensure digital experts account for more than half of its new employees.