The Incheon Credit Guarantee Foundation (인천신용보증재단, Chairman Lee Bu-hyun (이부현)) announced on the 14th that it has published a report titled “A Study on the Impact of Incheon’s Interest Subsidy Support Policy on Subrogated Repayment.” An analysis of 50,023 small businesses and small business owners (소상공인) that received guarantee support from 2023 to 2025 found that companies that received interest support through the Business Stabilization Fund (경영안정자금) showed a lower risk of closure and subrogated repayment (대위변제).
 [코리안투데이] Lee Bu-hyun (이부현), Chairman of the Incheon Credit Guarantee Foundation, presenting the findings of the interest subsidy support policy study. © 김현수 기자 |
Three-Year Analysis of Roughly 50,000 Guaranteed Businesses
The analysis covered 50,023 small businesses and small business owners that received guarantee support through the Incheon Credit Guarantee Foundation (인천신보) from 2023 to 2025. Of these, 28,623 businesses used the Business Stabilization Fund at least once, while 21,400 did not.
Over the past three years, Incheon’s total support through the Business Stabilization Fund reached 756.8 billion won, with 216.2 billion won provided in 2023, 251.8 billion won in 2024, and 288.8 billion won in 2025. Over the same period, the total reduction in financial costs achieved through interest subsidies was analyzed at 43.7 billion won.
 [코리안투데이] Lee Bu-hyun (이부현), Chairman of the Incheon Credit Guarantee Foundation, presenting the findings of the interest subsidy support policy study. © 김현수 기자 |
Interest-Supported Businesses Show 11.66% Lower Closure Risk, 14.53% Lower Subrogated Repayment Risk
According to a logistic regression analysis, businesses that received interest support showed a lower risk of both closure and subrogated repayment compared to those that did not. After controlling for other factors, businesses receiving interest support showed an 11.66% lower risk of closure and a 14.53% lower risk of subrogated repayment.
This suggests that interest subsidy support does more than ease the financial cost burden on small business owners — it may also help mitigate business risk and contribute to the soundness of guarantee assets.
 [코리안투데이] Lee Bu-hyun (이부현), Chairman of the Incheon Credit Guarantee Foundation, presenting the findings of the interest subsidy support policy study. © 김현수 기자 |
Sales and Employment Gains Also Confirmed… Emphasis on Post-Support Management System
According to a survey of customers who used the Business Stabilization Fund, the average effect over the past three years showed a 41.2% increase in sales, an 18.4% increase in employment, and a 50.8% improvement in business conditions.
The report emphasized that the policy’s effectiveness can be further enhanced when interest subsidy support is linked with guarantee screening, post-support management, and business support, stressing the importance of a data-driven system for selecting support recipients and continuously monitoring the risk of closure and subrogated repayment.
Lee Bu-hyun (이부현), Chairman of the Incheon Credit Guarantee Foundation, said, “Interest subsidy support is an important policy tool that goes beyond simply lowering the interest burden — it helps struggling small business owners sustain their operations.” He added, “Based on the findings of this study, we will work with the City of Incheon to build a more sophisticated and effective policy finance support system to underpin the business stability of small business owners and the recovery of the local economy.”
 [코리안투데이] Lee Bu-hyun (이부현), Chairman of the Incheon Credit Guarantee Foundation, presenting the findings of the interest subsidy support policy study. © 김현수 기자 |
 [코리안투데이] Lee Bu-hyun (이부현), Chairman of the Incheon Credit Guarantee Foundation, presenting the findings of the interest subsidy support policy study. © 김현수 기자 |
[ Reporter Kim Hyun-soo ] incheoneast@thekoreantoday.com
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