[THE INVESTOR] A state-run maritime business promotion corporation said on Oct. 10 it will provide liquidity support for cash-strapped shipping firms and fund eco-friendly projects.
The Korea Ocean Business Corp. said it will provide 138 billion won (US$121.90 million) worth of guarantees for four shipping companies to help them build liquefied natural gas-propelled ships and purchase other vessels.
Among them are Korea Line Corp., SK Shipping, H-Line Shipping and Polaris Shipping.
The KOBC will also invest 16 billion won in two shipping companies to help them build eco-friendly ships and provide 57 billion won worth of liquidity through a sale and lease back program for seven small shipping companies.
The liquidity support from the fledgling corporation is part of the government’s efforts to revive the nation’s slumping maritime industry in the wake of Hanjin Shipping’s bankruptcy in 2016.
The KOBC was launched in July as the shipbuilding industry, once regarded as the backbone of the country’s economic growth and job creation, has been reeling in the face of an industry-wide slump and increased costs.
By Song Seung-hyun and newswires (firstname.lastname@example.org)