KB Kookmin Bank moves to prevent wage and payment defaults in construction, shipbuilding and manufacturing

KB Kookmin Bank signed an MOU with NICE D&R, a corporate data and platform specialist, on Monday to promote inclusive finance, the bank announced Tuesday.

The agreement centers on building an inclusive finance ecosystem to prevent unpaid wages and contract payments at construction, shipbuilding and manufacturing sites, using Nomubidotcom, an electronic payment system operated by NICE D&R.

The two companies will combine KB Kookmin Bank's financial infrastructure with NICE D&R's platform capabilities to establish a joint cooperation framework for small and medium-sized subcontractors and workers.

The partnership will introduce a trust structure into the bank's "KB Subcontract Guardian Account" to ensure construction payments are disbursed safely, free from risks such as provisional seizure. An escrow service will also be added to strengthen protection of inter-company transaction funds, easing the cash management burden on small and medium-sized enterprises and creating a more stable business environment.

KB Kookmin Bank has also been stepping up support for small and medium-sized enterprise customers through similar partnerships — most recently signing an MOU with Itcencore, operator of the human resources management platform Nomoo365, on Thursday.

"We will continue to do our utmost to build a sustainable inclusive finance ecosystem and expand financial support that businesses can feel on the ground," a KB Kookmin Bank official said.