Kibo chief marks 100 days with plan to transform agency into comprehensive innovation support body

Korea Technology Finance Corporation President Kwon Hyung-taek is marking his 100th day in office with plans to overhaul the agency's operating structure and transform it into a comprehensive technology innovation support body. The initiative calls for expanding financial support for future strategic industries such as AI and semiconductors, while also strengthening non-financial services including technology assessment, technology transfer and mergers and acquisitions.

Kibo said Kwon presented three core priorities Thursday — restructuring the agency's institutional framework, upgrading AI-based technology assessment and securing a stable financial base.

Kwon, who took office July 15, has since visited company sites and sales offices to hear about regulatory difficulties and demand for financial support. In September, he held a management strategy workshop at Kibo's Busan headquarters, attended by branch managers from across the country, to discuss ways to provide technology finance support in line with the government's three major mega-projects.

The most significant change involves restructuring the agency's operating framework. Kibo plans to move beyond its traditional focus on technology guarantees and build a comprehensive support system linking technology assessment, technology transfer, technology protection, M&A and research and development commercialization.

The goal is to establish an institutional foundation through which small and medium-sized enterprises and venture companies with strong technology capabilities can receive both financial and non-financial support at each stage of their growth. A related bill has been submitted to the National Assembly, and Kibo said it will determine the specific direction of the restructuring after legislative deliberations and consultations with related ministries.

Kibo also plans to upgrade its AI- and data-driven technology assessment system. It intends to refine AI evaluation models using accumulated corporate and technology data, and to incorporate the characteristics of strategic industries — including semiconductors, AI and advanced manufacturing — into its assessments. The agency is also exploring ways to connect assessment results not only to guarantees but also to investment and technology transfer.

Securing additional funding is another key priority. Kibo said it will strengthen policy finance to help small and medium-sized enterprises in materials, components and equipment benefit from the semiconductor industry's boom, which has so far been concentrated among large conglomerates. The agency is reviewing ways to secure additional resources through expanded government contributions and cooperation with financial institutions.

Kibo earlier partnered with Woori Bank to arrange 975 billion won ($734 million) in cooperative guarantees targeting strategic industries including semiconductors, physical AI and AI data centers. The agreement raises the guarantee ratio from the existing 85 percent to a maximum of 100 percent and reduces the guarantee fee burden on borrowers.

Kibo is also pursuing cooperative guarantee arrangements of up to 500 billion won with Hyundai Mobis and Hana Bank for their partner companies, and 100 billion won with Hyundai Motor Company, Kia and the Industrial Bank of Korea for companies supplying automotive semiconductors. The measures aim to improve access to financing for small and medium-sized enterprises with strong technology credentials that struggle to raise funds.

However, restructuring the agency's institutional framework will require legislative amendments and consultations with related ministries. Expanding government contributions will also require discussions with fiscal authorities. Whether Kibo's reform agenda translates into meaningful expanded support for businesses will ultimately depend on how quickly the necessary regulatory changes and funding arrangements can be put in place.

"The past 100 days have been a time to give concrete shape to the direction Kibo should take, based on what we heard in the field," Kwon said. "We will do our utmost to build a comprehensive foundation for technology innovation support through institutional restructuring and enhanced technology assessment capabilities, while also working to secure a stable financial base."