NH NongHyup Bank to provide W500b in financing for POSCO International's food business

NH NongHyup Bank will provide 500 billion won ($378 million) in financial support over the next three years to back POSCO International's global food business.

NH NongHyup Bank announced Tuesday that it signed an MOU with POSCO International at Posco Tower in Songdo, Incheon, on Monday to strengthen food security and expand productive financing.

Under the agreement, NH NongHyup Bank will supply a total of 500 billion won in productive financing over three years. The bank plans to support the funding and foreign exchange transactions required for POSCO International's global food business, helping the company expand its food security-related operations.

Specifically, the bank will provide an integrated foreign exchange credit limit for food business needs and offer preferential fee rates on trade finance transactions. It also plans to improve the convenience of foreign exchange dealings in overseas operations through support for new foreign exchange transactions.

Through the partnership, NH NongHyup Bank aims to reduce companies' financing costs while expanding the supply of funds into the real food industry.

"By combining POSCO International's global food business capabilities with NH NongHyup Bank's financial support capacity, we will reinforce food security and drive the expansion of productive financing," said Eom Eul-yong, executive vice president of corporate banking at NH NongHyup Bank. "We will continue to expand tailored financial support that meets companies' real financing needs, contributing to stronger industrial competitiveness and a more vibrant real economy."

Meanwhile, NH NongHyup Bank has been selected as the primary treasury bank for the South Jeolla Province-Gwangju integrated special city, taking charge of general accounts, regional development funds and administrative integration fiscal support grants for four years starting in 2027. Gwangju Bank will operate as the secondary treasury bank.