KDB Bank Adds 100 Billion Won Capital Injection...Continues Support for National Growth Fund and Net Zero Program

KDB Bank Board Approves New Share Issuance and Shareholders' Meeting Agenda
Total Disclosed Capital Increase This Year Rises to 777.6 Billion Won
Additional Funding Allocated to National Growth Fund and Carbon Net Zero Program

The government will inject an additional 99.8 billion won into Korea Development Bank. The capital will be used for managing the National Growth Fund and supporting carbon-neutral finance through the Climate Response Fund.

According to Korea Development Bank on September 17, its board of directors recently approved an agenda item for "new share issuance and convening a general shareholders' meeting" totaling 99.8 billion won. All board members present agreed to the resolution.

This capital increase will take place through the government’s acquisition of new shares issued by Korea Development Bank. The government owns 100% of KDB’s shares. The largest shareholder is the Ministry of Economy and Finance, and other key stakeholders include the Ministry of Land, Infrastructure and Transport, and the Ministry of Trade, Industry, and Energy. The government holds all shares by distributing them across several ministries.

Korea Development Bank plans to use the funds raised in this round to manage the National Growth Fund and provide additional resources for the "KDB Carbon Net Zero" program, which is funded by the Climate Response Fund. KDB Carbon Net Zero is a policy finance program that links government climate response funds with KDB’s own capital. It supports loans and investments for the commercialization of green innovation technologies and companies, as well as hydrogen infrastructure and marine wind power facility investments. Since this year, the Ministry of Climate, Energy and Environment has been responsible for managing the Climate Response Fund, following a government reorganization.

Previously, in April, KDB also approved a 395 billion won capital increase to manage the National Growth Fund and establish the KDB Carbon Net Zero program. In May, it pursued an additional 282.8 billion won capital increase to support the National Growth Fund and the semiconductor industry. Including the most recent 99.8 billion won, the total amount of the three capital increases disclosed this year amounts to 777.6 billion won.

This recent board resolution is a procedure for new share issuance and convening a general shareholders' meeting. Korea Development Bank plans to finalize the capital increase by completing steps such as holding the shareholders' meeting and processing the new share acquisition and payment.

This content was produced with the assistance of AI translation services.