The Korea Ocean Business Corporation (KOBC), a state-run entity aimed at supporting the local shipping and shipbuilding industry, has been officially launched in Busan today.
The government proposed to establish the entity last year to help revive the nation’s slumping maritime industry. The company’s roles include investing in new ships, providing payment guarantees for shipbuilding orders, purchasing and chartering seconhand vessels, providing market information to shippers, supporting shipping companies to replace old vessels and implementing major shipping mechanism in emergency cases.
The initial registered capital of the company is KRW3.1 trillion ($2.77bn).
Hwang Ho-seon, a former professor of Pukyong National University, has been appointed as the inaugural CEO of the KOBC.
In June, KOBC announced plans to allocate a first round of around $251m to support the fleet renewal programs of domestic owners.