Tourism Promotion and Development Fund Loan Application — Who Qualifies and Documents for Hotel Facility and Operating Funds

Procedure

1. 1. Check whether the use of funds qualifies

   Article 5(1) of the Tourism Promotion and Development Fund Act lists building or renovating hotels and other tourist facilities, securing or renovating tourist transportation, building or renovating tourism infrastructure, and building or renovating convenience facilities in tourist destinations, tourist complexes and special tourist zones. Article 2 of the Enforcement Decree adds projects such as revitalizing tourism business operations and setting up overseas branches of travel agencies and casinos. First separate whether you need facility funds for new construction, extension or renovation, or operating funds.

2. 2. Confirm tourism business status and business plan approval

   A tourism business operator is a person who has obtained registration, a permit or designation, or filed a report under the Tourism Promotion Act, and a tourist accommodation business must obtain business plan approval from the city, county or district before registration. If a registration, permit, designation or business plan approval is revoked or lapses, eligibility for the fund is lost, so first confirm that your registration certificate and approval are currently valid. If the registered details differ from reality, file a change of registration first.

3. 3. Review the loan guidelines announced each year

   Lending interest rates, loan periods and overdue interest rates are set by the Minister of Culture, Sports and Tourism after review by the Fund Management Committee, so they change every year. Check the application period, eligible business types and limits, exclusions and how to apply in the loan guidelines. If you miss the announcement period, you have to wait for the next round.

4. 4. Prepare the business plan and fund requirement details

   For facility funds, organize the construction details, schedule and the basis for calculating the required amount; for operating funds, organize business performance and a plan for using the funds. Attach the evidence the guidelines require, such as the tourism business registration certificate, business plan approval, financial statements and construction quotes. The plan should clearly show how the project is connected to the tourism business.

5. 5. Apply at a handling bank and manage the loan afterward

   Fund lending is handled by the Korea Development Bank and financial institutions that on-lend the fund, and the bank that receives the application reviews the loan and evaluates collateral and credit. After receiving the loan, use the fund only for the designated purpose and keep construction evidence and records of use. If the fund is used for other purposes or the loan conditions are not met, the loan is cancelled and the fund is recovered.

Required documents

• Tourism Promotion and Development Fund loan application (form in the loan guidelines)
• Tourism business registration certificate or proof of permit or designation
• Tourist accommodation business plan approval (for facility fund applications)
• Business plan and statement of required funds
• Construction quotes, design drawings and other facility investment evidence (for facility fund applications)
• Latest financial statements and business performance records
• Corporate register certificate or business registration certificate
• Letter of authorization (when submitted by an agent)

Fees

Generally in the range of several hundred thousand to several million won · We provide a quote after consultation depending on whether you need facility or operating funds, whether tourism business registration or business plan approval needs to be put in order, and the scope of the business plan. Government fees are separate.

See fees and official charges for this service →

Legal basis and review date

• Tourism Promotion and Development Fund Act Article 3
• Tourism Promotion and Development Fund Act Article 5
• Tourism Promotion and Development Fund Act Article 11
• Enforcement Decree of the Tourism Promotion and Development Fund Act Article 2
• Enforcement Decree of the Tourism Promotion and Development Fund Act Article 3
• Enforcement Decree of the Tourism Promotion and Development Fund Act Article 10
• Enforcement Decree of the Tourism Promotion and Development Fund Act Article 13
• Enforcement Rule of the Tourism Promotion and Development Fund Act Article 3
• Tourism Promotion Act Article 2
• Tourism Promotion Act Article 4
• Tourism Promotion Act Article 15

Checked against the statutes on 2026-10-07

Statutes and public notices change, so each case needs to be checked individually. Statute titles are given in English for reference. The Korean statutes are the authoritative text.

Check these first

• If you apply for a loan by false or fraudulent means, the application may be rejected or the loan cancelled, and all or part of the fund paid out is recovered.
• If your tourism business registration or business plan approval is revoked or lapses during the loan period, you lose eligibility, so check the loan conditions before suspending, closing or transferring the business.

Frequently asked questions