South Korean university students in Seoul are eligible for financial assistance with their student loan interest payments, the Seoul Metropolitan Government announced. The program, formally titled the “2026 First-Half University Student Loan Interest Support,” aims to alleviate the financial burden on students and recent graduates.
Applications will be accepted from to , 2026, through the city’s Youth Dream Platform (청년몽땅정보통) website. The support will cover interest accrued on student loans disbursed by the Korea Student Aid Foundation (KOSAF) during the second half of 2025 – specifically, from July to December.
Eligibility extends to currently enrolled undergraduate and graduate students, including those on leave of absence, who reside in Seoul. Crucially, the program also includes students who graduated within the past five years – specifically, those who graduated on or after .
The Seoul Metropolitan Government’s initiative builds on a broader national effort to support students facing increasing educational costs. KOSAF, a key player in Korea’s student loan landscape, offers a range of loan programs designed to finance higher education. These programs feature characteristics like eligibility independent of credit approval, deferment options, income-contingent repayment plans, and reduced interest rates, tailored to the borrower’s financial profile. The Seoul program directly addresses the interest component of these loans, providing immediate relief to eligible students.
While the Seoul program focuses on interest payments, the overall student loan market in Korea is substantial. Ulsan Metropolitan City, for example, has been operating a similar student loan interest support program since 2017, having disbursed approximately 315 million won (roughly $230,000 USD) to over 6,000 students to date. This demonstrates a growing recognition at the municipal level of the need to address student debt.
The Seoul program’s focus on recent graduates is a notable feature. Many students rely on loans to complete their education, and the transition to the workforce can be financially challenging. Supporting graduates in the initial years after graduation can help them establish financial stability and contribute to the economy.
Students interested in applying can find detailed information, including a full program announcement, on the Seoul city website. The city has also designated a contact point for inquiries: the Youth Affairs Officer at jmh0808@seoul.go.kr or by phone at 02-2133-6593.
The Seoul Metropolitan Government’s move comes as higher education costs continue to rise globally. Student loan debt is a significant concern for many countries, and initiatives like this one are aimed at mitigating the financial strain on students and ensuring access to education. The program’s success will likely be measured by the number of students who benefit and the overall impact on student financial well-being in Seoul.
The Seoul Tech Scholarship, while a separate initiative, also highlights the broader focus on supporting students in STEM fields. This scholarship, offered by the Seoul Scholarship Foundation, targets international students pursuing master’s degrees in science, technology, engineering, and mathematics. Both programs underscore the importance placed on investing in human capital and fostering a skilled workforce.
For students considering studying in Korea, a variety of education loan options are available. Scholarhunter.com provides a guide to securing loans for study in Korea, outlining the processes and eligibility requirements. KOSAF’s loan programs remain a primary source of funding for Korean students, and the Seoul Metropolitan Government’s interest support program offers an additional layer of financial assistance.
