The government plans to allow startups and venture companies to tap into cheap, state loans without having to find their guarantors as part of new measures to reinvigorate the social economy.

The plan was announced Wednesday by the presidential committee on job creation in line with the Moon Jae-in administration's five-year job policy road map.

Under the plan, by the end of next year, the government will abolish the regulation on joint liability for policy financing. Various forms of policy financing have become available for startups as part of the government’s efforts to create jobs in the private sector, but they lacked access to state loans.

The government says it will also ease the restrictions on crowd funding to allow related advertising as well as raise the ceiling on the amount of investments they can take. 

Additionally, the committee announced five major projects for the five-year job creation plan: enhancing infrastructure on job creation, creating more jobs in the public sector, enhancing the quality of jobs and customized support for job seekers.