The Korea Development Bank(KDB) will launch due diligence on General Motors(GM) Korea sometime this week to decide whether to provide financial support to the firm.

According to industry insiders on Monday, the bank will begin the due diligence this week in accordance with an agreement with GM. 

GM Executive Vice President Barry Engle and KDB Chairman and CEO Lee Dong-gull had reached the agreement for carrying out the due diligence when Engle made a three-day trip to South Korea last week. 

Meanwhile, GM also submitted a formal request on Monday to ask the governments of South Gyeongsang Province and Incheon City to designate its factory sites as foreign investment zones, which would make the automaker eligible for seven years of tax benefits.