South Korean small business owners are increasingly struggling to repay their loans as interest rates rapidly rise and domestic consumption weakens. Non-performing loans from self-employed individuals have increased by approximately 8% so far this year, signaling growing financial strain. This trend is particularly concerning for older business owners, who are facing heightened vulnerability. The escalating debt burden coincides with a broader economic slowdown impacting the country’s small business sector. Financial institutions are reporting a rise in loan defaults across various industries. Experts warn that continued interest rate hikes could exacerbate the situation, potentially leading to further business closures and economic instability. Authorities are monitoring the situation closely and considering potential support measures for struggling entrepreneurs.