EBRD providing US$ 170 million to Khan Bank

• EBRD lending up to US$ 170 million to Mongolia’s Khan Bank
• Financing package will strengthen MSMEs’ resilience and promote green investment
• Largest loan ever provided to a Mongolian bank

The European Bank for Reconstruction and Development (EBRD) is continuing its fruitful cooperation with Mongolia’s leading private lender, Khan Bank, by offering it the largest financing package that the EBRD has ever provided to a bank in the country.

The EBRD’s financing package of up to US$ 170 million (€146.7 million) consists of three separate senior loans, which may be disbursed in either US dollars or Mongolian togrog:

• a loan of up to US$ 80 million (€69.4 million) under the Green Climate Fund and the EBRD’s Greening Financial Systems framework, which will help micro, small and medium-sized enterprises (MSMEs) to access green technologies
• a loan of up to US$ 50 million (€43.4 million) provided under the EBRD’s Women in Business (WiB) programme for Central Asia and Mongolia, which is supported by the Women Entrepreneurs Finance Initiative
• a loan of up to US$ 40 million (€33.9 million) under the EBRD’s Youth in Business (YiB) programme in Central Asia and Mongolia, targeting MSMEs that are led or owned by individuals under the age of 35.

The financing package will be accompanied by technical assistance provided by the EBRD and the Women Entrepreneurs Finance Initiative.

The EBRD has invested over US$ 3 billion (€2.59 billion) in Mongolia’s economy through 166 projects to date. Around 90 per cent of this funding has been used to support private-sector companies.