FIF - CA WiB Programme - Khan Bank



Project number:


Business sector:

Financial institutions

Notice type:


Environmental category:


Approval date:

06 Sep 2022



PSD disclosed:

04 Aug 2022

Project Description

The provision of a 3-year senior loan of up to US$ 10 million to Khan Bank LLC (KB) under the Central Asian Women in Business Programme ("CA WiB").

Project Objectives

The operation will promote the competitiveness of the local economy and contribute to the financial inclusion of underserved female entrepreneurs.

Transition Impact

ETI score: 70

The project contributes to the objectives of the CA WiB, supporting the Inclusive and Competitive TI qualities. The loan will support the transition objective of the CA WiB, i.e. promotion of women-led businesses' access to finance and, more broadly, women's active participation in business, thus alleviating gender inclusion gaps in terms of "access to finance" and "employment and entrepreneurship". 

Client Information


KB is the largest commercial bank in Mongolia with total assets of US$ 4.7 billion, loan portfolio of US$ 2.5 billion, and equity of US$ 0.45 billion as of YE2021. The bank is currently rated "B3" by Moody's and "B" by Fitch, both with a stable outlook. The bank has a universal focus and a nationwide presence in the country through more than 547 offices. 

EBRD Finance Summary

USD 10,000,000.00

A senior loan of up to US$ 10 million.

Total Project Cost

USD 10,000,000.00

US$ 10 million.


Financing structure  the EBRD offers a tenor, which is longer than available to the client in the market on reasonable terms and conditions.

Knowledge, innovation, and capacity building - the EBRD provides expertise, innovation, knowledge and/or capabilities that are material to the timely realisation of the project's objectives, including support to strengthen the capacity of the client.

Environmental and Social Summary

Categorised FI (ESP 2019). KB is an existing client of the Bank and has adopted an Environmental Policy and Environmental and Social Procedures that satisfied the requirements of Performance Requirements 2, 4 and 9 under previous policies. KB will be required to continue to comply with their environmental and social procedures to all sub-loans funded out of the EBRD funds, and ensure that sub-borrowers comply with national requirements for environment, health and safety and labour standards. KB will need to ensure an ongoing compliance with PRs 2, 4 and 9 and submit satisfactory annual environmental and social reports.

Technical Cooperation and Grant Financing

WiB loan will be supported by the CA WiB TC Programme, which includes two linked TC components:

(i)      tailored capacity-building for partner financial institutions ("PFIs"): a TC Programme of up to USD 8 million, established for PFIs capacity building and programme support (ca. USD 300K-400K per PFI). The TC programme will help PFIs individually develop financial products and lending practices that meet the specific needs of women-led MSMEs and support implementation of the programme including through training of PFI staff and marketing support, as well as a risk sharing mechanism to stimulate lending to this group on a sustainable basis by addressing identified market failures.

Funding source: Women Entrepreneurs Financing Initiative (We-Fi)

Amount/currency: USD 5 million at the CA WiB Programme level (with USD 3 million still to be sourced)

Funding status: Confirmed

Client contribution: In line with the EBRD Client Contribution Policy (BDS20-119/Rev 1) and guidelines, KB will be required to contribute up to USD 28,000 in parallel in support of the TC. This parallel client contribution can be made in connection with seminars, events and marketing activities, and materials, which may be used for training and promotion of WiB-related products.

(ii)    capacity-building for women-led MSMEs via the Advice for Small Businesses (ASB) team.

Funding source: We-Fi

Amount/currency: USD 4.5 million at the CA WiB Programme level

Funding status: Confirmed

Company Contact Information

Erdenedelger B., Director of Treasury and Investment Banking
+976 11 332 333
+976 70 117 023
Khan Bank LLC Seoul Street-25, PO.BOX-192, Ulaanbaatar, Mongolia

PSD last updated

04 Aug 2022

Understanding Transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and the associated Performance Requirements (PRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”.  The ESP and the PRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation as well as to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about environmental and social performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD additionally requires its clients to disclose information, as appropriate, about the risks and impacts arising from projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and Compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all activities of the Bank in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.

OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations following its entry into force on 1 January 2020. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD Enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate; how to submit a Request for review; or contact IPAM  via email to get guidance and more information on IPAM and how to submit a request.


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