GCF GEFF Regional - Mongolia - Khan Bank



Project number:


Business sector:

Financial institutions

Notice type:


Environmental category:


Approval date:

04 Sep 2019



PSD disclosed:

31 Jul 2019

Translated version of this PSD: Mongolian

Project Description

Provision of a senior loan to Khan Bank LLC of up to USD 60 million, of which up to USD 45 million to be provided by EBRD and up to USD 15 million by the Green Climate Fund ("GCF") under the GCF - Green Economy Financing Facility ("GEFF") Regional Framework.

Project Objectives

The proceeds of the loan will be used for financing investments in climate change mitigation and adaptation technologies by local private sector clients, in line with the standards and reporting requirements for GEFF in Mongolia.

Transition Impact

The transition impact of the project will come from the provision of funding and know-how to financial intermediaries to finance high performing 'climate' technologies and solutions. This will promote the transition to environmentally sustainable, low-carbon and climate-resilient economies.

Client Information


Khan Bank is the largest commercial bank in Mongolia with total assets of USD 3.4 billion, loan portfolio of USD 1.6 billion, equity of USD 0.37 billion as of YE2018. It operates with a branch network of more than 530 offices, 80% of which are located in the rural areas. The bank's services (deposit and loan products) cater to almost 75% of households in Mongolia.

EBRD Finance Summary

USD 45,000,000.00

Total Project Cost

USD 60,000,000.00

Environmental and Social Summary

Categorised FI (ESP 2014). Khan Bank is an existing client of the Bank and has adopted an Environmental Policy and Environmental and Social Procedures that largely satisfy requirements of Performance Requirements (PRs) 2, 4 and 9.  Khan Bank will need to ensure ongoing compliance with PRs 2, 4 and 9 and submit Annual Environmental and Social Reports to the Bank via FI Sustainability Index, including reporting on sub-projects and their climate change mitigation and climate change adaptation benefits. Beneficiaries financed through the GEFF in Mongolia will be required to  comply with national requirements for environment, health and safety and labour standards and the E&S eligibility criteria for climate mitigation and climate change adaptation projects as per the Policy Statement.

Technical Cooperation

The operation will benefit from technical cooperation support in the amount of up to EUR 6 million, out of which up to USD 2 million will be financed by the GCF. The objective of the TC is to assist Participating Financial Institutions, including Khan Bank, with capacity building, marketing, project assessment and general monitoring and reporting.

Company Contact

Erdenedelger B., Vice President Corporate Banking
+976 11 332 333
+976 70 117 023
Khan Bank LLC Khan Bank Tower, Chinggis Avenue-6, Stadium Orgil-1, Khan Uul District,
Ulaanbaatar, 17010, Mongolia

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP 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. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

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 how to submit a Request for review through our confidential online form, by email, mail or telephone. IPAM is available to discuss your concerns and answer any questions you may have about the submission or handling of Requests, which follow the Project Accountability Policy and Guidance. Requestors’ identities may be kept confidential, upon request.

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