The Netherlands Development Finance Company (FMO), the DEG - German Investment and Development Company (Deutsche Investitions and Entwicklungsgesellschaft), the Belgian Investment Company for Developing Countries (BIO) and the European Bank for Reconstruction and Development (EBRD) have signed on an agreement to grant a long term, 94 million USD or 123 billion MNT syndicated loan
to the KHAN Bank (Khaan Bank) of Mongolia.
The signing ceremony of the agreement took place yesterday at the KHAN Bank headquarters building on June 07, 2012.
The Netherlands Development Finance Company (FMO) and the KHAN Bank of Mongolia holds long lasting substantial partnership relations. It is the first syndicated loan from the European banks to a commercial bank
From this transaction, 62 million USD will be used for funding loans for the small and medium scale entrepreneurs, where a remaining 32 million USD will be used for increasing their Tier 2 capital or the supplementary capital and strengthening its financial capability.
With the signing of the agreement, the KHAN Bank that cooperates with more than 60 countries across the globe is bringing their partnership with the FMO and EBRD in a new upgraded level, whereas first time ever collaborative ties are established with the BIO and DEG respectivley.