Asian Development Bank approved project agreement for loan 3338-MON “Supporting the Credit Guarantee System for Economic Diversification and Employment Project” to disburse 60 mil. MNT to the Mongolian government in December, 2015. Trade and Development Bank was selected as the partnering bank to implement this project with Credit Guarantee Fund and signed a cooperation agreement on 29th of September, 2017.
Mongolia has been chosen as the first country to implement this project. As part of this partnership, Trade and Development Bank will issue loans with favorable conditions such as interest rates 12-15% p.a., and tenor of up to 10 years to support small and medium enterprises.
Trade and Development Bank is a reliable bank with experience in implementing programs designed support small and medium enterprises. For example, we have participated in World bank’s Private Sector Development, Technical Assistance program, and Investment project’s Phase 1 between 1999-2005 and in phase 2 between 2006-2011 successfully. Also since 2006, we have partnered with JICA and have disbursed their two step loans to small and medium scale enterprises and for environmental protection.
Mongolian Credit Guarantee Fund is a strategically significant organization that supports small and medium enterprises that lack collateral, partners with them, contributes towards employment, and ensures stable income for the people.