Project loan

WHAT CAN YOU DO WITH THIS LOAN?

This loan is for small and medium-sized enterprises (SME) with lack of collateral to expand their businesses and start new projects. Moreover, you can buy assets, equipment, and finance current assets.

WHAT ARE THE ADVANTAGES AND THE OPPORTUNITIES YOU CAN GET WITH LOAN?

You can get a loan at lower interest rate than regular loan for business that guaranteed by Credit Guarantee Fund from all our branches.

THE LOAN TERMS AND CONDITIONS

Borrower	Small and medium-sized enterprises (SME)
Loan amount	Until MNT 1 billion
Interest rate	12%-15% per annum
Tenor	Up to 10 years
Grace period	Up to 2 years
Service fee	0.3% (min 50 000 MNT)
Amount of guarantee	30%-60% of total loan amount
Guarantee commission of Credit guarantee fund	50,000 MNT
Guarantee fee of Credit guarantee fund	1% of total guaranteed amount every year

DOCUMENTS

For legal entities:

Loan application (Please click here or visit branch to find the form);
Certificate or Reference of Small-medium sized enterprise;
Company charter and regulations;
Sharerholder approval to get the this loan;
Copy of personal ID of exceutve managers;
Introduction of company;
Project introduction (Please find the form from our branch);
Financial statements for the last 1-2 years;
Contracts associated with business operation;
Operational licenses if there is special license requirement;
Collateral and land documents (original);
Income, expense, payable, receivable, and essential documents to prove funding;
Detailed reference to real estate owned by loan applicant;
Other documents required from the applicant during the loan analysis process.

For individuals:

Loan application (Please click here or visit branch to find the form);
Certificate or Reference of Small-medium sized enterprise;
Copy of personal ID (relevant for co-borrower as well);
Operational licenses if there is special license requirement;
Project introduction (Please find the form from our branch);
Collateral and land documents (original);
Financial statements for the last 1-2 years, if do not report financial statements, balance statements and bookkeeping note are required;
Contracts associated with business operation;
Income, expense, payable, receivable, and essential documents to prove funding;
Detailed reference to real estate owned by partner of loan applicant;
Other documents required from the applicant during the loan analysis process.

PROHIBITED INVESTMENT ACTIVITIES LIST

production or activities involving harmful or exploitative forms of forced labor1 or child labor;2
production of or trade in any product or activity deemed illegal under host country laws or regulations or international conventions and agreements or subject to international phase-outs or bans, such as (a) pharmaceuticals,3 pesticides, and herbicides,4 (b) ozone-depleting substances,5 (c) polychlorinated biphenyls6 and other hazardous chemicals,7 (d) wildlife or wildlife products regulated under the Convention on International Trade in Endangered Species of Wild Fauna and Flora,8 and (e) transboundary trade in waste or waste products;9
production of or trade in weapons and munitions, including paramilitary materials;
production of or trade in alcoholic beverages, excluding beer and wine;10
production of or trade in tobacco;10
gambling, casinos, and equivalent enterprises; 10
production of or trade in radioactive materials,11 including nuclear reactors and components thereof;
production of, trade in, or use of unbonded asbestos fibers;12
commercial logging operations or the purchase of logging equipment for use in primary tropical moist forests or old-growth forests;
marine and coastal fishing practices, such as large-scale pelagic drift net fishing and fine mesh net fishing, harmful to vulnerable and protected species in large numbers and damaging to marine biodiversity and habitats;
real estate investment, if non-owner occupied, or property acquisition;
commercial real estate construction unless SME owner-occupied
heavy construction material-related sectors;
multi-family housing construction;
all mining, mineral processing and extraction activities;
businesses involved with oil or energy import;
businesses involved primarily with the import of luxury items;
SMEs that are subsidiaries of or controlled by large enterprises;
wastewater treatment activities; and water supply activities.

Other recommended products

Current account

In order to process your request for Project loan you need to have a current account with the bank

Insurance

you can insure the purchased asset through our bank

TDB online

You can monitor your credit account through TDB Online

Amount	Up to MNT 350.0 million	Above MNT 350.0 million
Monthly interest	1.6% - 1.9%MNT	Flexible depending on borrower’s risk rating
Tenor	36 months	24 months
Service fee	0.3% (min 50 000 MNT)	0.3% (min 50 000 MNT)

Amount	Up to MNT 350.0 million	Above MNT 350.0 million
Interest rate MNT	annual 19.5% - 23.1% monthly 1.63% - 1.93%	Flexible depending on borrower’s risk rating
Term	60 months
Service fee	0.3% (min 50 000 MNT)
Other terms	20-30 percent of the total budget must be financed or can be finance from its own resources.

Loan amount:	Up to 85-100% of the sale and purchase agreement
Loan term:	From 6 months – up to 10 years
Loan currency:	USD, EUR, RMB, RUB, JPY, GBP, MNT
Loan interest:	Base rate of foreign bank + TDB margin*

Amount		70% of the purchasing equipment price or min. MNT 50.0 million, or equivalent foreign currency
Interest	MNT	1.5-1.9% (per month)
	USD	1.3-1.7% (per month)
Term		Up to 60 months
Fees		0.5%
Downpayment		Аt least 30%
Collateral		Purchasing equipment (additional collateral will be pledged if necessary)
Insurance		Purchasing equipment must be insured

Loan amount	For purified gold: up to 80% of the TDB value Unpurified gold: up to 60% of the TBD value, which is calculated with the lowest purity amount of exchanged gold to our bank within last 6 months.
Gold price	Will be calculated by exchange rate of TDB at the moment.
Stop loss rate of the gold	Minimum gold price, which is agreed by the borrower to sell the pledged gold.
Fees and commission	0.15 percent of the loan amount
Collateral	Physical gold

WHAT CAN YOU DO WITH THIS LOAN?

WHAT ARE THE ADVANTAGES AND THE OPPORTUNITIES YOU CAN GET WITH LOAN?

THE LOAN TERMS AND CONDITIONS

DOCUMENTS

PROHIBITED INVESTMENT ACTIVITIES LIST

What can you do with this loan?

What are the advantages and the opportunities you can get with this loan?

The loan terms and conditions:

What can you do with this loan?

What advantages and opportunities will you get?

The loan terms and conditions:

What can you do with this loan?

What advantages and opportunities will you get?

The loan terms and conditions:

TERMS AND CONDITIONS

Requirements

Terms and conditions

Requirements

Account openning amount:		TUGRUG
Duration:		MONTH
Interest rate of a year:		% YEAR
Monthly value:		TUGRUG

Amount	Up to 500,000,000.0 (five hundred million) MNT (depends on transactions through current account)
Interest rate	Monthly interest rate of business loan + 0,2% (per month)
Duration to use the right	Up to 6 months
Refundable duration	1 month (Duration to refund to overdraft bank balance from client)
Commission	0.3 percentage (1 time)
Pledge	Current account income (additional pledge is required if necessary)

Amount		Up to MNT 800,000,000.00 or an equal amount of USD
Interest (Varies semi-annually)*	MNT	6.0% per annum
	USD	9.81 % per annum
Tenor		Up to 10 years
Service fee		0.3% (min 50 000 MNT)
Requirements for the borrower		To be a private-dominated or domestic-dominated enterprise registered in Mongolia
Requirements for the project		1. At least 20% of the project cost should be financed by the borrower’s own fund 2. No negative impacts on environment 3. Working capital finance should not be more than 20% of the total project finance.

Amount		USD 150,000.0-3,000,000.0 or an equal amount of MNT
Interest rate	MNT	Up to 8% per annum
	USD	Up to 7% per annum
Tenor		3-7 years
Assessment fee		0.15% (to be taken once from approved amount)
Service fee		0.3% (min 50 000 MNT)
Requirements for the borrower		To be a private enterprise manufacturing final products of value-added chain At least 3 years’ experience in the agricultural sector
Requirements for the project		A project that aims to develop value-added chain, increase personal income of the rural population, and create job vacancies

	Loan	Credit line
Loan Amount	Up to 90% of invoice	Highest amount of invoice executed in the last year /must have contract to supply products and services
Interest rate /monthly/	Monthly 1.6% - 1.9% /MNT/ Monthly 0.8% - 1.0% /USD/
	Commitment fee: annually 3.0% - 1.0% /MNT, USD/
Loan tenor	Up to 75 days	Up to 12 months
Collateral	The receivable
Additional collateral	Moveable Collateral + Fixed Collateral + Letter of Guarantee
Service fee	0.3% (min 50 000 MNT)