EBRD supports SMEs in Mongolia

Oyundelger 2017-09-15 07:09

Economy

EBRD supports SMEs in Mongolia.

European Bank for Reconstruction and Development (EBRD) is continuing to support micro and small businesses in Mongolia. The loan of MNT 6 billion, which comes under the EBRD Early Transition Countries Initiative, is the second loan to local microfinance institution Transcapital to enable the client to increase its customer base and reach additional under-served customers such as micro enterprises in the poorer areas of Ulaanbaatar or in the regions. Transcapital’s network will allow EBRD financing to reach micro enterprises around the country – some of which, is hoped to grow into small and medium-sized companies. Importantly, the loan will be denominated in local currency, allowing entrepreneurs who sell their goods and services in local currency to avoid foreign exchange rate risk. The EBRD has invested about US$ 1.6 billion in about 86 projects in Mongolia since 2006.