Project Name：EBRD Financial Intermediary Investment Special Fund—Small Business Account—Phase III—Subproject 4: XacBank(Mongolia)

Project status：Completed projects

Cooperating Country：West and Central Asia, Mongolia

Project Description：

The project will provide the bank with longer-tenor funding, matching the demand for long-term loans from MSMEs.

Implementation Start Date：2012-06-12

Implementation End Date：2017-11-12

Project Objectives：The project will support XacBank's efforts in providing term funding to local MSMEs in Mongolia, including in rural areas. This transaction will be one of the first syndicated loans in the Mongolian financial sector and will help diversify XacBank's funding base.

Implementation Arrangement：The credit line will be used to be on-lent to the MSMEs in Mongolia. MSMEs are defined as companies with less than 250 employees and less than EUR 50m in annual sales.

Project Performance：

The project will help the bank to expand the local MSMEs’ access to longer-term finance, including in rural and remote areas of the country. The project will also achieve and demonstrate transition impact specifically through:
1. Market Expansion.
2. Demonstration of new ways to finance activities.
3. Setting standards for corporate governance and business conduct – FX lending practices.
4. Setting standards for corporate governance and business conduct – policy dialogue.

Signing Date：2012-04-23