XacBank MSME-loan 2017 (EBRD-49078)

Countries
  • Mongolia
Where the impacts of the investment may be experienced.
Financial Institutions
  • European Bank for Reconstruction and Development (EBRD)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Bank Risk Rating
U
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Nov 1, 2017
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
XacBank
The holder of the loan, grant, or other investment.
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 10.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 40.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ EBRD website

Updated in EWS Oct 4, 2017

Disclosed by Bank Sep 22, 2017


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Project Description
A senior loan to XacBank ("XB") for up to USD 10 million under the Financial Intermediary Framework ("FIF") for financing private micro, small and medium-sized enterprises ("MSME") in Mongolia. Subject to market conditions, the Bank will try to raise an additional amount of up to USD 30 million for the account of participants. The operation will enable XB to continue to provide funding to MSME in Mongolia when access tofinance has deteriorated due to difficult overall market conditions.
Investment Description
  • European Bank for Reconstruction and Development (EBRD)
XAC BANK LLCXacBank is a main provider of financial services, in particular MSME-loans, across Mongolia. It has an overall loan market share of around 10% and is by most measures Mongolia's fourth-largest bank. The bank has a universal focus and a nationwide presence through currently 86 branches.
Contact Information
Mr Erdenebayar Ganzorig erdenebayar.g@xacbank.mn +(976) 7577-1888 (+826) +(976-11) 328701 https://www.xacbank.mn/en International Commercial Center /ICC/ Jamiyan Gun Street-9 Post Office No.20A, P.O.Box-72 Ulaanbaatar-14210, Mongolia ACCOUNTABILITY MECHANISM OF EBRD The Project Complaint Mechanism (PCM) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an European Bank for Reconstruction and Development (EBRD)-financed project. If you submit a complaint to the PCM, it may assess compliance with EBRD's own policies and procedures to prevent harm to the environment or communities or it may assist you in resolving the problem that led to the complaint through a dialogue with those implementing the project. Additionally, the PCM has the authority to recommend a project be suspended in the event that harm is imminent. You can contact the PCM at pcm@ebrd.com or you can submit a complaint online using an online form, http://www.ebrd.com/eform/pcm/complaint_form?language=en. You can learn more about the PCM and how to file a complaint at http://www.ebrd.com/work-with-us/project-finance/project-complaint-mechanism.html.