The transaction will provide a US dollar-denominated unsecured loan of up to $10 million to Khan Bank in Mongolia with a maturity of six years. The loan will fund Khan Bank's US dollar lending activities, particularly to its corporate clients.
| Project Name | MON: LOAN TO KHAN BANK | ||||
| Project Number | 41911-014 | ||||
| Borrower/Company | KHAN BANK |
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| Country | Mongolia |
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| Location | |||||
| Type or Modality of Assistance |
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| Strategic Agendas | Inclusive economic growth |
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| Drivers of Change | |||||
| Sector / Subsector | Finance / Banking systems and nonbank financial institutions - Finance sector development |
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| Gender Equity and Mainstreaming | |||||
| Responsible ADB Department | Private Sector Operations Department | ||||
| Responsible ADB Division | Private Sector Financial Institutions Division | ||||
| Responsible ADB Officer | Hermans, Monisha A. | ||||
| Project Sponsor(s) | |||||
| Description | The transaction will provide a US dollar-denominated unsecured loan of up to $10 million to Khan Bank in Mongolia with a maturity of six years. The loan will fund Khan Bank's US dollar lending activities, particularly to its corporate clients. | ||||
| Objectives and Scope | ADB's objective in the transaction is to improve financial sector efficiency and depth, and contribute to diversification of the Mongolian economy. The growth of larger corporations is essential to the sustainable diversification of the economy. The growth of coporations is conditional on the availability of corporate lending services and financial services that meet the specific needs of larger companies. | ||||
| Linkage to Country/Regional Strategy | The loan contributed directly to the implementation of ADB's country strategy and program (CSP) by strengthening financial intermediation for businesses and fostering economic diversification. The ADB intervention assists in deepening financial markets and providing long-term finance that meets the needs of entities that are most likely to provide much-needed diversification of the Mongolian economy. |
| Safeguard Categories | |
|---|---|
| Environment | FI |
| Involuntary Resettlement | C |
| Indigenous Peoples | C |
| Summary of Environmental and Social Aspects | |
|---|---|
| Environmental Aspects | Khan Bank is required to comply with the social and environmental laws and regulations of Mongolia and ADB policies, including the Environment Policy (2002), Involuntary Resettlement Policy (1995) and Policy on Indigenous Peoples (1998). |
| Involuntary Resettlement | Khan Bank is required to comply with the social and environmental laws and regulations of Mongolia and ADB policies, including the Environment Policy (2002), Involuntary Resettlement Policy (1995) and Policy on Indigenous Peoples (1998). |
| Indigenous Peoples | Khan Bank is required to comply with the social and environmental laws and regulations of Mongolia and ADB policies, including the Environment Policy (2002), Involuntary Resettlement Policy (1995) and Policy on Indigenous Peoples (1998). |
| Stakeholder Communication, Participation, and Consultation | |
| Timetable for assistance design, processing and implementation | |
|---|---|
| Concept Clearance | 03 Apr 2007 |
| Credit Committee Meeting | - |
| Approval | 02 Aug 2007 |
| PDS Creation Date | 04 May 2007 |
| Last PDS Update | 16 Sep 2014 |
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
The Access to Information Policy (AIP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
| Title | Document Type | Document Date |
|---|---|---|
| Senior Unsecured Loan to Khan Bank | Extended Annual Review Reports | Sep 2013 |
| Proposed Senior Loan to Khan Bank | Reports and Recommendations of the President | Jul 2007 |
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
None currently available.
Evaluation Documents See also: Independent Evaluation
None currently available.
Related Publications
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The Access to Information Policy (AIP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
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