Agreement for USD 100 million loan from Asian Infrastructure Investment Bank ratified www.montsame.mn
Ulaanbaatar /MONTSAME/. During its plenary session of October 29, State Great Khural – the parliament of Mongolia ratified a USD 100-million loan agreement between Mongolia and Asian Infrastructure Investment Bank (AIIB).
The USD 100 million loan to Mongolia aims to support its COVID-19 Rapid Response Program and mitigate the adverse health, social and economic impacts caused by the pandemic and to alleviate poverty.
AIIB’s first project financing in Mongolia, the policy-based loan is provided under the Bank’s COVID-19 Crisis Recovery Facility (CRF) and has payback period of 16 years and annual interest of 1.1 percent.
AIIB’s loan is co-financed with the Asian Development Bank (ADB) and will provide budgetary support to the government’s countercyclical development expenditure program, which targets funding for public health, social protection for vulnerable groups, support to businesses and fiscal stimulus measures.