FMO and Triodos support Mongolia’s Khan Bank with USD 35 mln Facility
FMO, together with Triodos Investment Management closed a USD 35 million club deal for Khan Bank in Mongolia. FMO will provide USD 25 million, while Triodos Investment Management will provide USD 10 million loan. The transaction helps boost development of Mongolia’s capital market and its SME sector. Khan Bank is the second largest Mongolian bank and largest private sector bank, with total assets of USD 2.6 billion and more than 500 branches throughout the country, providing banking services to 70% of all Mongolians. Khan Bank has a strong focus on SMEs and retail customers and has a wide reach thanks to its extensive network of rural branches. In small provincial towns and rural areas, Khan Bank is often the only commercial bank active. The facility strengthens Khan Bank’s capital position, further increasing its ability to meet loan demand from Mongolian SMEs and corporate clients.
This is FMO’s third loan to Khan Bank since 2009 and is provided in a time Mongolia faces macro-economic challenges. Despite these difficult circumstances, Khan Bank continues to perform well, which has resulted in this new facility from FMO. For Triodos Investment Management it is the first loan to Khan Bank.
About Khan Bank
Khan Bank’s roots go back 80 years to the State Bank of Mongolia. When this monopoly bank was broken up in 1991, Khan Bank was formed to take over most of the State Bank of Mongolia’s regional and local offices throughout the country. With 500 branches across all of Mongolia with more than 4000 employees now, Khan Bank is the largest bank in Mongolia. Khan Bank finances corporate, small and medium businesses, consumers, and individuals. Since 2009, 100% of its branches are connected on-line and operating on a real time basis providing customers with direct access to all banking services from everywhere in Mongolia. Khan Bank's headquarters is located in the capital city of Ulaanbaatar (UB).
About FMO
FMO is the Dutch development bank. FMO has invested in the private sector in developing countries and emerging markets for more than 45 years. Our mission is to empower entrepreneurs to build a better world. We invest in sectors where we believe our contribution can have the highest long-term impact: financial institutions, energy and agribusiness. Alongside partners, we invest in the infrastructure, manufacturing and services sectors. With an investment portfolio of EUR 8 billion spanning over 85 countries, FMO is one of the larger bilateral private sector development banks globally. For more information: www.fmo.nl
About Triodos Investment Management
Triodos investment management is a specialist in developing and managing sustainable investment funds. Triodos Investment Management manages 17 investment funds that each invest in different sustainability themes and/or have different risk-returns profiles. The funds focus on investments in renewable energy, sustainable real estate, culture, organic farming, organic food and sustainable lifestyle companies, microfinance in developing countries and investments in listed companies that meet strict sustainability criteria (SRI funds). At the end of December 2014 the combined assets under management of the Triodos investment funds amounted to EUR 2.7 billion. Triodos Investment Management BV is a wholly-owned subsidiary of Triodos Bank NV. For more information: Triodos investment management
Press Contact
Paul Hartogsveld p.hartogsveld@fmo.nl
Sandra Bergsteijn sandra.bergsteijn@triodos.nl
