Categories
Gold program on-lending

Product Terms /Gold-Long-Term Financing/

Conditions 

MNT

Maximum loan amount

The loan amount shall not exceed 18 percent of the Bank’s equity and the financing shall not exceed 30 percent of the amount of gold reserves in togrogs in the license area owned by the gold mining company.

Loan interest rate /monthly/

1%

Loan interest rate /anual/

12% (Policy interest rate + 3%)

Loan term

Up to 24 months

Service fee

1% of the loan amount or up to a maximum of

 MNT 1,500,000

Penalty interest rate

Penalty interest rate is equal to 20% of the base interest rate

Fee for changing the original loan terms

0%

Grace period

The Loan Committee shall decide and may be for a period determined by the Bank of Mongolia

Application fee

30,000 MNT

Credit recording enquiry fee /during loan analysis procedure/

Individual – 1,000 MNT

Corporate – 1,000 MNT

Categories
Gold program on-lending

Requirements

  1. Funding shall not exceed 30 percent of the amount of gold reserves in togrogs in the license area owned by a gold mining business entity;
  2. Participating gold mining companies must use the loan for investment purposes;
  3. The participating gold mining business entity must fully agree to the terms of selling the mined gold to the Bank of Mongolia during the financing period and will pay in MNT according to the loan repayment schedule;
  4. There is no debt classified in the name of the company;
  5. The borrower must have sufficient cash flow to repay the loan and interest and have sufficient collateral.