B.LKHAGVASUREN, PRESIDENT OF THE BANK OF MONGOLIA, MET WITH REPRESENTATIVES OF THE MONGOLIAN WOOL AND CASHMERE ASSOCIATION.

B.Lkhagvasuren, president of the Bank of Mongolia, and N.Ariunbat, director of Restructuring and Policy Department of the Bank of Mongolia, and A.Enkhjin, director of the Resource Management and Financial Markets Department of the Bank of Mongolia met with representatives of the Ministry of Food, Agriculture and Light Industry, as well as Mongolian Wool and Cashmere Association with regard to the situation with cashmere working capital loan in 2021, impact of the Covid-19 pandemic and financing issues.
D.Altantsetseg, executive director of Mongolian Wool and Cashmere Association presented pressing issues such as prompt issuance of working capital loans in the wool and cashmere sector, issuance of loans for 3 years, refinancing rates, loan collateral valuation, and monitoring on cash flow from China during raw material procurement to the management of the Bank of Mongolia.
B.Lkhagvasuren, president of the Bank of Mongolia, emphasized that it is possible to extend the cashmere loan term for 3 years which is provided within the framework of actions to support non-mining exports, diversify the economy and create jobs. Moreover, he added that up to MNT 3.0 billion in 2-year loans at 10 percent interest rates have been provided to small and medium enterprises and non-mining exporters using long-term repo financing instruments, and mentioned adjustment of value chain of the cashmere industry to meet international standards and resolving collateral issues.

May 12, 2021