XasBank Enhances Its Equity Base
XacBank successfully executed the Bank of Mongolia’s recent order addressed to all commercial banks in Mongolia to bring the capital adequacy ratio to 12 percent minimum. The measure will guarantee a secure environment for deposit holders and adequate level of growth for the bank.
In May of this year, TenGer Financial Group, parent company of XacBank, convened a shareholders' meeting where 5.5 billion tugrugs of new shares were sold to some of the current shareholders. Organizations such as the European Bank for Reconstruction and Development (EBRD), the International Finance Corporation (IFC), Triodos Bank of Holland, Tuushin LLC, Rotary Club of Ulaanbaatar and EIT LLC elected to respond to this call for increased capital and purchased new shares, demonstrating their trust in XacBank’s management team and employees. In fact, XacBank has been well-rated by international rating agencies such as Planet Ratings and Moody’s, affirming the Bank s leadership position in Mongolia's commercial banking sector and its reputation as the most secure bank in the market. By increasing its equity, the Bank will be able to continue offering financial assistance to its client base of micro and small business entrepreneurs who currently face social and economic hardship.
This month, XacBank celebrates its 10 year anniversary. To commemorate the occasion, the Bank is taking part in many different events in the fields of finance, society, sports, arts and sciences. XacBank organized, for example, the "1st National Development Finance Conference" for participants and stakeholders in the Mongolian micro-finance sector, as well as the "11th MFC Annual Conference for microfinance institutions". The MFC conference was attended by over 500 people, including micro-finance practitioners and experts, bankers, researchers, donors, investors and policy-makers. XacBank was also a lead sponsor of the EUROMONEY Conference, also known as the "Mongolia Investment Forum", the most prestigious annual foreign investment platform.
In honor of XacBank's 10 year anniversary, it was decided to rename the parent company XAC-GE LLC as TenGer Financial Group. "Tenger" means "sky" in Mongolian, thus invoking the image of the endless blue sky whose magnificent power has inspired the worship and prayer of Mongolians throughout history. In English, the Mongolian word "tenger" can also be understood as ten gers, or ten families who share a unified and peaceful community. The number ten also serves as a reference to the management and organization system used by Chinggis Khan in his military units and war tactics. Thus, TenGer Financial Group is more than a name and in fact has resonating meaning for Mongolians.
TenGer Financial Group houses businesses operating in the fields of finance, information technology and security services, namely XacBank, XacLeasing, XacSecurity, and Horus Nomadic Solutions. XacBank is a shareholder of Mongolian Ipotek Corporation (MIK), which was established in cooperation with the Central Bank of Mongolia as well as with nine other commercial banks to securitize mortgages and develop the secondary markets for real estate market product.
Source: Montsame
