XACBANK’S PRESS RELEASE
Lately, in the press some misinterpretation is made of XacBank’s decision in relation to the policies and procedures for its products and services as well as on associating the bank’s name to the actions of some politicians or individuals. In relation to these issues, XacBank wishes to express its official position and deliver the following commentary:
- XacBank as an organization is not aligned with any political party or political interests, and does not support any political position. Nor is it influenced by any former executives of the bank or TenGer Financial Group. XacBank will continue to strictly follow proper corporate governance principles in its business practice and the shareholders of XacBank and its parent company TenGer Financial Group fully accept and follow the same principles.
- As of today, the down payment requirement for XacBank’s mortgage loan is 30 percent. XacBank provides intermediation services to issue loans from the savings of over 600 thousand depositors and in order to protect their capital, the bank has a responsibility to periodically make some changes into its loan conditions. This also applies to the Government program loans. Therefore, to fulfill our responsibilities to those parties, changes to the mortgage loan program conditions will be made when necessary.
- According to the 8 percent housing mortgage program, commercial banks are expected to issue sound loans and transfer them to Mongolian Mortgage Corporation. After MMC approves its loan issuance principles for employees of the mining sector, XacBank will have the right to disburse loans from program funds to this sector.
- XacBank reserves the right to issue any loan in connection with the risk of each borrower. The bank issues mortgage loans from its own funds based on the evaluation of each individual borrower’s risk profile and in accordance with the bank’s credit policy.
XacBank declares officially that because it is responsible for safeguarding and intermediating the savings of about 20 percent of the population of Mongolia or over 600 thousand clients and depositors, we will continue to work for the common interests of our clients, depositors and shareholders as a priority and free from the influence of any political parties or organizations, as well as those of any individual’s opinions or views.
