XACBANK STARTED A COOPERATION WITH OeEB–THE DEVELOPMENT BANK OF AUSTRIA
December, 2013. XacBank and OesterreichischeEntwicklungsbank (OeEB, the Development Bank of Austria), a member of European Development Financial Institutions, signed a USD 15 million long term loan agreement. It is the first direct investment in Mongolia from OeEB. This loan increases the amount of sustainable funds which provide long-term growth to XacBank.
The funds will be directed to lending to micro, small and medium-sized enterprises (MSMEs). As the Mongolian private sector almost exclusively consists of MSMEs, these businesses are the backbone and engine of the economy. “The loan helps reduce the existing financing bottleneck by giving MSMEs access to funding. This enables the businesses to make necessary investments, which substantially contribute to the development of the Mongolian economy,” explains Andrea Hagmann, Member of the Executive Board of OeEB.
SME financing is a strategic direction for XacBank. The bank seeks to develop innovative products and in its lending attaches great importance to the social protection of its clients. This has made XacBank a pioneer in terms of social responsibility.
About XacBank
XacBank (www.xacbank.mn) is one of Mongolia’s largest banks, serving Micro customers, Small and Medium-sized Businesses as well as large corporations with a range of inclusive banking, fair investment and other financial products and services. It operates in all 21 provinces and the capital city serving more than 500 thousand customers through its 97 retail and business branches as well as specialized banking outlets which includes 400 AMAR mobile banking agents and 70 Savings and Credit Cooperatives. The Bank aims to create a sustainable value for its shareholders and institutional investors, while promoting a triple-bottom line vision and mission as built around the “Planet, People and Profit.”
About OeEB
OesterreichischeEntwicklungsbank AG (OeEB) has been operating as the official Development Bank of Austria since March 2008. It specializes in the provision of long-term finance for the implementation of private sector projects in developing countries which create sustainable development. Additionally, OeEB provides technical assistance, which can be used to enhance the developmental impact of projects. For more information, please visit
