Regulation updated on fund to support SMEs through soft lendingPolitics
Ulaanbaatar /MONTSAME/. At its meeting held today, March 25, Cabinet approved the revised version of the regulation on granting soft lending from the Fund to support Small and Medium Sized Enterprises (SMEs), selecting, re-lending of loans, repayment and control.
The new regulation reflects following several changes in the scope of the Laws on SMEs and government special funds.
- The amount of lending applicable for SME classifications is set anew.
- The requirements for commercial banks to re-lending the loans are eased down to increase competitiveness.
- Criteria for members of the fund committee and sub-committees are raised
- The soft lending amount allocated for rural areas is increased
- Regulations are added to establish loan issuance database, improve controlling and repayment activities.