Small and Medium Enterprises (SMEs) are an important job source accounting for 90% of registered businesses and approximately 50% of employment in Mongolia. Yet, up to 90% of the SMEs do not have regular access to finance through banks.
ADB is supporting access to finance in several areas through direct lending and technical assistance, including projects that aim to help Mongolia’s SMEs sustain their businesses and thereby foster growth, diversify the economy, lessen dependence on the mining sector, and create jobs.
A project is now helping commercial banks lend more easily to SMEs by backing Credit Guarantee Fund’s credit guarantees. The project will expand the financing for SMEs in sectors not related to mining.