JICA 2 step loan project for SME development and environmental protection

The purpose of the project loan:
The subsidized loan is financed by the Japanese International Cooperation Agency /JICA/ and is designed to meet the financial need of those entities, which are operating in SME sector or environmental protection field, such as increasing working capital, purchasing equipment and constructing or expanding production plant.  

Target areas: Nationwide

Loan terms:                                 
Loan amount:         USD 10,000-600,000 or its equivalent in MNT
Interest rate:         Variable interest rate on every 6 months
Loan term:              Up to 36-120 months
Grace period:         Up to 36 months    
   
Additional eligibility requirements for applicants:

• Have a project plan in place
• Must be an entity duly incorporated and operated on the territory of Mongolia.
• Have prevailing private ownership
• Less than 50 full-time employees
• Able to finance at least 20% of the project
• At least 13% return on investment
• Debt service coverage ratio of at least 1.3% 
• No existing past due loans and must be solvent.
• Have environmental impact assessment performed