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PARLIAMENT APPROVED TO GET SOFT LOAN FROM SOUTH KOREA

PARLIAMENT APPROVED TO GET SOFT LOAN FROM SOUTH KOREA
02
Feb

PARLIAMENT APPROVED TO GET SOFT LOAN FROM SOUTH KOREA

At the plenary meeting of the Parliament, MPs approved a Bill on Ratifying the General Agreement on Receiving Soft Loan from Economic Development Cooperation Fund in 2017-2019, between Governments of Mongolia and the Republic of Korea. The abovementioned General Agreement was established on January 16, 2018. Within the framework of the agreement, the Mongolian government will receive a soft loan of KRW, equaling USD700 million that will have an annual interest of 0.2 percent and 30 years of repayment term with 10 year moratorium period. USD200 million of the loan is a remainder of the unused loan that was agreed in 2011 between the two governments and the loan term is extended with the agreement while USD500 million is a newly agreed source, which is intended to use for reducing air and environment pollution of Ulaanbaatar city. 84 percent of MPs who were present in the plenary meeting supported to approve the Bill.