□ On June 8, Korea Eximbank (www.koreaexim.go.kr, Chairman Yong Hwan Kim) announced that Chairman Yong Hwan Kim signed a USD 20 million Interbank Export Loan Agreement** with Khan Bank President Simon Morris in Ulaanbaatar, Mongolia.

○ Under the agreement, Khan Bank will provide financing to Mongolian importers within the limit of USD 20 million for the importation of goods and services from Korea.

* Khan Bank: the largest commercial bank in Mongolia in terms of total assets.

** Interbank Export Loan Agreement: an agreement establishing a credit line with a local bank to finance local companies importing Korean goods and services. By doing so, Korea Eximbank can support the export activities of Korean companies without opening a foreign branch.

□ An official from Korea Eximbank stated, “With the agreement, the Bank anticipates a rise in exports of Korean automobiles, daily necessities, and construction equipment related to mine development.”

○ With abundant mineral resources* and high development potential, Mongolia also has a complementary economic system with Korea in resource development, infrastructure, and IT/telecommunication so there are great possibilities for mutual cooperation.
* 3rd largest fluorite reserves, 13th largest copper reserves, and 10th largest coal reserves in the world

□ Before the signing, Chairman Kim also discussed strategies for greater development cooperation with Minister of Finance of Mongolia, Bayartsogt Sangajav.

○ During the meeting, Minister Sangajav expressed appreciation for the EDCF support Mongolia has received so far and requested continued support by Korea Eximbank for stable economic growth and infrastructure expansion in Mongolia.

○ Chairman Kim stated that the Bank will expand EDCF to strengthen strategic economic cooperation and increase supports for the private sector such as the Interbank Export Loan.

○ Korea Eximbank currently supports 6 projects in Mongolia with financing totaling USD 60 million.