The EBRD is shifting the borders of its activities further east for the first time, following acceptance by all of its shareholders to admit Mongolia as a country of operations. The admission will allow the EBRD to start financing projects in this vast, landlocked country of 2.8mn people bordered by Russia and China.

The EBRD plans to work with the Mongolian government and the business community, specifically with the aim of helping to finance the development of private enterprise and the process of privatisation.

As in other Early Transition Countries (ETC) countries, SMEs and microfinance will be a priority. Another key goal will be to strengthen the financial sector. The bank will also seek ways to help finance the improvement of Mongolia’s infrastructure.

Dialogue with the government will aim to continue the process of reform and liberalisation and to maintain progress in improvements to the investment climate in Mongolia.