(27 Nov 2015) Today, Parliament agreed to accept a USD 1 billion loan from China. The legislation was passed with an 84% majority. The agreement will be signed between Mongolian Government and the Export Import Bank of China. Under the plan, the Government will spend USD 703.5 million for the “Egiin Gol Hydro Electric Station Project”, USD 102.5 million to construct the overhead power lines for the “Ulaanbaatar Mandalgovi Power Plant”, USD 40 million for modernizing the heat generation facility at the “Erdenet Power Plant”, USD 40.8 million for the expansion of the roads at the Gatsuurt crossroad, USD 66.2 million to build a meat processing factory and USD 20 million for the professional training centers.
The agreement condition is a 2% annual rate over 20 years. In addition, the Mongolian Government will be exempt from payment for the first 7 years.