Loan interest rate decreases by 2.8 percent from previous yearEconomy
Ulaanbaatar/MONTSAME/. The Bank of Mongolia (BOM) on July 5 reported press about actions it has undertaken in the first half of 2019.
BOM Deputy Governor B.Lkhagvasuren highlighted that the bank has stimulated economic growth by ensuring the monetary policies and inflationary expectations. In particular, the bank’s policy helped to keep inflation at the target rate of around 8 percent, increasing economic growth to 8.6 percent in the first quarter.
The ‘Legal Reform of the Banking Sector’ program continued this year. The bank's loss accumulated in the past declined by MNT 1.2 trillion. It was also reported that foreign currency reserve reached USD 4 billion.
Moreover, the implementation of a strategy for reducing loan interest rate showed positive results, bringing the average loan interest rate to 17 percent in May, 2019, which shows a decrease of 2.8 percent compared to the same period of 2018.
BOM First Deputy Governor O.Erdenebileg informed that the bank has purchased USD 209 million worth of precious metals within the campaign ‘Gold of native country for the treasury’.