On January 02, 2025, Golomt Bank successfully issued a USD 50 million green and social bond at a 5-year maturity with a coupon of 8% in international market. This bond stands out as the most cost-effective issuance from corporate Mongolia in the global market, combining long-term financing with an attractive interest rate.

Impact of Golomt Bank’s Green Loans

Golomt Bank is a leader in green financing in Mongolia, delivering measurable positive impacts through its previous green loans. The bank has set medium- and long-term goals to lower GHG emissions generated through its total financing activities by 30% by 2030 and 50% by 2050, compared to 2023 baseline levels. These objectives demonstrate the bank’s dedication to driving positive environmental change while fostering sustainable development.

To learn more about the impact of Golomt Bank’s green financing, click here.

         The issuance of this green bond with a coupon of 8% and a 5-year maturity demonstrates global recognition of our dedication to sustainable development. This milestone is a major step forward in our long-term financing strategy and supports Mongolia’s sustainable development goals.

Golomt Bank CEO, Mr. Odonbaatar Amarzaya

Expected Outcomes of the Green Bond

The proceeds from this green bond will be allocated to renewable energy, energy efficiency, pollution reduction, and other environmentally friendly projects, with the following expected outcomes:

• GHG emissions reduction: Aims to increase its sustainable and green loan portfolio to 4.5% of its total loan portfolio, creating a portfolio with over MNT 400 billion. This growth will enable partnerships with businesses and projects that prioritize environmental and social sustainability.
• Job creation and retention: By financing the transition to a green economy, the bank supported the creation of over 68,000 new jobs in 2023, 43% of which were filled by women, promoting gender equality. Moving forward, Golomt Bank will continue increasing employment opportunities through its financial products and services.
• Economic development: Investments in green infrastructure and innovation will diversify Mongolia’s economy and promote sustainable development. This will help position Mongolia as a leader in sustainable practices in the region, contributing to long-term economic growth.

Global Recognition and Investor Confidence

Moreover, KIS Asia, the placement agent working on this deal highlighted that this is the first USD-denominated bond issued globally in 2025, making it particularly significant. The successful issuance reflects international investors’ confidence in Golomt Bank’s commitment to sustainability and its ability to deliver impactful, long-term financial solutions. With this bond issuance, 6 of the world’s top 10 asset management firms ranked by AUM, have invested in Golomt Bank.