Mongolia Value Chain Finance Project

Client: European Bank for Reconstruction and Development

Duration: 2013-2013

Country: Mongolia

We are devising a strategy to expand and improve financial services in Mongolia that would facilitate the strengthening of select value chains, including in mining, agriculture, construction, and manufacturing.

The objective is to identify the key value chains and their main inefficiencies and vulnerabilities and propose forms of value chain financing that mitigate such weaknesses. A key aim of the feasibility study is to enable investors and stakeholders to ascertain investment opportunities in value chain finance.

Sample Activities

Identify inefficiencies and vulnerabilities within the value chains for the key industries in Mongolia.
Propose how these inefficiencies can be mitigated through value chain financing.
Assess the demand for value chain financing products.
Illustrate multiple forms of loans, identify key credit risks involved in value chain financing, and present how such risks can be mitigated.
Present the comparative benefits of a value chain financing product over the existing financing available to small and medium-sized businesses.

Worldwide—The Invest Project

The Invest Project is a flagship U.S. Agency for International Development (USAID) program to research, develop, and build “blended finance” solutions for development challenges. Blended finance uses public resources, such as USAID’s, and philanthropic funds to catalyze private capital flows in pursuit of development results and financial returns.