📋 Tender Overview
Location: Mongolia
Project number: 55290
Business sector: Agribusiness
Notice type: Private
EBRD Finance Summary: USD 20,000,000.00
Total Project Cost: USD 53,000,000.00
Project Description
The provision of a senior loan of up to US$ 20 million in MNT equivalent (including US$ 2 million concessional tranche funded under the High Impact Partnership on Climate Action programme by Canada) to APU Dairy to finance its dairy processing and packaging capacity expansion, construction of the new production facility, which meets high energy efficiency standards, and working capital.
Project Objectives
The Project is in line with the EBRD country strategy for Mongolia to support non-extractivesector and strengthen competitiveness. The loan supports growth and competitiveness of the company by funding its capacity expansion investments as well as promotes the adoption of climate smart farming practices by Mongolian dairy farmers.
Transition Impact
ETI score: 68
The transition impact is expected to derive from its contribution to green and inclusive qualities. As part of the project, the company is committed to build a new factory building meeting high energy efficiency standards, and to implement a dedicated programme to promote the adoption of climate smart practices in its Mongolian milk supply chain and increase the resilience of farmers to climate change. The project will also support human capital development in a remote region by reaching out to and equipping small-scale yak herders with new market relevant skills and technology.
