IMF okays $79.1mln loan for Mongolia

SHANGHAI: The International Monetary Fund has approved a loan of about US$79.1 million for Mongolia following two rounds of reviews of the country´s performance.

In a statement, the IMF said the completion of the first and second reviews of Mongolia´s performance enables the country to draw the equivalent of 55.912 million in the IMF´s Special Drawing Rights (SDR), equivalent to about US$79.1 million.

That would bring total disbursements to SDR83.868 million, or about $118.6 million, as part of a three-year extended arrangement under the IMF´s Extended Fund Facility, the statement said. The IMF approved the extended arrangement in May for about US$425 million.

Mongolia had met "all quantitative targets" under the arrangement thanks in part to "strong policy implementation and a supportive external environment," as well as notable progress in structural reforms, the statement said.

Mongolia´s economy is expected to grow by 3.3 percent in 2017, "considerably better than forecasted at the time of programme approval," the statement said.

While praising the country´s progress on structural, fiscal and social reforms, the IMF said that Mongolia continues to face economic risks.