‘It is possible to launch green bonds’

The Pre-Discussion on Green Revival took place on March 30 ahead of the Mongolian Economic Forum, scheduled later this month.

During the meeting, Executive Director of MIK Holding JSC B.Gantulga gave a presentation. He says Mongolians need to start green production with construction materials.

“This must be followed by green technological innovation. This will help reduce greenhouse gas. In addition, some changes need to be made to building regulations and standards. Green buildings can be developed when all market participants somehow incorporate green indicators into their rules and plans. Commercial banks can then provide loans for green buildings. In doing so, they must verify that the building is green not by themselves but through an external audit. This will create a green mortgage program. Once we finish building a green apartment block, we will be able to launch asset-backed securities or green bonds.”

“On the other hand, half of all households in Ulaanbaatar live in ger areas. Ger area redevelopment must be implemented in some way. If green buildings are built, it is possible to dramatically increase the amount of green financing. In other words, the country will be able to attract green funding from the world market if it incorporates green criteria and standards into the construction sector. We can implement a green mortgage program in cooperation with government agencies.”

Afterward, a panel discussion was held on green financing, which was moderated by Senior Operations Officer of International Finance Corporation B.Batmunkh. The panelists included CEO of MIK Holding JSC B.Gantulga, Board chairman of the Mongolian Sustainable Finance Association O.Orkhon, CEO of Khan Bank R.Munkhtuya, CEO of Golomt Bank Norihiko Kato and other related officials.