The General Director of the National
Mortgage Corp (NMC), J.Jargalsaikhan, answers our journalist’s questions.

How
is the mortgage market developing?

Work began in 2003, and now the Apartment
Financing Corp, Ipotek Corp and commercial banks grant loans as part of the
Apartment Financing Project of the Asian Development Bank. More laws on assessing
value of real estate, and on private sale of mortgages have also been passed,
and a comprehensive draft law on mortgages is being prepared.

What
does your organization do?

We generally work for the Mongolian
National Chamber of Commerce and Industry but hope to do some independent work soon.

What
do you think of the Government plans to sell bonds to raise money for the
Apartment Financing Corp.?

This will develop the mortgage market, with
Government guarantee, but we have to go beyond such basic steps.

Will
mortgages bring down the high interests commercial banks charge for apartment
loans? 

It should, but mortgages cover large amounts
of money. Commercial banks cannot develop if they are burdened with large risks.

What
can be offered for mortgage, besides apartments?

Land, shares… Mortgage is a wide area.