The latest stop in First
Deputy Prime Minister N.Altankhuyag’s series of visits to the countryside to
see how SME projects are using their loans was in Zavkhan province, 1,000 km
from the capital. About 90 projects there have been chosen to receive MNT839.1
million, of which MNT595.3 million has so far been distributed.

Livestock product projects
account for MNT265.5 million of this. Several food sale services and small
factories to produce clothes are also to receive loans. 

Altankhuyag visited a number
of places. One of these was Cardinal Style, a publishing company that took a
loan of MNT50 million to improve equipment and machinery. The company has
employed more people and can now fully meet the province’s demands. The other
companies he visited were Chigestei Restaurant, Munkhud Mandag food factory,
Orgiltsagaan wool and cashmere factory and Minii Tulga dairy farm. 

The wool and cashmere
factory makes felt from lamb’s wool, especially from “sartuul” sheep. The wool
is almost like cashmere, said the director of the company M.Otgonbayar. It
processes 46 tons of wool each year, manufacturing 1,500-2,000 felt sheets. Its
sales revenue is approximately MNT60 million.

The Minii Tulga farm has
been operating since 2006. It was the first farm in the province and is now the
biggest, with more than a hundred cows. It produces 150-180 liters of milk each
day and supplies schools and kindergartens in the province. It got only MNT10
million from the bank though it had asked for MNT60 million. It has thus had to
put some of its expansion plans on hold.

In their talks with the
Deputy Prime Minister, citizens stressed that the loans have been of much help
but complained that banks were not supportive of those trying to start a  business. Some borrowers said they could
achieve more if they had got the full loan 
they asked for. Some also criticized the banks for putting quantity
above quality.