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China Eximbank provides RMB 1 billion government concessional loan for Ulaanbaatar Central Wastewater Treatment Plant Construction Project (Linked to Record ID#91228)

¥1M RMB

Funder	Export-Import Bank of China (China Eximbank)
Recipient Organization	Mongolia Ministry of Finance
Country	Mongolia
Start Date	Mar 01, 2018
End Date	Jul 12, 2033
Duration	5,612 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`69003`

Grant Description

China Eximbank provides RMB 1 billion government concessional loan for Ulaanbaatar Central Wastewater Treatment Plant Construction Project On March 1, 2018, China Eximbank and the Government of Mongolia’s Ministry of Finance signed an RMB 1 billion government concessional loan (GCL) agreement for the Ulaanbaatar Central Wastewater Treatment Plant Construction Project.

📋 Loan / Grant Terms

📅 Maturity20 years

⏳ Grace Period7 years

💹 Interest Rate2%

Then, on January 20, 2020, China Eximbank and the Government of Mongolia’s Ministry of Finance signed a $249,574,000 preferential buyer’s credit (PBC) agreement for the Ulaanbaatar Central Wastewater Treatment Plant Construction Project.

📋 Loan / Grant Terms

💹 Interest Rate2%

It came into force on April 20, 2020.

The proceeds of the GCL are to be used by the borrower to finance a commercial contract with China Tiesiju Civil Engineering Group (CTCE) and Beijing Construction Engineering Group (BCEG).

The proceeds of the PBC are to be used by the borrower to finance 95% of the cost of a $262.7 million commercial contract with First Engineering Co Ltd of China Railway No 4 Engineering Group Co Ltd (CREC4).

The purpose of the project is to construct a wastewater treatment plant — with a daily capacity of 250,000 cubic meters of wastewater — on a 40-hectare site in Ulaanbaatar’s 20th subdistrict of Songinokharkhan district.

A formal project commencement ceremony was held during Chinese Foreign Minister Wang Yi’s visit to Mongolia on August 27, 2018. Then, on February 28, 2019, a groundbreaking ceremony took place. Works were originally scheduled to last 36 months (expected completion date: February 28, 2022). However, project implementation stalled in mid-2020 due to the COVID-19 pandemic.

Then, in July 2020, 24 technicians arrived to guide CTCE employees stationed there to resume construction. Construction restarted in August 2020.

One month later, in September 2020, local engineering and technical staff were preparing the site for the construction of the first of the two biological treatment blocks. By August 2021, the project had achieved a 28 percent completion rate. Successful concrete pouring into the inner walls of three reaction tanks took place on March 31, 2022.

The wastewater plant is currently scheduled to be handed over and put into operation on February 28, 2025. To date, the project has reportedly employed 50 foreign workers and 450 Mongolian workers. As of January 2025, the project is 95% completed expected to be put into operation in August 2025.

An Environmental Impact Assessment (EIA) for the project was conducted by Queen Nature LLC ("Хатан байгаль" ХХК) and approved on December 30, 2019.

📋 Staff Comments

This project is also known as the Central Wastewater Treatment Plant of Ulaanbaatar City Project or the New Central Waste Water Treatment Plant Construction Project in Ulaanbaatar City Project. The Chinese project title is 乌兰巴托中央污水处理厂 or 蒙古乌兰巴托市中央污水处理厂建设项目. The Mongolian project title is Улаанбаатар хотын төв цэвэрлэх байгууламжийг барих төсөл or УЛААНБААТАР ХОТЫН ТӨВ ЦЭВЭРЛЭХ БАЙГУУЛАМЖИЙГ ШИНЭЭР БАРИХ or Төв цэвэрлэх байгууламж.
The China Eximbank loan for this project is not included in the Overseas Development Finance Dataset that Boston University’s Global Development Policy Center published in December 2020.

📚 Sources & References

Mongolia Ulaanbaatar Central Wastewater Treatment Plant Project Commencement Ceremony Held
Construction of new Wastewater Treatment Plant commences
New wastewater treatment plant under construction, Б.МӨНХБААТАР: УЛААНБААТАР ХОТЫН ТӨВ ЦЭВЭРЛЭХ БАЙГУУЛАМЖИЙГ ШИНЭЭР БАРИХ АЖЛЫГ ЧАНАРЫН ӨНДӨР ТҮВШИНД ГҮЙЦЭТГЭЖ, ТӨСЛИЙГ ЦАГ ХУГАЦААНД НЬ ДУУСГАХЫН ТУЛД АЖЛЫН ЗУРАГ ТӨСЛӨӨС ЭХЛЭН АНХААРАЛ ХАНДУУЛЖ, ХЯНАЛТ ТАВЬЖ АЖИЛЛАХ НЬ ЗҮЙТЭЙ
WANG YI: PARTICIPATE IN IMPROVING THE ENVIRONMENT AND INFRASTRUCTURE IN ULAANBAATAR, “УЛААНБААТАР ХОТЫН ТӨВ ЦЭВЭРЛЭХ БАЙГУУЛАМЖИЙГ ШИНЭЭР БАРИХ” ТӨСЛИЙН ГЭРЭЭНД ГАРЫН ҮСЭГ ЗУРЛАА, ЗАСГИЙН ГАЗРЫН ГАДААДЫН ЗЭЭЛ, ТУСЛАМЖИЙН ХӨРӨНГӨӨР 2019 ОНЫ ТӨСВИЙН ЖИЛД ХЭРЭГЖҮҮЛЭХЭЭР ТӨЛӨВЛӨСӨН ТӨСӨЛ, АРГА ХЭМЖЭЭ, МОНГОЛ УЛСЫН ЗАСГИЙН ГАЗАР, БҮГД НАЙРАМДАХ ХЯТАД АРД УЛСЫН ЗАСГИЙН ГАЗАР ХООРОНДЫН ХАМТЫН АЖИЛЛАГААНЫ ТУХАЙ
Constructional work of new wastewater treatment plant to commence this spring
Finance Minister signs loan agreement with China’s Exim Bank Vice President, “Төв цэвэрлэх байгууламж шинээр барих” төслийн Тусгайлсан зээлийн хэлэлцээрт гарын үсэг зурав
Additional loan agreement with China enters into force, МОНГОЛ УЛСЫН ЗАСГИЙН ГАЗРЫН ТОГТООЛ ХӨТӨЛБӨР БАТЛАХ ТУХАЙ Дугаар 140
China Builds Mongolia Wastewater Treatment Plants, ХЯТАДЫН БУЦАЛТГҮЙ ТУСЛАМЖ БА МОНГОЛЫН ЗЭЭЛСЭН ӨРИЙН ДҮН, ШИНЭ цэвэрлэх байгууламжийн барилгын ажил ТЭГ ЗОГСОВ, Шинэ цэвэрлэх байгууламжийн биореакторын барилга угсралтын ажил 40 хувьтай байна
Government of Mongolia 2020 Bond Prospectus
BRI Progress in Mongolia, Улаанбаатар хотын 'Төв цэвэрлэх байгууламжийг шинээр барих' төслийн шав тавих ёслол боллоо
蒙古国建筑与城市建设部长到访中铁四局一公司乌兰巴托新建中央污水处理厂项目
Finance Minister signs loan agreement with China’s Exim Bank Vice President
Construction Minister visits new wastewater treatment plant construction site
Invitation for Bids For the Wastewater Recycling Plant Design-Build
TRADE POLICY REVIEW MONGOLIA MINUTES OF THE MEETING Addendum
CREC4-built sewage plant in Ulaanbaatar reaches new milestone
DRS Official Commitments from China Through 2021
IDS_Average interest on new external debt commitments
口行一季度海外贷款的6大项目非洲为主
Contributing to the Green Belt and Road Development, Улаанбаатар хотын төв цэвэрлэх байгууламжийг шинээр барих төслийн явц 85 хувьтай байна
乌兰巴托新污水处理厂将于八月投入使用, 'Улаанбаатар хотын төв цэвэрлэх байгууламжийг шинээр барих төсөл' Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.