Mortgage budget may be cut to half in 2019 www.zgm.mn
According to the Bank of Mongolia (BoM), MNT 16 billion worth eight percent mortgage loans were granted to 239 people in September. Since the beginning of this year, a total of 2,724 people received mortgage loans, totalling MNT 203.3 billion, of which the bank sourced MNT 143.7 billion and the remaining were financed by the Government. The amount of mortgage loan issued in the reporting month decreased by around 30 percent from the previous month and by 32.2 percent from the same period of last year. The Government and the BoM, through previously issued mortgage loan repayments, are financing MNT 300 billion to the mortgage program this year. As for next year, the Government may allocate MNT 115 billion to the program according to the 2019 State Budget draft. That is less than half the allocation for this year when affordable housing program is seen as the most effective solution to air pollution. The draft of 2019 State Budget doubled the tax deduction to first-time accommodation buyers within the frames of air pollution reduction and housing policies.
Published Date:2018-10-06