Hungarian bank expresses interest in launching branch in Mongolia

ULAN BATOR, June 29 (Xinhua) -- Hungary's OTP Bank has expressed interest in establishing a branch in Mongolia, the Mongolian government's press office announced on Monday.

OTP Bank has officially submitted a letter of intent to Mongolian Prime Minister Nyam-Osor Uchral regarding the establishment of a branch in Mongolia, the statement said.

The interest shown by one of the world's leading financial institutions reflects growing international confidence in Mongolia's investment climate and its long-term market potential, it said.

Mongolia currently has no branches of foreign commercial banks operating in the country.

The potential entry of a foreign bank is widely expected to increase competition in the banking sector, help lower lending interest rates, expand access to financial resources, and attract greater foreign investment.