Almost certain likelihood of extraordinary government support due to the bank's policy-oriented role. Lower funding costs than commercial banks due to extensive government guarantee on borrowings. Concentrated credit exposure to several big names and sectors. Reliance on wholesale funding. The stable outlook on Development Bank of Mongolia (DBM) for the next 12-24 months reflects the outlook on the sovereign credit rating on Mongolia (B-/Stable/B). Given the bank's integral link and critical role to the government, rating movements are likely to be linked to those on the sovereign. We could upgrade DBM if we raise the rating on Mongolia. We could lower the rating on DBM if the sovereign's willingness to support the bank declines. We believe this scenario is very
