ULAN BATOR, Mongolia- The Mongolian Government would set up a development bank to finance large mining and infrastructure projects, the Mongolian Press Service announced Thursday.

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The government made the decision at a cabinet meeting Wednesday, the Press Service statement said, adding the decision would be submitted to parliament for approval soon.

The statement said the new bank would support the establishment of a heavy industrial development park in Sainshand, capital of Eastern-Gobi province.

The park would be home to many heavy industrial projects, including a copper smelter, an oil refinery, coal processing plants and power plants.

According to the Press Service, the Mongolian government will act as a loan guarantor for the bank.