Netcapital

Background & History

Founded in 2008 and headquartered in Ulaanbaatar, Netcapital Financial Corporation NBFI LLC (the borrower entity under Netcapital Financial Group) is a Mongolian non-banking financial institution regulated by the Financial Regulatory Commission (FRC) of Mongolia. Originally launched as a loan, trust and investment consulting provider, the group has scaled into one of the top 5 NBFIs in Mongolia (ranked 72nd in the country’s Top 100 Entities for 2025, behind the leading banks), with 50 branches (16 urban, 22 rural, 5 soum, 7 digital) across 21 provinces and 722 employees serving 59,363 active borrowers (as at 2026). Chairwoman Javzandulam S. and CEO Khunshagai B. lead the firm under a five-member board, three of whom are independent.

Business Model & Lines of Business

Netcapital runs a customer-centric, platform-based NBFI franchise underpinned by a proprietary e-channel ecosystem (Net Pay, Net Store, Net Merchant, NETAPP) and AI-driven digital infrastructure. At consolidated level, the group's USD 201.9 M gross loan book splits into Other consumer loans (~58%), Business loans (~23%; MSME/SME, including women-led businesses), Digital loans (~16%), and Automobile loans (~13%). At the borrower entity (NC NBFI), the USD 71.9M gross book skews more digital and SME, with Auto 23%, Business 19% and Digital loans driven through the Netpay super-app (USD 23.6M total: USD 9.3M digital business, USD 17.3M digital consumer). The group complements lending with leasing (Netcapital Leasing LLC) and operates under an electronic-money licence issued in 2021.

Key Milestones

Over 17 years in the NBFI sector, Netcapital has scaled gross loans at approximately 50% CAGR (2023–2025), growing from USD 89.9M to USD 201.9M at consolidated level, with consolidated total assets growing from USD 102.7M (2023) to USD 227.5M (2025) and net profit from USD 11.1M to USD 18.8M (+27.6% YoY). NC NBFI standalone equity more than doubled to USD 37.3M (+129.8% YoY) on net profit of USD 6.6M (+69.2% YoY). 2024 marked the group's debut in international capital markets with USD 9M raised via Kilde and adoption of the IDCXS standard; 2025 added Mongolia's first ABS (Asset-Backed Securities) issuance of MNT 30 billion, collateralised by the Company's loan portfolio, USD 3M from Enabling Qapital (Liechtenstein), first invested in August 2025, and a further USD 2.4M Kilde tranche. NPL at 7.8% (NC NBFI, 2025) vs 8.4% sector average, with CAR of 41.9% and Tier-1 of 41.1%.

Management Team & Organization

Chairwoman Javzandulam S. (effective 2024; ex-First Deputy CEO 2022-2024, Business Development Manager 2019-2022) and CEO Khunshagai B. (effective 2022; ex-Deputy CEO Netcapital 2020-2022, XacBank 2016-2020, TDB 2012-2016) lead an executive team of nine Vice Presidents covering IT, Product Development & Digital Transformation, Finance, Lending, Investment, Risk, AI and Growth.
The board comprises five members — Javzandulam Sundii, Khunshagai Batbold, Orgodol Sanjaasuren, Enkh-Amgalan Jambal and Munkhjavkhaa Batchuluun — of whom three are independent, bringing 6–27 years’ experience across the banking and financing sectors. Nine CEO-level committees govern operations: Management, ALCO, Product & Innovation, Risk & Governance, Credit, HR & Culture, Technology & Digital Strategy, Customer & Market, and Audit.