Dec 10, 2024 60 min read Daily News Summaries

Mongolia News Summary for December 10, 2024

The following news articles are the opinions of their authors and publications. They are presented here as translations for informational purposes and do not necessarily represent the opinion of Mongolia Strategy Center or its members.

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Politics

B. Batbayar: The rules of the Mongolian Millennium Challenge Fund are clear and transparent, keeping it free from corruption

Published: 2024-12-09 | Translated from: itoim.mn

Today is International Anti-Corruption Day. We spoke with B. Batbayar, Director of Internal Audit of the Millennium Challenge Account Mongolia, State Distinguished Economist of Mongolia, and Doctor of Business Administration, about how the Water Compact, a program to increase water supply across Ulaanbaatar under the Second Compact signed between the Millennium Challenge Corporation of the USA and the Government of Mongolia, operates in a manner free from corruption. - Today is International Anti-Corruption Day. What measures does your organization take to prevent and combat corruption? Has there been any instance of corruption or fraud within your organization? - The Millennium Challenge Account Mongolia (MCA-M) is a state-owned enterprise established by Resolution No. 297 of the Government of Mongolia on October 3, 2018. Its primary purpose is to implement a major comprehensive program to increase Ulaanbaatar's water supply under the second Compact Agreement between the Government of Mongolia and the Millennium Challenge Corporation (MCC) of the USA, representing the Government of Mongolia. Our organization aims to establish a culture of zero tolerance for corruption, transparency, ethics, and responsibility from the outset. In January 2020, we developed an Organizational Risk Management Plan and began maintaining a risk register, updating it regularly, and taking measures to mitigate risks. Together with the MCC, we have also developed and are implementing an anti-fraud and anti-corruption plan. We conduct regular training sessions on corporate culture, sexual harassment, anti-corruption, and anti-fraud for our employees and have posters with hotline numbers to report any suspicious or corrupt activities at the workplace. We impose similar standards and monitoring on our contracted companies and require them to report monthly. The performance of our employees is evaluated with the assistance of "Birches Group," using the 360-degree performance evaluation method. Additionally, three foreign companies operating internationally assist us daily with professional support. For example, "DT Global" from the USA acts as our Financial Agent, responsible for financial settlements, accounting, and reporting. "Charles Kendall and Partners" from the UK serves as the Procurement Agent, and "Tetra Tech" from the USA is the Program Management Consultant and FIDIC engineer. There have been no incidents of corruption or fraud found in our organization so far. - Procurement and financial transactions are often considered areas at high risk for corruption. How risky are these operations for your organization? - The main task of our Internal Audit team is to ensure the transparent and optimal selection of companies supplying goods, works, and services, to conclude contracts with them, and to monitor performance and manage payments. Our procurement rules and procedures comply fully with MCC's requirements and international best practices. We develop standard tender documents, receive tender proposals, and establish evaluation committees for technical and financial proposals, in collaboration with "Charles Kendall" from the UK as part of our Procurement team. Each phase of the procurement process is reported to the MCC USA for approval, ensuring no opportunities for corruption or fraud. Contract management and administration are being effectively implemented. We regularly meet weekly with contracted companies to review progress aside from receiving monthly and quarterly progress reports. Our Project and related teams, along with "Tetra Tech," the Program Management Consultant and FIDIC engineer from the USA, are consistently involved in supervision. Financial payments are managed by our Finance team in conjunction with "DT Global" from the USA using the SAP system, with the MCC USA regularly monitoring and annually audited by "Dalaivan Audit" as an independent auditor and reported to the Board of Directors. There are no opportunities for incomplete documentation or unauthorized transactions and payments. - Since we are talking with an auditor, let's inquire about internal control. Projects and programs implemented in Mongolia often conduct independent external audits for oversight. However, your organization has an internal audit department, which is noteworthy. How effective is your internal control? - Internal control is adequately implemented. Firstly, this is associated with clear and understandable rules and regulations, distribution of duties, control, and reporting systems. Secondly, multiple layers of control are in place. We are constrained from independently hiring anyone, selecting companies, or executing transactions without verification by international professional companies such as the financial and procurement agents. Thirdly, the MCC USA supervises and approves as well. Lastly, the Board of Directors makes the final decision. An independent auditor reviews annually. The Inspector General's Office of USAID has audited us twice. Our Internal Audit team consists of two personnel, a small team. Our objective is to enhance the effectiveness of risk management, control, and governance processes through audits and research, support the organization's operations and meet its objectives by providing implementation guidelines for relevant laws, regulations, standards, and requirements. So far, we have audited and researched the compliance of major operating rules that govern the organization, such as Procurement, Financial Processing, Reporting, Contract Management, Project, and Program Management, Risk and Compliance Management, Human Resources Management, Monitoring and Evaluation, Property Assets Registration, Archiving and Document Handling, Public Relations Strategy, Environment, Social, and Gender regulations adhering to International Internal Audit Standards. We have provided recommendations to reduce risks and enhance internal control and implementation and monitored compliance, reporting to the Board of Directors. - You mentioned that the rules of the game are clear. Could you elaborate? - Rules and regulations are very important for any organization. The rules of the game must be clear and understandable. We believe our organization's rules and regulations are well-developed. From staff selection and employment relations, ethics regulation, performance evaluation, to procurement, financial processing, reporting, auditing, contract management, management, environment, society, gender equality, occupational safety, health, public relations, and risk management, necessary rules and standards are defined. We have adapted universally applied and tested guidelines by MCC worldwide to fit national contexts, so I am confident in stating our rules are well-developed. Although the people are Mongolian, the rules and regulations operate like an American institution. Currently, our organization adheres to 27 laws of Mongolia, 9 rules and regulations issued by central and local government agencies, 2 agreements with MCC, 8 policies, 38 instructions issued by MCC, and 8 IFC standards; as well as 21 rules and regulations approved by "MCA-M"'s Board of Directors, and 72 contracts with executors by "MCA-M". (Out of a total of 209 contracts, 137 have been completed.) The compliance responsibilities of these laws, standards, and contracts, who fulfills them, when, and under what timeline are clearly understood. In essence, compliance management is being implemented. - Some readers might be aware of the significant infrastructure development projects carried out by the Millennium Challenge Account Mongolia, funded considerably. Could you provide a brief overview of the joint investment between the Millennium Challenge Corporation of the USA and the Government of Mongolia? - Under the Compact Agreement, $350 million in grant aid has been provided by the USA Government with an additional contribution from the Government of Mongolia of up to $111.8 million to establish new sources of water supply around the Biocomplex and Shuvuun factory areas and build related infrastructure, reservoirs, alongside a Water Purification Plant with advanced technology to further enhance the number of water supplies throughout Ulaanbaatar. Furthermore, a Wastewater Recycling Plant will be constructed to recycle wastewater from the new Central Wastewater Treatment Plant to supply the 3rd and 4th power plants with relevant infrastructure constructed. This takes place along with efforts to improve water sector policy and legal frameworks and strengthen human resources and institutional capacity to secure long-term sustainability in the water supply sector, considered a soft infrastructure project. Essentially, it is a comprehensive water sector program. Compact programs must be completed within a 5-year window. The Compact Agreement became effective on March 31, 2021. Consequently, we will finish implementation by March 31, 2026. There is no concept of extending the timeframe, unlike other projects and programs, thus the Millennium Challenge Account Mongolia is working against time. The investment by the Millennium Challenge Corporation (MCC) is distinct in that it offers grants funded by American taxpayers' money, bringing with it the responsibility of very accountable expenditure. Generally, MCC provides three types of grants to developing countries: - Compacts - Large 5-year grants for countries selected for meeting MCC criteria; - Concurrent Compacts for Regional Investments - Grants for supporting regional economic integration, cross-border trade, and cooperation; - Threshold Programs - Smaller grants for policy and institutional reforms in countries nearly meeting MCC criteria and demonstrating ongoing policy performance improvement. Our country is among the few receiving a second Compact grant. - Do you have sufficient human resources to implement the three projects under the Water Compact? - Highly educated and experienced professionals, including engineers across various fields, top managers, and experts in MCA-M, know the purpose of the organization's establishment and our mission to increase the water supply throughout Ulaanbaatar. This involves prudently and appropriately using water resources, contributing to the city’s development and the quality of life for citizens, subsequently aiding Mongolia’s economic growth. They fully appreciate the significance of their efforts. Additionally, the operations of the Water Compact are environmentally friendly and sensitive to social and gender issues. We recruit employees through an open selection process. For new employees, we facilitate a rapid adaptation to their roles through orientation sessions, introducing our internal rules and regulations, and requiring them to sign commitments to abide by policies against sexual harassment, codes of ethics, confidentiality agreements, and declarations of conflict of interest, renewed annually. Concerning executive leadership, the governance structure and processes of our organization meet the principles and standards of good governance, which are clear in terms of decision-making authority, responsibility, and reporting levels. MCA-M's Board of Directors consists of representatives from public, private, civil society sectors, and academia and meets quarterly to establish the organization's policy direction and oversee its implementation. The Executive Management team, comprising the CEO and three project directors and other executives, manages daily operations. Additionally, the Resident Country Director of the Millennium Challenge Corporation in Mongolia and their team continuously support our work. - Thank you for the interview.

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10 Reasons Why the Narantsevste Border Cannot Be Opened

Published: 2024-12-09 | Translated from: itoim.mn

The issue surrounding the Narantsevste Border, part of the state-protected Great Gobi Desert Area (Sanctuary Area A), has sparked significant debate. Minister of Borders B. Tulga and Member of Parliament O. Amgalanbaatar have stated that when opening the Narantsevste Border, a road will be built around the protected area. However, scientists, researchers, and members of the local council are united in their stance that the Narantsevste Border should not be opened. Here, we present the 10 reasons why the Narantsevste Border cannot be opened, as explained by Dr. D. Usukhjargal, a teacher at NUM. Illegal Provision In a country that respects the law, opening the Narantsevste Border would be a matter of law violation. The opening of the Narantsevste Border blatantly violates multiple laws, including the Constitution of Mongolia, the Environmental Package Law, the Law on Special Protected Areas, the Law on Fauna, and the Law on Flora. While adhering to the principle of the rule of law is enshrined in our Constitution, it is unacceptable for a Member of Parliament to attempt to implement policies and provisions that contradict the law. Such actions should not become a precedent. Global Responsibility The best way to protect the environment is considered to be the establishment of specially protected areas. Since 1850, efforts have been made to pass on our planet to future generations and use it sustainably. One of these efforts was the creation of specially protected areas. Opening the Narantsevste Border would breach numerous conventions we have joined, representing a step back from our responsibilities. These include violations of the Convention on Biological Diversity, the Convention on Migratory Species, the UN Framework Convention on Climate Change, and the Convention to Combat Desertification. Due to our commitments to these conventions, international organizations have begun sending letters addressing the issue of the Narantsevste Border to the President of Mongolia. The Gobi Ecosystem Might "Vanish" The Narantsevste Border is located in the Great Gobi Transboundary Park section A, which boasts natural features unique to Mongolia’s 121 specially protected areas. Among the 125,000 sites worldwide, it ranks 15th in terms of size. This is not just a National Treasure; it is a heritage of global significance. If the border becomes operational, the globally recognized, irreplaceable ecosystem of the Gobi will be lost, turning into mere desert dust. "Gobi" is a word that cannot be translated into any language because it’s so unique. Endangered Native Species Due to its unique precipitation distribution, the area is notable for its biodiversity, with species that have survived only there. Our focus is often on species we can see and count, such as the Gobi bear (Mazaalai) and the wild Bactrian camel. However, over 300 plant species, 90 mammal species, 5 reptile species, and 2 amphibian species, which have adapted specifically to this Gobi region, face existential threats. All animals residing there are indigenous to Central Asia and are classified as highly endangered. If the Narantsevste Border becomes operational, no species is likely to survive from this area. Minimal Economic Benefit The Narantsevste Border is intended to connect with Gansu, the far northwestern province of China. It is the most distant province from Beijing and is underdeveloped. It is located over 1100 km directly south of the Narantsevste Border. Several nuclear weapons tests have been conducted in Gansu, and there’s a city called 404, where nuclear waste is buried. The province is home to 1.4 million people. Meanwhile, we have the already operational Burgastai Border connected to Urumqi in Xinjiang, a hub of science, technology, and industrial development, and close to the Silk Road. Therefore, it is more advantageous for us to improve the utilization of the legally compliant Burgastai Border, enhance its traffic, and use it to develop our western provinces. Connecting with Gansu offers minimal economic benefit. Cheap Promises MP O. Amgalanbaatar claimed that Gansu proposed to build a 640 km road from Narantsevste to Altay City in Govi-Altai Province with their funds. The 220 km road connecting Darkhan-Uul to Ulaanbaatar has been under construction since 2016, with both sides of the road already open and the site prepared, yet after 8 years, it is still incomplete. On the contrary, no groundwork has started on the proposed 640 km road from Narantsevste to Altay, with no cuts or structures in place. Consideration is needed on how many gravel quarries and mountains would need to be dug out for the 640 km road. Gansu promises to complete this road in five years, but remember, only in a mouse trap is cheese free. Unified National Stance Needed Opening Narantsevste goes against the actions the government has declared. Hence, the Narantsevste Border should not be activated. It is absent from our long-term development strategy "Vision 2050" and not included in the "New Revival Policy"—our medium-term development policy. It’s brought up as part of a regional development program while contradicting our comprehensive national development policies. Just a year ago, the President declared the Gobi bear (Mazaalai) the National Pride Animal of Mongolia. Now, within a year, plans are made to open a border and infrastructure in its primary habitat, endangering its existence. Failure to Protect Leads to a Dangerous Precedent If we fail to protect Sanctuary Area A of the Great Gobi Transboundary Park, there is no guarantee that we won't lose our other 120 protected areas. Yielding now sets a precedent that could threaten all protected lands. Learn from History The "Vision 2050" long-term development plan articulates an intention to have 30% of the territory under special protection by 2030. Despite plans to expand protected areas, beginning to infringe upon previously protected land is regressive. No Support from Researchers Scientists and researchers oppose any provision that endangers the Gobi. Experts across disciplines such as water, flora, and fauna uniformly agree that the Narantsevste Border should not be opened because opening it would devastate the Mongolian Gobi.

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The High Court Judges Deliberate on the Development Bank Case for the Fifth Day

Published: 2024-12-09 | Translated from: isee.mn

The case famously associated with the Development Bank is being reviewed by the Supreme Court for the fifth day. Specifically, the Criminal Division of the Supreme Court of Mongolia has been discussing this case, which consists of 540 files and involves 80 individuals and 4 legal entities, since 09:13 on the 2nd of this month in response to the prosecutor's objections and 41 complaints filed by the defendants and their attorneys. Today, the Supreme Court judges are deliberating for the fifth day to reach a decision. Once the judges have made their decision, the ruling section will be announced publicly by the court.

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Disrupting the President's Dream by S. Amarsaikhan?!

Published: 2024-12-09 | Translated from: news.mn

Two years ago, President Khurelsukh U. initiated and officially launched the "Food Revolution" national program simultaneously in all 21 provinces, 330 soums, and nine districts of the capital. The main goal of the program was for Mongolia to fully supply its food consumption domestically within five years and to prepare healthy Mongolian individuals. After becoming Head of State, Khurelsukh U. announced three major national programs named "One Billion Trees," "Healthy Mongolian," and "Food Revolution." As part of the "One Billion Trees" national movement, it was reported on the official website of the President's Office that 84 million trees have been planted and cultivated to date. The report highlighted "Erdenet Factory" LLC for leading with 4.1 million trees planted and grown. The overall funding required to plant and grow one billion trees is estimated at 19.5 trillion tugriks. The "Healthy Mongolian" movement is being implemented over ten years, targeting comprehensive actions against alcohol, tobacco, drinking water, and school lunch programs, which have the most adverse effects on Mongolian health, according to the Health Minister T. Munkhsaikhan in an interview. However, the main health issues for Mongolians are air, soil, and water pollution more than alcohol and tobacco. Statistics show that 4,500 people die annually due to cancer and 6,000 from cardiovascular diseases. Essentially, Mongolian health is valued less than its 70 million livestock. The core goal of the "Healthy Mongolian" national program should be directed towards this issue. In truth, pollution of air, soil, and water has been a long-standing enemy of Mongolian health. In particular, the improved fuel initiated by Khurelsukh U. has become a risky factor "deteriorating" the health of Ulaanbaatar's residents. The mayor of the city, H. Nyambaatar, admitted that smoke has not reduced despite "Tavantolgoi Fuel" LLC producing improved fuel. The General Auditor D. Zagjdav raised the issue of the embezzlement and theft of the 1.1 trillion tugrik transferred to the compressed fuel factory within the scope of social responsibility by "Erdenes Tavantolgoi" LLC. One of the three comprehensive programs initiated by President Khurelsukh U. is the "Food Revolution." He stated, "If food is healthy, people are healthy." A healthy Mongolian means a strong Mongolian nation. Therefore, the central issue of Mongolia's food security is to sustainably and adequately supply its population with healthy, nutritious, and standard food products. He announced the "100 Years - Zero Target" development initiative within the framework of transitioning from welfare to labor, extraction to processing, and import to export, aiming to ensure the country's social and economic security, and it has been two years since the government's resolution to make a free trade agreement with the Eurasian Economic Union was announced. The Eurasian Economic Union, created in 2014 by the initiative of the state leaders of Russia, Kazakhstan, and Belarus, with Russia, Kazakhstan, Belarus, Armenia, and Kyrgyzstan as member states, consists of the five countries formerly part of the Soviet Union. If Mongolia joins this union, domestic small and medium enterprises will be at risk of shutting down. President Khurelsukh U. has set the target of fully meeting domestic demand for 19 major food products within the next five years, further aiming to become a food-exporting country and creating disease-free zones for livestock. The financial sector, especially commercial banks, has supported the national movement, and in 2023 the government has provided subsidized interest rate funding of up to 1 trillion tugriks with low interest rates for long-term financing. According to State Great Khural Resolution No. 36, it is planned to invest and finance 1.7 trillion tugriks in the food and agriculture sector over the next five years. If Deputy Prime Minister S. Amarsaikhan fulfills the "task," Khurelsukh U.'s plans of this kind will come to nothing. The President's food revolution will become a flawed endeavor. If S. Amarsaikhan disrupts President Khurelsukh's dream, it would mean the perpetual loss of Mongolia's national security. Even if S. Amarsaikhan desires this, would Khurelsukh U., more intent on making his mark in history than hanging his picture on the wall, allow it?

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Parliamentary Standing Committees to Discuss 2025 Budget Draft

Published: 2024-12-09 | Translated from: isee.mn

This week, the Standing Committees and parliamentary sessions will conduct the second, third, and final readings of the draft laws concerning the 2025 budget of Mongolia, amendments to the law on the 2025 budget of the Social Insurance Fund, and amendments to the law on the 2025 budget of the Health Insurance Fund. According to the schedule, political parties within the parliament are supposed to meet every Monday; however, they will not meet today as they have already consolidated their positions on the 2025 budget draft. Instead, meetings for 10 standing committees of the parliament have been scheduled.

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A.Ariunzaya: How to Train Civil Servants When Expenses Are Cut 100 Percent?

Published: 2024-12-09 | Translated from: gogo.mn

A working group of the State Great Khural (Parliament), as well as standing and sub-committees, are in session. The second discussion of the draft law on the 2025 budget is being held. Additionally, amendments to the Law on State Savings, submitted together with the draft budget law, along with the "Guidelines for the Government" and "Measures to be Taken in Connection with the Adoption of the Law on the State Budget of Mongolia for 2025" were discussed for the first time. Member of Parliament A. Ariunzaya stated, "The government has cut some expenses in all sectors. I understand that this includes refraining from organizing events and competitions for furniture, equipment, and physical education. Is organizing training and seminars not part of the main duties of the Civil Service Council? How will we train our civil servants if expenses are cut by 100 percent? Will activities be able to proceed or are we moving towards dismantlement? Furthermore, the expense for hiring call cars has been cut by 100 percent. Previously, all the vehicles of the concerned organization were sold off, and the direction was given to hire cars when necessary. If this is cut, won’t the organization's operations be disrupted? It has been reported that since the election, 6000 civil servants have been added. Is this true? How many new civil servants have been added since the election? Can you provide information about the appearance of the civil servants' movement and migration? In response, M. Sanjaadorj, Head of the Budget Policy Department of the Ministry of Finance, stated, "Provisions are included to organize training, seminars, meetings, and consultations online as much as possible, and to save on rent, fuel, and official trip expenses. For the Civil Service Council, there are no expenses for training. The expenses related to training are organized by the Academy of Management, and the expenses of this organization have been reduced by 10 percent." The State Service Council provided information stating, "The number of civil servants has not increased in such a manner. There were 226,000 civil servants employed nationwide. As of September, around 20,000 civil servants were released, and 18,000 civil servants were newly appointed."

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Discussion on Mongolia's 2025 Draft Budget Law

Published: 2024-12-09 | Translated from: montsame.mn

The Standing Committee on National Security and Foreign Policy of the State Great Hural (Parliament) of Mongolia conducted the second discussion of the draft law on the budget for 2025, as well as amendments to the Social Insurance Fund's budget for 2025 and amendments to the Health Insurance Fund's budget for 2025. Presenting the draft law, Finance Minister B. Javkhlan stated, "The State Great Hural discussed and approved the draft law on the budget for 2025 and accompanying legislation on November 8, 2024. The President vetoed the budget as a whole on November 20, 2024, citing the need for an efficient, cost-effective, and deficit-free budget due to market instability and fluctuations in raw material prices. Following a discussion and acceptance of the President's veto, the State Great Hural directed the government to prepare a balanced budget. Consequently, the government revised and resubmitted the draft budget for 2025." Some key principles for reducing expenditures were outlined. These include: 1. A 100% reduction in expenses related to purchasing furniture, organizing training and seminars, hosting sports competitions, contracting employees, renting cars, and rewarding committee members across all budgeted organizations. 2. A 100% reduction in expenses related to promoting cultural initiatives, supporting film arts, awarding administrative achievements, and encouraging healthy lifestyles. 3. A 50% reduction in transportation and fuel costs for non-health and non-specialized organizations, foreign delegations besides top-level state visits, and expenses for practice and training for all sectors except health, education, defense, foreign relations, law, and internal affairs. 4. A 50% reduction in new geological exploration projects funded by the state budget. 5. Additional reductions of 10-100% in various other operational costs. The budgets for ongoing projects initiated with state funds will proceed, while new and less urgent projects will be postponed. Certain large repairs and feasibility studies, as well as the financing of projects at the negotiation stage, will be deferred. Additionally, the utilization of foreign loans will be minimized, particularly for projects at the negotiation stage such as the National Satellite Project. Audit findings were presented by Deputy Auditor General Z. Tsedenjav, emphasizing the assessment's focus on the alignment of the 2025 draft budget with sustainable development goals. Despite adherence to medium and long-term policy guidelines, the budget proposal recognizes the risks associated with dependency on coal exports and external economic factors. A specific concern was raised about the old and earthquake-prone Mongolian Embassy building in Tokyo, Japan. The Ministry of Foreign Affairs, led by Minister B. Battsetseg, highlighted the need for renovations across various embassies and outlined the options for either reconstructing or relocating the Tokyo embassy, estimating a $15-20 million cost for a new building. Further questions from members of parliament touched on the opening of new embassies in Brazil and Indonesia. Minister Battsetseg confirmed plans for resuming operations in Brazil next year and reported the reopening of the embassy in Indonesia this year. The committee decided to forward their recommendations and conclusions regarding these legislative discussions to the Standing Committee on Budget.

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Economy

Raising Electricity Prices via T. Dorjhand, and Negotiating Trade Agreements with the Eurasian Economic Union via L. Gantomor, May Undermine Domestic Producers

Published: 2024-12-09 | Translated from: isee.mn

Russians have historically kept our country dependent on them for electricity, fuel, and railway matters. Moreover, the Russian desire to influence our country has possibly increased significantly in recent years. They might have reduced and possibly boycotted fuel supplies as a means to involve Mongolia in the so-called 'Eurasian Economic Union.' For example, Russia minimized its fuel exports to our country in December 2023, leading to long lines for fuel during winter, which could suggest a boycott by Russians to integrate our country into their 'Eurasian Economic Union.' Back in September 2023, the Russian government announced limitations on fuel exports except to Belarus, Kazakhstan, Armenia, and Kyrgyzstan. These four countries are members of the 'Eurasian Economic Union,' established by Russian President Vladimir Putin in 2014. The union consists of former Soviet countries located in the Baltic region, and President Putin himself currently chairs it. It is believed that Russians consider our country a potential member of this union. Countries in this union are interested in receiving mining products from us. However, our exported products to these five countries would follow tariffs set by the commission, meaning that they would set the price for our mining products, and we would not be selling at global market prices. Former President Kh. Battulga initiated studies for a potential free trade agreement with the Eurasian Economic Union. However, the content of these negotiations remains unknown to the public so far. During a unified session of the Parliament, MP Ch. Lodoy Sambu stated that "Mongolia is joining the Eurasian Economic Union and establishing trade agreements with countries that were part of the Soviet Union," which has faced much public opposition. Many believe it's wrong to sacrifice our domestic producers for a trade agreement. For instance, although Mongolians have established 4-5 cement factories, reducing import duties on cement last spring decreased domestic production. Also, despite having extensive efforts for domestic wheat and flour production through initiatives like "Atariin's Campaign," duties were removed on imported flour and wheat last spring, significantly lowering the amount grown locally. Should an agreement with the Eurasian Economic Union be made, products like food from member countries would enter our country tax-free, threatening our local producers and increasing our dependency not just on fuel, electricity, and railways, but on many other aspects. In response to Ch. Lodoy Sambu, Economic Development Minister L. Gantomor said talks have been held over the past two years and are now in their final stage. Highlighting the need to avoid rash reactions once things reach their final stages, Gantomor expressed his desire for the negotiations to proceed. Gantomor suggested that establishing an agreement with the Eurasian Economic Union could expand our economy, noting that Russia and Belarus are under international sanctions so far. It is said that Armenia plans to withdraw from the union, with Kyrgyzstan and Kazakhstan potentially following suit. Most notably, the ruling party MPP has maintained a supermajority in the parliament for the past eight years and led the government. After winning 68 seats in the 2024 parliamentary elections, MPP leadership, after forming a coalition government with the Democratic and People's parties, increased electric and heating rates. T. Dorjhand explained this increase, taking full responsibility. Simultaneously, L. Gantomor has been tasked with concluding an agreement with Russia's Eurasian Economic Union, possibly "sacrificing domestic producers," aligning with the government's policy. This may be what is known as "using another's hand to catch a snake." L. Gantomor highlighted how the Eurasian Economic Union consists of only five Baltic countries that were part of the Soviet Union and underscored trade negotiations over the past two years. To avoid repeating mistakes, a statement from the Mongolian National Chamber of Commerce and Industry emphasized the need to include businesses' and the chamber's suggestions and to proceed cautiously rather than hastily in preparing a free trade agreement. Following this, L. Tor-Od was elected as the new president of the chamber. He suggested joining the Eurasian Economic Union trade agreement could allow cheaper fuel acquisition, indicating a move forward instead of backward.

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Signed $50 Million Agreement for Loans to SMEs

Published: 2024-12-09 | Translated from: montsame.mn

The Asian Development Bank (ADB) and Khan Bank have signed a $50 million loan agreement to increase financing for micro, small, and medium enterprises (SMEs) in Mongolia and to support climate action. This package consists of $40 million from ADB and a $10 million concessional loan from the Canadian Climate Fund for the Private Sector in Asia (CFPSA). Seventy percent of this financing will go towards projects aimed at adapting to climate change and mitigating its impacts, while the remaining part will be allocated as loans to various SME sectors, including businesses owned or led by women. "The green finance market is crucial for developing a sustainable economy that supports Mongolia’s net-zero targets," noted Barghav Dasgupta, ADB Vice-President for Market Solutions. He added, "As a climate bank for the Asia-Pacific, ADB is partnering with Khan Bank to improve the livelihoods of people engaged in these critical businesses, support economic growth, and help Mongolia protect itself from the impacts of climate change." For a country like Mongolia, which faces climate vulnerability and high greenhouse gas emissions, green financing is essential. The green loans market is just beginning to develop here, holding a small share of total bank loans. The Government of Mongolia aims to expand this market and increase private sector involvement by 2030. SMEs play a vital role in Mongolia’s economy, comprising over 70% of registered businesses and a significant portion of the workforce. However, they face challenges in obtaining loans and financing for investments meeting green standards. Increasing access to climate-friendly and inclusive financing for SMEs will enhance resilience in strategic sectors and support the country's sustainable and inclusive development. The ADB will also assist Khan Bank in promoting gender equality through new banking products supporting women's entrepreneurship. "Khan Bank is committed to increasing sustainable financing and supporting businesses that contribute to Mongolia’s climate resilience," emphasized Khan Bank’s CEO, Ts. Tsevegjav. "This partnership will provide clients with long-term, affordable financing options, aiding the development of more green businesses and SMEs, while furthering Mongolia’s sustainable and inclusive economy." Founded in 2024, CFPSA is a trust fund managed by ADB with CAD 360 million from the Government of Canada, building on the success of the previous CFPS I. It focuses on private sector projects in Asia that implement climate and nature-based solutions and aim to promote gender equality. This is CFPSA's first financed project. As one of Mongolia's leading banks, Khan Bank, established in 2001, has focused on sustainable financing and SME development, operating across 21 provinces with 72 branches, serving over one million clients. ADB continues its efforts to eliminate extreme poverty, while working to establish inclusive, sustainable, and resilient development in the Asia-Pacific region. Established in 1966, ADB has 69 member countries, 49 of which are within the region, as reported by ADB.

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Payment for Natural Gas Cannot Be Made Through Gazprombank

Published: 2024-12-09 | Translated from: news.mn

The U.S. Department of the Treasury imposed sanctions on Russia's Gazprombank at the end of last month. Under these sanctions, Gazprombank will no longer have the right to process new energy deals and transactions connected to the U.S. financial system. Additionally, assets in the U.S. will be frozen. Almost 80% of Mongolia's oil payments are made through this bank. Therefore, the Ministry of Finance of Mongolia took urgent measures and contacted the U.S. Treasury to secure a "COMFORT LETTER" or green light assurance that payments for oil from Mongolia would not be affected. This assurance letter stated that "non-U.S. financial institutions will not risk being affected by these sanctions." Russian President Putin revoked his decree last week that required foreign countries buying Russian natural gas to make payments through Gazprombank. Shortly after the beginning of the Russia-Ukraine war, Putin had mandated that nations unfriendly towards Russia should pay for Russian gas in rubles. According to this requirement, buyers had to open a special account in Gazprom's financial arm. However, according to the updated decree, foreign buyers are now allowed to make payments through other banks, and this order will be in effect until Western sanctions are lifted. Just a few hours after President Putin's announcement, Gazprombank issued another statement. "Gazprombank remains the only authorized bank for making payments for natural gas. However, we will no longer assist foreign buyers in converting foreign currencies to rubles for the purpose of gas payments. Foreign buyers are deemed to have fulfilled their obligations only if the payment is made in rubles into the account of the Russian supplier at Gazprombank," the statement read. To read President Putin's decree and Gazprombank's statement, click here. Source: MOSCOW TIMES, GAZPROMBANK

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The Dutch Disease in Mongolia is Worsening

Published: 2024-12-09 | Translated from: news.mn

We spoke with N. Enkhbayar, Chairman of the Fiscal Stability Council and Economist. - For the first time in over 30 years of Mongolia's transition to a democratic society, the state budget is being discussed by the Parliament for a second time. What do you attribute this to? - Last year, the state budget for 2024 was approved at 27 trillion MNT. After the elections, in August, amendments were made to increase the budget to 30 trillion MNT. Just a few days after the amendments, the budget for the following year was submitted with proposed expenses of 35.8 trillion MNT. In other words, within less than a year, the budget increased from 27 trillion to 35 trillion MNT, growing by 8 trillion. The share of budget expenditure in GDP rose to about 37-38%. This raises the question of whether such an increase was necessary at all. Considering the circumstances of 2023, Mongolia was able to manage its operations with approximately 25 trillion MNT annually. However, there was no significant demand or need to expand the budget by over 40% within a year. The budget was expanded based on the assumption of constant revenue from the export of raw materials from the mining sector. For instance, by November this year, 74 million tons of coal were exported, and there is a misconception that this income will continue to flow endlessly. Because of such misconceptions, the issue of "where to spend the money from the mining sector, especially coal" has emerged. This is where our troubles begin. If there were no revenue from coal, there would be no pressing need to expand the budget to such an extent from the expenditure side. If the state had no money or income, government agencies wouldn't complain about a lack of funds to carry out operations. However, looking at the past results, there hasn't been a shortage of money for government and state institutions. In fact, they have become more wasteful. During the initial discussion of the budget submission, Members of Parliament (MPs) stated that the government agencies are wasteful, with many state-owned enterprises operating at a loss. Researchers and the National Audit Office have criticized this, and the Fiscal Stability Council's conclusion also highlights that the budget is overly inflated, with rising current expenses. On the other hand, investment expenses show that tasks meant for the private sector are being taken over by the state. Article 5.1 of the Constitution states that Mongolia will operate on a market economy basis, leaving behind socialism. MPs need to reread this clause. According to the Constitution, our main content is not socialism but establishing a market economy with relatively low state involvement. Therefore, instead of determining economic policy based on the money made today, we should consider the Constitution's content and long-term goals when imagining the budget. Currently, it's more like "let's just do whatever with the money we have today, build roads, build factories," which is not the right approach. When choosing projects to implement with state budget funds, or taxpayer money, we must consider the content of the Constitution and long-term development policies. The main flaw lies in the inability to follow this principle. Parliament itself is the main institution responsible for defining development policies as outlined in the Constitution. If Parliament does not properly determine policies, all laws approved and implemented will be flawed at every level. ONE-TIME NUMBER CHANGE WILL NOT FIX BUDGET PLANNING - Has the government addressed the previous shortcomings with the second budget proposal? - An attempt has been made to correct the budget submitted at the beginning of September, but the fundamental mistake cannot be corrected with numbers. The main point I’m trying to make is that the budget mistake is not adding or subtracting some numbers. The budget policy concept is wrong. For example, the Law on Budget states that the budget for a particular year will depend on the budget limit for that year. In July, the Ministry of Health submits its budget proposal to the Ministry of Finance based on the budget limit for 2025. In March of the previous year, they determined the 2025 budget limit. The Ministry of Health's budget proposal was based on numbers provided by organizations and chief budget managers themselves, reflecting their wishes. Essentially, all budget planning is based on requests sent from lower-level organizations. No assessment is being made at any level of government about whether this work should be done with budget funds. Should police budgets be increased to reduce crime, and how? Each budget expense should be tied to a specific purpose or level to be achieved. However, the initial planning principle is not aligned with this. Therefore, without changing the initial planning principle, a one-time number change will not fix budget planning. The recent budget submission still has the fundamental flaw, with only numerical changes. Secondly, small progress has been made in amending budget-increasing provisions in other laws, as stated by the Minister of Finance. Attempts are being made to bring some order to the state's budget policy. However, correcting the mistakes on investment is quite challenging. As I mentioned earlier, it is unclear what is important. A law on state investment funding is needed. Without such a law, anything can be done with budget funds. For instance, when we say we will develop tourism, we use budget funds to build roads and toilets. There’s even a proposal to build an entire oil refinery with budget money. If the relationship is regulated by law, it will define which level and size of objects will be financed by the state budget, and the scope will become clear. Secondly, under the Constitution, the market economy's main content will be emphasized more in the law. Currently, there is no legal regulation on what can or cannot be done with state budget money, so again, we are just trying to cut here and postpone there. For example, the economy had difficulties in 2016, and the Economic Recovery Program was adopted, which resulted in two budget amendments that cut the budget by the same amount deducted recently. In other words, the budget spending, planning foundations, and systems have not been revised so far. Therefore, the main conclusion of the Fiscal Stability Council is to change the way current expenses are planned. Let’s make state investment funding subject to law and come up with a methodology to evaluate the important sectors for investment. - According to government officials, decisions are based on certain criteria? - In the Investment Procedure approved by the Minister of Finance, there's no methodology for selecting investment projects. There's no methodology to determine if the investment is right. Proposals are evaluated based on only a cost-benefit analysis. That means, will this project recover its money? Currently, the criteria for selecting state investments are not sufficient. For example, the Ministry of Transport might submit a request for roads in Dadal, Norovlin, Khentii province. But it’s not clear if these roads are crucial for the country. The Ministry of Finance should rank based on economic assessments, considering: "The road is not cost-effective, has high costs, and high maintenance expenses, so it’s not essential for the country." Instead, they should focus on financing projects like the oil refining plant in Sainshand and electricity supply projects for Ulaanbaatar, and only then, the investment planning will be done correctly. MONGOLIA IS PURSUING POLICIES THAT DEVALUE RATHER THAN INCREASE THE PRICE OF ITS WEALTH - The Fiscal Stability Council's previous comment on the budget proposal mentioned overoptimistic revenue forecasts and unspecified methods for pricing some mining raw materials. How do you find the revised revenue estimation? - For the upcoming year, detailed investigations of commodity prices and markets are necessary. There is an optimistic outlook regarding gold and copper prices without significant issues. However, coal, which represents 55% of Mongolia's exports, poses the biggest problem. The current government, the Ministry of Finance, ministers in charge of mining and customs, all believe that 100-120 million tons will be exported, which is misguided. Assuming that increasing the physical volume of coal exports will automatically increase revenue is flawed. By November this year, Mongolia exported 74 million tons of coal. When compared to the same period the previous year, the physical volume of coal has increased by 13 million tons. Had the coal price per ton remained at last year's level, the coal export revenue could have reached 8 or even 9 billion. However, coal's price dropped from 130 USD last year to an average of 108 USD for the first eleven months. While the physical volume of coal increased by 13 million tons, we earned only about 200 million USD more. This concludes that exporting large quantities of coal does not hold significant importance. Countries that export raw materials plan the numbers and estimates based on when, to whom, and at what price they will export. This way, they conduct profitable trade. We do not have such a policy. There is no profit-generating, efficient policy for broadly selling our resources and increasing revenue. This is not increasing coal prices—it's the opposite. In 2022, Mongolia sold coal most profitably. At that time, about 47-50 million tons of coal were exported. The revenue from exports and contributions to the budget were at their highest during that period. Since then, as the exported volume increased, the efficiency decreased, with no specific consideration of the highest benefit volume. The revenue and efficiency per ton of coal are declining. Moreover, around every September, while discussing the next year's budget, Mongolia announces the volume of coal to sell to China for the coming year. This is highly erroneous external trade policy. Mongolia's main coal buyer and market has primarily been Inner Mongolia's Baotou steel production. Almost 80% of the total export goes there. In reality, we are pre-announcing to them "buy lots of coal at a low price," effectively sending them a pre-message with all data. In such conditions, the buyer has no incentive to purchase coal at higher prices than before. If Mongolian coal is cheap, Inner Mongolia will stop buying domestically and go for more and cheaper Mongolian coal. Mongolia pursues policies that devalue its wealth instead of increasing it. Therefore, in future years, policy should focus on how to increase the price of coal without increasing the physical volume. This isn't just the policy of the Ministry of Finance or Mining. It is about foreign trade policy. Due to the lack of any export-related trade policy at the national level, there is no progress on the revenue side. - MPs have debated three budgets over five months. Yet, they make poorly understood and easily reversed decision-making about budget allocation and efficiency. - Firstly, politicians seem confused because they don't understand what the government should be involved in. They have a misguided belief that the government can involve itself in anything. Secondly, the prevalence of Dutch disease, an overreliance on raw material, has affected all levels. The mentality is "don't save, just spend on anything while there's revenue." The budget amendments reflect such a mindset. Instead of expanding by 3 trillion earlier this year, part of it could have remained as budget surplus and transitioned to 2025 reserves. Thirdly, there is no assessment of value. There is no detailed methodology for judging what results a project or program will bring, and it ends up with vague political conclusions. There needs to be a specific measure for evaluating projects to choose the important ones. There's no such measure, which leads to arbitrary explanations. Two roads in two counties in Khentii province are said to develop tourism. But there is no calculation or study proving those roads will develop tourism. When there’s nothing to see, claiming tourism development from building roads is unwarranted. The money mentality is "we have more money, so let's spend," a misguided surplus thinking. Reliance on raw materials weakens governance, or what is called the "Dutch disease." The belief is "we can do anything because we have money, we can grab and do everything" has deepened Mongolia's Dutch disease. - The President's veto on the budget is considered an attempt to set a new standard of passing budgets without deficits. How accurate do you see this? - The President's veto signals that an excessively expanded budget should be reverted and return to the right path. However, predicting surplus budgets for the next three years based on the medium-term framework statement is unrealistic. While planning a budget, aiming for a surplus is ideal. For example, the European Union countries have adopted a common principle on budget deficits and aim to reduce the deficit. Similarly, if a policy is adopted to reduce the deficit, decrease ineffective budget expenditures, and limit unnecessary state investment, the budget can still turn out positive. However, because Mongolia's economy is heavily reliant on raw materials, the planned outcome may result in revenue shortfalls, making the balanced budget plans -1 or some other negative figure. It’s important to understand that budget deficits do not entirely depend on us but on the commodity price cycle.

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USA to Support Mongolian SMEs with $10 Million Funding in 2025

Published: 2024-12-09 | Translated from: isee.mn

Through the USAID (United States Agency for International Development), the US government has implemented the "Business Excellence for Sustainability and Transparency" (BEST) program over a five-year period to enhance the financing of 5,397 small and medium enterprises in Mongolia, providing loans of $100.4 million (329.7 billion tugrik) to create over 4,000 jobs. The BEST program, initiated in 2019 with $15 million in funding, offered numerous training sessions to business owners on financial management and marketing, including instructions on how to prepare loan applications and documentation. One of the significant achievements of the USAID program was strengthening businesses led by women and those operating in rural areas. More than half of the total loans provided through USAID's support went to businesses led by women, empowering a total of 3,005 female entrepreneurs. Additionally, within the scope of this program, $500,000 (1.7 billion tugrik) in grants were awarded to 176 startups and small businesses in rural areas to help purchase new equipment, create new jobs, and stimulate economic activity locally. The BEST project, covering Ulaanbaatar and 12 provinces, has spurred the development of non-governmental organizations supporting the long-term sustainable benefits to small and medium businesses. By enhancing cooperation among entrepreneurs and collaborating with local governments, regional development strategies have been formulated and approved. In his remarks, US Ambassador to Mongolia, Richard Buangan, noted that USAID's BEST program has laid a strong foundation for the growth of small businesses in Mongolia in the coming years, expressing confidence and enthusiasm in continuing to work with Mongolia's private sector to create opportunities and contribute to long-term economic development. Building on the success of the BEST program, USAID plans to launch a new five-year program in 2025 with $10 million (34 billion tugrik) in funding to support the economic growth of Mongolia by increasing energy efficiency, environmental sustainability, and competitiveness of small and medium enterprises. Interested organizations are invited to submit proposals by February 12, 2025, under the number 72043825RFA00001 on www.grants.gov.

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D. Uuriintuya: If the Eurasian Economic Trade Agreement is signed, businesses operating in the food and agricultural sectors will close

Published: 2024-12-09 | Translated from: ikon.mn

In the session of the Industrial Policy Thematic Committee, the draft law on next year’s budget is being discussed. During this time, Member of Parliament D. Uuriintuya inquired from the Minister of Food, Agriculture, and Light Industry about the issue of establishing the Eurasian Economic Trade Agreement. Member of Parliament D. Uuriintuya stated: "The issue of establishing the Eurasian Economic Trade Agreement is being discussed. This agreement includes all major food products, such as all types of meat, meat products, milk, dairy products, wheat, potatoes, eggs, alcohol, beer, and beverages. If this agreement is made, enterprises operating in the food and agricultural sectors will close. Without import duties, goods will enter if the agreement is signed." Minister of Food, Agriculture, and Light Industry J. Enkhbayar responded: "For many years, the Government of Mongolia has been working to negotiate customs and tariff agreements with the Eurasian Economic Union. Currently, the Ministry of Economy and Development is handling this agreement and is at the finalizing stage from both sides. Our ministry has taken a firm stance to protect 19 types of products we produce ourselves from the 375 types of products that could be imported. These 19 products must be excluded from this agreement, which has been proposed to the Ministry of Economy and Development. An official letter has also been sent to the Russian side." Minister of Finance B. Javkhlan added: "This is not a new issue. It has been in progress for over 10 years. Our country is a consumer nation. We are moving towards becoming a producer. Of course, eliminating import taxes will have a negative impact. The Ministry of Food, Agriculture, and Industry, and the Ministry of Economy and Development must conduct thorough research on it. We need to correctly balance the products we produce domestically, accounting for the future, and calculate the import impact properly, continuing with the agreements and negotiations." Warning: Media organizations (Television, Radio, Social and Web pages) must always cite the source (ikon.mn) when using our information, either in full or in part.

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Governor of the Mongolbank B. Lkhagvasuren Attends High-Level Meeting of Southeast Asian Central Banks

Published: 2024-12-09 | Translated from: itoim.mn

The 60th High-Level Seminar and the 44th Meeting of the Board of Governors of the Central Banks of Southeast Asia (SEACEN) were held from the 5th to the 7th of this month in Seoul, Republic of Korea. The meeting of the Board of Governors discussed issues such as "The State of the World Economy and Financial Markets in 2025" and SEACEN's strategy and operational plans. The Governor of Mongolbank, B. Lkhagvasuren, participated in this event and served as a panelist in the discussion on "The Policy Implications of Geo-Economic Divisions for the Asian Economy." This participation provides an opportunity to expand international cooperation in the financial sector and to keep pace with the global situation on important economic policy issues. Additionally, the representation of Mongolia's financial sector at this prestigious global meeting is a significant step in expanding the foreign relations and cooperation of the country's banking and financial sector and in developing policies and operations in line with global economic trends.

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They will focus on developing tourism, trade, and services through the Naransévsteïn port

Published: 2024-12-09 | Translated from: unuudur.mn

The significance of revitalizing the Naransévsteïn port was expressed by B. Tulga, the chairman of the National Committee for Port Revival and a minister. He stated, “Gansu Province in China is notable for generating its main economic income through its sectors of industrialization, agriculture, and services, particularly tourism. Therefore, special attention will be given to developing tourism, trade, and services through this region. The governments of the two countries have focused on this and have discussed restoring the Naransévsteïn port at all levels. That is why it is included in the government's plan.” There has been criticism from the public regarding the use of the Talan Meltes gold mine through this port. However, B. Tulga explained, “Mining in any protected area is prohibited by law. So, there won't be any issues as the public is concerned about.”

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J. Enkhbayar: Proposed to Exclude Domestically Grown Products from Eurasian Agreement (VIDEO)

Published: 2024-12-09 | Translated from: isee.mn

Regarding the discussions on Mongolia signing an economic trade agreement with the Eurasian Economic Union, some members asked questions and received answers. In this context, Member of Parliament D. Uurintuya noted, "All major food products seem to be included. If this agreement is signed, there is a risk that agricultural enterprises may have to close their doors. Once the agreement is signed, it appears that goods will be imported without any taxes. What will be the outcome of building 24 new factories as part of the food revolution, producing over 200 types of products, and increasing exports by over 1 trillion tugriks? According to the resolution No. 36 of the Parliament, 19 main types of products will be produced domestically over the next 5 years, and 1.5 trillion tugriks have been allocated for the production of these 19 types of products. Out of this, 833 billion tugriks have been disbursed as loans and investment support. Won't the factories that received these loans reach a point where they have to close down and are unable to repay their loans?" she said. Minister of Food, Agriculture and Light Industry J. Enkhbayar responded, "The government of Mongolia has been negotiating with the Eurasian Economic Union for many years. The Ministry of Economic Development is responsible for this agreement and is reaching a two-sided agreement. Within the framework of the food revolution, there are 219 types of products that we must necessarily grow ourselves in our homeland. We will protect these products by increasing them to 375 types. We have given the position to the Ministry of Economy and Development that these products should be excluded from the agreement."

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Diplomacy

We Will Make an Agreement with the Eurasian Economic Union as We Are Under Sanctions from Two Neighbors

Published: 2024-12-09 | Translated from: gogo.mn

Mongolia has a Free Trade Agreement with the European Union and Japan. The Ministry of Economic Development is now working to establish a Free Trade Agreement with the Eurasian Economic Union (EAEU) and South Korea. The agreement with the EAEU will allow the export of five groups of products from Mongolia without import taxes and without quantity restrictions. The Ministry of Economic Development plans to finalize this agreement with relevant parties in Russia this month and implement it starting January 1, 2025. The clauses of the agreement and its advantages for Mongolian and Russian businesses were discussed in a meeting at the Mongolian National Chamber of Commerce and Industry in September. A total of 375 types of products will be exported to Russia without tariffs and quotas. S. Amarsaikhan stated that a Russian bank can open a branch in Mongolia and invest in the banking sector. Additionally, the Russian Ambassador to Mongolia, Alexey Nikolaevich Yevsikov, mentioned that apart from Rosneft, five other Russian companies are ready to supply oil to Mongolia. According to the agreement, a total of 375 products will be imported to the five EAEU member states without import duties. These products include meat, leather, wool, cashmere, and products made from them. Deputy Prime Minister S. Amarsaikhan highlighted that a new chapter would open in economic and business relations between the two countries. However, MPs Ch. Lodoysambuu and D. Uurintuya claimed that this agreement would negatively impact national producers. During the joint meeting of the Parliament on September 12, MP Ch. Lodoysambuu criticized the government for putting cement manufacturers in a difficult situation and lifting import taxes on flour, adversely affecting farmers. "The state has two faces. It supports the private sector with one hand but restricts it with the other. Members were not informed about the agreement with the EAEU. How will this agreement affect the food sector? Will we go from having our enterprises barely thriving on a market of 3 million to being dominated by a market of 300 million? Will we start begging for food from our northern neighbor? Is this another reason for bullying?" she questioned. Minister of Economic Development L. Gantumur responded, "The Mongolian government has memory. This agreement wasn't made suddenly. We've been discussing it for two years, and all our top leaders have sought to negotiate this agreement. We are under economic sanctions from our two neighbors. While we impose a 5% tax on their imports, they impose a 15-50% tax on our exports to protect their markets. By establishing an agreement with the EAEU, we will reduce or eliminate these barriers. The EAEU consists of five countries. The government has chosen to let enterprises enter a market with millions of people. This agreement was never hidden; the information was transparent. Our ministry has been striving for four months to make this agreement." This agreement brings positive effects to the processing industry, but some enterprises may face losses. Secretary of the Ministry of Economic Development Sh. Batkhuu noted, "This agreement will lead to increased investment, reduced unemployment, and growth in production. Mongolia will not join the EAEU by signing this agreement. Previously, our manufacturers faced high taxes and bureaucratic obstacles from customs when exporting their products. They also had to wait long for conformity certificates. This agreement will have a positive impact on the agricultural sector." The member countries of the EAEU do not engage in electronic commerce among themselves. Our side requested to include e-commerce clauses in the agreement, which the Union accepted. They aimed to reduce trade barriers by simplifying processes such as filling out customs declarations. The agreement also addresses how to resolve disputes among business parties from both sides. In total trade with our northern neighbor in 2023, their exports accounted for 95%, whereas only 5% was our export. This shows the severe imbalance in trade relations. Our country imports about $2.5 billion worth of goods annually from the northern neighbor, including petroleum products, fertilizers, and explosives. The agreement will be established for a three-year term. At the end of this period, it will be evaluated to decide whether to expand its scope. Minister of Food, Agriculture, and Light Industry J. Enkhbayar stated, "This agreement positively impacts the processing industry, although some industries might suffer losses. Several sectors are expected to be impacted. Therefore, there is a need to exempt agricultural machinery from taxes alongside the processing sector. While we are successfully implementing the 'Food Revolution' program to be 100% internally self-sufficient in food procurement, we are also entering this agreement." Starting next year, government institutions from both sides will create conditions to increase prices for our agricultural raw materials, expand trade, and support investment in the meat, leather, and cashmere sectors. It is expected that Mongolian-Russian exports will increase as a result of the free trade agreement beginning early next year. The agreement has a three-year term. Upon expiration, it will be reviewed to determine whether to expand it further.

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B. Battsetseg: There are only two choices for the Embassy building in Japan: tear it down and rebuild, or sell the land and buy another property

Published: 2024-12-09 | Translated from: ikon.mn

The Standing Committee on Security and Foreign Policy discussed the draft budget law for the coming year at today's meeting. Member of Parliament G. Khosbayar requested clarification from the government regarding the building issue of our Embassy in Japan in connection with the budget. Member of Parliament G. Khosbayar said: "Eight members of parliament, led by the Minister of Education, visited Japan. The Embassy there received us and informed us of their pressing issues. They explained that the Embassy building is deteriorating, with mice running around, making it difficult to work and live in. In addition to aging, it no longer guarantees safety in earthquakes. The Ambassador residing in that country asked us to convey this issue. However, no funding related to the buildings of diplomatic missions abroad is included in next year's budget." Foreign Minister B. Battsetseg said: "Since 2016, we have been operating in a cost-saving mode. There is an urgent need to upgrade the buildings of embassies abroad and to purchase real estate in some places. Regarding the Embassy in Japan, it does not meet earthquake resistance standards, and the hosting side demands we address this. Due to high costs, renovation is no longer feasible. Now, we have only two options: demolish the building and build anew, or sell the land and purchase another property elsewhere. Our Embassy is in a very advantageous location, in an A-grade area. The minimum cost to renovate the Embassy is 15,000 dollars. However, we couldn't include this funding in next year's budget." Warning: Media organizations (television, radio, social media, and websites) must cite their source (ikon.mn) when fully or partially utilizing our information.

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Governor of the Bank of Mongolia B. Lkhagvasuren Attended the High-Level Meeting of the Central Banks of Southeast Asia

Published: 2024-12-09 | Translated from: itoim.mn

The 60th high-level seminar for the heads of member central banks of the Southeast Asian Central Banks (SEACEN) and the 44th meeting of the Council of Governors was held in Seoul, South Korea. During this meeting of the Council of Governors, issues such as "The State of the Global Economy and Financial Markets in 2025" and SEACEN's strategic and operational plans were discussed. The Governor of the Bank of Mongolia, B. Lkhagvasuren, participated in this event and was a panelist in a discussion on "The Policy Implications of Geoeconomic Fragmentation on Asia's Economies," which provides an opportunity to expand international cooperation in the financial sector and align with global trends in economic policy. Furthermore, the participation of representatives from Mongolia's financial sector at this prestigious international meeting is an important step in expanding foreign relations and cooperation in the country's banking and financial sector, and in developing policies and operations in line with global economic trends.

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Strengthening Relations and Cooperation with the Kingdom of Bahrain

Published: 2024-12-09 | Translated from: isee.mn

Prime Minister of Mongolia, L. Oyun-Erdene, met with the Crown Prince and Prime Minister of the Kingdom of Bahrain, Salman bin Hamad bin Isa Al Khalifa, and expressed Mongolia's interest in strengthening relations and cooperation with the Kingdom of Bahrain, which has a unique culture and history, within the framework of its foreign policy towards Gulf countries. The two sides agreed on the potential to deepen good relations and cooperation between the two countries in various areas, while also enhancing collaboration in trade, economy, investment, mining, agriculture, environmental protection, climate change, and combating desertification. They see full potential in implementing joint projects and programs. The Government of Mongolia has set a target to implement 14 mega development projects and to carry out 14 social, economic, and legal reforms from 2024 to 2028. Within this framework, the Prime Minister emphasized the importance of developing mutually beneficial cooperation in fields such as mining, mineral resources, renewable energy, tourism, and urban development. Both parties agreed on the potential to support private sector relations and initiate cooperation between chambers of commerce and in the education sector to increase business cooperation between the two countries, according to the Government Press Office.

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Infrastructure

Tianhao Company to Supply Cement for Ulaanbaatar's Roads and Bridges Project

Published: 2024-12-09 | Translated from: ikon.mn

A memorandum of understanding has been signed between the city of Ulaanbaatar and "Tianhao International Trade Co., Ltd" of the Inner Mongolia Autonomous Region of the People's Republic of China. This collaboration aims to partner on the following areas within the framework of the development projects in Ulaanbaatar city. These include: 1. In the project to renew and restore the underground infrastructure of the city, "Tianhao" company will supply durable, corrosion-resistant, and long-lasting fiberglass pipes and related auxiliary products to the "Pipeline Project". 2. Collaborating with "Tianhao" company in the urban development direction, investments will be made in establishing auxiliary factories that produce fireproof doors, windows, building insulation, other materials, and those used in wind energy production. "Tianhao" company's cement production currently supplies cities and provinces such as Beijing, Hebei, Shanxi, Shaanxi, and the Inner Mongolia Autonomous Region in China. They will also supply quality cement for the implementation of Ulaanbaatar's roads, bridges, tunnels, railways, real estate, airports, and other projects, as reported by the Public Relations and Communications Department of the Mayor's Office. Warning: Media organizations (Television, Radio, Social and Web pages) must mention the source (ikon.mn) when using our information, either fully or partially, in any form.

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Chinese Investors Express Interest in Tram and Tuul Highway Projects

Published: 2024-12-09 | Translated from: ikon.mn

A preliminary feasibility study for a tram in Ulaanbaatar city, which can transport many people in a short time, is being prepared to be completed by February of next year. By the end of the first quarter of next year, a line along the vertical axis will be constructed, stretching 20.4 km from the Zuun Trade Center to Sukhbaatar Square, with 23 stops. This is expected to increase the average speed of road traffic by 22%. Additionally, a tender for the 33 km long Tuul Highway with four lanes, featuring a box girder structure within the city, will be announced by December. The completion of the highway is expected to increase the average speed of road traffic by 13.5%, as well as improve the transit traffic capacity in the Darkhan and Zamiin-Uud directions. Furthermore, the tender for consultancy services to establish a two-level ring road expressway to reduce urban traffic congestion has been finalized, with the feasibility study to be fully developed by 2025. As a result of this road construction, the traffic capacity at intersections on main city center roadways is expected to increase, enabling an increase in average traffic speed by 27%. Meanwhile, a tender for the construction of a new bridge connecting Tuul Highway with the Aviation Road will be announced next year, and the project will begin. The bridge structure along the vertical axis passing over Naadamchdyn Street or Yarmag Road will connect to the First microdistrict and join the southern Aviation Highway. Enterprises and organizations from China's infrastructure, energy, and finance investment sectors have expressed interest in collaborating on these projects, including the tram, bridge structure, and ring and expressway roads. Source: Press and Public Relations Department of the UB City Mayor's Office Notice: Media organizations (Television, Radio, Social, and Websites) are reminded that when using our information in any form, either wholly or partially, they must cite the source (ikon.mn).

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Four Gas-Powered and Five Solid-Fuel Heat Plants to be Built in Ulaanbaatar City

Published: 2024-12-09 | Translated from: ikon.mn

In the coming years, plans have been outlined to establish distributed heat sources in the energy sector of Ulaanbaatar city, as well as to build the fifth thermal power plant and a waste-to-energy production facility. These projects and programs were introduced to a total of 450 representatives from 204 Chinese infrastructure, energy, finance investment, and governmental organizations. In particular, it has been announced that heat plants will be built in nine locations, with five utilizing solid fuel and four utilizing gas sources based on new technology. Gas-powered heat plants: - Zaisan heat plant (28 MW) - Ikh Zasag heat plant (50 MW) - Tserlegt Khureelen heat plant (70 MW) - Dund Jangarav heat plant (84 MW) Five solid-fuel based heat plants using new technology: - Moringiin Davaa heat plant (21 MW) - Zaluus heat plant (93 MW) - Yarmag heat plant (93 MW) - Denjii Mjangga heat plant (93 MW) - Sharhad heat plant (121 MW) In addition, a tender for the fifth thermal power plant, which will have a capacity to produce 300 MW of electricity and 465 MW of heat, is planned to be announced by the first quarter of next year. The project's feasibility study was renewed and approved this year. It is also planned to announce in December a tender for waste-to-energy facilities capable of burning an average of 300-400 thousand tons of waste annually at the centralized landfills of Moringiin Davaa and Tsagaan Davaa. Once operational, these facilities will help reduce greenhouse gas emissions, improve waste management, and prevent soil and environmental pollution, the city's mayor introduced. At the end of the presentation, Chinese investors expressed their interest in clarifying the projects and programs they want to collaborate on and stated their willingness to work together. Warning: When using our information in any form—by media outlets (TV, Radio, Social, and Web pages)—please be sure to cite the source (ikon.mn).

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Ulaanbaatar's First Satellite City, New Zuunnmod, to Host a Data Center

Published: 2024-12-09 | Translated from: gogo.mn

In the coming years, one of the major developments in Ulaanbaatar will be the construction of a new central stadium and a data center. These projects were presented by the Governor of the Capital City and Mayor of Ulaanbaatar, Kh. Nyambaatar, during the 'UB Opportunity' investment conference to representatives of 204 organizations in China's infrastructure, energy, finance, and government sectors. The central stadium is planned to be modernized into an arena-style facility with a seating capacity for 30-35 thousand people. Specifically, it will have an automatic retractable roof and the capability to host international arts, sports, and festival events in any season. It was mentioned that the preliminary technical and economic studies for the project are expected to be completed this month. Additionally, Mayor Nyambaatar stated, "Ulaanbaatar can reach temperatures as low as -40 degrees Celsius in winter, making it one of the few places in the world with an average temperature of -15 degrees Celsius for 196 days a year. Therefore, our country is highly suitable for establishing a data center due to its low operational costs. In this regard, we plan to establish a data center on a 3-hectare site in the first satellite city of Ulaanbaatar, New Zuunnmod, through a public-private partnership." Investors from China, who have experience implementing similar projects in countries with climates similar to ours, expressed their interest in collaborating on this project and requested further meetings to discuss potential cooperation. Source: NCTCC, KMOPH

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The VISION BUSINESS TOWER Project by Mongolian Engineers

Published: 2024-12-09 | Translated from: ikon.mn

The VISION BUSINESS TOWER project is the first office building in Mongolia with a green environment and animal-friendly design, created by the ingenuity of Mongolian engineers. The VISION BUSINESS TOWER is a 25-story building intended to define the new business center point of the city, catering to office, business, and commercial service purposes. It aims to create a pleasant working environment by incorporating features like a RECHARGE AREA and a PET HOTEL. The location is in a promising area of Ulaanbaatar's new business district, specifically in Khan-Uul District, 15th Khoroo, at the intersection of 120 Myangat 4 roads, making it notable for its future value. In today's world, where companies seek nature-friendly green spaces, creating such environments within the office makes the working atmosphere comfortable and healthier for employees. Other Features of the Project: - Mongolia's First Building with Indoor Green Space: The building provides a space where employees can breathe oxygen during their tea breaks and free time, setting it apart. - Helicopter Landing Pad: The building features a high-pressure capacity heliport for emergency and passenger use, designed and constructed to a high standard. This area also has a terrace for ventilation. - Recharge Area on 12th and 13th Floors: This includes shared offices, meeting rooms, a sports entertainment center, and a pet hotel. - 24/7 Facility Management Services: Offering security, maintenance, IT infrastructure, and concierge services. - Glass Façade: Featuring UV-protected, triple-layer glass with a K-value of 1.3-1.5 W/m², it blocks ultraviolet rays and has large divisions. - Eco Car Charger: Aiming for an environmentally friendly, green future with electric vehicle parking planned within the project. This enables the possibility of traveling throughout Ulaanbaatar without traffic congestion. - Accessible Elevators: An innovative feature of the VISION BUSINESS TOWER project includes 6 elevators, each with a capacity to transport 125 people at once. For more details about the project, you can contact our sales department at 7222-8888. Warning: Media organizations (TV, Radio, Social media, and websites) must cite the source (ikon.mn) if they use our information in any form, partially or completely.

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Improving Occupational Safety Infrastructure through Data-Driven Methods

Published: 2024-12-09 | Translated from: isee.mn

The Government of Mongolia, in collaboration with the Ministry of Labor, Social Protection, and Family, aims to implement systemic reforms in occupational safety and health policy to protect workers' lives and health at the workplace. A policy reform briefing was organized in cooperation with the United Nations and presented to government and international organizations as well as social partners. Legal and regulatory environment reforms, cross-sectoral cooperation, and risk control are crucial for preventing occupational accidents and occupational diseases. From 2019 to 2023, a total of 1,748 occupational accidents and acute poisonings were registered nationwide, where 240 people lost their lives, 823 sustained serious injuries, and 686 suffered minor injuries while fulfilling their labor duties. This number represents only those cases confirmed by the Labor Safety and Health Center (LSHC). Researchers have presented data-driven methodological calculations that show the actual fatality rates are much higher, highlighting deficiencies in recorded data. By 2035, the demand for total workforce is projected to increase by 19.1%, with high-risk sectors such as mining and extraction, manufacturing, and construction expected to increase by 32.5 thousand, 63.3 thousand, and 55.9 thousand people, respectively. This suggests a risk of increasing numbers of illnesses and accidents. Therefore, the policy reforms are underway, with a proposal to develop a revised draft law on occupational safety and health, involving all parties, and submit it to the spring session of the State Great Khural in 2025. Moving forward, there is a plan to develop a preventive system linked to insurance for occupational accidents and diseases, labor inspections, enhance preventive infrastructure, and implement digital transition.

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Society

Mongolia Leads Asia in Women's Participation at Decision-Making Levels

Published: 2024-12-09 | Translated from: gogo.mn

Every year, countries around the world observe the "16 Days of Activism Against Gender-Based Violence" campaign from November 25 to December 10 under the slogan "United for a Purpose." In the 2024 parliamentary elections, 32 women were elected as members, accounting for 25% of the total members. This is the first instance that Mongolia leads Asia in this statistic. The Minister of the sector confidently states that women's participation in decision-making levels will continue to increase following the spirit of constitutional changes. From 2019 to 2024, our country has made many specific and progressive achievements regarding gender. Reports of domestic violence calls have relatively decreased over the past two years, although it is not yet sufficient. Therefore, to keep women free from violence and discrimination, all resources will be mobilized to support employment, education, and to improve knowledge and awareness of human rights. Mongolia's long-term development policy "Vision-2050," the Election Law, the Social Insurance Package Law, the Labor Law amendments, and the revised editions of the Child Protection Law have improved the legal environment for ensuring gender equality and empowering women. Additionally, the issue of gender is not only about women. Everyone should be kept free from violence and discrimination and protected at all levels, upholding human rights. L. Enkh-Amgalan from the Ministry of Sectoral Policy expressed that ensuring gender equality and enhancing women's economic capabilities are important methods to protect women.

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URGENT: The case of a Chinese citizen being murdered in Mongolia is under investigation by the Serious Crimes Division of the General Police Department

Published: 2024-12-09 | Translated from: isee.mn

The incident in which Chinese citizens shot and killed one of their compatriots around Khushig Valley during the night of April 4-5 has led to an investigation involving two Chinese and two Mongolian citizens. The General Police Department's Division for Combating Serious Crimes has reportedly begun investigating this case. According to sources, two Chinese and two Mongolian citizens are being examined as suspects under "Murder" as per Article 10, Section 1, and "Kidnapping" as per Article 13, Section 1 of the Criminal Code.

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MNCCI, Golomt Bank, and Sky Hypermarket LLC to Implement a Comprehensive Program to Support Women Entrepreneurs

Published: 2024-12-09 | Translated from: ikon.mn

Golomt Bank and the MNCCI have collaborated to empower women entrepreneurs and promote women-led businesses to the public by introducing the "Women Owned" certification mark in 2023. Currently, over 50 women-led enterprises have acquired this mark and have begun displaying it on their product labels. To further support businesses that use the "Women Owned" certification mark and to help women entrepreneurs expand their business operations, the MNCCI, Golomt Bank, and Sky Hypermarket LLC have signed a memorandum of understanding. The memorandum was signed by C. Magnaibaatar, Acting Executive Director of MNCCI, B. Badamkhand, Board Member of Sky Hypermarket LLC, and Ts. Baigalmaa, Director of Corporate Development at Golomt Bank. As part of this cooperation, joint project initiatives will be organized and implemented to support businesses with the "Women Owned" certification that deliver their products and services through Sky Hypermarket LLC's Imart chain stores. During the event, Mr. G. Ganbold, President of Golomt Bank, addressed women entrepreneurs, stating, "Golomt Bank will mark its 30th anniversary soon after the start of the new year. During this time, we have led in supporting the private banking sector in Mongolia, particularly focusing on supporting new and stable small and medium enterprises. We have become a leading bank in this regard. In recent years, an important part of our bank's goals has been to focus not only on sustainable development and the green business sector but also on women’s entrepreneurship. Last year, in collaboration with the MNCCI, we jointly issued the 'Women Owned' certification. Sixty-eight percent of small and medium business owners are women. As a bank, we are pursuing stable policies that support women entrepreneurs, and we will continue to adhere to this policy in the future," he emphasized. Finance for Good Notice: Media organizations (Television, Radio, Social, and Web pages) must cite the source (ikon.mn) when using any part of our information, in any form, completely or partially.

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A Tripartite Memorandum Signed to Support Women Entrepreneurs

Published: 2024-12-09 | Translated from: news.mn

A memorandum of understanding was signed by B. Badamkhand, a board member of Sky Hypermarket LLC and Chairman of the Advisory Council of the National Development Agency; Ts. Magnaibaatar, acting Executive Director of the Mongolian National Chamber of Commerce and Industry; and Ts. Baigalmaa, Director of the Corporate Development Department of Golomt Bank. Within the scope of their cooperation, joint projects and programs will be implemented to support women. Imart aims to enhance the distinction of products and services of female business owners who hold the “WOMEN OWNED” label, promoting them to the public and providing real support by offering more opportunities for them to expand their businesses. As a side note, 70% of the employees at Sky Hypermarket LLC and 75% of the concessionaires are female entrepreneurs. Emphasis has consistently been placed on maintaining gender equality and diversity in the workplace. Additionally, they support the promotion and public awareness of their concessionaires’ products and services by organizing regular advice and training sessions, and offering discounts on rental fees.

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Environment

PM2.5 Levels in Ulaanbaatar Exceed WHO Recommendations by Eight Times

Published: 2024-12-09 | Translated from: news.mn

69% of Mongolia's total population lives in urban areas, with 48.9% of the population, or 1.7 million people, residing in Ulaanbaatar. Additionally, 70% of registered businesses, 84% of trade services, and 96% of higher education institutions are concentrated in the capital, contributing 63% of the GDP, as noted by officials. Therefore, plans are being made to implement the "20-minute city" standard, replan urban areas, implement a 150,000 housing program, and ensure that at least 50% of mortgage loans are provided to sub-centers, satellite towns, and ger district households, according to a statement from the relevant ministry. WHO Environmental Health Specialist B. Altanzagas stated that health issues related to urbanization are quite broad, such as air pollution, water availability, and climate change. The World Health Organization supports and provides recommendations to member governments on these issues. For example, there is the issue of air quality. WHO last updated its air quality guidance in 2021, recommending that the annual average concentration of fine particulate matter in the air be no more than 5 µg/m3 to be safe for human health. PM2.5, or fine particulate matter, is a common factor monitored globally for air quality, alongside many indicators such as sulfur, nitrogen, and carbon. For Ulaanbaatar, the 2020 annual average concentration of fine particulate matter was 41 µg/m3, or eight times the recommended level by WHO. This has been associated with a 39% increase in the number of deaths from strokes and heart attacks among citizens, according to studies. Meanwhile, in terms of water and sanitation, as of 2020, 61% of the population of Mongolia did not have access to safely managed drinking water services, which was linked to a 68% prevalence in deaths due to diarrheal diseases, as presented in the studies. Ts. Bayarbat, head of the Department of Urban Development Policy Implementation Coordination at the Ministry of Construction and Urban Development, said: "The National Committee, chaired by the Prime Minister, is working on the "20-minute city" concept. The committee has developed the concept and a working group, led by MP G. Luvsanjamts, is working on it. The relevant ministry is cooperating on this project. An open forum on urban planning and redevelopment issues will be organized to provide information to the public in the "Tuushin" hotel conference hall. The global "20-minute city" concept emerged strongly post-pandemic. Some countries are implementing "15-minute cities." The main focus is on people-centered planning, bringing government services closer to where people reside. We studied the experience of Singapore. Villages are planned to accommodate 200,000 people with units of 20,000 and even within those, 2,000-3,000 people, effectively solving all local issues within the town. In this context, the general plan to develop Ulaanbaatar by 2040 will be approved by the Parliament. There is a great deal of legal and policy work to be done. Currently, numerical and research data cannot be presented.

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The Estimated Cost to Host COP-17 in Mongolia Ranges from ₮50 to 100 Billion

Published: 2024-12-09 | Translated from: gogo.mn

Standing committees and working groups of the State Great Khural (Parliament) are holding meetings. Baatarkhuu Ts., Minister of Digital Development and Communications, stated, "I would like to clarify something. A representative of the government goes to an international conference and gets emotionally excited and declares, 'Mongolia will host such a conference.' This happened when our previous minister announced that we would host the COP-17 conference. The announcement was broadcast worldwide, leaving no choice but to proceed with organizing it. The baseline cost for this is estimated at 50 to 100 billion MNT. Similarly, when the potential benefits for Mongolia are unclear, government members declare that international conferences on issues such as desertification will be held in Mongolia. We need to pay attention to this at all levels going forward," he said. Additionally, Mongolia has become a party in preparing to host the 17th conference of parties to the UN's Convention to Combat Desertification in 2026.

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Moving Towards Zero: Mobicom Group Contributes to Reducing Greenhouse Gas Emissions

Published: 2024-12-09 | Translated from: ikon.mn

In the last 50 years, the average global temperature has increased by 1.2°C, exacerbating issues caused by climate change and causing annual damages of $200 billion to the global economy. The primary cause of these significant impacts on the environment, economy, and society is greenhouse gas emissions. Thus, reducing and ultimately neutralizing greenhouse gas emissions, or achieving "net-zero emissions," has become a responsibility for governments, companies, businesses, and citizens alike. In short, without net-zero emissions, mitigating climate change is impossible. Consequently, countries are committed to balancing emissions and absorption by the second half of this century and are systematically implementing emission reduction policies. Mongolia has pledged to reduce greenhouse gas emissions by 22.7% by 2030, which is a critical contribution to the national and global fight against climate change. To achieve this goal, it is crucial for companies to reduce carbon emissions from their operations and adopt environmentally friendly solutions and management practices. To reduce greenhouse gas emissions, Mobicom Group has been implementing energy-saving initiatives since 2017. By incorporating environmentally friendly, advanced technology in its operations, significant progress has been made. For example, solar power sources with capacities between 8-22 kW are providing energy to 220 standalone base stations. Additionally, a hybrid solution of electric and solar power is managing the energy consumption of six base stations. A data center with a 10 kW solar power generator and another with an 18.6 kW solar power generator have also been put into operation. Furthermore, solutions based on innovation, such as reducing peak electricity consumption and using mobile and passive building technologies, are being introduced. As a result of these measures, Mobicom Group has saved a total of 4.86 GWh of energy and reduced carbon dioxide emissions by 3,368 tons. This equates to the positive impact of removing over 1,000 cars from traffic annually. Mobicom Group aims to achieve net-zero greenhouse gas emissions by 2050. To this end, remote work opportunities are being developed, promoting a culture of working with internet and portable computers, and introducing shared office culture to reduce personal car usage, positively impacting greenhouse gas emissions. Regular training on energy saving and responsible consumption is also being provided to employees, instilling habits of monitoring their consumption. On the other hand, technological advancements are being integrated into operations, and many initiatives aimed at creating an environmentally friendly sustainable operation are being implemented. For example, the aim to phase out diesel-fueled generators, increasingly use renewable energy sources and battery storage, and transition to environmentally friendly equipment and vehicles, such as electric cars. These measures will not only help reduce greenhouse gas emissions but also decrease the organization's carbon footprint, ultimately reducing the negative environmental impact in the long term and contributing to the development of a green economy.

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B. Munkhbayasgalan: For five years, they have been poisoning Ulaanbaatar residents with fuel made from Energy Resource's waste

Published: 2024-12-09 | Translated from: ikon.mn

During today's meeting of the Standing Committee on Industrial Policy, members raised issues related to air pollution. Member of Parliament B. Munkhbayasgalan stated, "Citizens protested in the central square demanding an atmospheric control hearing. An ad hoc committee has been established under our standing committee to oversee the operations of the Tavantolgoi Fuel Company. Let's promptly put this committee to work. For five years, they have been producing fuel from Energy Resource's waste and poisoning Ulaanbaatar residents. The smoke is getting thicker and more toxic. It has become evident that this fuel is harmful, yet we are completely ignoring it. The Tavantolgoi Fuel Company has been making fuel for five years with the harmful waste supplied by Energy Resource. Additionally, this company enjoys tax benefits. I'm proposing to urgently hold a control hearing on this issue," he said.

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Sports

Match of "The MongolZ" team in the final stage of the world championship will be held at 14:00 this Thursday

Published: 2024-12-09 | Translated from: ikon.mn

The second World Championship of this year for the game Counter Strike-2 (CS2), called "Perfect World Shanghai Major 2024," is being held in Shanghai, China. The tournament, with a prize pool of 1.2 million USD, is organized in three stages: Open Stage, Elimination Stage, and Playoff Stage, and will run until December 15. Last weekend, the final matches of the Elimination Stage of this tournament concluded. As a result, eight teams have been finalized for the Playoff Stage of the world championship, and the schedule for the next matches has been set. The MongolZ team has drawn against the European team MOUZ for their final stage match. This match between the two teams will be held this Thursday at 14:00 in a Best of Three (Bo3) format. Previously, our national team defeated MOUZ in the second match of the Elimination Stage of this world championship. Hence, they are meeting again in the final stage. If they win this match, they will be one of the top four teams. The final stage matches of the world championship will start on the 12th of this month, where eight teams will compete in a Bo3 format with direct elimination rules. Warning: Please note that media outlets (Television, Radio, Social, and Web pages) must credit the source (ikon.mn) when using our information in any form, completely or partially.

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Today's Stories

Politics

Economy

Diplomacy

Infrastructure

Society

Environment

Sports

Politics

B. Batbayar: The rules of the Mongolian Millennium Challenge Fund are clear and transparent, keeping it free from corruption

10 Reasons Why the Narantsevste Border Cannot Be Opened

The High Court Judges Deliberate on the Development Bank Case for the Fifth Day

Disrupting the President's Dream by S. Amarsaikhan?!

Parliamentary Standing Committees to Discuss 2025 Budget Draft

A.Ariunzaya: How to Train Civil Servants When Expenses Are Cut 100 Percent?

Discussion on Mongolia's 2025 Draft Budget Law

Economy

Raising Electricity Prices via T. Dorjhand, and Negotiating Trade Agreements with the Eurasian Economic Union via L. Gantomor, May Undermine Domestic Producers

Signed $50 Million Agreement for Loans to SMEs

Payment for Natural Gas Cannot Be Made Through Gazprombank

The Dutch Disease in Mongolia is Worsening

USA to Support Mongolian SMEs with $10 Million Funding in 2025

D. Uuriintuya: If the Eurasian Economic Trade Agreement is signed, businesses operating in the food and agricultural sectors will close

Governor of the Mongolbank B. Lkhagvasuren Attends High-Level Meeting of Southeast Asian Central Banks

They will focus on developing tourism, trade, and services through the Naransévsteïn port

J. Enkhbayar: Proposed to Exclude Domestically Grown Products from Eurasian Agreement (VIDEO)

Diplomacy

We Will Make an Agreement with the Eurasian Economic Union as We Are Under Sanctions from Two Neighbors

B. Battsetseg: There are only two choices for the Embassy building in Japan: tear it down and rebuild, or sell the land and buy another property

Governor of the Bank of Mongolia B. Lkhagvasuren Attended the High-Level Meeting of the Central Banks of Southeast Asia

Strengthening Relations and Cooperation with the Kingdom of Bahrain

Infrastructure

Tianhao Company to Supply Cement for Ulaanbaatar's Roads and Bridges Project

Chinese Investors Express Interest in Tram and Tuul Highway Projects

Four Gas-Powered and Five Solid-Fuel Heat Plants to be Built in Ulaanbaatar City

Ulaanbaatar's First Satellite City, New Zuunnmod, to Host a Data Center

The VISION BUSINESS TOWER Project by Mongolian Engineers

Improving Occupational Safety Infrastructure through Data-Driven Methods

Society

Mongolia Leads Asia in Women's Participation at Decision-Making Levels

URGENT: The case of a Chinese citizen being murdered in Mongolia is under investigation by the Serious Crimes Division of the General Police Department

MNCCI, Golomt Bank, and Sky Hypermarket LLC to Implement a Comprehensive Program to Support Women Entrepreneurs

A Tripartite Memorandum Signed to Support Women Entrepreneurs

Environment

PM2.5 Levels in Ulaanbaatar Exceed WHO Recommendations by Eight Times

The Estimated Cost to Host COP-17 in Mongolia Ranges from ₮50 to 100 Billion

Moving Towards Zero: Mobicom Group Contributes to Reducing Greenhouse Gas Emissions

B. Munkhbayasgalan: For five years, they have been poisoning Ulaanbaatar residents with fuel made from Energy Resource's waste

Sports

Match of "The MongolZ" team in the final stage of the world championship will be held at 14:00 this Thursday

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