Mongolia News Summary for January 09, 2025

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 MongolBeat or its members.

Today's Stories

Politics

• The Prime Minister's Rapid Action Team Will Operate as It Did During "Covid-19"
• LIVE: Presenting Decisions Made by the Government Meeting
• Meeting to Address Difficulties Faced by Enterprises and Propose Changes to Relevant Legislation
• Please Stop Threatening Judicial Independence!
• Students Can Get Advice from Members of Parliament and Participate in a Paid Internship
• Members of Parliament Accused of Violating the Law and Petitioned to the Constitutional Court
• Decisions Made During the Government Meeting
• Proposal to Nullify Arrest Orders for P.Tsagaan and Ts.Elbegdorj Accepted by Court
• Government Members Will Not Oppose or Question Government Proposed Laws
• The Government is Meeting
• Ministers Will Be Held Accountable for Speaking Against Their Government
• Cabinet Ministers to Face Consequences for Repeated Opposition to Government Policies

Economy

• "Food Revolution" National Movement Implemented, 25 New Factories Launched
• Hungary stops taking workers from Mongolia
• Merging Mining SOEs into "Erdenes Mongol" and Non-Mining Companies into "Erches Mongol"
• Average Salaries in Construction and Trade Sectors Increase by 24%
• Government Considers Merging State-Owned Mining Companies
• TDB Securities Issues Mongolia's First Economic Forecast from the Private Sector
• 23.8 Billion MNT Recovered in Coal-Related Case
• B. Lakshmi: The Biggest Challenge This Year is Rising Inflation
• Buying Low-Quality Binders from China at High Prices
• Draft Law to Improve Productivity, Transparency, and Governance of State and Local Government-Owned Companies Submitted
• B. Purevdorj: The Need to Reduce VAT to 5% as Businesses Struggle
• Position: VAT Has Become a Tool for Generating Budget Revenue
• It's Too Early to Rejoice Over Positive Economic Indicators
• "We Will Eliminate the Notion that State-Owned Companies Operate Unprofitably"
• Sugar and Vegetable Imports Increase by 30%, Egg Imports Decrease by 43%
• D. Enkhtuvshin: The Prime Minister's Statement on Reducing Taxes and Social Insurance Contributions Is Not a Political Decision?

Diplomacy

• The Government Submits Investment Agreement Draft with "Orano Mining SAS" to Parliament for Consultation
• Approved the Appointment of N. Oyundari as the Ambassador to Poland
• Former Member of Parliament N. Oyundari Proposed as Ambassador to the Republic of Poland
• NBSPCC: Proposal to Appoint N. Oyundari as Ambassador to Poland Supported
• SÜKHBAATAR: Will Collaborate with Wonkwang University of South Korea

Infrastructure

• Submission of the Draft Resolution on Approving the Ulaanbaatar City Development Plan until 2040
• Submitted General Plan to Develop the Capital with over 240 Trillion MNT until 2040 to the Parliament
• DARKHAN-UUL: A project with $6.9 million funding will be implemented in Ulaanbaatar, Darkhan, Erdenet
• Mongolia Can Now Conduct Direct Flights to 155 Destinations in 46 Countries
• Kh. Nyambaatar: The "General Development Plan for Ulaanbaatar City until 2040" developed since 2017 is ready to be submitted to the Parliament
• 32 Billion Tugriks to be Spent on Feasibility Studies and Designs for "New Ring Road" and "New Great Ring Road" Projects
• Kh. Nyambaatar: LNG Pipeline to be Installed in "Green Zone" Covering Gandan, Maternal and Child Health Center, and Districts I, III, and IV Starting Spring
• In 2025, Network to Be Introduced in Over 100 Locations in Provinces with State Budget
• Members of the Standing Committee Support the Establishment of a New Railway Authority
• Master Plan: By 2024, 80% of Ulaanbaatar Households Will Be in Apartments

Society

• S. Ganbaatar: Issues Troubling Builders Have Gone Too Far

Environment

• Air Pollution Levels in Various Districts
• Presentation of the Draft Law on Reducing Air and Environmental Pollution in the Capital
• 1278 Buses in Ulaanbaatar to Transition to Natural Gas by October 1st
• Compressed Fuel to be Produced and Utilized from "Erdenes Tavantolgoi's" Enriched Materials
• Kh. Nyambaatar: From March 1, compressed fuel will be replaced with enriched coal from "Erdenes Tavantolgoi"
• Collaborating with the Shanghai Research Institute for Planning the Green Infrastructure of the Capital City
• H. Nyambaatar: Coal Briquettes Will Be Made from Enriched Tavantolgoi Coal
• Erdenes Tavantolgoi Company to Use Zero Grade Enriched Coal Briquettes

Health

• The United States Donates 2000 Medical Devices to Mongolia
• Warning Issued by Mongolian Embassy Regarding "HMPV" Virus in China

Sports

• Ts.Sharavjamts Implements Project to Enroll Mongolian Athletes in US Leagues

Politics

The Prime Minister's Rapid Action Team Will Operate as It Did During "Covid-19"

Published: 2025-01-08 | Translated from: news.mn

The Government of Mongolia has declared 2025 as the “Year of Supporting the Development of Urban Infrastructure.” In this context, a rapid action team has been established under the Prime Minister to address issues such as pollution, congestion, and infectious influenza, which are causing the most frustration for the residents of the capital. Mongolian Prime Minister L. Oyun-Erdene and members of the rapid action team today visited the eastern regional plant of "Tavantolgoi Fuel" LLC. The Mayor of Ulaanbaatar, Governor of the capital K. Nyambaatar, and the head of the Energy Policy Implementation Coordination Department of the Ministry of Energy, N. Nasantogtokh, presented measures to improve the quality of fuel, focusing on fuel transition in Ulaanbaatar city. As part of upgrading the technology for enhanced briquette fuel, it is planned to stop using the current middling from March 1st and transition to improved fuel produced with the “zero” level concentrate from “Erdenes Tavantolgoi” JSC enrichment plant. A comparative test of the current briquette fuel with that produced from the “zero” level concentrate revealed a reduction in particles by 33.7%, sulfur dioxide by 63.7%, and an increase in carbon monoxide by 39%. In other words, the briquette fuel's binder will be renewed, and a “green coal” product will be added to the screened and sorted fuel to improve quality. The city mayor explained that they are working on updating the standards for briquette fuel and binders. Additionally, as instructed by the Prime Minister, a draft of the law on measures to reduce air and environmental pollution in Ulaanbaatar city has been completed, with plans to have it approved and implemented soon by the government and parliament. With the introduction of legislation, the regulations will target all smoke-generating sources, including 198,000 chimneys in the ger districts, over 500,000 vehicles, more than 2,200 low-pressure boilers, 174 steam boilers, and power plants. The law implementation aims to convert 30% of each smoke-emitting source to gas fuel annually, switch 1,300 operating buses to gas fuel, and establish special-regime zones in Ulaanbaatar to reduce the negative socioeconomic impacts of air and environmental pollution and ensure a healthy, safe living environment. These special-regime zones will be classified into green and yellow zones. In the green zone, households will transition to liquefied gas fuels that meet standards (LNG, LPG). Preliminary mapping plans to include 50,189 households and approximately 202,000 residents in the green zone. The Mayor of the capital will renew and expand the green or chimney-free zones as needed. The blueprint includes regulations against using vehicles emitting more pollution than permitted by standards and prohibits the sale of sub-Euro 5 standard gasoline and diesel. The yellow zone will cover over 147,000 households, providing them with dual-combustion stoves that meet standard requirements, with a tender for the first phase of 32,000 stoves announced this month. Furthermore, a project aims to insulate 95,000 households and provide dual-combustion stoves by meeting standard requirements. “Erdenes Mongol” LLC's executive director S. Narantsogt introduced the “Blue Coal” project of the Coal-Pyrolysis Plant within the “Coal and Chemical Complex,” relying on Baganuur Coal Mine, one of 14 mega projects by the government. The project costs $190 million and plans to commence the first section by December this year, with complete implementation by 2027. This project will reduce capital pollution by 60-80% and produce 100 MW of power, according to research assessments. The head of the National Committee for Air Pollution Reduction and Minister of Environment and Tourism S. Odontuya reported on the progress of phasing coal-fired steam and low-pressure boilers consuming 200,000 tons of raw coal annually to gas fuel. The eastern regional factory of "Tavantolgoi Fuel" LLC operates three workshops and three technological lines, producing 1,200-1,500 tons of fuel per day. Because briquette fuel standards are insufficient, an urgent update and ratification of these standards is necessary. “Throughout the previous period, briquette fuel binders were supplied both from imports and domestically, yet the domestic quality was poor,” explained Ts. Erdenebayar, executive director of "Tavantolgoi Fuel" LLC.

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LIVE: Presenting Decisions Made by the Government Meeting

Published: 2025-01-08 | Translated from: isee.mn

The decisions made by the government meeting are being presented by Minister N. Uchral. He stated, "As of 2023, 122 state-owned companies have submitted their reports. The state-owned corporation will operate with the status of managing assets. It will have four main sectors: energy, banking and finance, road and transportation, and others. It has been calculated that the 122 companies will become 56. The result will be felt through budget savings, and overlapping functions will be eliminated."

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Meeting to Address Difficulties Faced by Enterprises and Propose Changes to Relevant Legislation

Published: 2025-01-08 | Translated from: isee.mn

A working group tasked with addressing the obstacles faced by businesses, eliminating overlaps in sectoral inspections, and proposing changes to relevant legislation has convened. In order to ensure the implementation of the 2024 directive issued by the Prime Minister of Mongolia, and following the decision from the Cabinet meeting on December 18, 2024, on reducing overlaps of sectoral inspections and conducting joint inspections, a working group has been established. This working group, formed under the Order No. A/23 of the Minister of Mongolia and Chair of the National Board of Inspection and Evaluation in 2024, aims to reduce the difficulties and inconveniences encountered by enterprises due to overlapping sectoral inspections, and to propose amendments to the relevant legislation. During the meeting, the working group members presented proposals to reduce overlaps in the sectoral legislation and amendments to the relevant laws, as well as issue decisions on certain matters related to the integrated management electronic system of transparency inspection and the overlap in the 2025 unified plan.

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Please Stop Threatening Judicial Independence!

Published: 2025-01-08 | Translated from: news.mn

A regime is being established where a judge who does not make a decision favorable to the minister is prosecuted under criminal law. The reason is that when the lawyer of "Achit Ikht" company founder P. Tsagaan filed a request with the prosecutor to annul the arrest warrant against Tsagaan, the District Court on Criminal and Civil Cases' Primary Procedure Circuit reviewed and decided to accept the request. However, this decision did not please the head of government and the Minister of Justice and Internal Affairs. Because the court made a decision that did not appeal to them, they attacked the judiciary. Prime Minister L. Oyun-Erdene criticized the court's decision by saying, "It is clear that Chief Judge D. Ganzorig and his team are serving their master Ts. Elbegdorj," while Minister of Justice and Internal Affairs O. Altangerel threatened to "immediately propose an amendment to the Criminal Code so that a judge who is influenced by others will be punished." In principle, court decisions do not have to please politicians and should be made on the side of justice. In other words, unless there is irrefutable evidence requiring P. Tsagaan’s arrest, the judge will make a decision based on the legal provisions. This is clearly stated in the Constitution of Mongolia. Article Forty-Nine of the Constitution of Mongolia: 1. A judge shall be independent and subject only to law.
2. No one, whether the President, Prime Minister, member of the State Great Khural and the Government, official of state, public or other organizations, or citizen, shall interfere with the exercise of judicial duties.
3. The General Council of Courts shall operate to ensure the independence of a judge and the independence of courts. Unfortunately, it cannot be an exaggeration to say that the provisions set out in the supreme law have long ceased to apply to Mongolia's top officials. The Prime Minister’s current attack on the judiciary is neither his first nor likely his last. Two years ago, he lashed out at the judiciary during the "Special Guest" program on MNB, saying, "There are a total of 500 judges in the judiciary. Half of them were appointed by Ts. Elbegdorj and half by Kh. Battulga. I am supposed to be determining the development policies of the country, but I have been dragged into issues related to corruption, which means that the judiciary is not doing its job." Since then, there has been an intensive reshuffle within the judiciary, with judges from Khentii and Sukhbaatar provinces taking on the biggest positions in the judicial system. In 2021, to ensure the judiciary works independently, the Parliament (Ukhural) passed a revised package of laws on the judiciary. Within this framework, the Law on Judges stipulates that if a judge is found to be influenced by someone, the Judicial Disciplinary Committee shall suspend or dismiss them and impose other disciplinary actions. Yet, all this seems insufficient for those in power, as the Minister of Justice and Internal Affairs O. Altangerel's declaration to immediately propose changes to the Criminal Code that would punish a judge if influenced by others raises concerns that the executive power is deciding to turn the judiciary into a tool to control rivals. As a democratic state, and especially as a Minister of Justice and Internal Affairs from the Democratic Party, O. Altangerel should support rather than attack the judiciary's independence. Such actions cast doubt on whether he is fit for the office. In the lead-up to the 2024 parliamentary elections, “Achit Ikht,” founded by P. Tsagaan, has become a target, exploited by rival political parties. Tsagaan is essentially a pawn in the political games of those seeking to consolidate their power, as evidenced by the fabricated accusations in a Viber chat leaked by the criminal police. Law enforcement has not held accountable those who falsified evidence and falsely accused others of serious crimes to this day. This is the gravest issue, undermining public trust in law enforcement and making even ordinary citizens vulnerable to being falsely accused of serious crimes. In such a situation, it is impermissible in a lawful society for the Minister of Justice and Internal Affairs to join in on this drama and attack judges. Collaboration with the government should not entail tolerating illegal actions or becoming an instrument thereof. Playing the lead in a game that turns the judiciary into a political puppet signifies stepping back from the fundamental principles of democracy. Becoming the Minister of Justice and Internal Affairs does not mean being the head of everything. There are limits to what can and cannot be tampered with. Therefore, stop threatening the independence of judges!

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Students Can Get Advice from Members of Parliament and Participate in a Paid Internship

Published: 2025-01-08 | Translated from: unuudur.mn

Registration has begun for the "Open Parliament Internship Program," which allows students to work with the working groups of Members of Parliament and participate in a paid internship. University students in their third year or above are eligible to apply for this program. A total of 100 students will be selected without regard to their professional field to participate in the program. This will allow students to become personally acquainted with the legislative process, especially gaining an understanding of the Constitution. Additionally, they will learn about the functions of government organizations, enhance their theoretical and practical knowledge, and establish connections with peers. The registration for the program will continue until the 13th of this month. Selected students will intern until the 25th of the upcoming month. The program's uniqueness lies in the fact that young people can learn about the work of MPs and receive guidance from them. Twenty MPs, including Ch. Lodoysambuu, S. Tsenguunn, P. Sainzorig, N. Uchral, M. Gankhulug, E. Batshugar, E. Bolormaa, N. Altanshagai, and M. Sarnai, will be advising them.

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Members of Parliament Accused of Violating the Law and Petitioned to the Constitutional Court

Published: 2025-01-08 | Translated from: unuudur.mn

Citizens, viewing the State Great Khural (Parliament) members as not adhering to the Constitution, have brought their appeal to the Constitutional Court. Citizen B. Ülziibat informed of his approach to the Constitutional Court, stating, through the "D-Parliament" electronic system, citizens proposed to reduce social insurance premiums and personal income tax by up to 50%. Although this proposal was supported by over 100,000 citizens, the Parliament did not discuss it. Similarly dismissed was the citizens' proposal, also submitted via the system, to increase the VAT refund rate from two percent to five percent. A failure to discuss these matters is considered a violation of the law, thus leading to the appeal to the Constitutional Court. Specifically, Article 1 of the Constitution states, "Ensuring democratic principles, justice, freedom, equality, national unity, and the rule of law are fundamental principles of the state’s activities." The delay by Parliament in discussing citizens' proposals is viewed as an action contravening this law. When a petition is supported by over 100,000 people, it is expected that the members of Parliament should review it. The Constitution also stipulates, "In Mongolia, all power is vested in the people. The people of Mongolia exercise their sovereign power through direct participation and through their representative bodies elected by them." It further emphasizes that "a Member of Parliament is a messenger of the people, dedicated to upholding the best interests of all citizens and the nation." The refusal to accept petitions from citizens is considered a denial of the rule of law. Thus, citizens are urging Parliament members to abide by the law and provide a model for citizens to follow. B. Ülziibat highlighted the hope that the Constitutional Court will stand on the side of the citizens and facilitate their rights by opening them to Parliament. Furthermore, he criticized the fact that it does not inform citizens about whether the proposals made in the "D-Parliament" are incorporated into the law. Therefore, he demanded to provide full access to all information about the issues being discussed based on citizens' proposals on the mentioned site.

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Decisions Made During the Government Meeting

Published: 2025-01-08 | Translated from: itoim.mn

The regular government meeting was held during which the following issues were discussed and resolved. Discussion on the draft law on measures to reduce air and environmental pollution in the capital city of Ulaanbaatar: A presentation on the draft law concerning measures to reduce air and environmental pollution in the capital city was made. The principles of the draft law were approved, and relevant officials were instructed to have the government meeting discuss it urgently after collecting opinions from government members. The draft law aims to regulate relations concerning the establishment of special regime zones to ensure citizens' rights to live in a healthy, safe environment, protect the natural balance from environmental pollution, and reduce the social and economic negative impacts of air and environmental pollution in Ulaanbaatar. The main regulatory relationships of the law are: The capital city will maintain green and yellow zones to reduce air and environmental pollution. The issue of setting and changing the boundaries of these zones will be decided by the Mayor of the Capital. In particular, in the green zone, it is prohibited to: - Burn fuel types and materials, except for gas and liquid fuel compliant with standards; /any type of solid fuel/ - Use motor vehicles that emit air pollutants exceeding the allowed limits per standards, and for the owners or possessors of such vehicles to sell gasoline and diesel fuel; - Use underground water for domestic and industrial purposes where connection to utility networks is possible; - Use pit toilets and wading pits; - Engage in open sales of auto parts and all types of auto repair services; - Engage in recycling, burning, destroying, or burying waste, and establish collection points for hazardous waste listed in the regulatory list. Producing briquettes with the 'zero' layer concentrate of "Erdenes Tavantolgoi": A presentation was given by the chairman of the National Committee for Reducing Air Pollution, also the Minister of Nature, Environment and Climate Change, S. Odontuya, about the measures undertaken by the National Committee. Due to the expiration of the raw material supply agreement between the Government of Mongolia and "Energy Resource" LLC, and the necessity for "Tavantolgoi Fuel" LLC to change and improve the raw materials for briquette production, relevant studies about changing the main raw materials to improve briquette quality were conducted. Studies included semi-coke briquettes and those produced with the 'zero' layer concentrate from the "Erdenes Tavantolgoi" mine. A contract with "Erdenes Tavantolgoi" LLC is established to supply the washed and processed intermediate product, energy coal, starting from March 2025. There are plans to carry out technological upgrades on 276 coal-burning steam and water heating boilers contributing to Ulaanbaatar's air pollution to switch from solid fuel to gas fuel, connect to centralized heating, and improve equipment by limiting raw coal usage. This reform aims to reduce air pollution by 13%. Specifically, 30% of these boilers will switch to gas fuel in 2025. 6% of Ulaanbaatar's air pollution comes from emissions from the power plants' chimneys. Except for "Amgalan" Thermal Power Station, all other stations' boilers were installed between 1961 and 1990, and their smoke filters are outdated. Particularly, technological upgrades are needed for the wet ash collectors of TPP-3 LLC boilers, and financing is required for electrical conversion and replacement of filters for TPP-2 and TPP-3. Not less than 30% of air pollution comes from vehicle emissions. There are 804,656 registered vehicles in the capital, 74.2% of which are over 10 years old. Vehicles traveling at 0-5 km/h emit 2-3 times more toxic substances than usual. In Ulaanbaatar, 1,278 buses are registered, and 1,128 operate in public transport daily. 84% of these buses use Euro-5 standard fuel. By switching public transport buses to gas fuel by October 1, 2025, a positive impact on reducing air pollution is expected. Additionally, relevant regulations are planned under the newly drafted law on the capital city's air pollution. Brief news: The Minister of Mongolia and the Head of the Cabinet Secretariat N. Uchral presented the 2025 business plan and budget plan of state-owned companies. A detailed presentation was made on "Mongolrostsvetmet" SOE, "MIAT" JSC, "State Bank" JSC at today's meeting. To transform "Erdenes Tavantolgoi" JSC into a public company, the Board of Directors of "Erdenes Tavantolgoi" JSC is assigned to urgently organize the selection of management team members through an international human resources company, with oversight from the Minister of Mongolia and Head of the Cabinet Secretariat N. Uchral and "Erdenes Mongol" LLC's CEO S. Narantsogt. The announcement of the selection process for "Erdenes Tavantolgoi" JSC's management team will be published internationally. The draft "Law on improving productivity, transparency, and governance of state and local government-owned companies," among other accompanying legislation, was discussed and will be submitted to the State Great Khural. A decision was made to present the draft resolution of the State Great Khural on "Approval of the general development plan for the capital city of Ulaanbaatar until 2040."

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Proposal to Nullify Arrest Orders for P.Tsagaan and Ts.Elbegdorj Accepted by Court

Published: 2025-01-08 | Translated from: gogo.mn

The court has accepted the prosecutor and investigator's proposal to nullify the judges' orders to arrest suspects P.Tsagaan and Ts.Elbegdorj. The Prosecutor's Office of the capital city, guided by Article 14, Section 14.1, Subsection 14.1.6 of the Law on the Prosecutor and Article 4.1, Section 2, Subsection 2.9 of the Criminal Procedure Law, submitted a proposal to invalidate the decisions of judges from the Khan-Uul District Primary Criminal Court concerning suspects P.Tsagaan and Ts.Elbegdorj, identified as case numbers 2024/SHZ/101 and 2024/SHZ/100. This proposal was received by the District Criminal and Civil Cases Simplified Procedure Primary Circuit Court on January 6, 2025, at 12:10 PM and reviewed on January 7, 2025, at 9:00 AM. According to the Criminal Procedure Law, the investigator submitted a proposal to the prosecutor to nullify the judges' orders regarding the arrest of the suspects with the court's approval. The prosecutor accepted this proposal as well-founded, and in accordance with the legal procedure, submitted it to the court. The court reviewed the prosecutor's proposal to nullify the judges' orders "For the arrest of the suspect with court approval," as well as the investigator's proposal, the requests and explanations of the participants in the court proceedings, and the evidence collected and consolidated in the case file. After consideration, the court deemed the proposals from the prosecutor's office, investigator, and defense lawyer to be legally justified and decided to nullify the judges' orders from May 17, 2024, case numbers 2024/SHZ/101 and 2024/SHZ/100, concerning "Approval of suspect arrest by the court" from the Khan-Uul District Primary Criminal Court.

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Government Members Will Not Oppose or Question Government Proposed Laws

Published: 2025-01-08 | Translated from: gogo.mn

The Standing Committee on Ethics and Discipline of the State Great Khural held a meeting. During the meeting, they presented the working group's introduction on "Procedures for Members of Parliament Appointed as Prime Minister and Cabinet Members to Participate in the Parliament's Proceedings." The draft of these procedures consists of 3 sections and 12 provisions. According to the procedure, except when sick, on leave, or on domestic or international assignments, members of the State Great Khural are required to attend the unified, standing, sub, and temporary committee meetings. Although government members have a heavy workload, they need to plan their work with respect to the parliamentary sessions and can request leave in advance if deemed necessary. Additionally, because the government discusses matters collectively, ministers within the cabinet engage in debate and express their positions. Although they may have opposing or differing opinions, the Law on Government stipulates that they should present a unified, collective voice. Therefore, during parliamentary sessions, any law or policy submitted by the government will not be opposed or questioned by any government member, according to the regulations. B. Kherlen, a member of parliament, inquired, "If one does not attend the meeting, does not respond to questions from their seat, or expresses an opposing stance, will responsibility be discussed? Do these errors hold different significance from one another? For how many absences will responsibility be imposed? Who will record the opposing stance, and who will raise the issue and forward it for accountability?" In response, A. Ariunzaya, a member of parliament, stated, "The subject with the authority to impose responsibility is the Prime Minister. For us, if someone consistently expresses a position against their government with repeated frequency, we will make a collective decision through the Standing Committee on Ethics and Discipline on whether to submit a proposal for accountability." "Additionally, if a member of parliament fails to attend their duties for 5 days in a year, there are provisions for discussing accountability through the Standing Committee on Ethics and Discipline," she explained.

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The Government is Meeting

Published: 2025-01-08 | Translated from: gogo.mn

The regular meeting of the government is ongoing. Today's meeting is discussing over 30 issues including: - The draft law on improving the productivity, transparency, and governance of state and locally owned companies. - The Loan Agreement for additional financing of the "Oil Refinery Construction Project". - The draft law on measures to reduce air and environmental pollution in the capital city Ulaanbaatar. - The draft resolution of the State Great Khural to approve the general development plan of Ulaanbaatar city until 2040. - The business plan and budget plan for 2025 of state-owned companies.

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Ministers Will Be Held Accountable for Speaking Against Their Government

Published: 2025-01-08 | Translated from: news.mn

In today's meeting of the Ethics and Discipline Standing Committee of the State Great Khural (Parliament), the issue of approving a procedure for members of parliament appointed as the Prime Minister and members of the Government to participate in parliamentary activities was discussed. According to the procedure, a proposal to hold accountable ministers who repeatedly express positions against their government will be submitted to the Prime Minister. Government members, except when sick, on leave, or on assignment, are required to participate in the meetings of standing committees and subcommittees. If unable to attend these meetings, they must inform the chairperson of the meeting the day before to be excused. The procedure specifies that during parliamentary discussions of bills and resolutions initiated by the Government, members should not ask questions or express opinions. If a proposal related to a project introduced by the Government is necessary, it should be brought by the minister responsible for the issue. This procedure was developed by members of the Ethics and Discipline Standing Committee of the State Great Khural, led by member A.Ariunzaya. During the discussion of the procedure, several members of parliament raised concerns about whether prohibiting government members from asking questions or expressing opinions is illegal. There were also clarifications sought on how many times a government member may express an opinion contrary to that of the cabinet before being held accountable. According to the explanation provided by A.Ariunzaya, a member of parliament who developed the procedure, no rules exceeding the law were developed. The Government discusses and reaches a consensus before introducing a bill to the State Great Khural. However, it is not appropriate for a minister to appear as a parliament member and raise questions or express opinions on projects submitted by their own cabinet. A minister who repeatedly expresses opposing positions to the government will be discussed at the Standing Committee on Ethics and Discipline, and a decision will be made. A decision made by the committee will be submitted to the Prime Minister for action to be taken against the minister. Members of the standing committee supported approving this procedure.

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Cabinet Ministers to Face Consequences for Repeated Opposition to Government Policies

Published: 2025-01-08 | Translated from: itoim.mn

The Standing Committee on Ethics and Procedure of the State Great Khural is currently discussing the draft "Rules on Participation in Parliamentary Sessions by Members Appointed as Prime Minister or Ministers." Member of the State Great Khural, A. Ariunzaya, who is leading the working group for this draft, introduced the regulations included in it. The draft contains three sections with 12 provisions, including: - A cabinet member is obliged to attend standing and subcommittee meetings unless excused due to illness, absence, or official assignments. - The scheduling of other meetings must not overlap. - If unable to attend, one must notify the chairperson of the committee the day before for leave. - During discussions on policies and legislation proposed by the Government, ministers must not ask questions or express opposing views. - For bills initiated by the Government, if there is a fundamental disagreement, the respective minister in charge of the issue should raise it. - Recommendations to hold cabinet ministers accountable who repeatedly express opposition to government positions will be forwarded to the Prime Minister. Members raised questions related to the introduction. Member of Parliament Ch. Lodoisambuu questioned whether these rules would violate the Constitution. Article 25.4 of the Constitution stipulates that the organizational activities and other powers of the State Great Khural are to be determined by law. He argued that the ministers are apparently prohibited from speaking against or asking questions about government policies, raising concerns about infringing on the rights of Members of Parliament. Despite the Government's proposals, the law concerning the Parliament allows MPs to ask questions, express opinions, and make proposals related to discussed issues. Even as cabinet members, they are still elected representatives. Therefore, the rules might infringe upon these rights, questioning whether it is appropriate to formalize normatively regulated matters. The head of the working group, MP A. Ariunzaya, explained that there was no need to create a new working group bypassing the law. All these aspects are regulated by law. Once the Government has reached a unified stance on a bill, ministers should not act individually as MPs in subsequent discussions. However, these rules only apply to laws initiated by the Government. If it had violated the Constitution, such issues would have been raised during the adoption of these laws. MP Ch. Lodoisambuu argued that despite having over 800 active laws, 60% have been said to potentially violate the Constitution by the Speaker. Hence, claiming current laws do not contradict the Constitution might be misleading. In Mongolia, which law is greater - the Constitution, the Law on the Government, or the Procedure Law? Should the Ethics and Procedures Committee prioritize the Constitution or comply with other laws? MP A. Ariunzaya considered this question to be somewhat skewed, emphasizing that all laws, regardless of their status, must be followed. Neither of them are authorities to determine constitutional violations. Since the rules were prepared and submitted within current legal frameworks, they were deemed compliant. Chairman of the Ethics and Procedures Committee, B. Bayarbaatar, stated that they lack the right to interpret any laws. The committee started this initiative within the scope of legal provisions. A Member of Parliament who also serves as a government minister is still a representative of the people. However, the cabinet government isn't, being merely an executive body. It is principled for ministers to not oppose the unified decisions brought by the Government in Parliament. MP B. Kherlen inquired about the accountability measures for ministers violating session attendance rules. How many absences or opposing positions would trigger disciplinary actions? How will these be documented and processed? A. Ariunzaya noted that to avoid legal issues, the provisions were general. The prerogative to hold ministers accountable rests solely with the Prime Minister. Ministers exhibiting consistent opposition to governmental stances will be reviewed by the Standing Committee on Ethics, Discipline, and Accountability, where a collective decision will be made, and a recommendation for accountability forwarded to the Prime Minister.

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Economy

"Food Revolution" National Movement Implemented, 25 New Factories Launched

Published: 2025-01-08 | Translated from: isee.mn

It has been over two years since the Government of Mongolia began implementing the "Food Revolution" program. During this time, a total of $1.2 billion in loans have been issued. As a result of the National Movement "Food Revolution," exports of agricultural products increased by 1 trillion, imports decreased by 250 billion tögrög, and 54 products across 19 categories are now being planted, grown, and produced domestically. Additionally, 25 new factories have become operational.

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Hungary stops taking workers from Mongolia

Published: 2025-01-08 | Translated from: isee.mn

The Government of Hungary has amended the laws and regulations concerning the travel and residence of third country nationals (hereafter: Immigration Law) in Hungary, with the amendment coming into effect on January 1, 2025. As a result of these changes, from January 1, 2025, only citizens of Georgia and Armenia from third countries will be able to apply for a visa (residence permit) to work as guest workers or conduct individual business activities. On the other hand, citizens of third countries who have been granted residence permits under the Immigration Laws enacted in 2007 and 2023 can apply to extend their residence permits for the appropriate purpose (currently 2+1 years) and to apply for re-residence permits at the Immigration Office under the newly enacted law. If the two types of visas mentioned above were applied for at the Consular Department of the Hungarian Embassy before January 1, 2025, the changes made in this law will not affect the visa process. The Government of Hungary has implemented a very strict policy on immigration among the European Union member states and, by amending the Immigration Law, has reduced the number of guest workers coming from third countries with the aim of providing jobs for its own citizens. From January 1, 2025, Hungary has stopped taking workers from the Philippines, Indonesia, Kazakhstan, Mongolia, Vietnam, Brazil, Kyrgyzstan, Venezuela, and Colombia, from which it previously took labor.

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Merging Mining SOEs into "Erdenes Mongol" and Non-Mining Companies into "Erches Mongol"

Published: 2025-01-08 | Translated from: montsame.mn

The decision from the regular Cabinet meeting was announced today. During the Cabinet meeting, it was decided to submit a bill to Parliament aimed at improving the productivity, transparency, and governance of state-owned and locally-owned enterprises. Chief of the Cabinet Secretariat, N. Uchral, stated that out of 122 state-owned companies, the information is consolidated by just five companies. Collectively, 51 companies generate a total revenue of 380 billion MNT, while the remaining 41 companies operate at a loss of -150 billion MNT. Therefore, the status of these companies will be clarified. State-owned companies are expected to contribute to the wealth fund and budget revenues. They will be merged with companies that manage assets and improve governance. A mining conglomerate under the government will be established called "Erdenes Mongol," and a non-mining conglomerate will be established called "Erches Mongol." State budget-funded institutions currently under ministries, named industrial enterprises, will be newly organized and transition to the status of public service organizations. Work that can be done by the private sector will be transferred, or the sector minister will manage them with their budget, or they will be dissolved. As a result, there will no longer be non-profitable, loss-incurring companies within the status of state-owned enterprises. Within this framework, a law to improve the productivity and governance transparency of state-owned enterprises is being submitted. As of 2023, 122 companies submitted their reports to the State Property Committee. The State Property Policy Coordination Office, as the government's regulatory agency, will, under this law, register and monitor state and local property nationwide and impose liability under the Law on Violations. However, direct involvement in the governance of state-owned companies will cease. Non-mining companies will integrate with the state-owned corporation, resulting in four sectors: energy, banking and finance, transport, and others. 34 energy companies will be merged into seven to save the budget. Consequently, the number of state-owned enterprises will be reduced from 122 to 56.

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Average Salaries in Construction and Trade Sectors Increase by 24%

Published: 2025-01-08 | Translated from: unuudur.mn

"Zangia Portal" LLC, which operates in the field of human resource recruitment in the labor market, has released the results of its annual salary survey conducted since 2018. The 2024 survey included 102 companies from five key economic sectors and focused on the salaries and bonuses for 264 positions and jobs within those companies. The survey showed that 64.7% of the participating organizations updated their salary levels last year, with an average increase of 19%. Specifically, the average salary for workers in the construction sector increased from 2.5 million tögrög in 2023 to 3.1 million, and for trade and sales specialists, it rose from 2.4 million to 3.01 million tögrög, both experiencing a 24% increase. This is reported to be the largest percentage growth. On the other hand, salaries for employees in the mining equipment and supply sector increased by 23% compared to the same period last year, reaching 3.6 million tögrög, and the information technology sector saw a 17% increase, raising salaries to around 3.62 million tögrög. The mining sector reported a 13% increase, with salaries reaching approximately 3.4 million tögrög. Despite the construction and trade sectors leading in terms of growth rate, the highest salaries are being earned by professionals in information technology and mining equipment, with mining equipment operators receiving up to 4.4 million tögrög.

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Government Considers Merging State-Owned Mining Companies

Published: 2025-01-08 | Translated from: itoim.mn

During the government meeting, Cabinet Secretary N. Uchral provided information on the issues discussed and decided upon. The government resolved to submit a draft law to the parliament aimed at improving the productivity, transparency, and governance of state-owned and local government-owned companies. Cabinet Secretary N. Uchral stated that several specific issues will be addressed as part of the implementation of this law. To ensure the independence of the boards of state-owned companies, criteria for board members and CEOs will be clarified. The employment contracts for CEOs and general managers will be renewed based on their performance evaluation, business plans, and Key Performance Indicators (KPIs). The law stipulates strict conditions under which the government can establish a state-owned company. State-owned companies will only be established in five specific areas; otherwise, no new state-owned companies will be created. Once this law is passed by the parliament, the government will present its main policy directions for these companies to parliament. The legal environment for which companies to merge, reorganize, or make public will be transparent as part of this main direction. As of today, there are 122 state-owned companies registered with the Agency for Policy Coordination on State Property. Over 58,000 people work for these companies. Five of these companies account for revenues of 4.8 trillion MNT, 51 companies contribute a total revenue of 380 billion MNT, while the remaining 40 or so companies operate at a loss of -150 billion MNT. This law will clarify the status of these companies. State-owned companies have a duty to contribute to the public wealth fund and the budget. These companies will be reorganized by merging them with state-owned corporations or management companies specializing in asset management and governance improvement. As part of this, the Mongolian government will organize state-owned companies into two groups: "Erdenes Mongol" for mining companies and "Erches Mongol" for non-mining state-owned companies. Besides, state budgetary organizations under various ministries will be newly organized. These will be upgraded to public service organizations in line with international standards, outsourcing tasks that the private sector can handle, or the respective sector's minister will manage personnel expenses within the allocated budget. If unsuccessful, they will be dissolved. Generally, if a state-owned company operates at a financial loss for three consecutive years, the law mandates its dissolution. In the future, there will be no place for companies under the state-owned status that are unprofitable, generate no income, or incur losses. The regulation of merging organizations that manage prices and tariffs will be urgently implemented.

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TDB Securities Issues Mongolia's First Economic Forecast from the Private Sector

Published: 2025-01-08 | Translated from: ikon.mn

Hello, could you please introduce yourself? Hello. My name is G. Sainbileg, and I am a mathematician. Currently, I work as an analyst at TDB Securities, a securities company. Has your company released an economic forecast for Mongolia for 2025? This year, our company has developed a forecast for the major economic indicators of Mongolia for 2025-2027. Previously, organizations such as the World Bank, the International Monetary Fund, the Asian Development Bank, the Bank of Mongolia, and the Ministry of Finance have prepared economic forecasts for our country. However, this is the first time a forecast has been developed by a private enterprise, making it unique. Besides the economic forecast, we have included important information for investors. Furthermore, we have prepared this report in both Mongolian and English. What is the main purpose of this study? Mongolia's economy has been rapidly growing in recent years, driven by rising mineral prices. As a result, interest in investing in Mongolia has increased among both foreign and domestic investors. Investors decide whether an investment will be profitable by considering not only the financial and operational indicators of a sector or company of interest, but also the economic and political stability and growth potential of the country. Therefore, our goal is to provide investors with precise information based on quantitative analysis regarding the main factors affecting these indicators. Such information is scarce in our country and, when available, it is challenging to access. What methodologies were used in the report? What were the major factors? Mongolia is a resource-rich developing country. The International Monetary Fund has developed the DIGNAR (Debt Sustainability, Public Investment, and Natural Resources in Developing Countries) model, which is based on debt management, integrated budget expenditure levels, and natural resources, to forecast the economic stability of countries similar to ours. Since 2020, this model has been updated to account for the global pandemic's impact, resulting in the DIGNAR-19 model. We used this model extensively in our report. Using it requires projecting 14 types of factors, including mineral production, the effectiveness of budget spending, and the share of social welfare in GDP. We used ARIMA and VAR calculations to derive several scenario forecasts and selected the most suitable scenarios. These calculations were based on analyzing the general trends in economic indicators using quarterly data from the past 10 years. Approximately 80% of Mongolia's exports consist of mineral products. Thus, foreign direct investment, official foreign exchange reserves, currency stability, budget revenue, and budget expenditure and effectiveness are heavily dependent on mineral product prices. Therefore, the price and production forecast of mineral products, along with the demand from countries importing these exports, directly affects Mongolia's economic growth. For Mongolia, debt management and interest burdens are critical factors affecting the national budget, so information on these matters is essential. What are the economic expectations for Mongolia in 2025? According to our forecast, factors such as coal price fluctuations and volumes, export expectations, the probable increase in foreign direct investment inflows, and the recovery in the agricultural sector are expected to maintain economic growth at about 5.2% in 2025, similar to the previous year. However, due to factors including the rise in energy prices, increased domestic consumer demand, and the planned expenditures of the new government projects, inflation is projected to be slightly above the Bank of Mongolia's target range, at 8-9%. While our analysis accounts for influencing factors and potential risks to Mongolia's economy, it is based primarily on historical data, indicating that unforeseen future events could modify these projections. Download report link in Mongolian Download report link in English Warning: When media organizations (Television, Radio, Social and Web platforms) use our information in any form, either completely or partially, they must cite their source (ikon.mn).

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23.8 Billion MNT Recovered in Coal-Related Case

Published: 2025-01-08 | Translated from: unuudur.mn

In the context of the so-called coal case, damages amounting to 23.8 billion MNT were recovered. Specialist D. Bat-Erdene of "Ajnai Group" compensated 11 billion MNT. The Anti-Corruption Agency (ACA) and the Economic Crime Agency (ECA) have been investigating the coal-related case, involving extraction, export, transportation, and purchasing operations, for two years under the oversight of the National Prosecutor's Office (NPO). During this time, law enforcement officials conducted investigations on 120 criminal cases, charging 156 individuals and three legal entities, including 13 politically influential figures, 90 public officials, and 53 ordinary citizens. Out of these, 108 individuals and two legal entities were charged with abuse of power, bribery, unexplained wealth accumulation, and money laundering in 33 cases and brought to court, with 26 cases reviewed and resolved by the primary court. Since the establishment of the task force to investigate cases related to coal mining, export, transport, and purchasing, investigators have conducted inspections on 278 premises, performed body, object, and document examinations 1,672 times, interviewed 11,101 witnesses, and acquired 41 expert evaluations from economic and other specialists, according to reports. During the investigation, damages of 194,384 USD and 23.8 billion MNT were recovered, and 353 million MNT in movable and immovable property as well as 14.9 billion MNT were returned to state revenue. Among the politically influential officials, former Member of Parliament T. Ayursaikhan is currently serving his sentence, while the case regarding D. Bat-Erdene, founder of "Ajnai Group" and former Member of Parliament, has been under prosecutor's supervision for some time. Meanwhile, D. Bat-Erdene and related parties have reimbursed over 11 billion MNT in damages identified during the investigation. Moreover, since former Member of Parliament J. Munkhbat has fled the country and is hiding in South Korea, the investigation process has been delayed. The case involving bribery admitted by an official due to the influence of former Member of Parliament A. Adyaasuren remains unresolved because of his involvement.

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B. Lakshmi: The Biggest Challenge This Year is Rising Inflation

Published: 2025-01-08 | Translated from: itoim.mn

A discussion with B. Lakshmi, Executive Director of the Mongolian Economic Forum NGO and economist, about the economic outlook for 2025 and the projects to be implemented this year. - How do you see the economy of Mongolia in 2025? International organizations have estimated that the economy will grow in 2025 with a GDP increase of about 5 percent. However, since the year is just beginning, it is a bit early to say exactly how much it will grow. The economic development of Mongolia in 2025 should be considered from both external and internal factors. Among external factors, there is a high level of uncertainty globally in 2025, with political uncertainties unfolding in various countries. The most immediate event is the inauguration of President Donald Trump of the United States in two weeks, who promised pro-business policies during his campaign. However, he announced a high tariff on imports, particularly up to 60 percent on Chinese electric cars. If implemented, this would reduce China's electric car production, which will have some impact on Mongolia's exports. In February 2025, Germany will hold elections. South Korea is dealing with a governance crisis and has been unable to resolve its presidential issues for quite some time. Yesterday, the Prime Minister of Canada also announced his resignation. With these many events, how international conditions will change and affect economic growth remains uncertain. Internally, the recent increase in electricity prices and wages and allowances before the end of the year, along with the distribution of dividends, is likely to fuel inflation. Specifically, we might face a sharp increase in consumer goods prices. Also, the several years of budget expansion, particularly the 2024 budget amendment and the significant increase in the 2025 budget, will have an impact. Therefore, the Bank of Mongolia is not expected to lower its policy rate, and a tight monetary policy will continue. Additionally, the price of Mongolia's main export product, coking coal, is expected to decrease by more than 10 percent. - Large projects and programs are planned to start at the state and capital levels this year. However, due to limited state budget, they are planned to be funded through foreign investment, international loans, and aid. How beneficial will these projects be to the economy? Mongolia ranks low in infrastructure. If we can implement major projects, we can overcome transportation and logistics difficulties. It would also have the advantage of bringing a significant amount of funds into the economy. Unfortunately, this also usually increases inflation. - Most loans, aid, and investments are planned to be sourced from China. How will increasing Chinese investment affect the economy? It is more appropriate to attract loans, aid, and investments from many countries. If we rely on a single country, there is a risk of becoming overly dependent on that country. - The draft investment law will be discussed in the spring session. What should be prioritized in this law? In the investment law draft, it is crucial to establish a stable foundation for a long-term investment office or agency. The functions should remain stable in the long term. Moreover, it is important to protect the rights and interests of investors. Following and implementing agreements over the long term is vital. The biggest issue related to investment is instability. Instability is not just about legislation issues. It should be looked at three levels, including legislation, the responsible organization, and the people working there. When people change, they start implementing differently, or they change the organization, leading to many problems. - The implementation of the Uran and Gashuunsukhait-Gantsmod border projects has become certain. What will be the economic benefits of these projects? These are necessary projects for Mongolia. Today, the world is going through the Fourth Industrial Revolution. The first industrial revolution took place in Europe. Look at the development level of Europe today. The world has well-developed technology. We have an opportunity to become independent of energy dependency. How long should we sit around with power outages every day? Bringing Gashuunsukhait-Gantsmod customs into circulation will improve the economic flow, positively affecting transportation and logistics by increasing capacity. - The Development Bank will finance projects worth two trillion MNT by 2025. Will this offer advantages for individual entrepreneurs? If they collaborate with individual entrepreneurs, it will provide advantages. However, it is likely that only large entrepreneurs will benefit. The criteria need to be clear, such as having agreements to collaborate with small companies. - Increasing state involvement poses a risk of slowing the growth of the nascent business sector? Determining the appropriate level of state involvement in a market economy like Mongolia's is correct. If state involvement is too high, there is a risk that business sector growth will slow down. - Our country has experienced many instances of major projects starting and then stalling. What should be focused on to avoid such conditions? It takes many years to implement major projects. Therefore, it is necessary to correctly calculate the implementation time and funds from the beginning. Naturally, as they are developed over many years, the initially estimated costs rise due to various reasons such as the depreciation of the exchange rate and increasing prices. There is a risk that funding will halt during implementation. When implementing large projects, it is important to proceed with determination, implement it within the calculated time, and resolve the funding issue. Otherwise, the risk of stopping mid-way due to cost overruns is high. Also, good monitoring is needed. Mongolians tend to want to implement major projects quickly with low expenses but often lack the patience for long-term implementation. - Thank you for the interview.

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Buying Low-Quality Binders from China at High Prices

Published: 2025-01-08 | Translated from: news.mn

Every year, at the end of the year, "Tavantolgoi Fuel" LLC announces, "We aim to satisfy our next year's binder needs entirely from domestic production." However, in reality, only 50% is sourced from domestic producers, with the remaining 50% being purchased from Chinese manufacturers. This year, the situation has worsened, and purchases are being made exclusively from Chinese manufacturers. Consequently, the domestic companies that previously supplied binders are now left idle. The key issue is that, while domestic companies produce higher quality products than those from China, they are instead purchasing poor-quality binders at higher prices from the neighboring country. We discussed this matter with O. Davanyam, the factory manager of "Garâ¹² Baril Tech" LLC, which used to supply binders to "Tavantolgoi Fuel" LLC. - Your "Garâ¹² Baril Tech" LLC was the main supplier of binders for the briquettes produced by "Tavantolgoi Fuel" LLC, but now appears to have lost its position to Chinese suppliers. Is your factory still operating? - Our company was established in 2017. Since "Tavantolgoi Fuel" LLC started operations in 2019, we initiated research and testing to produce binders for briquettes to supply to the company, and began supplying domestically produced dolomite binders in 2022. As of now, the factory is not in operation. - Why did "Tavantolgoi Fuel" LLC stop purchasing from you? - They stopped purchasing from domestic suppliers, as they opted to import from China. - Does that mean the other domestic factories supplying binders to "Tavantolgoi Fuel" LLC have also ceased operations? - Yes, besides us, there are three other factories that supplied binders to "Tavantolgoi Fuel," and they are also inactive. - According to relevant laws and regulations, preference should be given to domestically produced goods in tenders. So why did "Tavantolgoi Fuel" LLC choose imported binders? Is it due to differences in quality? - In terms of quality, domestically produced binders are not inferior to imported ones, but are actually superior. All domestic companies use the same intellectual property patent and produce dolomite binders with the same technology. There are many advantages compared to imported binders. Firstly, domestic binders are cheaper than those from China. Secondly, they reduce sulfur emissions from fuel combustion by 2-4 times. Thirdly, they dry quickly at lower temperatures during briquette production, among other advantages. - Experts say that the main cause of Ulaanbaatar's poor air quality is the high sulfur emissions. So, domestic binders supposedly reduce sulfur emissions more effectively than imported ones. Can you elaborate? - Since 2016, the Mongolian government has been cooperating with Japan's JICA international organization to implement a project to reduce air pollution in Ulaanbaatar. According to technical guidelines from this project, it is recommended to mix coal briquettes with dolomite or limestone to reduce sulfur emissions from combustion. In line with this, we started research and experimentation, and since 2019, we have conducted numerous tests and assessments with "Tavantolgoi Fuel" LLC and have introduced production based on conclusions from all relevant organizations. - I understand that domestically produced binders have multiple advantages over imported Chinese ones. Could it be that domestic factories cannot meet the needs of "Tavantolgoi Fuel" LLC in terms of capacity? - There is absolutely no reason why capacity would be insufficient. Our factory alone has the capacity to produce 200 tons of binders per day. Combined, the other factories can produce and supply up to 500 tons per day. "Tavantolgoi Fuel" LLC uses about 150-160 tons of binders daily during peak demand, so it's clear how much capacity our domestic factories have. - What are the characteristics of Chinese binders, and what are they made of? - Chinese binders are made of bentonite or ceramic clay mixed with starch. They only serve to bind the coal into shape, without absorbing sulfur dioxide. Also, they take longer to dry at higher temperatures, which is a major cause of moist briquettes. - You mentioned that the domestic binders are of better quality and cheaper than those from China. Why, then, are they opting for Chinese imports? Could it be due to corruption and financial misconduct? - Frankly, it is disappointing. They pay 100% upfront for huge quantities of poor-quality binders from China. Moreover, they do the customs clearance themselves at Zamyn-Uud and incur additional transportation costs to bring it to Ulaanbaatar, as stated during the "Coal Hearing." On the other hand, domestic producers deliver binders directly to "Tavantolgoi Fuel" LLC's warehouse. Payment is made based on completion, after delivery. We have not yet received payment for our last supply. It's been over two months. In the meantime, we are burdened with employee wages, bank loan interest, supplier payments, and transportation fees. It's unfair to favor foreign manufacturers over domestic ones. "Tavantolgoi Fuel" LLC is a Mongolian company. At least, if they sourced what can be produced domestically, many young people would have jobs and income. Instead, our youth, who are eager to contribute, are left jobless in their homeland, losing out to the Chinese.

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Draft Law to Improve Productivity, Transparency, and Governance of State and Local Government-Owned Companies Submitted

Published: 2025-01-08 | Translated from: itoim.mn

Mongolian Prime Minister L. Oyun-Erdene submitted the draft law aimed at improving the productivity, transparency, and governance of state and local government-owned companies, along with accompanying legislative proposals, to the Speaker of the State Great Khural, D. Amarbayasgalan. According to the National Wealth Fund Law adopted to ensure the implementation of the Constitution of Mongolia, if the state's share in state-owned and state-involved legal entities in the mining extraction and mineral processing sectors is up to 34%, all dividends owed to the state shall be centralized in the National Wealth Fund. This fund aims for equal and fair distribution to current and future citizens and ensures the implementation of long- and medium-term policy documents for development planning and policy, by adhering to international best practices and establishing good corporate governance. It is expected that, upon the approval of this draft law, the following policy-driven outcomes of significant importance for social, economic, and legal development will be achieved: The principle of "state regulatory and ownership policies being separate," commonly adhered to in countries with democratic, market-based economic systems, reflecting the constitutional aspiration of the state as a regulator in economic relations, will be embodied in law and will become practically implementable. The foundational conditions will be established to implement major projects of critical importance for economic and social development, create wealth through engaging under equal conditions and rules as the private sector, and create a system for optimal redistribution of wealth. The status of state and local government-owned and state-involved legal entities established in violation of the forms set by Civil law will be clarified. Opportunities will be provided to avoid business risks that restrict competition and cause losses, in sectors where the private sector can operate without state intervention, and which can develop according to market principles without state interference. Enhancing corporate governance will increase control systems, transparency, responsibility, profitability, and financial efficiency, raising company value, and improving tax revenue and state-owned dividend performance. Conditions will be established for the state and local governments to transparently, fairly, and responsibly implement shareholder rights without causing competition barriers. During this session, the draft resolution of the State Great Khural for approving the "General Development Plan of Ulaanbaatar City until 2040" was also submitted.

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B. Purevdorj: The Need to Reduce VAT to 5% as Businesses Struggle

Published: 2025-01-08 | Translated from: isee.mn

According to Article 11.1 of the Law on Value Added Tax, all types of goods, works, and services sold within the territory of Mongolia and imported into Mongolia are subject to a 10% tax on the sale value. In other words, consumers pay a 10% tax to the state on every purchase. However, Member of Parliament B. Purevdorj has drafted a bill to reduce the 10% tax to 5%. He has not submitted the bill to the State Great Khural yet and has only developed a change to Article 11.1. In an interview with B. Purevdorj regarding this bill, he emphasized, "VAT is taken at every stage of trade and service, which is emptying the pockets of residents in remote areas." "The current VAT is 10%, with a 2% refund. My proposed bill suggests lowering VAT to 5% while keeping the refund at 2%. This is very important for businesses and for people living in remote areas. For example, 500 ml bottled water is produced in Ulaanbaatar for 1,000 MNT, with 100 MNT VAT, and is delivered to the wholesale center. When distributed from the wholesale center to city shops, it reaches consumers at 1,150 MNT. However, when transported from Ulaanbaatar's wholesale center to Khovd province's wholesale center, additional profits and transportation costs along with VAT are added. Eventually, at the Khovd province wholesale center to Erdeneburen district shop, more costs including VAT are added before sale. Taking VAT at each stage of trade and service is especially straining for residents in remote areas. Thus, 500 ml of bottled water sold for 1,150 MNT in Ulaanbaatar is priced at 1,600 MNT in Erdeneburen, Khovd province. "If VAT was originally meant to monitor production and trade numbers, now it just empties pockets and puts businesses in debt." "Why do businesses remain heavily taxed? Because we are a consumer nation, not a producer. Many goods and products imported without customs duty and processing fees are then sold without VAT. In such cases, trades happen under the table without VAT. This leads businesses to accumulate VAT debt when trying to report sales revenue." "In addition, we are an agricultural nation. Our herders aren't VAT payers and have poor registration. Thus, companies processing and producing milk, wool, cashmere, and leather products have to add VAT in the later stages of production and sale, even though there's no VAT from the herders. So VAT becomes an issue whether importing or producing domestically." "VAT is meant to record trade and services, not to oppress people. My goal is to fix this." "Successive governments have opposed reducing VAT, fearing a drop in tax revenue since VAT contributes 26% of tax income. But Mongolia has 180,000 businesses, with only 80,000 registered as VAT payers. So, 100,000 businesses are selling without VAT. Meanwhile, 250,000 sole proprietors are operating, with only 50,000 registered for VAT. If these people received a 2% VAT refund and paid a 3% tax, they'd all register as VAT payers. This would record all trade, establishing a stronger tax base without reducing VAT revenue." "This failure to address taxes systematically burdens the few compliant businesses while allowing under-the-table trade to flourish. Fairness dictates everyone should pay taxes equally. Some grow wealthy in plain sight, while others face tax audits. VAT is becoming overbearing." "Have you gathered opinions from businesses?" "Yes, there's concern that VAT is getting out of hand. For example, take a dumpling factory. They buy meat from herders without VAT and other ingredients with VAT. The main cost of those dumplings is undocumented for VAT purposes, creating imbalanced taxation. Thus, companies find themselves unable to account fully for VAT due to parts of their supply chain." "Ultimately, I bear the VAT cost as the end consumer. I receive a 2% refund, whereas a previous parliament proposed increasing this to 5%. How does your bill improve on that?" "In a district with 20 shops, only one or two provide VAT receipts, leaving 18 without VAT receipts, so refunds and lotteries don't benefit them. Lowering VAT to 5% with a 2% refund encourages everyone to comply willingly. This leads to universal receipt issuance and sufficient refunds." "High VAT leads consumers to choose cheaper, non-VAT options, giving stores alternate selling opportunities without VAT." "Efforts to reduce taxes and support SMEs are often countered by the Ministry of Finance with economic stability concerns. In a nation like ours, what's the standard VAT rate, internationally speaking? Have you compared?" "As of now, 80 out of 200 nations have VAT at 10%. We're resource-reliant, not manufacturing-led. Transitioning requires optimal tax policies. For now, VAT impedes new manufacturing initiatives." "The tax policy needs revising to ease citizens' burdens and encourage business growth. Recent PM statements on reducing social insurance and tax rates coincide with this proposal." "Taxation overloads income with multiple deductions, indicating reform necessity. Do you agree?" "Yes, income and social tax obligations are undeniable, albeit too high. Post-2017 IMF program cessation, unchecked government borrowing increased. Despite previous hard-won concessions, decisions like raising retirement age and sustaining high social insurance rates persist. Therefore, essential economic policy adjustments will follow in the spring session." "Thank you for the insights."

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Position: VAT Has Become a Tool for Generating Budget Revenue

Published: 2025-01-08 | Translated from: news.mn

In Mongolia, businesses and organizations are increasingly unable to operate due to tax burdens and debts, according to industry representatives. Recently, a Member of Parliament announced that he had drafted a bill to reduce the 10% VAT to 5%. Representatives from businesses and an economist share their views on this matter. Economist Ch. Otgochelove believes that reducing Value Added Tax (VAT) is the right move and supports it. In most countries, a trade tax is collected for registration purposes, usually around 3%. They don’t collect a revenue tax but collect VAT without taking from sales revenue. It seems like other countries have high tax rates, yet the tax base is different. In other words, they take tax on a progressive scale after deducting expenses from sales revenue. For example, people with low salaries don’t pay income tax at all. Tax is collected on any income that exceeds a certain limit. Our country collects 10% tax from everyone regardless of salary. Additionally, VAT is collected. Even retirees pay VAT when making purchases, which becomes a huge cost. VAT was originally intended to expose the underground economy and create registration. However, it is deviating from its original purpose due to its high proportion in budget revenues. This indicates it has transformed into a major tool for generating budget revenue. Mongolia’s budget is very extravagant, fueling inflation. The government takes 10% from the sale of goods and services, so it benefits when prices rise. Meanwhile, people’s lives are difficult, and average salaries are decreasing. All companies are in debt, owing taxes, VAT, and social insurance contributions. No companies are trading in cash anymore. This situation cannot continue indefinitely. When copper and coal prices were high, we compensated for our deficit and distorted system. But there is a risk of worsening conditions from 2025. The trade war between China and the U.S. is reigniting. As a result, coal prices may drop, leading to reduced coal exports. This will be a heavy blow to the economy, the consequences of which will be borne by citizens and businesses. Reducing VAT pressure would be beneficial for citizens, businesses, and the private sector. Therefore, the public and businesses should support this law. Conversely, I think the government might not support it. The Prime Minister mentioned tax reform. We don’t know if this means taxes will be increased or decreased. Recently, there was talk of energy reform which only led to price increases without improving efficiency or competition. Therefore, since there was no mention of reducing taxes, I cannot rule out tax increases. Director of "Urbane" company B. Lhagvajav states that VAT was introduced in Mongolia in 1997 and revised in 2016. In 2016, there were 1,600 cash registers, which have increased to 305,000 by the end of 2023, registering 1 billion 50 million receipts and generating 183 trillion MNT. This shows a VAT registration system has been established with the help of the private sector and citizens. Currently, 20% is returned as a refund. It’s possible to increase this percentage. The percentage of VAT refundable is up to the government's decision. Improving the VAT refund for citizens would improve registration. Additionally, it's possible to track where the tax money goes. First, if this law comes into effect, it will be beneficial for individuals as the VAT refund will increase. VAT accounting is based on financial accounting, which is wrong. Since the VAT registration is a cash-based system, it should be recorded on a cash basis. Before the money has come in, the business is paying its tax, which is a distortion. Once a business moves to a cash basis, there will be a major change. At customs, VAT, special consumption tax, and customs duty are collected. Customs should stop collecting VAT. VAT should be paid after the sale of imported goods and materials. Customs is not an entity to collect VAT. Almost 80% of customs revenue is from VAT. Eliminating VAT collection at customs would remove the financial burden on businesses. Also, it would eliminate corruption, which has emerged over 30 years due to customs overcharging VAT, creating large artificial payments that become the main source of corruption. Third, the state is a purchaser itself. Therefore, the state should fully reclaim the VAT on work and services performed. This enables the registration of all financial documents and halts corruption arising from government service transactions. Implementing these measures would organize the VAT system if followed by the state, citizens, and businesses. Member of Parliament B. Purevdorj stated: There is immense pressure on businesses from taxes, loans, and rent. Many types of taxes, such as corporate income tax, VAT, social insurance tax, and city tax, negatively affect business operations. VAT stands apart from other taxes as it aims to improve the taxation system, reflecting growth in VAT revenues from the start of 2016, reducing the shadow economy, and improving budget revenue. However, it’s essential to consider that VAT revenue is evaluated by its capability to collect tax revenues. Although the growth in VAT revenue and revenue collection capacity is commendable, it poses risks such as the potential for rising inflation levels and unemployment, possibly leading to a GDP decline. Since VAT is an indirect tax, it influences price policies. When an indirect tax system is introduced, price inflation is observed. Prices paid by consumers increase due to indirect tax impact, and how much they rise depends on the demand-supply balance for the goods and services. This influence impacts growing inflation. Therefore, through the revision of Article 11 of the VAT Law, the proposal is to change from a 10% levy to a 5% levy as stated in “11.1. Apply a 5% levy on the valuation of the sale of goods, works, and services as mentioned in 7.1.1, 7.1.2 of this law,” instead of the current 10%. Once approved, this legislative change is expected to improve the income collection measure, support business operations, and create a positive economic environment by increasing the tax base of taxpayers while not diminishing the national tax revenue but potentially increasing it.

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It's Too Early to Rejoice Over Positive Economic Indicators

Published: 2025-01-08 | Translated from: news.mn

The General Customs Administration of Mongolia has presented the preliminary forecast for the export of mineral products in 2024. Specifically, coal export revenue is expected to reach $8.7 billion, with the amount of exported coal since the beginning of the year reaching 83.7 million tons, marking the first time in history that coal exports have exceeded 80 million tons. Of this, 79.5 million tons was hard coal, and 4.2 million tons was lignite. In 2023, 65.8 million tons of coal were exported, yielding $8.7 billion in revenue, which is comparable to this year's earnings. In other words, despite the physical volume of coal exports in 2024 increasing by nearly 18 million tons compared to the previous year, the revenue derived from it did not grow. This is not a reason for Mongolia to proudly celebrate a record of exporting over 80 million tons of coal, but rather an indication that the value of Mongolian coal has depreciated and lost value compared to the previous year. It is time to pay attention to and discuss this. Mongolia aimed to export 78 million tons of coal in 2024 at a price of $115 per ton, generating $8.9 billion. However, according to preliminary performance data, despite exporting an additional 5.7 million tons of coal, a loss of over $2 billion was incurred. Furthermore, the 2025 budget anticipates 83 million tons of coal to be priced at $105 per ton. If coal prices continue to decline, there is a real risk of a budget revenue shortfall this year. Although Mongolia's macroeconomic indicators showed many positive signs at the turn of the years, some economists are warning that inflation and its consequences will pose significant challenges to the economic outlook for 2025. Political transitions and geopolitical changes in major countries suggest that inflation might re-emerge in developed nations, with the speed of interest rate reductions being slower than earlier anticipated. During the COVID-19 pandemic, the main causes of price increases were attributed to higher import and transportation costs. However, over the past two years, as macroeconomic indicators have improved and foreign currency reserves have exceeded $5 billion, domestically-induced inflationary pressures are seen as hitting the mark. Consecutive economic growth, budget expansion, wage increases, consumer loan growth, voting, and dividend-related cash transfers have fueled domestic demand expansion and inflation. In addition, prices for meat soared due to drought and supply effects, electricity tariffs increased by 30%, private sector wages, and education service fees rose by 20%, contributing to inflation risks, according to D. Gan-Ochir, a senior economist at the Bank of Mongolia. Additionally, demand expansion is set to continue, with not only electricity but also thermal prices going up in May, and the "second wave effect of inflation" expected to continue, causing inflation to rise and potentially reach double digits (but not likely to exceed 15%). Annual inflation was at 7% in October 2024 and increased to 8.1% nationwide in November, driven by rising electricity prices, which accounted for 0.6 percentage points of the annual inflation in October and 1.9 percentage points in November. In addition to the rise in electricity prices, internal demand associated with economic recovery and growth, and the impact of wage increases have led to higher-than-expected rises in service, rental, and import goods prices, contributing to increased inflation in recent months, as assessed by the Bank of Mongolia. Furthermore, there are several instances of seasonal inflation spikes throughout the year in Mongolia, exacerbated by festivity price hikes, such as Lunar New Year. During these times of high cash circulation in the market, it has become customary for the government to disburse certain amounts of cash under the name of dividends to citizens holding 1,072 shares of Erdenes Tavantolgoi LLC. At the end of 2024, in anticipation of New Year celebrations, an advance dividend of 135,000 MNT was distributed to each citizen. There is a plan to distribute the remaining dividends before the Lunar New Year. Additionally, pensions for the elderly and state employees' salaries were increased by 6% from January 01 of this year to align with inflation growth. Such economic overheating inevitably fuels further price hikes. Unfortunately, wage, pension, and allowance increases meant to shield citizens from price shocks and aid their income are now also a cause of further price hikes. Low-income and fixed-income individuals are the first to be affected by price increases. Economists warn of several examples where fragile living conditions combined with high inflation have led to social instability and political repercussions. Therefore, it is not wrong to reevaluate targeted social protection policies, to be sensitive to the social climate, and react accordingly. Fundamentally, when the government retracts its claws from the business sector and implements policies to support domestic businesses, enterprises, and manufacturers, the national economy becomes healthier. However, this policy is often applied inversely in Mongolia. As a result, the central bank's Monetary Policy Committee has no choice but to adopt a tight monetary policy dependent on governmental policies and budgetary expansion decisions. In reality, a tightening in monetary policy directly translates to higher loan interest rates for citizens and enterprises. Consequently, the number of business enterprises borrowing high-interest money from banks to generate profits and create jobs is dwindling day by day rather than increasing. The increase is only shown in the number of paper-based enterprises filing X reports annually. To prevent private enterprises from closing one after another, it is crucial to establish long-term, flexible loan sources for them. Yet, during the regular meetings on December 12-13, 2024, the Monetary Policy Committee of the Bank of Mongolia considered the current state of the economy, the banking and financial markets, and external risks and decided to: - Maintain the policy interest rate at 10%; - Increase mandatory reserve requirements for the national currency and foreign currency in banks by 1 percentage point each, bringing it to 11% and 16%. Should the cash supply in the market continue to grow and fuel inflation, raising the policy rate becomes inevitable. This will add uncertainty in obtaining new loans, refinancing, and maintaining normal business operations. Rising inflation strengthens the domestic currency's real exchange rate against foreign currencies, penalizing exports, and encouraging goods and services importation (it becomes profitable to import and sell goods domestically and cheaper to travel abroad). Thus, the next major risk to watch is the stress on the balance of payments. Therefore, do not become overconfident in positive economic indicators, as price increases, coal price fluctuations, and external and internal economic indicators clearly show what's at stake. A politician might lie, but in essence, numbers do not lie.

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"We Will Eliminate the Notion that State-Owned Companies Operate Unprofitably"

Published: 2025-01-08 | Translated from: unuudur.mn

Over 120 state-owned companies are planned to be reduced to 70. The dissolution and merger will be decided within the legal framework. Accordingly, a draft law to increase the productivity of state and local government-owned companies and improve governance is being prepared by the government to present to the Parliament. The Government Office, the National Committee for State Productivity, and the Mongolian National Chamber of Commerce and Industry jointly organized a discussion on the proposed draft law. About 200 representatives from state and private sectors participated. During the discussion, participants talked about either dissolving or merging non-performing companies and ways to save budget expenses. Industry experts also exchanged ideas on what issues should be resolved within the legal framework and what measures should be taken going forward. Regarding the draft law, the Head of the Government Office, N.Uchral, stated, "By having a law to increase the productivity of state-owned companies, improve governance, and ensure transparency, we can reduce political influence. The principle of selecting board members and executive directors has been unclear for many years. Although it is called an open selection process, it has not been so. Therefore, the selection process will be made clearer with legal and regulatory reforms. For example, a director of a company that operates at a loss is receiving the same salary as the management of a company contributing 270 billion revenue to the Wealth Fund. Therefore, performance will be evaluated over a year, and if losses do not decrease, the director will be dismissed. If a company operates at a loss for three consecutive years, it will be dissolved. The law will also determine the extent of state involvement, with the government having its guidelines for state-owned companies approved by Parliament. As of 2023, 51 out of 122 state-owned companies have operated at a profit of 380 billion, while five have operated at a loss of 4.7 trillion tugriks. By passing this draft law, the company, efficiency, and returns will coexist, eliminating the notion that state-owned companies operate unprofitably." Participants in the discussion stated, "It is right to dissolve unprofitable organizations. Profitable and loss-making company employees should not have the same salary. Moreover, politicians should not employ their wives and children in state-owned companies. Qualified and knowledgeable people should be the ones working. Recently, if you don't have support from a certain politician, it has become impossible to work or compete for leadership positions in state organizations. A simple example of an unfair system is state-owned companies. Therefore, state-owned companies should be independent of politics, and the Board should include independent members. Also, they should transparently report their annual reports to citizens." - U.Tsetseg

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Sugar and Vegetable Imports Increase by 30%, Egg Imports Decrease by 43%

Published: 2025-01-08 | Translated from: isee.mn

The General Customs Administration provides the following information regarding last year's export and import figures, reporting a positive balance in foreign trade. Among the main food products imported, sugar imports show the highest increase, with a 38% growth compared to the same period in 2023, while vegetable imports grew by 35%, and wheat flour imports increased 148 times compared to the same period in 2022. However, imports of eggs, white rice, and dry milk have decreased by 10-40% compared to the previous year.

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D. Enkhtuvshin: The Prime Minister's Statement on Reducing Taxes and Social Insurance Contributions Is Not a Political Decision?

Published: 2025-01-08 | Translated from: itoim.mn

During the meeting of the State Great Khural's Standing Committee on Economics, the Secretary of State of the Ministry of Finance provided a brief report on the measures taken to implement the objective of increasing exports and the progress made, as well as the trading of mining products on the exchange. In 2024, 22.4 million tonnes of coal, 2.4 million tonnes of iron ore and concentrate, 17.6 thousand tonnes of fluorspar, and 5.4 thousand tonnes of copper concentrate were traded through the mining products exchange. The report also detailed the measures taken to support investors, attract investments, protect investments, and create a favorable environment for business activities. Part of this is the implementation of comprehensive measures to support investment through tax policy. It was introduced that the income tax on profits from stocks and securities sales will be reduced by 90% until 2027 and by 50% until 2029. Regarding the presentation, State Great Khural member D. Enkhtuvshin inquired about the reduction of taxes and social insurance contributions. He mentioned that the Prime Minister stated that tax and social insurance reforms will be made at the turn of the year and changes will be introduced in the spring session. Since the new parliament was formed, there has been considerable discussion and inquiry regarding the reduction of taxes and social insurance contributions. What is the stance of the Ministry of Finance on this issue? Secretary of State of the Ministry of Finance J. Ganbat replied: "We will first conduct research. What should be done with small, medium, and large businesses? We will also conduct research by sector. We will study what business owners want. Listening to their proposals, we will examine the feasibility and define our policy based on that. Frankly speaking, we will consider our budget revenue. Business owners obviously aim to pay the least possible taxes. However, on the other hand, we aim to provide governmental services to the citizens and need to think about our budget revenue. We are working on these matters, aiming for tax reforms. Especially regarding social insurance contributions, there's been long-term stability. There is still a large amount of the economy that is informal." State Great Khural member D. Enkhtuvshin stated: "The Prime Minister said the tax reforms would be based on the enterprises' proposals. On this basis, some members are initiating a law to reduce VAT to 5%. When the Prime Minister suddenly makes politically charged statements, is it challenging for the Ministry of Finance? If it were feasible, wouldn't it have been included in the Government's action program? Previously, when many members asked, the Finance Minister said tax reduction was not possible." Secretary of State of the Ministry of Finance J. Ganbat responded: "We consider that decisions are not made impetuously or politically charged. There are many studies on tax and social insurance. For example, the previous parliament had extensive discussions on VAT. International organizations and experts have stated that our VAT rate is not high." Business owners want to pay the lowest possible tax. Meanwhile, we want to ensure budget revenue and maintain stability.

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Diplomacy

The Government Submits Investment Agreement Draft with "Orano Mining SAS" to Parliament for Consultation

Published: 2025-01-08 | Translated from: itoim.mn

Chairman of Mongolia's State Great Khural D. Amarbayasgalan was presented with a proposal from Prime Minister L. Oyun-Erdene to consult on additional financing for the EPC-04 package of the Oil Refinery project and the draft Investment Agreement with "Orano Mining SAS." Due to the economic crisis, price increases in materials, equipment, and technology licenses over recent years, additional requirements set by licensors, the cost of the EPC-04 package of the "Oil Refinery Construction" project, which includes main plant buildings and oil processing work, has increased by approximately 30% over the estimates calculated in the 2018 feasibility study. Consequently, the Ministry of Finance requested additional financing from the loan resources of India's EXIM Bank, which has approved the funding. Therefore, a proposal to consult on the additional financing loan agreement has been submitted to the State Great Khural, explained Prime Minister L. Oyun-Erdene. By negotiating and ratifying the agreement project with "Orano Mining SAS," which is the investor in "Badrakh Energy" LLC, the State Great Khural will approve the second largest foreign investment agreement from a third country. This will lead to increased foreign direct investment, with an annual contribution of 520 billion MNT to the state and local budgets, a total of 17.1 trillion MNT throughout the project's duration, 61.5 billion MNT annually, and a total of 2 trillion MNT to the National Wealth Fund. The project is also expected to introduce new technology, creating 1600 jobs, according to reports from the Government of Mongolia, as stated by the Communications Department of the State Great Khural.

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Approved the Appointment of N. Oyundari as the Ambassador to Poland

Published: 2025-01-08 | Translated from: itoim.mn

At today's meeting of the Standing Committee on Security and Foreign Policy of the State Great Hural, the issue of consulting on the appointment of an ambassador proposed by the President of Mongolia was discussed. The Foreign Policy Advisor to the President, E. Odbayar, presented the proposal. Members of parliament asked questions and gave remarks in connection with the President's proposal and the candidate. Member of Parliament D. Enkhtuvshin stated: "Our economy should aim towards larger markets. What opportunities are there for Mongolia to cooperate with Poland in terms of economic relations? Given that Poland is prominent in Europe for industrial production, I see significant opportunities for Mongolia in terms of training labor and transferring know-how. I would like to hear the candidate's opinion on this matter." "Political appointees or individuals with political duties are often appointed as ambassadors. Regarding these relations, what policy is the Ministry of Foreign Affairs pursuing?" Candidate N. Oyundari responded: "The economic relations between Mongolia and Poland are expanding and developing. Over the past 3 years, the economic turnover has doubled, and trade turnover has reached around 100 million USD, with potential for further growth. We import a lot from Poland, including food products, construction materials, and chemicals. Within the European Union, Poland ranks third in economic terms after Germany and Switzerland. "During the visit of Polish President Andrzej Duda to Mongolia, a Mongolia-Poland business forum was organized. About 200 representatives from both sides participated in the forum and engaged in discussions on mutual cooperation. There is significant potential. About 100 Mongolian citizens work and live in Poland, primarily in the field of traditional medicine. Mongolia exports traditional medicine products, wool and cashmere, and animal-derived products. There are opportunities for cooperation in agriculture. Mongolia has established government agreements with over 30 countries. There is potential to expand economic relations in construction, agriculture, and the pharmaceutical sector."

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Former Member of Parliament N. Oyundari Proposed as Ambassador to the Republic of Poland

Published: 2025-01-08 | Translated from: ikon.mn

Today's meeting of the Standing Committee on Security and Foreign Policy discussed the appointment of an ambassador submitted by the President of Mongolia. E. Odbayar, the Foreign Policy Advisor to the President, introduced the proposal for N. Oyundari to be appointed as the Ambassador Extraordinary and Plenipotentiary to the Republic of Poland. In his introduction, E. Odbayar cited the legal basis for the appointment, referencing the 5th provision of Article 33, Section 1 of the Constitution of Mongolia, Article 14, Section 3 of the Law on the President, Article 15, Section 4 of the Law on the Government, and Article 16, Section 1 of the Law on Diplomatic Service. The issue was previously discussed at the Government meeting, where members expressed support for the nominee. N. Oyundari brings significant experience in public service and the diplomatic field, along with strong professional skills and management experience. He is proficient in multiple languages, including Russian, English, German, and Chinese, and meets the requirements stipulated in the civil and diplomatic service legislation. During the ongoing discussion, members posed questions. Member of Parliament D. Enkhtuvshin inquired about plans to expand economic relations between Mongolia and Poland and the Foreign Ministry's policies regarding the appointment of politicians as ambassadors. N. Oyundari responded that economic relations between Mongolia and Poland are indeed expanding, noting that economic turnover has doubled over the last three years, reaching approximately 100 million US dollars. He indicated that this figure is expected to grow, with Mongolia exporting food products, construction materials, and chemical products to Poland. He also mentioned ongoing investment activities by Poland in Mongolia and noted that about 100 Mongolian citizens work and live in Poland, primarily in the field of traditional medicine. Foreign Minister B. Batsetseg commented on the current diplomatic landscape, highlighting that there are 50 diplomatic missions, 34 of which are embassies. She also noted that in the past four years, head appointments have become more professional, with only 22% being politically appointed rather than professional. After the question and answer session concluded, the committee held a vote regarding the support of N. Oyundari's appointment as Ambassador to the Republic of Poland. A majority of participating members supported the appointment, which will be further discussed and confirmed in an upcoming session of parliament.

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NBSPCC: Proposal to Appoint N. Oyundari as Ambassador to Poland Supported

Published: 2025-01-08 | Translated from: isee.mn

The meeting of the State Great Khural's Standing Committee on Security and Foreign Policy started today at 1:30 PM with 52% of the members present, discussing and resolving two issues. There were no questions or speakers related to the agenda introduced by Committee Chairman G. Temuulen. The issue of consulting on the appointment of an ambassador submitted by the President of Mongolia was discussed. Presidential Foreign Policy Advisor E. Odbayar introduced the matter. He noted that based on Article 33, Section 1, Paragraph 5 of the Constitution of Mongolia, Article 14, Paragraph 3 of the Law on the President of Mongolia, Article 15, Paragraph 4 of the Law on the Government, and Article 16, Section 1 of the Law on Diplomatic Service, the appointment of Navan-Yunden's Oyundari as Ambassador Extraordinary and Plenipotentiary of Mongolia to the Republic of Poland is proposed. The proposal was discussed at the government meeting and supported by government members. N. Oyundari, the nominee for the ambassadorship, has extensive state service experience, expertise in diplomatic service, and high professional skills, including leadership experience. She is proficient in Russian, English, German, and Chinese. It was viewed that she meets the criteria for public and diplomatic service and is capable of working in special state service. Members of the State Great Khural, including D. Enkhtuvshin, J. Enkhbayar, and D. Ganbat, asked questions and spoke regarding the President's proposal and nominee. D. Enkhtuvshin inquired about efforts to develop economic relations between Mongolia and the Republic of Poland. In her response, nominee N. Oyundari stated that the economic relations between the two countries are expanding significantly, with economic turnover doubling in the past three years and trade turnover reaching around 100 million USD, with possibilities for further growth. There are opportunities to expand cooperation in agriculture, health, and construction sectors. Members expressed their support for appointing the diplomat, who has experience as Deputy Minister of Foreign Affairs and demonstrated political and state service experience, as an ambassador, while emphasizing the importance of developing economic relations, especially cooperation in agriculture. In the voting, the proposal to appoint Navan-Yunden's Oyundari as Ambassador Extraordinary and Plenipotentiary to the Republic of Poland was supported by 16 out of 17 members present. The session continued with the discussion of the "Agreement between the Government of Mongolia and the Government of Japan on the Transfer of Defense Equipment and Technology." Minister of Defense S. Byambatsogt introduced the matter. He explained that the intergovernmental agreement was part of the "Special Strategic Partnership for Peace and Prosperity" action program established during President U. Khurelsukh's state visit to Japan, with working groups from both sides reaching consensus to finalize the draft. The agreement issue was discussed and supported at the government meeting and consented to by the Standing Committee on Security and Foreign Policy, leading to a resolution by the Prime Minister of Mongolia to "Grant Signing Authority." The agreement was signed in Ulaanbaatar. This agreement is classified as an international treaty requiring ratification by the State Great Khural in accordance with Article 8, Sections 8.1.6 and 8.2 of the Law on International Treaties. The draft law consists of one article. The draft law complies with the Constitution of Mongolia, international treaties to which Mongolia is a party, and other legislation, with no new or amended legislation necessary upon its enactment. The draft law, as stated in the introduction, will not have adverse economic and social impacts nor require additional budget expenditures if enacted. In relation to the draft law, State Great Khural member D. Ganbat expressed support for the transfer of defense equipment and technology between the two countries and inquired about how personnel training for using these technologies would be resolved. Member B. Batbaatar asked about efforts to positively communicate to citizens and neighboring countries about activities aimed at expanding cooperation in defense and security with various countries. The "Agreement between the Government of Mongolia and the Government of Japan on the Transfer of Defense Equipment and Technology" was supported by the majority of members present in the voting, as reported by the State Great Khural's Press Office.

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SÜKHBAATAR: Will Collaborate with Wonkwang University of South Korea

Published: 2025-01-08 | Translated from: montsame.mn

A working group led by the head of the Provincial Education Department, J. Tuvshinjargal, is getting acquainted with the primary, secondary, and higher education system in Iksan City, South Korea, learning from their experiences. During their visit to Sukhbaatar Province last fall, representatives of this university extended an invitation for a reciprocal visit. The "Education 2025" working group, aimed at establishing cooperation with the Provincial Education Department and Wonkwang University in Iksan City, Jeollabuk-do, South Korea, includes principals from general education schools in Baruun-Urt district. On the first day, they visited the Education Department of Iksan City to discuss the content of the cooperation agreement and become familiar with their operations, culminating in the signing of a memorandum of understanding for collaboration. The main goal of this collaboration is to assist students graduating from local schools in enrolling at Wonkwang University and to include them in discount and scholarship programs. The education department of Iksan City has been the top performing in the country for the last two consecutive years. The working group also visited the activities and conditions of the "Children's Development Center" under the Wonkwang University and Education Department, studying their experience.

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Infrastructure

Submission of the Draft Resolution on Approving the Ulaanbaatar City Development Plan until 2040

Published: 2025-01-08 | Translated from: montsame.mn

Today, Speaker of the State Great Khural D. Amarbayasgalan was presented with the draft resolution by Prime Minister L. Oyun-Erdene on approving the general development plan of Ulaanbaatar city until 2040. As the population of the capital city rapidly grows and economic and social activities become more active, a lack of planning has led to settlement issues, environmental degradation, and eventually violations of citizens' rights to live healthily and safely. The initiators of the project emphasized the need to create and implement a new urban planning environment. Therefore, significant projects are outlined to be implemented in the draft of the general development plan of the city until 2040, highlighted Minister L. Oyun-Erdene. For instance, the plan includes the development of satellite towns and villages in the Ulaanbaatar region, specializing in areas such as culture, education, agriculture, food, light industry, transportation logistics, special economic zones, and tourism, creating 193,000 new jobs to reduce centralization. Additionally, the city will transition from a single-centered city to a multi-centered city system, creating conditions to bring social and state services closer to the public. Within this framework, the "20-minute city" concept plans to develop and implement 14 towns and sub-cities. The general development plan of Ulaanbaatar city until 2040 has been under preparation since 2017.

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Submitted General Plan to Develop the Capital with over 240 Trillion MNT until 2040 to the Parliament

Published: 2025-01-08 | Translated from: ikon.mn

The government discussed and resolved issues related to the capital city of Ulaanbaatar at today's meeting. Specifically, the meeting discussed the draft law on reducing air and environmental pollution in Ulaanbaatar city and the draft resolution of the State Great Khural "On approval of the general development plan of Ulaanbaatar city until 2040." The Mayor of the capital, Kh. Nyambaatar, introduced this plan. He stated, "In 1954, the capital city of Mongolia adopted its first general plan, and since then, the general plan is being revised for the sixth time and submitted to the Parliament. The core principle of this general plan to develop Ulaanbaatar city until 2040 is to create an accessible city by uniting '20-minute cities'. In this plan, around 470,000 hectares of Ulaanbaatar's territory are planned into three main parts. By 2040, the population of Ulaanbaatar is expected to reach 2.5 million, necessitating the increase of social services, green spaces, public transportation, and road networks, as well as enhancing food supply regions, according to urban development standards. During the preparation of this new plan, the implementation of previous general plans was evaluated. The implementation rate of the development plan until 2020 was 29.3 percent. This low implementation is due to lack of financial resources, leading to insufficient and non-expanded infrastructure provision, concentrating services in certain areas and fostering urban housing policies, which were major shortfalls of the previous plan. Additionally, non-alignment of laws, corruption, and misconduct in office, violations of urban standards in constructions were other related issues. For the implementation of the general development plan until 2040, a preliminary budget of over 240 trillion MNT is projected. More than 120 billion MNT will be allocated from the state's and the capital's budget to increase engineering, heating, and electricity provisions, and to expand and renew pipeline networks. Furthermore, in areas with the technical and engineering capacity, over 120 trillion MNT of construction will be undertaken through public-private partnerships. This is planned to achieve significant measurable results. For instance, pedestrian paths will be increased ninefold, bike lanes twentyfold, the road network will be extended by 17,000 km, the traffic speed during peak hours will be increased from 9 km/h to 22.5 km/h, and about 80 percent of households will be provided with centralized or partial heating supply as per the master plan submitted." The development of this plan began in 2017. Media organizations (Television, Radio, Social, and Web sites) must mention their source (ikon.mn) when using our information in any form, either completely or partially.

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DARKHAN-UUL: A project with $6.9 million funding will be implemented in Ulaanbaatar, Darkhan, Erdenet

Published: 2025-01-08 | Translated from: montsame.mn

The sustainable, resilient, and green cities project aimed at mitigating the negative impacts of climate change will be implemented in Ulaanbaatar, Erdenet, and Darkhan. This project, which will be implemented in more than 20 countries worldwide by the UN, is currently at the research stage, and preliminary discussions, environmental studies, and meetings regarding expected outcomes have been held. This project, starting from 2026 and lasting five years, includes a total of 11 sectoral indicators. Among the indicators, Darkhan city has favorable conditions in terms of increasing green spaces, solving waste management issues, and accelerating development due to favorable population and land conditions, making the implementation of the project feasible. The project, which will be implemented in the three aforementioned cities, has a total funding of $6.9 million, and the amount of funding allocated to each city has not yet been determined. The city that works more proactively and completes its research first will receive more funds from the project's finances. By the end of the project's implementation, an estimated 60,000 people will benefit both directly and indirectly, 8 million tons of greenhouse gases will be reduced, and green spaces will be established on 300,000 hectares of land through afforestation and restoration, according to the UN's Sustainable, Resilient, and Green Cities project consultant responsible for urban waste issues. In ranking the issues facing Darkhan district, suggestions such as the accessibility and quality of drinking water, the maintenance and protection of green spaces, waste segregation and use of grey water, soil pollution, and food safety were introduced to the project team.

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Mongolia Can Now Conduct Direct Flights to 155 Destinations in 46 Countries

Published: 2025-01-08 | Translated from: isee.mn

Mongolia will have the capability to conduct direct flights to 155 destinations across 46 countries thanks to establishing air traffic agreements with countries including the United Kingdom, Uzbekistan, Spain, Latvia, Hungary, and Turkmenistan in 2024, as reported by the Ministry of Roads and Transportation and relayed by Bloomberg TV. Specifically, in 2024, Chinggis Khaan International Airport (CKIA) received over 2.1 million passengers, with 1.7 million of them traveling internationally. 423,798 passengers were served on domestic routes. The airport's operations income reached 155.4 billion MNT, a 25 percent increase from the same period last year, based on expected performances from last year. "Khushig Valley International Airport" LLC has improved the airport's capacity by expanding the international arrivals' usable space by 34 square meters, increasing the terminal space for international arrival and departure passengers by a total of 292 square meters, and adding 14 more international check-in counters. Furthermore, the Ministry reported that MIAT Mongolian Airlines' revenue reached 942 billion MNT with expenditures of 916 billion MNT, achieving a net profit of 23 billion MNT. The company is set to acquire a second "Boeing 787-9 Dreamliner" aircraft for international flights and a "Bombardier CRJ-700" model aircraft named "Mazaalai" for domestic flights in 2024. The expected operations include performing 4,218 flights, transporting 1.1 million passengers, and carrying 14,840 tons of cargo.

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Kh. Nyambaatar: The "General Development Plan for Ulaanbaatar City until 2040" developed since 2017 is ready to be submitted to the Parliament

Published: 2025-01-08 | Translated from: isee.mn

The general development plan for progressing Ulaanbaatar City until the year 2040 is ready to be submitted to the Parliament. This was announced by city Mayor Kh. Nyambaatar. He stated, "During the regular session of the Government of Mongolia, the project to develop Ulaanbaatar City until 2040 was presented. The Government discussed it, and the Prime Minister of Mongolia decided to have this plan discussed by the Parliament." This document has been prepared as a result of a joint task force formed since 2017, composed of Mongolian city planners and foreign urban planning researchers, who have conducted successive foundational research studies to create this development plan for Ulaanbaatar City.

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32 Billion Tugriks to be Spent on Feasibility Studies and Designs for "New Ring Road" and "New Great Ring Road" Projects

Published: 2025-01-08 | Translated from: unuudur.mn

Authorities of the capital city have planned to implement two road projects called the “New Ring Road” and the “New Great Ring Road.” Both projects are currently in the stage of selecting a consultant to develop feasibility studies, designs, and provide advisory services. A total of 32 billion tugriks from the state budget, which is taxpayers' money, is earmarked for this work. In other words, this amount will be spent solely on paperwork detailing how to implement the project, not on the implementation itself. The first project, the "New Ring Road," is already in the stage of selecting a consultant to prepare preliminary feasibility studies and designs. The funding for this work, amounting to 16.9 billion tugriks, was included in last year’s budget, and the tender was announced by the capital's Governor’s Office last October. The tender attracted participants from one Mongolian, one Russian, and two Chinese companies. Out of these, China’s “CSCEC AECOM consultant” company was selected to carry out the work. This company, established in 1959, boasts 65 years of experience and employs over 2,400 staff, working in the fields of road and construction design, research, consulting, and supervision. The company claims to have implemented over 20,000 projects in the East Asian region. According to the task of the consulting service for the “New Ring Road” project, the company's team will develop a feasibility study and preliminary design for the redevelopment of the streets in the Great Ring area. Specifically, they will prepare the preliminary feasibility study and design for the routes including Eastern Four Roads, Sukhbaatar Safety Ring, Bayangol, Western Four Roads, Sun Bridge, “Atar Urgoo” intersection, 120 Urtz, and Sun Road. Furthermore, they will advise on its implementation while supporting the integration of public transport and the road network. The project’s location covers five khoroos in Bayangol district, 12 in Bayanzurkh, seven in Khan-Uul, four in Chingeltei, and six in the Sukhbaatar district. Additionally, the tender for the preliminary feasibility study and designs of the "New Great Ring Road" highway project was announced by the capital's Procurement Agency on November 28 of last year and opened on December 27, just before the turn of the year. Companies from Mongolia, China, and Russia each participated, but the contractor has not yet been finally selected. According to Article 24.1 of the Law on Procurement of Goods, Work, and Services Using State and Local Funds, the client must make a decision within 15 working days after opening the tender. Therefore, the contractor is expected to be selected this month. This work involves spending 16 billion tugriks from the state budget. This project stands out for its broader scope compared to the previously mentioned “New Ring Road.” Officials have developed a preliminary plan to build a highway connecting Terelj, Nalaikh, Zuunmod, Khushig Valley, Emeelt, and Rashaan.

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Kh. Nyambaatar: LNG Pipeline to be Installed in "Green Zone" Covering Gandan, Maternal and Child Health Center, and Districts I, III, and IV Starting Spring

Published: 2025-01-08 | Translated from: ikon.mn

The proposed law regarding measures to reduce air and environmental pollution in Ulaanbaatar city was presented at today's Cabinet meeting and submitted to the State Great Khural. The purpose of the proposed law is to regulate relations aimed at establishing special regime zones and resolving other related measures to protect public health, ensure the right to live in a healthy and safe environment, and prevent environmental pollution and natural balance disruption by reducing the negative social and economic impacts of air and environmental pollution in Ulaanbaatar city. Concerning this matter, the capital's governor Kh. Nyambaatar stated: "Initially, the area around the central part of the city or outside the Small Circle will be designated as the 'Green Zone.' The Green Zone includes areas where: - Burning of any type of fuel and materials other than gas and liquid fuels that meet standards, or use of any solid fuel, is prohibited. - The use of vehicles that emit air pollutants beyond the standard allowed limits is prohibited. Moreover, owners or possessors of these vehicles are banned from buying or selling gasoline and diesel fuel. - The use of underground water for household and industrial purposes in areas connected to infrastructure networks is prohibited. - The use of pit latrines and trench sinks is prohibited. - Open trading of auto parts and services of all kinds of car repairs are prohibited. - Activities related to waste recycling, burning, disposal, and burial as well as establishing points for collecting hazardous waste from the list of recyclable resources are prohibited. The geographical location considered as the 'Green Zone' includes the areas from the back hills of District I to the front parts of the wide road behind District III and IV, Gandan, Maternal and Child Health Center, the 32nd Roundabout, Denjin 1000, 100 ail, the backside residential areas of the national registration area, and the Manba Datsan surroundings. It comprises around 51,000 households within 48,000 unit plots. The project to install an LNG pipeline network in the "Green Zone" is being discussed in partnership with the public and private sectors, aiming to finalize the agreement by January. Conversely, more than 147,000 households will be involved in the "Yellow Zone" aimed at reducing air and environmental pollution. Within this zone, it's planned to introduce double combustion stoves that meet standards and involve 95,000 households in the insulation project. Within the "Yellow Zone," it is prohibited to: - Use other sources besides fuels, stoves, and energy sources that meet standards. - Dispose of ashes in open areas or keep them in unapproved containers. - Use pit latrines and trench sinks with leakage-prone base holes. - Use underground water for car washing. - Establish or plan new cemeteries. Warning: Media organizations (Television, Radio, Social and Web pages) must mention the source (ikon.mn) when using our information in whole or in part in any form.

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In 2025, Network to Be Introduced in Over 100 Locations in Provinces with State Budget

Published: 2025-01-08 | Translated from: gogo.mn

This year, it is planned to introduce mobile communication networks with state budget investment in over 100 remote locations across Mongolia. According to the Ministry of Digital Development, Innovation, and Communications, 23.8% of our country's total habitable land area is covered by terrestrial and cellular networks, while the remaining land is not connected to any network. Source: Ministry of Digital Development, Innovation, and Communications

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Members of the Standing Committee Support the Establishment of a New Railway Authority

Published: 2025-01-08 | Translated from: ikon.mn

In the meeting of the State Structure Standing Committee, the draft resolution of the Parliament on adding an amendment to the annex of the resolution was discussed. The draft resolution was introduced by the Minister of Roads and Transport, B. Delgersaikhan. He noted that during the plenary session of the State Great Khural, the revised Railway Transport Law was approved, which stipulated in Article 10 and Resolution 72 that there should be a government implementing agency responsible for monitoring and regulating railway transport operations. However, the annex of Resolution 13 of the State Great Khural for 2024, which approved the "general outline of the organizational structure of state administrative bodies," did not include the Railway Authority as an implementing agency. Minister D. Delgersaikhan stated that countries like Russia, China, and other nations actively engaging in railway operations have their respective Railway Authorities responsible for regulation and oversight. Our country does not have a similar level organization and has relied on the "Ulaanbaatar Railway" joint-stock company for this role. Over the past 10 years, the railway transport sector has seen the emergence of various legal entities with diverse ownership forms and an increase in the number of users. While there was only one railway infrastructure owner and carrier when the law was passed in 2007, there are currently four infrastructure owners, four carriers, 253 entities licensed to construct and install infrastructure, and approximately 250 specialized and branch railway owners. The cargo transported by railway increased from 14.8 million tons to 42.5 million tons in 2024, a 2.8-fold increase. The sector currently employs about 15,000 people responsible for 1,115 km of railway but is expected to expand to a network of 4,200 km with newly approved railways, increasing the workforce to 50,000, a 3.3-fold increase, as highlighted by the minister. The Railway Authority, to be established under the Minister of Roads and Transport, will be responsible for meeting the growing transport demand, organizing train movements on the railway infrastructure, providing unified management, regulating relationships between infrastructure service providers and carriers, ensuring railway transport safety, developing sector personnel, modernizing the railway infrastructure and vehicle fleet, expanding the transport network, conducting research and studies related to railways, introducing science, technology, and innovation, enhancing international cooperation, improving service quality and accessibility, refining rules, regulations, and standards in the railway sector, ensuring fair market competition among legal entities of various ownership types in the railway transport service, and strengthening public-private partnerships. The Railway Authority as a government implementing agency will be established within the budget of the Minister of Roads and Transport, by disbanding the "Unified Train Movement Coordination Center" state-owned enterprise, and transferring certain positions and functions from the Ministry of Roads and Transport to the agency without burdening the state budget. Members of Parliament raised questions and expressed their opinions regarding the discussed issue, and the majority of committee members supported the discussion of the draft resolution.

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Master Plan: By 2024, 80% of Ulaanbaatar Households Will Be in Apartments

Published: 2025-01-08 | Translated from: itoim.mn

The Mayor of the city, Kh. Nyambaatar, provided information on the matters discussed and decided at the Cabinet meeting. Today, it was decided at the Cabinet meeting to submit a draft of the general development plan for Ulaanbaatar city until 2040 to the Parliament. In this regard, Mayor Kh. Nyambaatar mentions: At today’s regular meeting of the Government of Mongolia, the fundamental document outlining the development direction of Ulaanbaatar city until 2040, also known as the city planning constitution, has been developed based on research conducted by Mongolian city planners alongside international urban development and planning experts. During the process of developing the general plan up to 2040, an assessment was conducted on the implementation of the previous five general plans. For instance, the implementation of the general plan developed up to 2020 was concluded to be 29.3%. The reason why more than 70% of the plans were not implemented was due to a lack of financial resources and the violation of city planning rules by excessively concentrating urban housing in networked areas, which was a mistake of the general development plan up to 2020. Projects totaling 240 trillion MNT will be implemented until 2024. An initial plan has been drawn up to allocate approximately 240 trillion MNT for the implementation of the general development plan of the capital city up to 2040. About 120 trillion MNT will be spent from the state and capital's budget over 16 years, particularly towards increasing engineering supplies, enhancing heat supply, increasing electricity supply, and expanding and upgrading electric and thermal networks. A plan has been prepared to undertake more than 120 trillion MNT worth of constructions in areas that have the planning potential and available technical projects through public-private partnerships. Thus, we will achieve specific results, including: - Increasing the total length of pedestrian paths by 9 times the current extent, - Increasing bicycle paths by 20 times, - Expanding the road network by 17,000 kilometers. As a result, the speed on roads will increase from a speed of 9 km/h during peak times to 22.5 km/h. The goal is to provide about 80% of all households with centralized and sectional heating-equipped apartments. A draft law regarding the reduction of air and environmental pollution in the capital has been prepared and presented to the Cabinet meeting. The core content of this law involves taking the following measures to reduce air pollution: - Establishing green zones and adhering to the stipulated regulations. In the first phase, the areas outside the small ring road of central Ulaanbaatar city will be designated as green zones. The following regulations will be maintained in green zones: completely banning the use of coal or solid fuels, prohibiting vehicles exceeding pollution standards from participating in traffic, and banning the use of underground water for domestic and industrial purposes in areas where it is possible to connect to engineering networks. Also, there is a need to phase out pit latrines and waste pits in green zones. There are two standards in our country's toilets: infiltration technology and suction technology, both of which will be prohibited in green zones. Open auto spare parts markets and car repair centers will not be allowed in green zones. Areas behind Dulgün Lake where secondary raw materials are collected, such as those dealing in iron, leather, and skins, will be banned. Changes to the standards for waste transport activities are being prepared. If we consider the geographic location of green zones, they will include the entire areas from behind the first district hill to the wide roads in front of the hills of districts 3 and 4, Gandan, Mother and Child Hospital, 32nd circular, Denzhyny Mian, 100 Ail, and the area behind the State Registration. Currently, there are approximately 51,000 households on approximately 48,000 plots in the green zone. Partnership negotiations between the state and the private sector have started to begin engineering network laying in the green zones starting this spring. Work is underway to conclude a public-private partnership agreement within this month.

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Society

S. Ganbaatar: Issues Troubling Builders Have Gone Too Far

Published: 2025-01-08 | Translated from: news.mn

Member of the State Great Khural and Chairman of the Standing Committee on Industrialization, S. Ganbaatar, provided information to journalists today. He stated, “There are numerous complaints from manufacturers, citizens, and companies stating that law enforcement agencies are dependent on politicians, which has caused unjust distress to citizens and developers. In response to this issue, we have approached relevant authorities, but have seen no progress. Therefore, we are bringing this issue to the public's attention to ensure that law enforcement agencies are working independently for the people and to provide verified information; we will hold a hearing. We, the members of the State Great Khural, appoint judges, prosecutors, and the heads of law enforcement agencies and pass all legislation. Despite this, the complaints from the citizens and entrepreneurs who elected us about being unlawfully harassed and burdened show the severity of these actions. The State Great Khural will take control and hold a hearing on this matter. I urge the Minister of Justice and Internal Affairs, O. Altangerel, to verify and officially submit information regarding these complaints.”

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Environment

Air Pollution Levels in Various Districts

Published: 2025-01-08 | Translated from: isee.mn

As of 13:00, the air in Bayankhoshuu is "very polluted," while in 100 Ail, Tolgoit, and Dambadarjaa, the air is "polluted." Specifically, Bayankhoshuu has an air quality index of PM2.5 at 413, indicating very polluted air. In Tolgoit, the PM2.5 is 209, in 100 Ail it is 233, and in Dambadarjaa, it is 207, all indicating pollution. WHAT DO THE NUMERIC VALUES OF THE AIR QUALITY INDEX REPRESENT? - Clean: No adverse health effects. - Normal: Meets air quality standards, but some highly sensitive individuals might experience symptoms of respiratory diseases. - Low Pollution: There are harmful effects on highly sensitive individuals' health. People with chronic heart or respiratory diseases, especially asthma, are more affected. - Polluted: Adverse health effects begin to appear. Severe effects are observed in highly sensitive individuals. - High Pollution: Prolonged outdoor exposure can have noticeable adverse health effects. - Very High Pollution: Harmful to human health.

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Presentation of the Draft Law on Reducing Air and Environmental Pollution in the Capital

Published: 2025-01-08 | Translated from: montsame.mn

The draft law on reducing air and environmental pollution in Ulaanbaatar city was introduced at today's government meeting. The draft law aims to regulate relations related to establishing special zones and taking relevant measures to address issues of reducing the negative social and economic impacts of air and environmental pollution, thereby protecting public health and ensuring the right to live in a healthy and safe environment and to prevent environmental pollution and the degradation of natural balance. The draft stipulates that the capital city will have green and yellow zones to reduce air and environmental pollution. The borders and locations of these zones will be determined by the Governor of the capital. Specifically, in the green zone: - Burning fuels and materials other than standard-compliant gas and liquid fuels will be prohibited.
- Using vehicles that emit air pollutants exceeding the standards and selling automotive gasoline and diesel fuel to their owners or operators will be prohibited.
- In areas where connection to engineering networks is feasible, using groundwater for domestic and industrial purposes will be prohibited.
- Using pit latrines and cesspools will be prohibited.
- Conducting open trading of auto parts and any type of auto repair services will be prohibited.
- Engaging in activities to recycle, incinerate, destroy, or bury waste and establishing points to collect recyclable resources listed as hazardous waste will be prohibited. Meanwhile, more than 147,000 households will be included in the yellow zone to reduce air and environmental pollution. It is planned to introduce double-combustion stoves meeting the standards to the households in the yellow zone and to include 95,000 households in the insulation project.

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1278 Buses in Ulaanbaatar to Transition to Natural Gas by October 1st

Published: 2025-01-08 | Translated from: isee.mn

In a recent government meeting, the concept of the draft law on measures to reduce air and environmental pollution in the capital city of Ulaanbaatar was approved. It was decided to gather the opinions of government members and discuss the draft urgently at a government meeting. In relation to the draft law, a progressive transition of public transportation buses to natural gas is planned as part of the main efforts to reduce air pollution. More than 30% of air pollution is caused by emissions from vehicles. There are 804,656 registered vehicles in the capital, with 74.2% of them being over 10 years old. The amount of harmful substances emitted when vehicles travel at 0-5 km/h is 2-3 times higher than usual. Ulaanbaatar currently has 1,278 registered buses, with 1,128 buses operating daily in public transportation services. Of these buses, 84% use Euro-5 standard fuel. It is believed that transitioning public transport buses to natural gas by October 1, 2025, will significantly help reduce air pollution.

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Compressed Fuel to be Produced and Utilized from "Erdenes Tavantolgoi's" Enriched Materials

Published: 2025-01-08 | Translated from: itoim.mn

Today's government meeting decided to establish a semi-coking coal facility. This plant is expected to be constructed and operational within two years. From this year, Tavantolgoi Fuel Company's improved compressed fuel will be phased out from use starting on March 1 next year. Specifically, the production of improved fuel with the current formulation will cease on March 1, 2025. In this regard, the capital's Governor H. Nyambaatar stated, "The government decided to establish a semi-coking plant. Currently, there is no production of blue fuel or semi-coke in Mongolia. Semi-coke is coal like Baganuur or Nalaikh coal that is baked at 800 degrees, removing heavy chemical elements such as sulfur and tar. Coke, which is used in steel smelting, is coal with a calorific value greater than 8,000. The plant is expected to be built within two years. Preliminary studies show that importing semi-coke could cost nearly one trillion MNT annually. Since the coal processing plant in Mongolia has started producing enriched coal from Erdenes Tavantolgoi, we plan to process energy coal at this facility, sieve it, and start selling from 2025. Essentially, we will wash the coal without any additives and introduce it into use by October. The remaining portion will be ground using Tavantolgoi fuel technology, mixed with imported binders, and sold. Currently, the price has not been set. There will be certain changes to the price," he said.

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Kh. Nyambaatar: From March 1, compressed fuel will be replaced with enriched coal from "Erdenes Tavantolgoi"

Published: 2025-01-08 | Translated from: ikon.mn

Regarding measures to reduce air pollution in the capital, city mayor Kh. Nyambaatar introduced a draft law aimed at addressing this issue. He stated, "A draft law on measures to reduce the air pollution of Ulaanbaatar city has been prepared. It will soon be sent to Minister S. Odontuya, and suggestions will be sought from the ministries." A green zone with special regulations to mitigate air and environmental pollution is planned to accommodate 50,000 households, which is expected to reduce air pollution by 15%. The households in Ger districts adjacent to apartment districts will be included in this zone. For example, areas such as the backyard of Moscow district, Ist, IIIrd, IVth district terraces, Maternity hospital, Gandan, and the city center side of the 32 circle, as well as the Ger district behind UBEG and around Mamba datsan monastery, will be converted into a green zone and transitioned to gas usage. Gas stoves will be introduced in this zoning. Efforts have begun to draw gas pipelines and develop design projects. A total of 50,100 households using coal in 48,000 land units within the green zone will be involved. It is also planned to develop design projects for connecting LNG to detached and brick houses, and to install LPG stoves and refilling stations in Mongolian yurts. Calculations indicate that approximately 56% of Ulaanbaatar city's air pollution comes from coal smoke emitted by the chimneys of 198,000 households, while more than 30% results from nitrogen oxide emissions of over 500,000 cars on the roads daily. The remaining pollution is attributed to smoke from 2,200 low-pressure boilers, 174 steam boilers, and power stations. The Ministry of Environment will oversee the conversion of 30% of the polluting 174 steam boilers each year to gas fuel and the switching of 2,200 low-pressure boilers to gas and electric heating systems. In the capital, 1,300 public transport buses operate daily and will be converted to use gas fuel. The plan to reduce air pollution for approximately 198,000 households in the Ger districts will be implemented in two phases, with households tasked with insulating their homes. The production of middling fuel will cease on March 1. Enrichments from the “Erdenes Tavantolgoi” coal enrichment mine will be transported by rail to supply enhanced fuel factories. Some materials will be screened and packaged, with non-standard coal being produced using improved fuel production technology; the binding agent will also be modified. The “Erdenes Tavantolgoi” company's coal enrichment factory will supply enriched products that meet sulfur and ash content standards. Chemical products used in coal factories will be imported, and the packaged fuel will be enriched for use. Contact with China’s coke-producing companies projected an annual cost of at least 600 billion MNT. In two years, when the Baganuur coke factory begins operations, the fuel will transition to blue coal. Estimates suggest that only after updating the standard for compressed fuel by 2025 will air pollution be reduced by 25%. Over 147,000 households in the yellow zone for reduced air and environmental pollution will be introduced to standard double-burning stoves, and the tender for the first batch of 32,000 stoves will be announced by this January. Warning: Media organizations (Television, Radio, Social, and Web pages) are reminded to cite their source (ikon.mn) when using our information in any form, both fully and partially, without fail!

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Collaborating with the Shanghai Research Institute for Planning the Green Infrastructure of the Capital City

Published: 2025-01-08 | Translated from: ikon.mn

With exclusive permission from the MPA agency for using the photos, it has been agreed to collaborate with the Landscape Architecture Design and Research Institute of Shanghai, China, in the planning of green infrastructure in Ulaanbaatar city. Through this collaboration, the general plan for Ulaanbaatar city will be further improved to develop modern, detailed planning, park designs, and infrastructure updates in a model manner. This year, several major projects are planned for implementation, including the city's surrounding expressway, metro, redevelopment of ger districts, industrial parks, and energy. Implementing these projects will play an important role in energizing the development of the capital city, according to the press office of the Ulaanbaatar City Governor's Office. Notice to Media Media organizations (television, radio, social and web pages) are reminded to always refer to the source (ikon.mn) when fully or partially using our information in any form.

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H. Nyambaatar: Coal Briquettes Will Be Made from Enriched Tavantolgoi Coal

Published: 2025-01-08 | Translated from: gogo.mn

The Prime Minister of Mongolia, L. Oyun-Erdene, along with some members of the Cabinet, the Mayor of the capital and Governor of Ulaanbaatar City, H. Nyambaatar, and relevant officials visited the eastern plant of "Tavantolgoi Tulsh" LLC. During this visit, Mayor H. Nyambaatar introduced the measures being implemented to improve the quality of coal briquettes and the transition of fuels. Initially, more than 50,000 households out of the 198,000 households in the ger districts will be transitioned to gas fuel, and the stoves not meeting standards in 32,000 homes will be renewed. It was also stated that the raw materials for the coal briquettes will be replaced with enriched coal from the "0" layer of the Tavantolgoi mine that meets standard requirements. Specifically, the eastern plant of "Tavantolgoi Tulsh" LLC currently produces 1,200 to 1,500 tons of fuel per day across three workshops and three technological lines. Since the current standard of coal briquettes is insufficient, the technology for improved coal briquettes will first be renewed. By replacing the raw materials for the coal briquettes with enriched coal from the "0" layer of the Tavantolgoi mine, performing screening and classification, and implementing standard renewals, it is expected that air pollution can be reduced by 25% by updating the standards of coal briquettes by 2025. To implement these projects, a draft law on measures to reduce air and environmental pollution in Ulaanbaatar City is being prepared for introduction at a Cabinet meeting. This draft law consists of five main parts. Firstly, a special green zone with regulations to reduce air and environmental pollution will be established. Specifically, the areas behind the Moscow apartments, the areas behind the 1st, 3rd, and 4th khoroolols, the area surrounding Ekh Nyalhas, Gandantegchinlen, the city center around the 32nd roundabout, the ger districts behind the General Authority for State Registration, the 2nd khoroo of Bayanzurkh district, and around the Manba Datsan Monastery will be included in this green zone, connecting more than 50,000 households to the gas fuel infrastructure. The planning for laying gas fuel pipes will be organized through a public-private partnership, providing plans for two types: individual houses and ger dwellings. In the yellow zone aimed at reducing air and environmental pollution, more than 147,000 households will be included. In the yellow zone, double-combustion stoves meeting standards will be introduced for over 147,000 households, with the first batch of 32,000 stoves put out for tender by January. Furthermore, a total of 95,000 households will be planned for inclusion in insulation projects. For factors causing air pollution such as the 198,000 chimneys of ger district households, over 500,000 vehicles participating in daily traffic, more than 2,200 low-pressure stoves, 174 steam boilers, and thermal power plants, measures to reduce air and environmental pollution in Ulaanbaatar City will be regulated by the draft law. Additionally, in the next phase, buses in service will be transitioned to gas fuel usage.

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Erdenes Tavantolgoi Company to Use Zero Grade Enriched Coal Briquettes

Published: 2025-01-08 | Translated from: montsame.mn

Minister of Environment and Climate Change S. Odontuya presented the initiatives being implemented by the National Committee to Reduce Air Pollution. As the raw material supply contract with the "Energy Resource" company concluded, there is a pressing need to update and change the raw materials for the briquettes supplied by "Tavantolgoi Fuel." In this regard, a study has been conducted to improve the quality of briquettes by changing the main raw materials. Specifically, briquettes made from semi-coke and the zero grade enriched coal from the "Erdenes Tavantolgoi" company deposit were examined. Consequently, a contract was made with the company to supply washed and enriched coal starting this March. In addition, technological renovation is planned for 276 steam and water heating boilers burning raw coal, aiming to switch to cleaner fuel, connect to centralized heating systems, and improve equipment. It is planned that 30% of these boilers will be converted to gas fuel within this year. It is estimated that these actions will reduce air pollution by 13%. Moreover, preparations are underway to convert public transport buses to gas fuel by October 1 of the next year.

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Health

The United States Donates 2000 Medical Devices to Mongolia

Published: 2025-01-08 | Translated from: gogo.mn

The United States has donated 2000 medical devices to help Mongolia cope with influenza-like illnesses. Due to the increase in outbreaks of influenza and influenza-like illnesses in Mongolia, the U.S. Civil-Military Relations Team and the U.S. Embassy have donated 2000 pulse oximeters to the Ministry of Health of Mongolia. These oximeters are essential tools for doctors and nurses to quickly assess and triage patients, and they are particularly important at this time when the workload of hospitals in Ulaanbaatar is increasing. E. Munkhsukh, Head of the Finance Department of the Ministry of Health, said, "The Ministry of Health expresses gratitude to the U.S. Embassy and the Civil Military Support Division for donating this important monitoring equipment. These pulse oximeters will help doctors and nurses in hospitals in Ulaanbaatar and rural areas provide better support to Mongolian citizens during this flu season." The donated oximeters will be distributed by the Ministry of Health to public hospitals with high patient loads in Ulaanbaatar and nearby areas. These devices play a crucial role in treating patients with respiratory viral illnesses, in addition to contributing to the capacity of Mongolia's healthcare system to treat other diseases. The United States has consistently supported Mongolia, its third neighbor, and this donation is expected to reduce the impact of flu-like illnesses on the health of Mongolian citizens during the winter season and ease the burden on the healthcare system. Source: U.S. Embassy

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Warning Issued by Mongolian Embassy Regarding "HMPV" Virus in China

Published: 2025-01-08 | Translated from: isee.mn

Recently, information about the human metapneumovirus (Mycoplasma pneumoniae) "HMPV" virus has been spreading on social networks, causing public concern in China. This virus, which causes symptoms similar to the flu, is a respiratory virus that can lead to mild pneumonia, particularly affecting infants and young children more severely. In children, the main symptom of the flu is fever, accompanied by respiratory symptoms such as headache, muscle weakness, fatigue, coughing, sore throat, and runny nose. Some children may also experience gastrointestinal symptoms such as nausea, vomiting, diarrhea, and loss of appetite, which are more pronounced than in adults. Most children infected with the flu virus have an acute course and recover on their own. Fever usually lasts for 2-3 days and recovery occurs within a week, although some children experience prolonged symptoms like coughing and fatigue, according to China's National Health Commission. Therefore, the Embassy of Mongolia in China warns Mongolian citizens traveling to China, or living and working there, to take precautions against the "HMPV" virus. It advises avoiding taking young children to crowded places, wearing masks regularly, and maintaining personal hygiene carefully.

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Sports

Ts.Sharavjamts Implements Project to Enroll Mongolian Athletes in US Leagues

Published: 2025-01-08 | Translated from: montsame.mn

Ts.Sharavjamts, Mongolia's first honoree born from basketball, has teamed up with the "Mongolian Talent" academy located in Chicago, USA, to form a children's national team and participate in the AAU youth league in the USA. He stated, "It is difficult for our athletes to participate individually and join teams with other kids. Therefore, we decided to send a whole team. We will implement the 'Stars Academy' project in cooperation with the 'Mongolian Talent Academy' based in Chicago. Our main requirement for children is to be talented, skilled, and above all, diligent. We invite children who are confident in themselves to the selection process." Ts.Sharavjamts emphasized the aim to select highly skilled athletes who can catch the eye of US coaches and scouts, providing them with opportunities. Due to various issues such as training and visa applications, the selection process will take place this month, with invitations issued through the 'Mongolian Talent Academy.' It is planned to send 10 athletes across four age categories to form four teams. Since they will stay in the US for one month, the average cost for one child is estimated to be $6,000-$7,000. Therefore, organizations and businessmen are urged to support talented yet financially disadvantaged children. One of the five biggest sports held in the AAU league in the USA is basketball. Thus, foreign experts will have the chance to witness the skills of our youngsters, as the league hosts the best players across many states. Selections will be held on the 14th of this month in the gym of "Ui Tsai" school, involving participants aged 15-19 years. The selected children will then join training sessions every Saturday and Sunday, with league games starting on May 1st.

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