Nov 29, 2024 84 min read Daily News Summaries

Mongolia News Summary for November 29, 2024

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

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Politics

ASSEMBLY: Mongolia is situated between two nuclear-armed powers but lacks nuclear facilities

Published: 2024-11-28 | Translated from: gogo.mn

During a unified session of the State Great Khural, the draft law on ratifying the Convention on Nuclear Safety is being discussed. The presenters of the bill include the Minister of Industry and Mineral Resources Ts. Tuvaan. Minister Ts. Tuvaan stated that the Government's action program stipulates conducting a foundation study for implementing a policy to construct a nuclear power plant based on uranium reserves. Consequently, the International Atomic Energy Agency has included Mongolia in the list of 27 countries planning to build nuclear power sources. Therefore, according to the State Great Khural's Resolution No. 60 from 2015, concerning Mongolia's status as a nuclear-weapon-free country, the government was instructed to accede to the 1994 Convention on Nuclear Safety, the 1980 Convention on the Physical Protection of Nuclear Material with its 2005 amendments, and the revised protocol on small amounts of nuclear material. Since the 1994 Convention on Nuclear Safety came into force in 1996, 96 countries have joined to date. On November 13, 2024, at a government meeting, a draft law to ratify the 1994 Convention on Nuclear Safety was submitted for discussion to the State Great Khural. Although Mongolia has no nuclear facilities, it fully implements the nuclear fuel cycle and is geographically located between two great nuclear-armed powers. The safety of nuclear facilities in Russia and China is under strict surveillance by their respective national regulatory bodies, yet there is a potential risk of cross-border radioactive contamination in the event of an unforeseen accident. Newly constructed and operating nuclear facilities may potentially affect the territory of neighboring countries in their proximity, thus consultation with those countries is necessary. In cases where detailed information about nuclear facilities is requested, it is possible to assess potential external impacts on one's territory. Conducting safety assessments and improving transboundary emergency preparation and response plans enables reducing negative impacts on the population and environment, thereby ensuring safety. All organizations engaged in activities related to nuclear facilities are obliged to develop and adhere to policies ensuring nuclear safety. To use nuclear energy for peaceful purposes, it is essential to establish a control system to protect the population, society, and environment from the negative effects of radiation, as well as potentially receive technical support and assistance within the framework of international cooperation. By joining the convention, Mongolia will not incur any financial obligations. The 1994 Convention on Nuclear Safety was adopted by the member countries of the International Atomic Energy Agency and has been in force since 1996, with 96 countries having joined. Therefore, the State Great Khural has requested support for the discussion and approval of Mongolia joining the convention.

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Khaltmaagiin Battulga: National Consensus is Crucial for Accelerating Green Development

Published: 2024-11-28 | Translated from: news.mn

Under the auspices of the President of Mongolia, the third annual forum on "Financing Green Development in Mongolia" has commenced in the State Palace. The forum will discuss topics such as the green transition in agriculture, financing energy-efficient housing, and increasing the flow of green financing. Green financing is a financial mechanism aimed at reducing greenhouse gas emissions and efficiently using natural resources by funding environmentally friendly and energy-efficient projects and activities. Worldwide, funding to combat climate change is increasing annually and has reached $1.3 trillion by 2023. As for Mongolia, the aim is to reduce greenhouse gas emissions by 22.7% by 2030 and achieve green and inclusive social development through various measures such as adapting to climate change, improving the quality of life and human development, and fostering quality education and good governance, as per the Paris Agreement. This will require a total of $11.5 billion in financing, with $6.3 billion allocated for mitigating climate change and $5.2 billion for adaptation measures. In this context, cooperation is sought with international organizations, investment funds, programs, and the private sector, in addition to state budget resources. Local non-bank financial institutions and commercial banks aim to extend 5-10% of their total loans as green loans by 2030. The forum is jointly organized by the President’s Office, the Mongolian Association of Sustainable Financing, Khan Bank, the United Nations, and its specialized agencies. President of Mongolia U. Khurelsukh stated: "Distinguished guests and representatives, Ladies and gentlemen, I would like to express my heartfelt gratitude to all leaders of the environmental and green development sectors participating in the third annual 'Green Financing Forum' and extend my greetings on this beautiful day. This forum, organized under the theme 'Financing Green Development in Mongolia,' is made possible by the cooperation of government agencies, the private sector, international organizations, and, notably, the Mongolian Association of Sustainable Financing, Khan Bank, the UN, and its affiliated and specialized agencies. During the 29th high-level meeting of the UN on climate change held in Baku, Azerbaijan, world leaders expressed their positions on environmental and green development financing and introduced policies, goals, activities, and results related to green development. The meeting focused on how to increase budget, resources, and financing for combating climate change. In continuation, today’s forum aims to discuss how Mongolia can improve its green development financing. During the high-level meeting, UN Secretary-General António Guterres emphasized that 2024 is projected to be the hottest year, following the hottest day, month, and year since 1850, highlighting climate change as a more urgent and fearsome challenge than ever. He mentioned that if humanity does not urgently take decisive action to safeguard our planet, counter climate change and land degradation, and prevent biodiversity loss, planet Earth will choose its path of existence without us. We must never forget that coexisting harmoniously with nature is essential for human survival. Therefore, for our common future, it is necessary to unite under the shared goal of respecting nature, enhancing national consensus, unified policies, and mutual understanding involving all social sectors—government, private sector, and civil society—to deliver more tangible results. Particularly for developing and vulnerable countries affected by climate change, with high debt and limited internal budgets and financial resources, these nations face significant financing risks in fulfilling the obligations they undertook under the Paris Agreement. To alleviate such risks, during the 29th UN summit, world leaders agreed to triple the climate finance aimed at low and middle-income developing countries from $100 billion annually to $300 billion annually by 2035. I am pleased to share that during the summit, Mongolia proposed the establishment of an international alliance for 'Sustainable Pasture and Land Issues for the Future.' If this initiative is supported and approved, it will lead to increased investment and financing benefiting over 100 countries worldwide with traditional pastoralist economies, offering tangible support to improve the health and livelihoods of approximately 500 million people. Distinguished guests and representatives, Mongolia, with its extreme continental climate, is vulnerable to climate change impacts. Due to harsh winter and spring drought conditions, over 8.1 million livestock died, which represents more than 10% of the total livestock, severely affecting Mongolian herders whose livelihood depends on animal husbandry. Therefore, it is imperative to take decisive action against climate change and consistently fulfill our commitments to the international community, working closely with all sectors of society. Mongolia has made international commitments to reduce greenhouse gas emissions by 22.7% by 2030 and to achieve carbon neutrality by 2050. Implementing these commitments fully requires financing equivalent to over 50% of our GDP, according to expert assessments. Therefore, comprehensive reforms of legal, economic, and business environments are needed to enhance financial support for environmental and green development. The President of Mongolia has initiated national movements such as 'One Billion Trees,' 'Food Security,' and 'White Gold,' which are being implemented nationwide, aiming to increase international cooperation, financing, and investment in environmental, agricultural, and green development. In June of next year, in collaboration with the Ban Ki-moon Foundation for a Better Future and Stanford University in the USA, and under the sponsorship of the President, we aim to organize the 'Across the Altai: Sustainable Development Dialogue' international conference in Mongolia under the slogan 'Billions of Trees to Combat Climate Change,' aiming to expand cooperation and increase investment. Additionally, with the President's initiative and support, we have established the 'Eternal Mongolia' conservation financial system to create a sustainable funding source for environmental protection, establishing the 'Mongolian Nature Heritage Fund' to raise over $70 million in grant funding from international investors. This budget and funding, which are not insignificant, must be used effectively and equitably. With the support of Germany’s 'Legacies of the Land' fund, the 'Country of Blue Sky – Onon Balj Natural Reserve' project with a financing of $15 million has started. The head of state is confident that these projects and programs will contribute significantly to reducing biodiversity loss and meeting our international obligations. In addition, the government needs to accelerate energy reform, increase renewable energy sources, promote energy-efficient green housing, and develop green agriculture. Although there have been several achievements and results, policies and activities related to climate change, environment, and green development must be further improved. This forum aims to introduce government projects and programs related to green development to investors, expand regional and international partnerships, enhance mutual understanding, and share experiences and align policies and measures to increase environmental and green development financing. For Mongolia, establishing a national consensus is crucial to accelerating green development, ensuring policies, goals, and cooperation among all social groups align to have a unified perspective and understanding of information and plans. Combating climate change and protecting the environment is not the task of one ministry or a few organizations. It requires cooperation, understanding, responsibility, and shared obligations among all segments of society, including ministries, institutions, citizens, private sector entities, and civil society organizations. In recent years, our private sector, especially banks and financial institutions, has been actively working towards accelerating green development and attracting green financing, which is commendable. From the government side, it is now crucial to provide the necessary infrastructure, legal environment, and explain policies and goals to the public, offering rapid and effective support. Furthermore, reducing greenhouse gases requires specific, scientifically grounded quantitative and qualitative goals with solid justifications for each social and economic sector, to educate and inform the public and wealth creators thoroughly. It is advisable to introduce detailed policies and goals for reducing greenhouse gas emissions, particularly in agriculture, construction, and energy sectors, to the public. In this context, it is necessary to develop detailed plans for joint government-citizen-private sector actions, ensuring cooperation among stakeholders and implementing required regulation and legal reforms. Simultaneously, improving green and sustainable financing principles, infrastructure, and methodologies to meet international standards, effectively utilizing carbon tax and carbon market opportunities, and establishing a relevant legal environment must receive special government attention and swift action. During today’s forum, I am confident that you will engage in open discussions and propose practical suggestions and initiatives about numerous pressing issues. Distinguished guests and representatives, the source of a prosperous life for humankind is clean air, fresh water, and pristine soil. Protecting mother nature is the foundation of sustainable human development. Consequently, humanity cannot afford to waste time in safeguarding our planet. Preserving our mother nature is not a choice; it is an obligation and responsibility of humankind towards the Earth. Environmental and green financing is not a form of aid; it is the most important investment we make for future generations. Therefore, let us collaborate with shared perspectives on green development and implement bold and effective decisions without delay. May eternal blue sky always bless humanity, and may peace prevail worldwide. Wishing success to the forum’s operations.

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The Executive Director of MNCCI Detained

Published: 2024-11-28 | Translated from: ikon.mn

The XXII General Assembly of the Mongolian National Chamber of Commerce and Industry (MNCCI) will take place today. During this meeting, a by-election to select the chamber's president has been scheduled. Yesterday, the executive director of the chamber, T. Düüren, who had announced his candidacy for the by-election, was arrested by the Anti-Corruption Agency. Regarding this, T. Düüren posted on social media, "I have been suddenly summoned for an unfounded case and will be detained for 30 days. Although I may not be physically present, I hereby express my intention to participate in the chamber's by-election." Warning When using our information, media organizations (television, radio, social media, and websites) must always cite their source as 'ikon.mn' in any form they publish it, whether in full or in part.

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China Investigates Third Defense Minister for Corruption

Published: 2024-11-28 | Translated from: itoim.mn

Chinese Defense Minister Dung Zhu is being investigated as part of a wide-ranging anti-corruption probe involving senior members of the People’s Liberation Army, according to a report by the Financial Times. Dong is the third Chinese Defense Minister to be investigated for corruption. At a daily press briefing, Chinese Foreign Ministry spokesperson Mao Ning did not provide specific details when asked about the FT report. Dung Zhu was appointed as Defense Minister last December following the dismissal of his predecessor Li Shangfu, who was removed just seven months after assuming office. Later, Chinese state media reported that Li Shangfu was expelled from the Communist Party on potential charges of accepting bribes. Since then, he has not appeared in public. Former Defense Minister Wei Fenghe was also expelled from the party due to corruption charges. China’s political and legal systems are highly secretive. Information on internal decisions is not readily available internationally, and the reasons behind firings and replacements are not clearly disclosed. Last year, former Minister of Industry and Information Technology Xiao Yaqing disappeared from public view for a month before it was reported that he was being investigated for corruption. Source: Reuters

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Members of the Mongolian-Turkish Parliamentary Group Met with Representatives of the Grand National Assembly of Turkey

Published: 2024-11-28 | Translated from: gogo.mn

Member of the State Great Khural and Deputy Chair of the Mongolian-Turkish Parliamentary Group, S. Zulphar, received the delegation led by Hulusi Akar, Chair of the National Defense Committee of the Grand National Assembly of the Republic of Turkey, who are visiting Mongolia. S. Zulphar expressed his pleasure in meeting with Mr. Hulusi Akar and the esteemed guests, stating his confidence that this visit will make an important contribution to the relations and cooperation between the two countries. He mentioned that the Mongolian-Turkish Parliamentary Group was established this past September and emphasized that, as the Deputy Chair of the group, he will work hard to develop active cooperation between the parliamentary groups. Continuing, S. Zulphar noted, “Although our two countries are geographically distant, we are connected by hundreds of years of shared history and culture. In this regard, Mongolia regards the Republic of Turkey as a 'third neighbor' in its foreign policy doctrine, attaching great importance to expanding and developing bilateral relations and cooperation.” He expressed his satisfaction with the active development of relations between the two countries in various fields such as politics, economy, defense, culture, and education. Hulusi Akar emphasized that the centuries-old historical and cultural relations between the two countries have served as a foundation for strengthening modern cooperation. He pointed out that intensifying parliamentary cooperation between Turkey and Mongolia has a positive effect on expanding trade and economic cooperation, highlighting the current trade turnover of 100 million USD between the two countries. He expressed views on opportunities for cooperation in education, security, and defense sectors. During the meeting, it was noted that this year marks the 55th anniversary of the establishment of diplomatic relations between Mongolia and the Republic of Turkey, and discussions were held on actively developing legislative cooperation between the countries. The meeting was attended by members of the State Great Khural and Mongolian-Turkish Parliamentary Group including H. Jangabyl, O. Nominchimig, U. Otgonbayar; Deputy Chair of the National Defense Committee of the Grand National Assembly of the Republic of Turkey Refik Ozen; members of the Committee Fevzi Berdibek, Mehmet Ali Cevheri, Ozgur Ceylan, Eylem Erturul, Ayucure Turkes Tas; and the Extraordinary and Plenipotentiary Ambassador of the Republic of Turkey to Mongolia, Zafer Ates, among other officials, according to the Press Office of the State Great Khural.

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Parliament Session to Convene

Published: 2024-11-28 | Translated from: news.mn

The Parliament's session is scheduled to convene today at 10:00 AM. In today's session, the Parliament will discuss the bill related to the President's veto and the following issues: - Amendments to the law on the procedure for enforcing the revised law on political parties, submitted by the government. - The bill on the ratification of the Convention on Nuclear Safety, submitted by the government. - The bill on the ratification of the 2005 amendments to the 1980 Convention on the Physical Protection of Nuclear Material, submitted by the government. - The bill on the ratification of the revised protocol on small quantities of nuclear material, submitted by the government. - Discussion of the legal and resolution drafts related to the President's veto. In addition, the Prime Minister will provide information on the preparedness for the winter and spring season of 2024-2025.

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Published: 2024-11-28 | Translated from: gogo.mn

The issues to be discussed at today's meeting of the Parliament session include: - Amending the law on Political Parties: Revised version of the law on the procedure for implementing amendments presented by the Government for discussion. - Draft law on the ratification of the Convention on Nuclear Safety Operations presented by the Government for ratification. - Draft law on ratifying the 2005 amendment of the 1980 Convention on the Physical Protection of Nuclear Material presented by the Government for ratification. - Draft law on ratifying the revised protocol on small quantities of nuclear materials presented by the Government for ratification.

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Official Statement on the Arrest of Executive Director T.Düüren of MNCCI

Published: 2024-11-28 | Translated from: ikon.mn

The former president of the Mongolian National Chamber of Commerce and Industry (MNCCI), and current member of Parliament, D.Enkhtuvshin, provided clarification today regarding the arrest of T.Düüren, the executive director of MNCCI. He stated, "We have received information that an arrest operation took place concerning issues related to his duties before his work at the chamber. When requested to clarify this matter, the Anti-Corruption Agency indicated they would express their position through public media. The chamber's elections will continue as planned. As an independent business representation organization, this operation must proceed uninterrupted. The new president of the chamber will be determined in a few hours. I believe the newly appointed person will be able to appoint their executive leadership and take the necessary measures regarding the current situation." Notice: Media organizations (Television, Radio, Social, and Webpages) must cite the original source (ikon.mn) when using our information in any form, either fully or partially.

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Economy

IMF: The Bank of Mongolia and the Government Must Work Like 'Doubled Riders' for Sustainable Growth

Published: 2024-11-28 | Translated from: gogo.mn

The International Monetary Fund (IMF) highlights the importance of the Bank of Mongolia's independence and prudent fiscal policies. During his election campaign, Donald Trump once expressed that the President should have a say in the central bank's monetary policy decisions. However, after the election, Jerome Powell, the Chair of the Federal Reserve, straightforwardly stated that regardless of who is elected as President of the United States, they do not have any legal right or influence over policy decisions. The IMF advises that by working independently and collaboratively with the government like this, the Bank of Mongolia can successfully fight inflation and maintain stable economic growth. The IMF representatives responsible for Mongolia, Angana Banerjee and Thomas Helbling, mention in their article "Tight Fiscal Policy Will Help Mongolia Curb Inflation" that fiscal and monetary policy must work like "double riders." In other words, while they ride together, they should have their own roles and goals. They pointed out two main challenges that the Bank of Mongolia faces in maintaining price stability: insufficient operational independence and high fiscal influence on monetary policy. They believe that by improving government policy, it can more quickly reach the inflation target. To this end, they suggest increasing the independence of the Bank of Mongolia, particularly stopping the financing of certain government loans to the private sector by the central bank. They also highlighted factors hindering the independence of the Bank of Mongolia, such as the constitutional allocation of the power over monetary, fiscal, and credit policy to the Parliament, and the requirement for legislators to approve the central bank's inflation target and other policy directions. Regarding the fiscal side, they note that government spending often follows the economic cycle, which is closely linked to the global commodity market. Following cyclical coal and copper prices, government spending either increases or decreases excessively, which simulates the "boom-and-bust" economy and subsequently overheats inflation. Thus, they suggest that the government can avoid this cyclical policy by maintaining a frugal fiscal policy in economically favorable times like the present. By spending the rise in commodity prices with discipline, it is possible to prevent the economy from overheating and to rein in inflation. Furthermore, during tough times, it serves as a "buffer" to support the economy without risking the stability of the debt. In this condition, it is crucial for fiscal and monetary policies to coordinate, and the IMF emphasizes that aligning economic growth and prices in the same direction is the most effective.

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Mongolia Must Diversify Its Economy

Published: 2024-11-28 | Translated from: itoim.mn

The Democratic Party group in the Mongolian Parliament held an economic forum called "Free Market Ecosphere" and started a discussion titled "From a Single-legged Dependency to Diversification." The main presenter at the discussion was D. Gan-Ochir, the Chief Economist of the Bank of Mongolia, with participation from Parliament member G. Ochirbat and Z. Narantuya, CEO of the Development Bank. Presenter, Chief Economist of the Bank of Mongolia, D. Gan-Ochir: To develop the country, what fundamental conditions need to be created and what should be focused on? To establish a free economy and free market, it is most important to find the right balance between an efficient market, an effective government, and strong institutions. Price itself acts as a signal in a market economy, indicating where resources can be placed most efficiently. The forces behind this signal are competition and the conditions that ensure competition. Without establishing an efficient market, everything leads to excessive monopoly and distorted price controls. A strong political institution ensures the creation of right economic institutions. To ensure an efficient market, strong institutions must be established. Creating strong institutions is a fundamental task of the state. The three elements of an efficient market, effective government, and strong institutions must move forward together. Mongolia's economy desperately needs diversification. Mongolia is highly dependent on the raw materials market. If we consider that 93% of exports are processed mining products and about 6% are raw agricultural materials, Mongolia is directly reliant on the global raw materials market prices. Mongolia's financial market and real sector are heavily dependent on the global market. The "Climate and Development" report released this year by the World Bank clearly showed Mongolia has an economy 100% dependent on coal. One-third of Mongolia's coal export can be reduced either in physical volume or export revenue with price decline. If the physical volume is not increased, economic growth will shrink by 6%. If it reaches 100%, the economy will shrink by 20%. According to research by Mongolian economists in 2017, half of the main macroeconomic indicators are explained by external shocks, such as China's GDP, copper, coal, oil prices, and foreign direct investment. The main channel affecting Mongolia's economy is the financial channel. This primarily does not let loan interest rates decrease and impacts the economy and inflation. Not lowering loan rates affects policy interest, keeps it high, and restricts the private sector's self-development. This is evidence of an ongoing cycle. Therefore, it is necessary to pursue economic diversification boldly, swiftly, and effectively, especially in the framework of ensuring a balanced efficient market, effective governance, and strong institutions, as mentioned earlier. So how do we achieve economic diversification? We do not have many options for economic diversification. It will be based on natural resources and mining. Development models relying on natural resources follow a very challenging path. To successfully develop based on natural resources, the following stages must be passed: 1. Discover natural resources, 2. Utilize natural resources: attract investment, 3. Stabilize the income from natural resources, 4. Invest the income from natural resources wisely, 5. Understand the economic growth. Moderator: Looking at past and current policies, it seems our government is trying to do everything. A coalition government is forming, and the political environment is changing. From an economist's perspective, what do you see as past mistakes and what lessons should be learned going forward? Chief Economist of the Bank of Mongolia, D. Gan-Ochir: Mongolia needs many things in society and the economy. We want to industrialize, build infrastructure, and solve energy problems. The biggest issue facing our economy is the constraint of the balance of payments. When making policy decisions, we cannot forget the balance of payments constraint. If we move towards projects whose income potential is unclear instead of projects that create export income and competitiveness, Mongolia's export income could stagnate. This leads to currency depreciation, inflation increase, and policy interest rate hikes, resulting in unemployment and lack of inclusive economic growth, driving social issues into the next cycle of populist policies. Moderator: Let me ask Parliament member G. Ochirbat. We have a single large sector, mining. Mining serves as the base with other sectors as supporters. You have transitioned from private enterprise to a policy maker this year. We have long talked about shifting past diversification policies. You have felt and observed the results of past policies. What policy direction and approaches will we take now? Is the coalition government following the previous path or will it change? Parliament member G. Ochirbat: In Mongolia, politicization is excessive, and the budget is increased every year. This year, it expanded by 20%, aiming to make everything involve state participation. Ministers B. Javkhlan, along with the heads of the Economic Standing Committee and Budget Standing Committee, are proposing increasing support for businesses through the state. However, in reality, it supports about 4800 companies. Out of approximately 250,000 registered companies in Mongolia, over 90,000 are barely operational, and about 50,000 pay taxes. Companies related to the government or those linked to officials receive tenders. When speaking to young business owners, they say there are overwhelming criteria for participating in tenders. They claim no company meets all the criteria. Essentially, the government should just manage the organization. Moderator: The original purpose of establishing the Development Bank was to diversify the economy and promote export diversification, establishing it as a financing mechanism. Through the Chinggis Bond alone, many projects and programs were invested. Now, how should the Development Bank involve itself in diversifying the economy and improving competitiveness? Development Bank's CEO Z. Narantuya: Currently, about 91% of export income is related to raw material economies. I believe we must establish industries that produce competitive products or industrialized goods, such as refining gold, enriching copper, and manufacturing various final products from coal. Supporting export industries by financing the necessary infrastructure should be the main goal of development financing or project financing. That’s why the Development Bank was established in 2011. The Development Bank is not just a lending institution but a development institution. As a development institution, we initiated projects to establish steel mills and industrial complexes. Unfortunately, projects faced disorganization from start to finish. Projects begin but then political decisions intervene or governments change. Consequently, many economically beneficial projects have stagnated. Some loans are now classified as non-performing loans. To avoid repeating past mistakes, the Development Bank supports 14 mega projects and 140 projects that promote exports.

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L. Tög-Öd Elected as the New President of the MNCCI

Published: 2024-11-28 | Translated from: isee.mn

The XXII Special General Assembly of the Mongolian National Chamber of Commerce and Industry (MNCCI) is ongoing. In this assembly, a by-election is being held to elect a new president for the chamber. In the first round of voting, "Transparency International Mongolia" NGO's head, L. Tög-Öd, received 37.3% of the votes, while "Tavan Bogd Group"'s president, Ts. Baatarsaihan, received 27% of the votes. Subsequently, following the 50+1 rule, another round of voting was conducted between the two candidates, where L. Tög-Öd won by obtaining 276 votes. As a result, L. Tög-Öd, head of "Transparency International Mongolia" NGO, has been elected as the new president of the MNCCI. L. Tög-Öd is an economist and a legal expert. Besides leading Transparency International Mongolia, he also works as a senior advisor at the Mongolian National Chamber of Commerce and Industry. Previously, he served as an advisor to the Prime Minister of Mongolia in 2011 and as a legal assistant to the President of Mongolia from 2012 to 2013. He has also worked in the private sector in the following ways: Since July 2023, he has been serving as: - CEO of Mongol Daatgal LLC - Operations Director - Consultant From 2022 to 2023: - Secretary of the Board of M Bank, Ashid Capital NBFI - Legal and Compliance Director - Consultant Since 2019: - Senior adviser at the Mongolian National Chamber of Commerce and Industry - Acting Secretary General From 2012 to 2022: - Founder and CEO of Aryamed Hospital LLC From 2010 to 2012: - Executive Director and Secretary General of the Mongolian Bankers Association - Policy Program Advisor From 2009 to 2012: - Executive Director of the Mongolian Economic Forum - Financing Coordinator From 2005 to 2011: - Deputy Executive Director of XacBank - Secretary of the Board - Director of Legal and Compliance Department - Director of Administration - Bank Advisor and Representative in London From 1998 to 2005: - Founder and Member of the Board of SIDAN Cooperative.

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Discussing the Increase in Vehicle Taxes

Published: 2024-11-28 | Translated from: gogo.mn

The proposal for the 2025 budget of Ulaanbaatar City, submitted to the Citizens' Representative Assembly, reportedly includes plans to triple the vehicle tax and quintuple the road usage fees. Regarding this matter, the city mayor's office clarified, "This issue will be discussed at tomorrow's regular session of the Assembly, scheduled for November 29. If the representatives do not support the tax increase, it will not be implemented." The Assembly's meeting is set to begin at 11 a.m. tomorrow.

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Global Brands in Mongolia!

Published: 2024-11-28 | Translated from: ikon.mn

The national e-commerce platform Shoppy.mn has begun a partnership with the Kolon Group, a major international company operating in sectors such as fashion, construction and infrastructure, energy, health, information technology, and tourism in South Korea. This collaboration provides an opportunity to order from home and receive 10 brands of Kolon Industries, known for their durable and strong material and construction, from Korea to Mongolia through Shoppy.mn. Introducing 10 standout brands in the South Korean fashion market that are recognized internationally for high quality by Kolon Industries: - Couronne
Bags and small accessories made of leather that provide a simple yet luxurious appearance for women who love a minimal classic style. These pieces will ensure you look elegant at any time. Visit the brand: shoppy.mn/brands/couronne - Lucky Chouette
Clothing and small accessories for all ages that embody the free and unique style of modern youth, helping you look energetic and innovative. Visit the brand: shoppy.mn/brands/lucky-chouette - Series
Made with environmentally friendly and recycled materials, offering stylish designs embodying world fashion trends for youth who value fashion each season. Visit the brand: shoppy.mn/brands/series Of interest, every week the highlighted 10 brands of Kolon Industries are being offered at a 50% discount until December 11. Enter the following link to explore these brands and order directly from Korea to have them delivered to your home. - Amoupre
Suitable for everyday wear, providing simplicity yet elegance to help you create your look. Visit the brand: shoppy.mn/brands/amoupre - Hideout
Also made from eco-friendly materials, featuring waterproof and breathable designs, making it a must-have brand for sports enthusiasts. Visit the brand: shoppy.mn/brands/hideout - Brentwood
A brand that includes everyday office designs for young people who strive for a simple yet stylish appearance. Visit the brand: shoppy.mn/brands/brentwood - Epigram
A brand offering modern, minimal designs made from recycled materials, focusing on quality and longevity over trends. Visit the brand: shoppy.mn/brands/epigram - Suecomma Bonnie
A brand that offers everything from elegant and sophisticated designs to simple and casual sports styles, suitable for any of your fashion needs. Visit the brand: shoppy.mn/brands/suecomma-bonne - Rementary
A fusion of classic and sporty styles, this brand is for young people who love to follow the latest fashion trends. Visit the brand: shoppy.mn/brands/rementary - Lucky Marche
A youth brand offering stylish yet everyday wearable clothing suitable for any occasion. Visit the brand: shoppy.mn/brands/lucky-marche Warning: When using any form of our information (TV, Radio, Social and Web pages), media organizations must cite their source (ikon.mn).

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Evidence: Next Year Car Taxes Will Increase from 36,000 to 108,000 and Road Fees from 20,000 to 100

Published: 2024-11-28 | Translated from: isee.mn

The projection for the 2025 city budget was presented. It is planned to generate 3 trillion 856.3 billion MNT in income, with 85.9% or 3 trillion 314.4 billion MNT from tax revenue and the remaining 14.1% or 541.9 billion MNT from non-tax revenue. A certain portion will be sourced from property tax revenue. The plan is to increase vehicle and self-propelled machinery taxes by 2-3 times, and road usage fees by 5 times the current rates. In the 2025 city budget, the law regarding the tax on motor vehicles and self-propelled machinery, one of the initial sets of tax laws approved in 1992, has been in effect without major changes for 33 years. Although in July 2021, Parliament set the upper limit of tax rates 2-4 times higher, the City Council has retained stable tax rates since 2010. Next year, vehicle taxes will increase 2-3 times within legal limits and road usage fees 5 times current rates, adding 151.5 billion MNT to the city road fund. Due to the rapid increase in Ulaanbaatar's population and vehicle count, road networks can no longer meet current demands. Despite participating frequently in city traffic and causing congestion and damage, vehicles have paid road usage fees based on engine capacity, paying 20-70 thousand MNT yearly. On November 20, Mayor H. Nyambaatar proposed increasing these tax revenues, and the City Council approved the resolution. The mayor is implementing a policy to restrict vehicle use, limiting new registrations to 750,000 vehicles in the city. Rural vehicles will be charged 1000 MNT after 48 hours in the city, increasing by 5000 MNT every additional 24 hours. For instance, Prius vehicles will pay increased taxes from 36,000 to 108,000 MNT yearly. Lexus 570 vehicles, from 188.1 thousand to 564.3 thousand MNT. Hyundai Porter vehicles, from 30 thousand to 75 thousand MNT. Land Cruiser 200 vehicles, from 151.8 thousand to 455.4 thousand MNT. Electric vehicles are charged 0% tax. Vehicles over 100 tons will pay 1.4 million MNT. By increasing road usage fees 5-fold, small passenger cars with engines up to 2000 cm3 will pay 275 MNT daily, 8330 MNT monthly, and 100,000 MNT yearly. Medium-sized passenger cars with engines between 2001-3000 cm3 will pay 416 MNT daily, 12500 MNT monthly, and 150,000 MNT yearly. Large passenger cars with engines over 4001 cm3 will pay 694 MNT daily, 20,833 MNT monthly, and 250,000 MNT yearly. The city administration claims this increase will not affect household living standards. Further details are in the document below.

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Published: 2024-11-28 | Translated from: ikon.mn

The project includes increasing the fees for air pollution and road usage by 3-4 times the current amount. The City Council will decide. The budget project for 2025 for the capital city has been submitted to the City Council. Along with the budget proposal, a bill to revise the rates for transport and self-propelled vehicle taxes has been submitted. This also includes a bill to revise the fees for road usage. When asked about this from the Governor's Office of the Capital City, they clarified: "The issue of increasing the charges for transport is to be decided by the City Council. It has not yet been finalized. The proposal includes increasing the current fees for air pollution and road usage by 3-4 times. This project will be discussed at the City Council meetings on Saturday and Monday. When presenting the project to the City Council, it will be made publicly available. It is not possible to speak in detail about the project until it is approved." The budget for the upcoming year of the capital city will also be discussed tomorrow. Current fees for road usage and air pollution: Fees for road usage in the capital city: | Category | Fee (MNT) | |--------------------------|-------------| | Passenger car Taxi | 30,000 | | Other (up to 2000 cm³) | 20,000 | | 2001-3000 cm³ | 30,000 | | 3001-4000 cm³ | 40,000 | | Over 4000 cm³ | 50,000 | | Freight transport (ton) | | | Up to 1 ton | 40,000 | | 1-2 tons | 45,000 | | 2-3 tons | 50,000 | | 3-5 tons | 55,000 | | 5-8 tons | 60,000 | | 8-10 tons | 65,000 | | 10-18 tons | 70,000 | | 18-24 tons | 75,000 | | Over 24 tons | N/A | | Bus (up to 15 seats) | 40,000 | | Bus (over 15 seats) | 60,000 | | Tank truck | 50,000 | | Special | 40,000 | | Trailer | 30,000 | | Mechanism Transport | 60,000 | | Technology | 60,000 | | Small scale | 30,000 | | Motorcycle / Moped | | | 2 wheels | 10,000 | | 3 wheels | 10,000 | Fees for carbon dioxide emissions from vehicles: | Category | CO2 Emissions (g/km) | Annual fee (MNT) | |--------------------|----------------------|------------------| | A | 121-180 | 3,600 | | B | 181-250 | 4,200 | | C | 251-350 | 7,000 | | D | 351-500 | 10,000 | | E | 501-750 | 15,000 | | F | Over 751 | 19,000 | Warning: Media organizations (Television, Radio, Social, and Web pages) should always credit (ikon.mn) when using our information, whether in full or in part.

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By 2030, GDP per capita will reach 8410 USD

Published: 2024-11-28 | Translated from: gogo.mn

The Central Region Development Forum is being held in Darkhan. Minister of Finance B. Javkhlan introduced the policies and activities pursued by the Parliament and the Government to support the development of the central region. To support the development of the central region, economic relations with other countries will be expanded and integrated into a unified transport and logistics network. Moreover, the policy pursued by Parliament and the Government is to become a 'HEALTHY FOOD PRODUCER AND EXPORTER' region by diversifying into intensive agriculture and processing industries to fully meet domestic needs. To achieve this: - Increase energy supply and road connections, and improve transport logistics. - Support the development of free zones and ports. - Introduce innovation and technology. - Create green, eco-friendly residential areas. - Strengthen human resources. According to the regional development goals, the following results are expected for the development of the central region by 2030: - The region's GDP will reach 10-15 trillion ₮. - GDP per capita will reach 8410 USD. - The Human Development Index, currently at 0.73, will increase to 0.852. - The population will grow from 307,000 to 405,000.

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D.Gan-Ochir: Mongolia Urgently Needs to Diversify Its Economy

Published: 2024-11-28 | Translated from: itoim.mn

The Democratic Party group in the Mongolian Parliament held the "Free Market Ecosphere" economic forum and a discussion called "From One-Legged Dependence to Competitiveness." The main speaker of the discussion was the Chief Economist of the Bank of Mongolia, D. Gan-Ochir. Participants included MP G. Ochirbat and the Development Bank's Executive Director Z. Narantuya. Speaker D. Gan-Ochir, Chief Economist of the Bank of Mongolia: What foundational conditions need to be established, and what should be focused on to develop our country? To create a free economy and free market, it is essential to properly coordinate and balance three things: an efficient market, an effective government, and strong institutions. Price itself is a signal of a market economy, directing the most efficient allocation of resources. It is created by competition, and the foundational conditions that ensure competition. Failing to form an efficient market results in an overly monopolized system and distorted price controls. When political institutions are strong, correct economic institutions are created. To ensure an efficient market, strong institutions must be established. Creating strong institutions is the fundamental task of the government. An efficient market, an effective government, and strong institutions must be connected and operate in harmony. Mongolia urgently needs to diversify its economy. The country is highly reliant on the raw materials market. Considering that 93% of its exports are processed mining products and about 6% are agricultural raw materials, it is directly dependent on global raw material prices. Mongolia's financial market and real sector are heavily influenced by the global market. A report released this year by the World Bank, "Climate Change and Development," clearly shows that Mongolia's economy is 100% dependent on coal. One third of coal exports can be affected by physical volume or price drops, leading to an economic contraction of 6% without physical output, and 20% contraction if it is 100%. In a study conducted by Mongolian economists in 2017, it was found that 50% of Mongolia's main macroeconomic indicators are explained by external shocks, including China's GDP, copper, coal, and oil prices, and foreign direct investment. The main channel affecting Mongolia's economy is the financial channel. It essentially influences the economy and inflation without lowering interest rates. Keeping interest rates high prevents systematic reduction, self-restricting the private sector, indicating a persisting vicious cycle. Therefore, economic diversification must be undertaken boldly, swiftly, and effectively, especially within the balance of an efficient market, an effective government, and strong institutions to avoid economic instability and remaining caught in a cycle. How should economic diversification be achieved? We do not have many options. It will be done by relying on natural resources and mining. A development model based on natural resources follows a very challenging path. To develop successfully from natural resources, the following stages must be followed: 1. Discovering natural resources 2. Utilizing natural resources: Attracting investment 3. Stabilizing income from natural resources 4. Making efficient investments with income from natural resources 5. Understanding economic growth Moderator: Looking at past and present policies, it seems our government wants to do everything. A coalition government has emerged, changing the political environment. As an economist, what do you see in terms of past mistakes and lessons for the future? Chief Economist D. Gan-Ochir of the Bank of Mongolia: There are many things needed in Mongolia's society and economy. We need to industrialize, build infrastructure, and resolve our energy issues. The biggest problem in our economy is the constraint of the balance of payments. When making policy decisions, we must not forget this constraint. If we move towards projects with unclear income timelines instead of projects that create export revenue and competitiveness, it will lead to stagnant export income in Mongolia, weakening the currency exchange rate, raising inflation, and increasing policy rates. These issues lead to social problems such as lack of job growth and economic viability, and ultimately lead to a cycle of populist policies. Moderator: I would like to ask MP G. Ochirbat. We only have one major industry, mining. Mining is a pillar, and other sectors are considered supporting. You were in the private sector and have become a policy maker this year. Now that we have been talking for many years about diversifying previous economic policies, how will we proceed in terms of policy and by what means? Is the coalition government following the same path as before or is there change? MP G. Ochirbat: Political polarization is too much in Mongolia, and the budget is increased every year. This year it expanded by 20%, with an attempt to make everything state-involved. Minister B. Javkhlan and the chairs of the economic and budget standing committees propose supporting businesses through the government. In reality, they only support about 4,800 companies. Of the roughly 250,000 registered companies in the country, over 90,000 barely operate, and about 50,000 pay taxes. Companies associated with the government and influential officials win tenders. When meeting with young entrepreneurs, they state that severe criteria make it impossible to participate in tenders. The government should only focus on organizational aspects. Moderator: The initial goal of establishing the Development Bank was to diversify the economy, promote exports, and serve as a financing mechanism, which was fulfilled by investing in many projects through the Chinggis bond. How should the Development Bank now participate in economic diversification and enhancing competitiveness? Executive Director Z. Narantuya of Development Bank: As of today, about 91% of export income is linked to raw material economics. We must create industries with additional drivers of competitiveness, such as purifying gold, producing copper concentrates, and manufacturing various end products with coal. Financing the necessary infrastructure to support industries aimed at promoting exports is the main goal of development financing or project financing and forms government policies. This was the intent in establishing the Development Bank in 2011. The Development Bank is not a lending institution but a development institution. As a development institution, it initiated projects such as establishing steel plants and industrial complexes. Unfortunately, there was no unified management from project start to completion. As projects began, they were hindered by political decisions or government changes, leading to many economically beneficial projects being halted. The loans involved have now been classified as non-performing. To avoid such mistakes, the Development Bank will support 14 mega projects and 140 projects that support exports.

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C. TUVAAN: We need to fix the mistake of abandoning the exploration sector and establish the Geology and Mining Agency

Published: 2024-11-28 | Translated from: unuudur.mn

We had a conversation with C. Tuvaan, Member of Parliament and Minister of Industry and Mineral Resources, on some current issues. - The issue of establishing a copper processing plant for "Erdenet Plant" is included in the Government's program of 14 mega projects. Will this be established under the management of the plant? - It pertains to the responsibilities of the Ministry of Industry and Mineral Resources. It is ranked first among the measures to be implemented within the government's 100 days. We are preparing to establish a company. Next week, it will be discussed at the government meeting, and if the decision is approved, it will be done legally. - There is information about appointing leadership and changing the structure and composition of major state-owned companies like "Erdenet Plant," "Erdenes Mongol," and "Erdenes Tavantolgoi." Which of the Minister of Finance or the Minister of Industry and Mineral Resources has the authority and involvement in this matter? - This is one of the issues included in the government's structure and composition diagram. The "Erdenes Mongol" group is a large organization uniting 31 legal entities in the mining sector, with its own board. Their main functions are not under the Minister of Finance nor the Minister of Industry and Mineral Resources but are organized to be under the jurisdiction of Minister N. Uchral of the Cabinet Secretariat. - Can Minister N. Uchral really handle assessing the well-being of entities related to mining? Regarding property, isn’t it related to the Minister of Finance and operationally to your ministry? - It relates to the Ministry of Industry and Mineral Resources policy-wise. Only in cases where there is an "audit" with a restricted or poor assessment does it connect. In other cases, it pertains to the Minister of the Cabinet Secretariat. I think we need to revise this. - How will the issue surrounding the "Khalkh Gol" project be resolved? A severe situation has developed, and only a government decision is crucial now? - The project, for which licenses were issued according to the laws of Mongolia, hasn't had any suspension or prohibition decisions from the government or the relevant ministry. Regrettably, a very unfortunate event occurred, violating many sections of laws, including human rights, so the legal authorities are investigating and will make a decision. - There is news of establishing the Geology and Mining Agency. Hopes are raised to intensify exploration activities that have been neglected in recent years. Could you provide specific information? - It is true that I initiated and am leading the issues of establishing the agency. It has been one of the chronic problems, like an "upside-down pyramid." The primary basis of the mining sector is the geology sector. First, geological exploration and research must be conducted, based on which extraction and production are carried out. Yet, it has been neglected for many years, and the current workings are only nominal. Hence, there is an intention to give importance to the exploration sector and establish a Geology and Mining Agency, but it's either not communicated well to the sector or other intentions might be in play; thus, it is currently postponed. We aim to undertake specific works in this direction. - What is the reason for the postponement? Is it necessary to amend the relevant laws to achieve this? - Whether to amend the law is a matter of the Parliament's authority. Since Parliament defines and approves the structure and composition of the government, we must wait. - Regarding the connection work of the railway at the Gantsmod-Gashuunsukhait, an agreement was reportedly finalized with China's state-owned "China Energy." At what stage is it now, and when is it expected to be completed? - The railway connection issue of Gashuunsukhait-Gantsmod border has been introduced to all parliamentary parties. During the upcoming Friday's regular session, a joint information session will be provided to the members of Parliament. Our work is proceeding according to the plan and step by step. There are issues to decide within the scope of the Parliament's full authority, such as amending the law on the Mineral Exchange. We are confident we will resolve it successfully. - The law on Nuclear Energy has been approved. Can you fulfill the promise of concluding an investment agreement with "Orano Mining" within this year? - The agreement with France's "Orano Mining" is expected to be finalized by the end of this year, and if delayed, it will be finalized by January next year. It needs to be introduced to Parliament and approved. A working group led by Cabinet Secretariat Chief N. Uchral and another by MP B. Purevdorj is overseeing the investment agreement’s task.

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Diplomacy

Reuters: Indian companies negotiate with Mongolia on transporting coking coal

Published: 2024-11-28 | Translated from: gogo.mn

Indian companies JSW Steel and the state-owned SAIL are discussing with Mongolian authorities about transporting coking coal, as reported by the Reuters news agency. According to an anonymous source, India's largest steel manufacturer by capacity, JSW Steel, aims to import 2.5 million tons, while SAIL aims to import 75 million tons of coking coal from Mongolia. The coal transportation is planned to be conducted through either Russia or China. When Reuters asked the director of SAIL about this issue, they responded, "We need to decide how to manage the logistics issue." It was also stated that the company previously researched the possibility of transporting coking coal from Mongolia to diversify their suppliers. India, ranking second in the world in raw steel production, imports 85% of its coking coal needs. Importing coking coal from Mongolia is reportedly $50 cheaper per ton than from Australian coal. Source: Reuters

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Published: 2024-11-28 | Translated from: montsame.mn

Ulaanbaatar - The first meeting to initiate talks for establishing a social security agreement with the Commonwealth of Australia was organized virtually. Representatives from Australia's Department of Social Services, the Ministry of Labor and Social Protection of Mongolia, the Ministry of Foreign Affairs, and the Embassy of Australia in Mongolia participated in the meeting. They exchanged information about the social security systems of both countries, discussed conducting the first stage of negotiations in January 2025, and shared ideas about drafting the agreement. The government is committed to ensuring the social protection rights of citizens working and living abroad by establishing social security agreements with countries where a significant number of Mongolians reside. According to the Ministry of Foreign Affairs, there are about 16,600 Mongolian citizens residing in Australia as of 2023, with approximately 10,000 of them being engaged in employment. Currently, Mongolia has social security agreements with Russia, South Korea, Hungary, the Republic of Poland, the Republic of Turkey, and the Czech Republic. Efforts are underway to renew the agreements with Russia and South Korea, and to establish new agreements with the Republic of Kazakhstan and the Republic of Austria, as reported by the Ministry of Labor and Social Protection.

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Kuwait's Ambassador Muhammad Al-Mutairi was Received

Published: 2024-11-28 | Translated from: gogo.mn

Minister of Foreign Affairs B. Battsetseg received Ambassador of Kuwait to Mongolia, Muhammad Al-Mutairi, in connection with his permanent return to his homeland. During the meeting, Foreign Affairs Minister B. Battsetseg noted that Kuwait is the first country among the Gulf states to establish diplomatic relations with Mongolia and that the relations between the two countries are steadily expanding. She emphasized the importance of developing trade and economic cooperation and implementing joint projects and programs in the future. The Minister also remarked on Ambassador Muhammad Al-Mutairi's significant contributions to developing the relations between the two countries during his tenure as ambassador in Mongolia and wished him success in his future endeavors while presenting him with the Ministry of Foreign Affairs' "Golden Gerege." Ambassador Muhammad Al-Mutairi expressed his gratitude for the continuous support he received from the Government of Mongolia, the Ministry of Foreign Affairs, other organizations, and the people of Mongolia during his term.

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State Worker Travels to Turkey on Foreign Ministry Expenses

Published: 2024-11-28 | Translated from: isee.mn

After conducting an inspection at the Ministry of Foreign Affairs, B. Purevdavaa, a member of the Civil Service Council (CSC), reportedly traveled to Turkey at the expense of the ministry. It's believed he traveled there to meet his daughter studying in Turkey, with the expenses covered by the Ministry of Foreign Affairs, which is said to be kept secret. In this, four representatives traveled to Japan, and eight to Turkey. Furthermore, C. Amartogs, Chair of the Ethics Committee and a member of the CSC, along with five other representatives, are preparing to visit Canada and the United States from December 1-10 this year, also at the expense of the Ministry of Foreign Affairs. They have instructed the embassies of the two countries to organize meetings to disguise the trip as official. These actions raise suspicions of potential ethical violations or external interests behind the trips labeled as official but do not seem to serve official purposes.

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Infrastructure

Providing Opportunities for Multinational Corporations to Operate Construction Activities in Mongolia

Published: 2024-11-28 | Translated from: ikon.mn

Today, an open day event called "Special Permission for Construction Operations: Changes and Renovations 2024" was organized. The Ministry of Urban Development, Construction and Housing and the Mongolian National Construction Association (MNCA), a non-governmental organization, jointly organized the discussion. Participants included J. Batsuuri, Minister of Urban Development, Construction and Housing, B. Nemehbayar, First Vice President of the MNCA, and William Kosar, a consultant from the Asian Development Bank. In 2010, government resolution no. 325 concerning the transfer of some government functions to contractual agreements was issued. Subsequently, in 2020, under resolution no. 340, the sector's non-governmental organizations partnered to organize the issuance of operational permits. By transferring this authority to non-governmental organizations, partial digitization was achieved in 2019, and full digitization was accomplished from 2021, linking with the government services systems HUR, DAN, and I-Mongolia. The establishment of a unified information database for the construction sector has been highlighted as a key achievement by the organizers. S. Tömörkhüü stated: "In order to ensure that people live comfortably in their own homes, it is necessary to train professionals." Regarding the discussion, S. Tömörkhüü, Acting State Secretary of the Ministry of Urban Development, Construction, and Housing, said, "According to the Construction Law, licenses are issued to conduct business. Since 2012 and 2017, four types of licenses have been issued through non-governmental organizations. We aim to introduce changes to accept the licenses, diplomas, and documents of engineers and technical workers from developed countries and directly utilize their designs in Mongolia. Specifically, we plan to enable major multinational companies to conduct construction assembly operations in Mongolia. Domestic businesses will have the opportunity to participate in any way." Furthermore, the government aims to provide mortgages for private residential buildings. There is a need to include private homes in mortgage loans. Studies show that creating a conducive environment would encourage people to live in private homes. The main problem they face is not receiving loans like for public apartments. To address this, it is necessary to prepare professional advisors who can meet bank requirements and provide guidance on constructing energy-efficient and disaster-resistant buildings. Media Warning: Media organizations (TV, Radio, Social Media, and Websites) must mention the source (ikon.mn) when utilizing our information in full or partial form.

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C. Tuvaan: Due to the delay in the Gashuunsukhait-Gantsmod cross-border railway, our country lost the opportunity to transport 232 million tons of coal and earn 18.5 billion USD

Published: 2024-11-28 | Translated from: isee.mn

The construction of the cross-border railway at the Gashuunsukhait-Gantsmod border crossing has been stalled for more than ten years due to Mongolia building a broad-gauge railway. However, the Government of Mongolia has ranked the continuation of this railway construction as the first among its 14 mega projects and is conducting phased negotiations. We asked the relevant ministers about the current status of the railway connection. The Minister of Industry and Mineral Resources, C. Tuvaan, stated, "A working group consisting of representatives from both countries is actively working on the issue of connecting the border railway at the Gashuunsukhait-Gantsmod crossing. I am leading the Mongolian side of the working group. The two working groups are planning to meet and decide on the border connection soon. This involves not only the railway connection but also the sale and purchase of coal contracts and increasing mine capacities." During the Prime Minister's visit to China and the Shanghai Cooperation Organization meeting, certain solutions were reached in discussions with representatives from the 'China Energy' company. Our country plans to export 80 million tons of coal this year. Most of this coal is transported by truck through the Gashuunsukhait-Gantsmod border crossing. It is estimated that by completing the railway at this border post and connecting the lines at Hangi-Mandal, Shiveekhuren-Sekhee, and Bichigt-Zuun Khataw ports, Mongolia will be able to export no less than 120 million tons of coal annually. The railway agreements are ready. Negotiations for coal sale and purchase agreements are underway. Additionally, the Western and Eastern Tsankhi coal deposits of 'Erdenes Tavantolgoi' cannot produce more than they currently do due to capacity constraints. Thus, international open tenders will be announced to increase capacities and put previously studied deposits like 'Onch Kharaa' and 'Bor Tolgoi' into operation, enabling more coal exports. We will only overcome our hurdles by solving these issues comprehensively. If the railway had been operational since 2015, our country could have transported 232 million tons of coal and earned an additional 18.5 billion USD, according to ministry estimates. Meanwhile, the Chinese side mentions an issue of 14 billion yuan. Of this, 7.2 billion yuan is for the over 300 km railway built to the Gantsmod border, 2.7 billion yuan is due to ten years of non-use, and 4 billion yuan for terminal construction costs, summing up to approximately 2.3 billion USD in losses and expenses. The cross-border railway connection from the Government of Mongolia's 14 mega projects is prioritized as the first concern. The agreement for connecting the Gashuunsukhait-Gantsmod railway is planned to be completed by this year. Once the agreement is signed, it is expected that all construction will be completed, and transport will commence by 2027.

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Discussing the Development Policy for the Introduction of Electric Vehicles

Published: 2024-11-28 | Translated from: gogo.mn

The United Nations Economic and Social Commission for Asia and the Pacific, in cooperation with the Ministry of Road and Transport, organized a national seminar titled "Trends in Transition to Electric Vehicles." During this event, the characteristics and advantages of electric vehicles were highlighted. Electric vehicles do not emit exhaust fumes. Therefore, air pollution is reduced, air becomes cleaner, and it positively impacts public health. Additionally, it creates significant economic opportunities for the country. It helps save on consumer expenses. Based on the suggestions and recommendations of participants in the seminar, policies and objectives for implementing electric vehicles in the short and medium term will be developed and followed through, according to the Ministry of Road and Transport's announcement.

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M. Regmi: It is Important to Accelerate the Transition to Electric Public Transport

Published: 2024-11-28 | Translated from: montsame.mn

Transitioning vehicles, particularly public transport, to electric transport and increasing the use of electric cars has many advantages. It can reduce the consumption of diesel fuel, gasoline, and other fuels, decrease dependency on petroleum products, reduce greenhouse gas emissions, and provide citizens with pollution-free and comfortable transportation. This issue was discussed at the "Trends in Transition to Electric Transport" national seminar held today at the Teachers and Students Development Center of the National University of Mongolia. The meeting was organized by the United Nations Economic and Social Commission for Asia and the Pacific and the Ministry of Road and Transport Development. It was attended by representatives from public transport companies such as "Zorchigch Teever-2" and "Monnis Motor" who presented on the introduction of electric transport vehicles in Mongolia. As of today, the capital city has a total of 1.4 million vehicles, of which 1,690 are electric. The introduction of electric transportation in our country began in 1987 when trolleybuses started operating in Ulaanbaatar. Currently, 10 trolleybuses are active in the city. The decline and stagnation in this area is attributed to aging infrastructure and the lack of timely renovations, according to O. Luvsandagva, head of the technical department of the "Zorchigch Teever-2" state-owned enterprise. The company currently operates 35 electric buses and 10 double-decker electric buses in the city's public transport system and is testing 8 new buses. The tests, which include charging stations for electric buses, battery storage, winter heating, and infrastructure such as lines and stops, are reported to be going well. Participants in the seminar discussed the need for a national policy for the implementation and promotion of electric transport vehicles in Mongolia. It was agreed that finalizing the policy foundations and strategic plans for implementation would be the next major step. The involvement and contributions of the Ministry of Road and Transport Development, the private sector, research institutions, experts, and engineers are crucial to developing and implementing this policy. The Head of the Transport Division of the United Nations Economic and Social Commission for Asia and the Pacific, Madan Bandhu Regmi, a guest of honor at the meeting, emphasized that "Transitioning vehicles to electric engines is an essential part of the energy transition," and highlighted the importance of accelerating the transition to electric transport, particularly public transport, in the Asia-Pacific region. Additionally, Mongolia's Long-term Development Policy "Vision-2050" document outlines the commitment to "contributing to international efforts to mitigate climate change by developing a low-carbon, productive, and inclusive green economy." In support of green technology and the green economy, a working group led by the Minister of Road and Transport Development, established by the Prime Minister's 2023 Resolution No. 108, is studying the establishment of electric vehicle charging stations and developing a project for implementation. The working group has developed an action plan to increase the use of electric cars between 2024 and 2026, which has been approved and is being jointly implemented by the Ministers of Road, Transport, Finance, Environment, Climate Change, and Energy. Although the policy promotes the issuance of eco-licenses for electric vehicles to increase usage, today's meeting also noted the challenges posed by the current energy grid and supply in implementing the goals set in this plan. Moreover, international experiences of introducing high-capacity public transport, such as metro and light rail, are being shared.

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Supporting Electric Vehicles Requires Good Infrastructure and Charging Stations

Published: 2024-11-28 | Translated from: ikon.mn

The Ministry of Road and Transport Development, in cooperation with the United Nations Economic and Social Commission for Asia and the Pacific, organized a national consultation and seminar titled "Trends in Transition to Electric Vehicles" at the Conference Hall of the Teacher Development Center of the National University of Mongolia. During this conference, stakeholders discussed global and regional experiences in electrifying public transportation, the current state of public transportation in Mongolia, and the transition to electric vehicles in the country. Professor Madan Bandu Regmi from the UN Economic and Social Commission for Asia and the Pacific provided information about the benefits of transitioning to electric vehicles. He mentioned, "Major countries around the world have set goals to reduce greenhouse gases and have started certain actions. The increase in greenhouse gases is associated with changes in climate temperatures. Therefore, the role of the transport sector in this task is crucial. Implementing electric vehicles is appropriate to reduce greenhouse gases. For example, countries like China and Norway are effectively using electric transport to reduce greenhouse gases." However, for electric vehicles to be utilized, energy sources must be clean. Since Mongolia's energy sources are coal-based, it is crucial to use renewable energy like wind and solar. The United Nations advises focusing on public transport rather than transitioning private vehicles to electric, as it would be more beneficial. Clean energy sources also offer economic cost advantages. During a recent travel around Ulaanbaatar, intense traffic congestion was noted. A way to immediately alleviate this congestion is to introduce high-capacity public transportation. The government has decided to proceed with establishing a metro system, and it should be successfully completed. "Focus only on the metro. Instead of spending on other types of public transportation, the metro should be put into operation," he said. On the current state of public transport in Mongolia, Erdenechimeg, the Executive Director of the Asian Infrastructure Research Institute, conducted research and provided insights on why using electric public transport is needed for urban life. Erdenechimeg stated, "Purchasing electric vehicles is slightly expensive. There are 1,300 electric vehicles in Mongolia, out of which 111 are public transport vehicles and 143 are Nissan Leaf cars. Regarding energy consumption, using electric vehicles is inexpensive. In order to start regularly using electric vehicles in Mongolia, charging stations need to be established first. Due to Mongolia's severely fluctuating climate, during the cold season, vehicles that should travel 250-300 km on a full charge only travel about 100-150 km. Therefore, using high-quality batteries suited to our climate is important." Currently, there are 13 electric vehicle charging stations in Ulaanbaatar city. To support electric vehicles, the infrastructure needs to be effectively established, and more charging stations need to be built. Electric public transport first entered Ulaanbaatar in 2018. Since then, electric vehicles have contributed to reducing greenhouse gas emissions to some extent. Converting public transport routes like M1, which travel along Peace Avenue, to electric would be beneficial. Even if we transition to electric transport, our energy sources are coal-based, leading to minimal impact on reducing greenhouse gas emissions. If we don't allocate staged funding to introduce new technologies in thermal power plants, they will continue to emit toxic smoke and gases. Our country's vision is to reach "0" greenhouse gas emissions by 2025. By 2030, 43% of all vehicles sold are expected to be electric, making it necessary for us to keep pace with global trends. During a recent trip around Ulaanbaatar with researchers, it took nine hours to cover 40 km, or 4.4 km per hour, which is slower than walking speed. The government has decided to establish metro systems in the most congested areas. Therefore, "focus only on the metro. Instead of spending on other types of public transportation, the metro should be put into operation," he discussed.

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Agreement reached to connect Gashuunsukhait-Gantsmod border crossing railway by one company

Published: 2024-11-28 | Translated from: isee.mn

We inquired with the Minister of Transport, B. Delgersaikhan, about the construction work of the Gashuunsukhait-Gantsmod border crossing railway. According to him, "There are 10 kilometers and 300 meters still missing for the connection of the Gashuunsukhait-Gantsmod border crossing railway. Specifically, from the other side, the narrow-gauge railway is 300 meters from the border, while our side is 10 kilometers from the border. We agreed on the principle of having this section connected by one company because our country lacks experience in carrying out such large-scale construction work. Once the bridge structure is built, there will be both narrow and wide tracks on top. To clarify, the wide track will go towards the Chinese side and reach their loading and unloading terminal, meaning it will be transshipped. On our side, we will have a facility to also load and transport the trains and cargoes that come in by narrow gauge. Both gauges will be able to load and exit simultaneously. The transshipment terminal is estimated to be built with a cost of 979 billion MNT. Calculated at today's exchange rate, that is 280 million USD. Based on our calculations, this amount of expenditure is expected. The Chinese side has also shown us their estimated costs. This project has to start for other projects to proceed. Therefore, the Government of Mongolia has prioritized it as number one among its 14 mega projects. Meanwhile, the Chinese side expressed their position that it would be appropriate to move forward with long-term and large-scale agreements in accordance with international standards," the statement highlighted.

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B. Delgersaikhan: The Cost of Building the Border-Connecting Railway is 979 Billion

Published: 2024-11-28 | Translated from: news.mn

The Government of Mongolia has decided to implement 14 mega projects over the next four years, including the construction of a border-connecting railway as a priority. During his visit to China, Prime Minister L. Oyun-Erdene discussed the establishment of the Gashuunsukhait-Gantsmod border-crossing railway bridge. It was noted that the border-connecting railway will be executed by the Chinese state-owned company China Energy. The Prime Minister has informed the parliamentary parties about this initiative. Minister of Transport B. Delgersaikhan provided the following explanation regarding the border-connecting railway: "The construction of the Gantsmod-Gashuunsukhait border-crossing railway by a Chinese state-owned company is currently under discussion. How many kilometers of railway are we planning to build in total? Will it be a narrow gauge or a broad gauge railway? Regarding the Gantsmod-Gashuunsukhait border-connecting railway, a narrow gauge railway is situated 300 meters from our side, and it is 10 kilometers from the border on our side. Essentially, we have agreed on the principle that one company will carry out the construction of the entire 10.3-meter railway facility. We ourselves are not capable of constructing such a large facility; it is a complex structure. Upon completion of this bridge facility, there will be both narrow and broad gauge tracks. The broad gauge will extend southward, reaching the loading and unloading terminal on the Chinese side, where it will be transferred and unloaded. We will be responsible for loading the incoming narrow gauge wagons, and such facilities will be in place. They will be unloaded simultaneously. We aim to send more trains to our southern neighbor. If they bring more flat wagons on narrow gauge, we can accommodate them just as we handle the current loads. This kind of facility will exist on both sides. What is the budget cost for constructing the bridge facility? The estimated cost will be 979 billion tögrögs, approximately 280 million US dollars at the current exchange rate. This estimate is based on audits. The Chinese side has provided all calculations and research. We are also having our relevant organizations review and verify these estimates. At what stage are the negotiations? What is the significance of the construction of the border-connecting bridge? This project is the first in the implementation of the 14 mega projects by the Government. If this project does not commence, our other projects will face serious challenges, to be honest. This is not just about connecting a single port with a railway. On a larger scale, this country will develop by making as many railway connections as possible. Projects will continue if we plan for 10-20 years and sign contracts for 30-40 million tons. The current operational methods of companies will not suffice. Without shifting to international standards, there will be no future if we continue to sell small amounts of coal like border traders do.

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Supporting Regional Development Policy through Enhanced Intersectoral Cooperation and Enterprise Support

Published: 2024-11-28 | Translated from: montsame.mn

In 2024, the Mongolian government declared the year of supporting regional development to fulfill the "Vision 2050" long-term development policy and "New Revival Policy" objectives, aimed at balancing urban and rural development. As part of this initiative, representatives from the central region of Mongolia are gathering in Darkhan city for the first time to discuss their future development plans together. The purpose of this conference is to accelerate the implementation of Mongolia's regional development concept, the government's action plan for 2024-2028, and the "Courage for Rapid Development" joint government agreement, aiming to solve issues hindering regional and local development, exchange opinions, and reach a common understanding. The Central Region Development Conference - New Standard Forum features participation from the Deputy Prime Minister of Mongolia S. Amarsaikhan, members of the Parliament and government, local administration leaders, and both domestic and international guests and delegates. The central region is deemed Mongolia's strategic development center. Policy makers believe that by supporting private enterprises and improving intersectoral cooperation through effective organization, regional development can be actively and successfully implemented. Sectors like Special Zones, Dry Ports, Free Zones, and Industrial Technology Parks require support for the sales channels of enterprises operating within them. Plans are made to establish sales regions with 70 settlement centers and 91 development centers across 21 provinces. In the central region, 10 local development centers are planned. Linked with regional development policy, the government is promoting the “New Cooperative” movement. Currently, over 6,361 cooperatives have been established nationwide with more than 66,000 member herders, of which over 700 are in the central region. Over five months, a concessional loan total of 517 million MNT was granted to 14,808 herders, while 80.6 billion MNT in financing has supported agriculture development in the central region. In support of regional development, 11 project programs are underway in Darkhan-Uul province, covering construction, housing, infrastructure, urban planning, heavy and light industry, and higher education. In Tuv province, 14 projects are being implemented, and in Selenge province, 10 projects are ongoing. Darkhan-Uul province currently has a 30% thermal energy reserve. Given the growing population, households, businesses, and usage, this reserve might deplete by 2027, risking being similar to Ulaanbaatar by 2028. Therefore, steps are being taken to develop a secondary heat supply source through policy documentation and research. The government aims to develop the central region as an agriculture and agricultural production cluster. Consequently, the Ministry of Food, Agriculture, and Light Industry was relocated to Darkhan city, reflecting the government’s policies in practice, noted conference participants. The focus should be on more precisely defining and systematically implementing human development policies within regional development, as emphasized by the Deputy Prime Minister. The conference continues with sector-specific discussions, focusing on crafting targeted development programs based on regional priorities and characteristics, as well as planning, financing, and fostering cooperation. "Regional Development," "Business Development," and "Local Development" sector meetings, the international forum "Resilient City," and the "Mongolian Entrepreneurs General Assembly" will also be organized. About 500 delegates from all administrative levels in Darkhan-Uul, Selenge, and Tuv provinces, relevant government agencies, international organizations, academics, public and private sectors, and the general public are participating.

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Selenge: 10 Projects are Underway to Support Regional Development Policy

Published: 2024-11-28 | Translated from: montsame.mn

At the Central Regional Development Conference - New Standard Consultation, Mongolia's Deputy Prime Minister S. Amarsaikhan, along with members of Parliament, government officials, local leaders, foreign and domestic guests, representatives, governors of Selenge, Darkhan-Uul, and Tuv provinces at all levels, relevant government agencies, international organizations, scientists, private sector representatives, citizens, and around 500 participants are in attendance. The central region is considered the strategic development center of Mongolia. Therefore, it aims to actively pursue regional development by supporting private enterprises, improving inter-sectoral cooperation, and organizing efforts efficiently. In this context, it is essential to support the sales channels of enterprises operating in Special Zones, Dry Ports, Free Zones, and Industrial Technology Parks, with plans to establish sales areas comprising 70 bases and 91 development centers across 21 provinces. Ten local development centers are planned for establishment in the central region. In line with the policy of regional development, the government has launched the "New Cooperative" movement, resulting in the establishment of 6,361 cooperatives across the country, with more than 66,000 herders as members, over 700 of whom are based in the central region. Over five months, preferential loans totaling 517 million MNT have been provided to 14,808 herders, and 80.6 billion MNT has been financed to support agriculture in the central region. Within the framework of policies to support regional development, 10 projects are being implemented in Selenge Province, 11 projects in Darkhan-Uul Province, and 14 projects in Tuv Province. The government aims to further develop the central region as an agricultural and crop-growing area through clustering, and the relocation of the Ministry of Food, Agriculture and Light Industry to Darkhan-Uul Province demonstrates effective implementation of this policy, as highlighted by participants at the conference.

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Next Year, Main Pedestrian Paths in the City Will Be At Least Two Meters Wide

Published: 2024-11-28 | Translated from: ikon.mn

Starting next year, major pedestrian paths in the city's streets will be expanded. According to the head of the City Infrastructure Department, B. Odbayar, "From next year, we will expand and renovate pedestrian paths in the city's main streets and roads according to standards. Four main criteria—traffic safety, connectivity, width, and surface roughness—will be applied. Within the framework of comprehensive street planning, priorities are set for roads, green spaces, pedestrian paths, and buildings. Additionally, a system of path maintenance responsibilities will be established to allow for immediate repairs in case a path gets damaged. Furthermore, detailed logistical plans will be drawn up for work sites, and companies executing pedestrian path construction will manage the sites. If a site needs to be closed, traffic management will be carried out, ensuring that pedestrians can pass unhindered," he informed. Previously, the city planning and construction codes stipulated that the minimum width of a pedestrian path should be one meter, which posed difficulties for two or more people walking side by side. However, going forward, pedestrian paths will be at least two meters wide. By making pedestrian paths wider and more comfortable to walk, the number of people using services of businesses increases, which in turn boosts income. Warning: Media organizations (Television, Radio, Social and Web pages) must mention the source (ikon.mn) when using our information in any form, fully or partially.

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Society

Project to Increase Public Confidence in Courts to be Implemented with EU Funding

Published: 2024-11-28 | Translated from: gogo.mn

The International Development Law Organization (IDLO), in collaboration with the General Council of Courts, has decided to implement the "Judicial Cooperation and Transparency" project with funding from the European Union. The European Union considers a strong and clear system of justice and judiciary to be of crucial value for democracy. Therefore, it is effectively working on judicial reforms in collaboration with the judiciary of Mongolia. The results of the "Judicial Cooperation and Transparency" project being launched will benefit all users of judicial services. In other words, within the framework of the project, the operations of Mongolia's courts are expected to become more accessible and understandable, thereby increasing the public's confidence in the judiciary, as highlighted by EU Ambassador to Mongolia, Ina Marčiulionytė, during the opening. Charles Bolland, Resident Representative of the International Development Law Organization, stated, "Through this project, we aim to strengthen and empower the collaboration between Mongolian media, civil society organizations, and the judiciary. This will improve judicial transparency and information accessibility. Ultimately, the project aims for judicial institutions to evaluate cooperation from all perspectives at a high level. As a result, the citizens of Mongolia will begin to receive specific and accurate information." By implementing the project, it will strengthen the relations and collaboration between judicial institutions, civil society, and media organizations. Additionally, it will train journalists and media organizations in judicial journalism and explanatory journalism techniques, enhance their capacity to prepare summaries of court decisions and news materials, and further increase public confidence in the judiciary. During the project's launch, representatives from the General Council of Courts, the Judicial Disciplinary Committee, the Judicial Academy, and the Mongolian Bar Association signed a memorandum of cooperation.

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Enabling Year-Round Tourist Reception

Published: 2024-11-28 | Translated from: unuudur.mn

The government has issued a resolution on measures to increase the flow of tourists and enable year-round tourist reception. As part of this, it has been decided to consider reducing the price of airline tickets by up to 40% compared to the summer season. Additionally, there are plans to increase the number and frequency of domestic flights in line with tourists' weekend travel. Furthermore, the construction of airports in the area around Altai Tavan Bogd and Buir Lake is set to commence. The resolution includes provisions for extending the visa exemption period for citizens coming from South Korea for tourism, and increasing the number of visa-free countries according to the appropriate regulations. It also addresses organizing events such as Lunar New Year, "Blue Pearl", "Mazaalai" snow and ice festival, "Thousand Horses of the Steppe", and "Nomads' Winter" at an international level and in a high-quality manner. Moreover, the resolution calls for the construction of hygienic facilities for tourists in appropriate locations according to standards. These urgent tasks have been assigned to the relevant ministers and officials by the government's meeting yesterday.

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Registration for the "JENESYS" program selection with Japan ends this month on the 30th

Published: 2024-11-28 | Translated from: ikon.mn

The registration for the selection of "Japan Promoters," who will collaborate for a year in the cultural and informational activities of the Embassy of Japan and spread the charm of Japan, will end on the 30th of this month. Those who pass the selection will not only participate in events related to Japan organized in Mongolia but also take part in the "JENESYS" exchange program for children and youths, implemented by the Ministry of Foreign Affairs of Japan to enhance understanding of Japan, in February 2025. Selection process: - Announcement of those who passed the initial selection: On December 13, 2024, via the Embassy of Japan website and Facebook page, only the registration numbers of those who passed will be published. - Interview examination date: December 18-20, 2024. - The interview examination date, time, and location will be notified by email to each person who passed the initial selection. (For those living in remote areas such as rural regions, it is possible to take the interview examination online.) - Final selection results: December 25, 2024. Note that some changes may occur in the program depending on certain circumstances, as informed by the Embassy of Japan. Selection conditions: - Be between grades 10 and 30 years old as of February 2025. - Must be a citizen of Mongolia and residing in Mongolia at the time of registration. Students must be studying in Mongolia. - Must not have visited Japan before. - Must thoroughly understand the content and purpose of this promotional system and actively participate with genuine enthusiasm in all organized activities in Mongolia. This includes meetings before and after the trip to Japan. For more detailed information, click here. Warning: Media organizations (Television, Radio, Social and Web pages) must mention their source (ikon.mn) when fully or partially using our information in any form.

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State Employees to Telework One Day a Week to Reduce Traffic Congestion

Published: 2024-11-28 | Translated from: ikon.mn

In an effort to reduce traffic congestion in the capital city, Minister R. Erdeneburen, who is the chairman of the '20-Minute City' National Committee of Mongolia, provided a brief update to journalists today. He mentioned, "A regulation for state employees working in Ulaanbaatar to work remotely one day a week is in the process of being finalized. Further information will be provided once it is enacted. This matter was discussed in the government meeting." Previously, to reduce road congestion in the capital, 1,400 government employees working at the State Palace were encouraged to use public transportation. As part of this initiative, buses began servicing three routes from September this year: AT:1 "State Palace-Gerelt Khotkhon-Zaisan", AT:2 "State Palace-River Garden-Khan Hills", and AT:3 "State Palace-Encanto-Khunnu 2222 residential area". However, this service was discontinued as of the 8th of this month. The next measure aimed at reducing congestion focuses on allowing state employees to work remotely one day a week. Warning to media organizations (Television, Radio, Social, and Web pages): when using our information in any form, in full or in part, the source (ikon.mn) must be cited.

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Environment

U.Khurelsukh: 6.3 trillion MNT to be spent on mitigating climate change

Published: 2024-11-28 | Translated from: gogo.mn

Under the auspices of the President of Mongolia, the "Mongolia - Financing Green Development" forum has begun for the third year in the Government Palace. The forum will discuss topics such as the green transition in the agricultural sector, financing energy-efficient housing, and increasing the flow of green finance. Green financing is a financial mechanism aimed at reducing greenhouse gas emissions and utilizing natural resources effectively by financing environmentally friendly and energy-efficient projects and operations. Globally, financing to combat climate change increases every year, reaching 1.3 trillion USD in 2023. For our country, the goal is to reduce greenhouse gas emissions by 22.7% by 2030, adapt to climate change, improve the quality of life and human development, achieve high-quality education, and good governance to realize the Paris Agreement for green and inclusive social development. A total of 11.5 billion USD is needed for this, of which 6.3 billion USD will be spent on mitigating climate change and 5.2 billion USD on adaptation measures. In this context, collaboration is underway with international organizations, investment funds, programs, and the private sector, in addition to the state budget. Domestic non-bank financial institutions and commercial banks aim to offer 5-10% of total loans as green loans by 2030. Developing and climate-vulnerable countries face financial risks in meeting their commitments under the Paris Agreement due to high debt levels and limited domestic financial resources. It has been agreed to triple climate financing to developing countries, reaching 300 billion USD annually. During the 29th UN Summit, world leaders agreed to triple the annual climate financing directed at low- and middle-income developing countries from the current 100 billion USD to 300 billion USD until 2035. It is gratifying that Mongolia proposed establishing an "International Coalition on Sustainable Pastures and Land Issues for the Future" at the mentioned summit. If this initiative is supported and approved, investments and financing directed towards the over 100 countries with traditional pastoral systems will increase, providing tangible support to safeguard and improve the health and livelihoods of about 500 million people. Moreover, our country has pledged internationally to balance emissions and absorption by 2050. Expert assessments indicate that fully implementing these commitments will require financing equivalent to more than 50% of our GDP. Hence, comprehensive legal and business environment reforms are needed to increase environmental and green development financing. The President of Mongolia is spearheading national movements such as "Billion Trees," "Food Supply and Security," and "White Gold," aimed at enhancing international cooperation and increasing financial and investment engagements in environment, agriculture, and green development. In this context, in collaboration with the "Ban Ki-moon Foundation for a Better Future" and Stanford University in the USA, Mongolia is planning to host an international "Altai Across Sustainable Dialogue" conference next June under the auspices of the President, with the theme "Trillion, Trillion Trees - Combating Climate Change," to expand cooperation and increase investments. Over 70 million USD in non-repayable aid has been secured from international investors. With the President's initiative and support, a permanent financing mechanism for conservation is being established through the "Perpetual Mongolian Nature Fund," consolidating over 70 million USD in non-repayable aid from international investors. This is a substantial budget, and it is crucial to utilize these resources effectively and inclusively. Furthermore, a project supported by Germany’s "Legacy Land Trust" is underway, with 15 million USD for "Blue Sky Land – Onon Balj Natural Complex," contributing to reducing biodiversity loss and fulfilling international commitments. The head of state is confident that these projects and programs will make a real contribution to reducing biodiversity loss and fulfilling international obligations. In addition, the government needs to step up active efforts to modernize energy infrastructure, increase renewable energy sources, promote energy-efficient housing, and develop green agriculture. Although there have been achievements, progress, and results, it is necessary to further improve policies and actions related to climate change, environmental protection, and green development. This forum aims to present government projects and programs related to green development to investors, expand regional and international cooperation, enhance mutual understanding, increase environmental and green development financing, share experiences, and align policies and actions. It is crucial for our country to establish national consensus in terms of policy targets, information sharing, and collaboration among all societal groups to intensively pursue green development. Fighting climate change and protecting the environment is not the responsibility of a single ministry or organization. This involves the cooperation, mutual understanding, and shared responsibility of all ministries, institutions, citizens, private sectors, and civil society organizations. The state leader emphasizes that in recent years, our private sector, especially banks and financial institutions, has been actively working to bolster green development and attract green financing. Now, it is crucial for the government to provide the necessary infrastructure, legal environment, and clearly articulate policies and goals to the public, supporting them decisively and swiftly. It is appropriate to present detailed policies and goals to the public for reducing greenhouse gas emissions in sectors such as agriculture, construction, and energy. Specifically, detailed and scientifically based quantitative and qualitative objectives for each social and economic sector must be developed and clearly communicated to the public and wealth creators. Particularly, the public should be informed of detailed policies and goals to reduce greenhouse gas emissions in agriculture, construction, and energy sectors. Within this framework, it is necessary to develop and implement detailed joint working plans with citizens, the state, and the private sector. Participants should engage in the required cooperation, making legal and regulatory adjustments. The principles, infrastructure, and methodologies of green and sustainable financing need to be improved to meet international standards, and state attention should focus on making efficient use of carbon taxes and markets, developing the relevant legal frameworks. I am confident that you will have open discussions on the many pressing issues mentioned above at today's forum, making practical suggestions and initiatives.

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U.Khurelsukh: Our country agreed to triple its climate financing to $300 billion

Published: 2024-11-28 | Translated from: isee.mn

Under the auspices of the President of Mongolia, the "Mongolia-Financing Green Growth" forum was held at the State Palace for the third year. The forum discussed green transition in agriculture, financing energy-efficient housing, and increasing flows of green financing. Green financing is a financial mechanism aimed at reducing greenhouse gas emissions and efficiently utilizing natural resources by financing eco-friendly and energy-efficient projects and activities. Globally, financing to combat climate change is increasing every year, reaching $1.3 trillion as of 2023. For Mongolia, the goal is to reduce greenhouse gas emissions by 22.7% by 2030 and to implement the Paris Agreement to adapt to climate change, improve the quality of life and human development, and strive for green, inclusive social development through quality education and good governance. A total of $11.5 billion is required for this, of which $6.3 billion will be used for climate change mitigation and $5.2 billion for adaptation measures. In this framework, in addition to the state budget, the country is cooperating with international organizations, investment funds, programs, and the private sector. Domestic non-banking financial institutions and commercial banks aim to provide 5-10% of total loans in the form of green loans by 2030. The forum was organized with the collaboration of the President's Office, the Mongolia Sustainable Finance Association, Khan Bank, the UN, and its system and specialized agencies. President of Mongolia U.Khurelsukh opened the forum with his speech, which we present in full below. "Distinguished guests, ladies and gentlemen, I express my heartfelt gratitude to the leaders of environment and green development participating in the third "Green Financing Forum" and extend my greetings for this beautiful day. This forum is organized under the theme "Financing Green Growth in Mongolia," and I express my gratitude to the public and private sectors, international organizations, and especially to the Mongolia Sustainable Finance Association, Khan Bank, the UN, and its system and specialized agencies for their cooperation. At the 29th UN Climate Change Summit held in Baku, Azerbaijan, world leaders expressed their positions on environmental and green development financing and introduced green development policies, objectives, activities, and results. After focusing primarily on increasing budgets and financing to combat climate change at this summit, we are here today to discuss how Mongolia can increase its green development financing. During the summit, UN Secretary-General Antonio Guterres noted that 2024 is expected to be recognized as the hottest day, month, and year in recorded history since 1850, underlining that climate change is causing more alarm and fear than ever before. If humanity does not decisively fight climate change, land degradation, and biodiversity loss, the Earth may choose its path without us. It is essential that we live in harmony with nature, as this is the foundation of our existence. Therefore, to achieve a common future under the shared purpose of respecting and caring for nature, it is vital to establish national consensus, shared policies, and mutual understanding that includes the state, private sector, civil society, and all social groups to achieve more tangible results. Especially for developing countries and those vulnerable to climate change, high levels of debt and limited domestic budget and financial resources pose financial risks to fulfilling the commitments of the Paris Agreement. Hence, at the UN 29th summit, world leaders agreed to triple the annual climate financing from $100 billion to $300 billion until 2035 for low- and middle-income developing countries. During the summit, Mongolia initiated the "International Coalition on Sustainable Pastures and Land for the Future," which was presented to countries globally. If this initiative is supported and approved, investments and financing targeting the more than 100 countries with traditional pastoral economies will increase, providing tangible support for the health and livelihoods of approximately 500 million people. Dear guests and delegates, Our country, with its harsh continental climate, is one of those heavily impacted by climate change. Due to the dzud—severe winter and spring conditions—over 10% of livestock, about 8.1 million animals, perished, heavily affecting the livelihoods of Mongolians who have traditionally relied on animal husbandry. Thus, it demands urgent, determined action from us to effectively combat climate change and fulfill our international commitments. Mongolia has pledged to reduce greenhouse gas emissions by 22.7% by 2030 and to achieve net-zero emissions by 2050. Experts estimate that implementing these commitments will require financing equivalent to more than 50% of GDP. Therefore, there is a need to intensify the comprehensive legal and business environment reforms to increase environmental and green development financing. The President of Mongolia has initiated national movements such as "One Billion Trees," "Food Security," and "White Gold," aiming to increase international cooperation, finance, and investment in environment, agriculture, and green development. As part of this effort, we plan to expand cooperation and increase investments by hosting the "Altai Transboundary Sustainability Dialogue" international conference with the Bam Ki-Moon Foundation and Stanford University under the President's auspices in June next year. Additionally, with the President's initiative and support, a "Foreever Mongolia" permanent financing system for conservation is being established, and the "Mongolian Natural Heritage Fund" trust fund has gathered over $70 million in grants from international investors. This is a significant budget aimed at being utilized effectively and inclusively. Moreover, the project "Land of Blue Skies - Onon Baljiin Natural Complex Area," supported by Germany's "Legacy Landscapes Fund" with financial assistance of $15 million, has begun implementation. Projects and programs like these are expected to reduce biodiversity loss and contribute significantly to fulfilling international commitments. The Head of State is confident in this. Furthermore, the government must work more actively in areas such as accelerating energy renewal and expanding renewable energy sources, promoting energy-efficient and green housing, and developing green agriculture. Despite numerous achievements, there's a need for further improvement in policies and activities related to climate change, environment, and green development. Therefore, this forum aims to promote government projects and programs on green development to investors, enhance regional and international cooperation, strengthen mutual understanding, and share experiences on increasing environmental and green finance, aligning policies and measures. Creating national consensus, ensuring consistency in policy goals, information, and cooperation among all societal groups to accelerate green development remains crucial. Combating climate change and environmental protection is not solely the task of one ministry or a few organizations. It requires the cooperation, understanding, responsibility, and accountability of all social groups, such as ministries, institutes, citizens, private sectors, and civil society organizations, as emphasized by the head of state. In recent years, our private sector, particularly banks and financial institutions, have been actively working to boost green development and attract green financing, which is commendable. The state must now quickly explain and disseminate detailed policies and goals to the public, supporting them promptly. For example, in each economic and social sector, calculating and scientifically detailing quantitative and qualitative goals for reducing greenhouse gases and making them understandable to the public and wealth creators is necessary. Particularly in sectors such as agriculture, construction, and energy, publicizing detailed policies and goals to reduce greenhouse gas emissions is appropriate. In this context, it is essential to thoroughly plan and implement work involving citizens, the state, and the private sector, ensuring coordinated participant efforts and necessary regulatory and legal reforms. Simultaneously, improving green and sustainable financing principles, infrastructure, and methodologies to meet international standards, optimizing the use of carbon taxes and markets, and establishing relevant legal frameworks requires special state attention and swift action. Confidence in the effectiveness of extensive discussions and practical proposals during today's forum on these urgent issues is essential. Dear guests and delegates, The source of humanity’s well-being is clean air, fresh water, and pure soil. Protecting and caring for Mother Nature is the foundation of sustainable development for humanity. Therefore, mankind cannot afford to waste time when it comes to preserving the planet. Protecting and respecting nature is not an option, but humanity's obligation and responsibility to the Earth. Environmental and green development financing is not mere assistance but our most important investment for future generations. Therefore, we, the Mongolian people, must work with a united vision towards green development, making effective and bold decisions promptly and implementing them without delay. May the eternal blue sky continue to watch over humanity, and may world peace prevail. I wish success to the forum's activities."

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The Green Transition in Agriculture, Housing, and Energy Sectors Highlighted at the Sustainable Finance Forum

Published: 2024-11-28 | Translated from: ikon.mn

"Financing Green Development in Mongolia" was the theme of the "Sustainable Finance Forum" held today at the State Palace. The forum's main discussions focused on key topics such as the green transition in the agricultural sector, financing energy-efficient residential housing, and increasing the flow of green finance. Now in its third year, the Sustainable Finance Forum is held under the auspices of the President of Mongolia, bringing together policymakers, private sector representatives, civil society organizations, and other relevant stakeholders to express their positions and work towards solutions and tangible outcomes to increase "GREEN FINANCE." Khan Bank's CEO, R. Munkhtuya, shared the following perspective on financing and lending that seek environmental sustainability and green development. As of the third quarter of 2024, commercial banks have issued "green loans" totaling 1.2 trillion MNT, which equates to 3.4% of the total loan portfolio. We aim to increase the proportion of green loans to 10% by 2030. Meanwhile, non-bank financial institutions aim to reach 5% of their loan portfolio. Currently, green loan issuance stands at 2.4%. Financial institutions will continue to issue green loans for specific projects and programs and can raise necessary funds by issuing bonds both domestically and on foreign markets. During the issuance of green loans, they are openly discussing what projects to implement, who will play what roles, how to support this from a policy perspective, and what measures to take for those who do not fulfill their responsibilities. Khan Bank is leading the market as of 2024. Currently, Khan Bank has issued green loans totaling 625 billion MNT, which is 5.6% of its total loan portfolio. Specifically, there are ten types of green loans covering five business and five consumer categories. We are providing gender-sensitive loans to support female entrepreneurs. Currently, this makes up 12.5% of the total loan portfolio. We aim to increase "Gender-Sensitive Loans" to 14% by the end of next year. By the end of 2025, Khan Bank projects that its green and social loans will reach 1.4 trillion MNT, and loans supporting women's entrepreneurship will reach 1.8 trillion MNT. International financial organizations are keen to finance businesses that mitigate or adapt to climate change. As of today, we have accumulated $1.1 billion in financial resources, though placement of these funds in optimal projects is progressing slowly. Defining exactly what qualifies as a green project, what policy measures are in place, and how the private sector should collaborate in this area remains unclear. Moving forward, we can refine our goals and collaborate to develop new tailored products, as explained by Khan Bank's CEO, R. Munkhtuya. Regarding the green transition in the agriculture, housing, and energy sectors, we sought information from Presidential Economic Advisor B. Davaadalai. Three major sectors contributing to environmental degradation exist in our country. In the agricultural sector, Mongolia's livestock numbers have grown considerably compared to pasture capacity, significantly impacting soil and land degradation. In rural areas, pasture management is a critical issue, so attention to current projects and programs is essential. Specifically, how can environmentally friendly technology be utilized in agriculture? Will the interest rates on loans be reduced if such technology is used? Should subsidies or exemptions be increased in this sector? Additionally, various incentives need to be utilized in the agricultural sector. In the energy sector, it primarily relies on coal and currently operates at a deficit of nearly 500 billion MNT. There are discussions on what reforms are necessary, particularly regarding using environmentally friendly renewable clean energy. There are ongoing requests from foreign investors. In simple terms, we can implement model projects for renewable energy; however, a significant issue is the tariffs. What price should electricity be supplied to Mongolia, and at what price should the generated energy be sold? Fundamental reform means liberalizing prices and aligning tariffs with market principles, which is crucial. The government's initiative to start these reforms is a significant step. Moving forward, supporting companies and individuals using renewable and clean energy with discounts and other means is vital. In the construction sector, raw materials used for building construction have significant environmental impact. Therefore, it is appropriate to modify specific conditions of mortgage loans. Enhancing mortgage loan accessibility for environmentally friendly, energy-efficient, low-waste residential houses and other dwelling types is essential. Ensuring sustainable financing for citizens by obtaining loans from banks correctly in line with market principles is necessary. "Within two years, the share of green loans in the banking sector's total loans increased from one percent to three percent," said Economic Advisor B. Davaadalai. "In the future, using appropriate incentives, such as tax, customs, and interest rate reductions, should be essential for supporting green development technologies and business activities in the three sectors mentioned above. It is noteworthy that two years ago, only one percent of the banking sector's total loans were green loans, which increased to three percent in two years. The goal is to achieve 10% green loans by 2030." "Sustainable regional and rural development should also be addressed," echoed Tapana Mishra, the United Nations (UN) Resident Coordinator. "There are many successful examples globally, and the UN is working to connect these with Mongolia. We are linking international best practices and organizations implementing them with Mongolia. Agriculture accounts for 51% of Mongolia's greenhouse gas emissions. It is possible to make thousands of herder households an efficient and dynamic part of the population. Green financing should be balanced with economic and environmental protection activities. Can the sector emitting 51% of greenhouse gases be used more effectively? Various opportunities exist in this area, starting from biogas. In addition to urban development, sustainable regional and rural development should be discussed," Mishra concluded. Please note that media organizations (Television, Radio, Social, and Web pages) must mention the source (ikon.mn) when fully or partially using our information.

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B.Davaadalai: By 2030, Mongolia will make 10 percent of all loans green loans

Published: 2024-11-28 | Translated from: montsame.mn

The "Mongolian Sustainable Finance Forum-2024," held under the auspices of the President of Mongolia, commenced today at the State Palace. In connection with this, we spoke with B.Davaadalai, the Economic Policy Advisor to the President of Mongolia, about the forum's objectives, discussions, and outcomes of previous forums. What issues will this forum discuss? How is it different from previous forums? For Mongolia, urgent issues include combating climate change, soil degradation, dust storms, and desertification. Therefore, protecting the environment and accelerating green development have become one of our nation's top priorities. In particular, within the framework of the Sustainable Development Goals, by 2030, we have a duty to fulfill our international commitments. Domestically, one of the main paths to improving the livelihoods of citizens, businesses, and those living and working locally is to protect the environment and enhance green development. Our country has a traditional agriculture sector, which is highly dependent on the weather. Last winter, a disaster occurred throughout the country. If Mongolians do not pay special attention to environmental issues, there is a risk that the quality of life for Mongolian households and citizens will deteriorate. Therefore, since being elected, the President of Mongolia has given special importance to environmental and green development issues and has been advancing multi-faceted initiatives and seeking solutions. This forum will be held from the 27th to the 29th of this month. The forum will address the issue of how we should allocate our financial resources to successfully achieve green development and transition in Mongolia. During the forum, firstly, the reform of the energy sector will be discussed. The energy sector is one of the three sectors in our country contributing to greenhouse gas emissions and environmental degradation. The second major sector to consider is agriculture. We will discuss how to develop this industry into an environmentally friendly, green sector in the future. The subsequent sector is the construction industry. We have been discussing for many years how to develop the construction industry in an energy-efficient and environmentally friendly way. The government will provide specific information on this, and the private sector will receive the necessary information. In summary, this forum will discuss pressing issues in the green agriculture, construction, and energy sectors. Addressing the issue of green development at a time when a new Parliament and Government have been established seems timely. What were the outcomes of the previous forums? The forums bring together policymakers, regulatory bodies, private sector representatives, and civil society leaders in green development to openly discuss their work, outcomes, and challenges, and to define future steps to strengthen cooperation among all parties. For example, let me cite two results that emerged following the previous forum. Firstly, our financial sector, particularly the banking sector, committed to directing loans toward supporting green businesses. At that time, only 1 percent of the banking sector's loans were green loans. In the past 2 years, green loans have comprised 3 percent of the banking sector's total loans. At the initiative of the President, the financial sector is working to make 10 percent of the banking sector's total loans green loans by 2030. Secondly, we are implementing international best practices that increase funding for the environmental sector in Mongolia. A notable example is the establishment of the "Environmental Permanent Financing Program" model system in cooperation with the international conservation fund, with the initiative and support of the President. To date, over 70 million USD in grant form has been raised from international investors. It is expected that an additional 100 million USD can be raised by 2030.

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COP29: Agreed to Increase Climate Financing to 300 Billion Dollars Annually

Published: 2024-11-28 | Translated from: montsame.mn

The President of Mongolia, Khurelsukh Ukhnaa, participated in the high-level summit of world leaders on climate change issues during the 29th session of the Conference of the Parties to the United Nations Framework Convention on Climate Change, held in Baku, Azerbaijan. The 29th session of the Conference of the Parties to the UNFCCC, its implementation agreement, and the meetings of the Convention's two main permanent committees were convened concurrently in Baku from the 12th to the 24th of this month. The closing plenary session of the 29th Conference of the Parties was held on the morning of the 24th of this month, during which decisions on key issues were introduced and adopted. For instance, an agreement was reached to increase climate financing for developing countries and least developed countries to 300 billion dollars annually. The Parties agreed to support efforts to gradually increase climate financing, involving both the public and private sectors, to 1.3 trillion dollars by 2035. UN Secretary-General António Guterres noted, “This agreement was essential to keep global warming limited to 1.5 degrees Celsius. However, it is also hoped to achieve greater results in terms of financing and mitigating the adverse effects of climate change challenges we face.” Countries also agreed on rules to regulate the global carbon market.

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U.Khurelsukh: National Consensus is Vital for Advancing Green Development

Published: 2024-11-28 | Translated from: montsame.mn

Ulaanbaatar /MONTSAME/. Under the auspices of the President of Mongolia, the "Mongolia Sustainable Finance Forum 2024" high-level discussion was organized at the State Palace. The forum, themed "Mongolia - Financing Green Development," explored topics ranging from mitigating and adapting to climate change, increasing social participation and green financing opportunities, financing sustainable agricultural transitions, energy-efficient housing solutions for a green future, to protecting biodiversity, and other pressing social issues along with innovative financial solutions. Additionally, the forum focused on enhancing inter-sectoral cooperation and coordination, strengthening the capacity of the members and partner organizations of the Mongolia Sustainable Finance Association (ToS Association), and organizing thematic training sessions to introduce recent global and national trends and opportunities in sustainable finance. High-level policy discussions were held to identify and discuss possible solutions to create a sustainable finance ecosystem. Global financing to combat climate change has been increasing annually, reaching 1.3 trillion USD as of 2023. Mongolia aims to reduce greenhouse gas emissions by 22.7% by 2030 and to achieve the goals of the Paris Agreement by improving climate adaptation, quality of life, human development, quality education, and good governance for green and inclusive social development. This requires financing of 11.5 billion USD, with 6.3 billion USD allocated for climate change mitigation and 5.2 billion USD for adaptation. To achieve this, collaboration with international institutions, investment funds, programs, and the private sector is planned, with the goal that banks and non-bank financial institutions provide 5-10% of their loans as green loans by 2030. In his speech at the forum, President U.Khurelsukh stated, "Humanity must protect our planet and decisively combat climate change, land degradation, and biodiversity loss before it is too late, or the Earth will choose its path of existence without us. We must never forget that coexisting with nature is the foundation of human survival. Therefore, we must unite for our common future under the goal of respecting nature rather than dominating it, and strengthen national consensus, unified policy, and mutual understanding that involve all sectors of society, including the government, private sector, and civil society, to achieve tangible results. Developing countries, particularly those vulnerable to climate change, face financial risks in fulfilling their Paris Agreement obligations due to large debts and limited budgetary and financial resources. Hence, at the 29th UN conference, global leaders agreed to triple the annual climate financing directed from developed countries to developing low-and middle-income countries to 300 billion USD annually until 2035." He emphasized that Mongolia has launched the "International Coalition for Sustainable Pasture and Land Issues for the Future" and noted, "Mongolia is one of the countries severely impacted by climate change, with over 10% or 8.1 million of livestock perishing due to last winter and spring’s severe conditions. It is therefore essential to focus on fulfilling international commitments and taking decisive action against climate change with the collective efforts of all societal groups. Mongolia is committed to reducing greenhouse gas emissions by 22.7% by 2030, and achieving net-zero emissions by 2050. This requires financing equivalent to more than 50% of our GDP. Thus, it is critical to enhance environmental and green development financing through comprehensive reforms in the legal and business environments. Initiatives such as "Billion Trees," "Food Supply and Security," and "White Gold" national movements aim to increase international collaboration, finance, and investment in environmental, agricultural, and green development. As part of these efforts, "The Altai Transboundary Sustainability Dialogue" international conference will be organized in June next year under the theme "Billion, Billion Trees - Combat Climate Change," in collaboration with the Ban Ki-moon Foundation for a Better Future, Stanford University in the USA, and under the aegis of the President to expand cooperation and increase investment. The “Forever Mongolia” nature conservation permanent financing system has been established with the initiation and support of the President, and a 70 million USD grant from international investors has been collected by forming the "Mongolia Natural Heritage Trust Fund." Moreover, the "Land of Blue Sky - Onon Baljiin Nature Complex" project with a financing of 15 million USD from Germany’s Legacy Foundation is underway. These efforts aim to reduce biodiversity loss and fulfill international obligations and expectations. In addition, the government is actively working to accelerate energy reforms, increase renewable energy sources, develop energy-efficient and green housing, and promote green agriculture. Improving policies and activities in climate change, environmental, and green development are essential. This forum provides an opportunity for the government to present its green development projects and programs to investors, expand regional and international collaboration, strengthen mutual understanding, share experiences in increasing environmental and green development financing, and align policies and activities. To accelerate green development, national consensus involving policies, goals, information, and cooperation from all societal groups is vital. In recent years, the private sector, especially banks and financial institutions, has been actively working towards advancing green development and attracting green financing. However, it is crucial for the government to provide the necessary infrastructure, legal environment, and clearly communicate its policies and goals to the public and provide prompt support. Efforts should particularly focus on precisely calculating and scientifically developing quantitative and qualitative targets in the reduction of greenhouse gases across all social and economic sectors, especially in agriculture, construction, and energy, and effectively communicating these to the public. Participants from the public, private sector, and civil society need to collaborate in developing and implementing work plans and required legal reforms in conjunction with green, sustainable financing principles, infrastructure, and methodologies that adhere to international standards. Utilizing carbon taxes and carbon markets effectively and establishing relevant legal environments also require swift governmental action. Protecting nature is not a choice but a duty and responsibility of humanity. Environmental and green development financing is not assistance; it is an investment in our future generations. Let us all work together towards a unified vision for green development, implementing bold decisions without delay. The forum, held annually, brings together policymakers, regulators, financial sector participants, business organizations, domestic and international experts, and civil society representatives to share knowledge, strengthen capacity, enhance cooperation, and exchange information to identify and outline future goals. Its purpose is to facilitate policy innovation, support cooperation and partnerships among stakeholders, and promote the implementation of Mongolia’s key sustainable development goals. Policymakers, regulators, financial institutions, and international development organizations are required to collaboratively work towards achieving Mongolia's sustainable development targets, thereby providing an essential platform like the Mongolia Sustainable Finance Forum during a global shift towards green and sustainable development. The forum is organized with the participation of the Office of the President of Mongolia, the ToS Association, Khan Bank, the UN in Mongolia, and other partner and supporting organizations. It will continue tomorrow at the Shangri-La Hotel's conference hall with trainings and panel discussions on impact investment and sustainable financing access, ensuring sustainable management and financing opportunities for SMEs in the food sector, biodiversity financing, and the role of capital markets in sustainable development.

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Innovation

The First Conference to "Birth" a Unicorn in Mongolia Was Held

Published: 2024-11-28 | Translated from: news.mn

A decision was made to provide eight types of tax and non-tax support to information technology companies registered in the virtual zone. The first meeting of the National Council, which aims to provide this support and establish criteria and procedures, was held recently. During the meeting: - A Working Group to develop a strategic plan for the development of information technology production and advanced technology was established. - The composition of the Working Group to draft the procedures for supporting both tax and non-tax measures for legal entities registered in the virtual zone was approved. When choosing the members of the Working Group, relevant specialists and researchers from public and private sector organizations specializing in science, technology, finance, tax, small and medium production, and innovation were included, as specified by law. The National Council is responsible for creating an innovation ecosystem and fostering a realistic environment to support startups in Mongolia. During the meeting, Director of the National IT Park and Head of the National Council’s Working Office, J. Zolzaya, presented examples of how countries around the world have increased their GDP, exports, and human resources by providing economic support to information technology companies, as well as information on the legal and regulatory environment for supporting local startup companies. Minister of Communications and Information Technology, and Vice Chairman of the National Council, Ts. Batarkhuu, stated: "Legal opportunities have been opened for information technology companies, and the law to support the information technology industry has been passed by the Parliament. We are now starting to provide economic support." The National Council should be understood as having the responsibility to create an innovation ecosystem and provide a realistic environment to support startups in Mongolia, he further emphasized. He highlighted the need to define the scope correctly and to implement a selection process that is technology-driven, without human interference. Additionally, it was noted that Mongolia has sufficiently digitized government services. Landlocked countries are interested in E-barimt and E-Mongolia. It was emphasized that the source code available in government can be exported and the income centralized in the virtual zone. The foundation for creating a digital economy, increasing the share of IT in GDP, and "birthing" a world-class unicorn from Mongolia is being laid. In this era of rapid technological development, countries worldwide are announcing their ambitions. For example, Japan has set a goal to focus on sectors like robotics, artificial intelligence, IoT, and cybersecurity by 2030, and to increase digital exports to 7 trillion yen annually. Australia aims to increase digital trade by 30%. Kazakhstan's Astana Hub has set a goal to reach $500 million in technology exports by 2025 and $1 billion by 2030. These countries are providing economic support to information technology companies to achieve their goals. Astana Hub, established in 2018, garnered $35 million in income within a year. In 2023, the country's IT exports grew by more than 80%, creating 25,000 new jobs, and attracting $665 million in investment. Astana Hub is working to produce its first unicorn company by 2027 and has announced itself as a "Technology Hub" internationally. Uzbekistan has proclaimed itself as an "Outsourcing Hub" worldwide, with IT exports reaching $343 million in 2023. It plans to create 300,000 jobs and increase exports to $5 billion by 2030. For Mongolia, the telecommunications and information technology sector currently makes up 3.2% of GDP, and the role of this national council is considered crucial for increasing this percentage and establishing a digital economy. The Chairman of the National Council is Mongolia's Prime Minister L. Oyun-Erdene, with Minister of Communications and Information Technology Ts. Batarkhuu serving as Vice Chairman, and the Director of the National IT Park, J. Zolzaya, as Head of the Working Office.

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J. Zolzaya: Legal Environment Established to Provide Economic Support to Tech Companies

Published: 2024-11-28 | Translated from: gogo.mn

A decision has been made to provide eight types of tax and non-tax support to information technology companies registered in the virtual zone. The first meeting of the National Council to establish the rules and criteria for providing this support was held. The meeting: - Approved the composition of the working group to develop a strategic plan for the development of information technology production and advanced technologies. - Approved the composition of the working group to draft the rules on providing tax and non-tax support to legal entities registered in the virtual zone. In selecting members of the working group, specialists and researchers from government and private sector organizations focused on science, technology, finance, tax, small and medium enterprise, and innovation issues, which are expressly stated in the law to support information technology production, have been included. The National Council is tasked with creating an innovation ecosystem and establishing a real environment to support startups in Mongolia. During the inaugural meeting, J. Zolzaya, Director of the National IT Park and Head of the Working Office of the National Council, presented examples of how countries are increasing the GDP share, exports, and human resources of the IT sector by providing economic support to IT companies and informed about the established legal environment for providing such support to local startup companies. Minister of Communications and Information, Deputy Chairman of the National Council C. Baatarkhuu stated: "We have opened up possibilities legally for IT companies and the Law on Supporting IT Production has been passed by the Parliament. Now, economic support is being initiated." The National Council should be understood as being responsible for continuing to create an innovation ecosystem and a real environment to support startups in Mongolia. This council will make decisions to provide tax and non-tax support to entities registered in the virtual zone and present them to the Parliament and Government. Hence, it is necessary to clearly define the scope and adopt the principle of implementing technologies that allow for selection and evaluation without human intervention. Kazakhstan's Astana Hub has set targets to increase its technology exports to USD 500 million by 2025 and USD 1 billion by 2030. Moreover, Mongolia has successfully digitized government services. Landlocked countries show interest in Ebarimt and E-mongolia systems. It was highlighted that the state's source code can be exported and revenue centralized in the virtual zone. Furthermore, it was stated that the foundation for creating a digital economy, increasing the IT sector's share in the GDP, and producing a world-class unicorn from Mongolia is being set today. In this era of rapid IT development, countries around the world are setting their own ambitions. For example, Japan has set a goal to reach JPY 7 trillion in digital exports annually by 2030, focusing on robotics, artificial intelligence, IoT, and cybersecurity sectors. Meanwhile, Australia aims to increase digital trade by 30%. Kazakhstan's Astana Hub, on the other hand, has set targets to reach USD 500 million in technology exports by 2025 and USD 1 billion by 2030. These countries are providing economic support to IT companies to achieve their objectives.

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Mongolian Experts Qualify for the Finals of the World Hacker Competition

Published: 2024-11-28 | Translated from: isee.mn

The ethical hacker competition "BlackHat CTF-2024" is taking place in Riyadh, Saudi Arabia. Out of over 1600 teams from around the world, the top 250 teams have qualified for the finals, which are currently underway. Among these finalists are experts in cyber security from Mongolia. Notably, T. Yalguun, champion of Mongolia’s "Kharuul Zangi-2024" competition, M. Dölgöönbuyan, a specialist from the "System Center" training institution, and the Information Security Team from "Shunkhlai" Group are competing in the finals. The "Shunkhlai" Group team includes cyber security experts B. Temuulen, Z. Gantushig, Ts. Nomin-Erdene, N. Enkhsanaa, and E. Khangal. This competition, regarded as one of the most prestigious in the world, had over 1600 teams and more than 4000 cyber security experts participating, with the top 250 teams advancing to the finals. Today, the decisive rounds of the competition are taking place.

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The First Meeting of the National Council to Lay the Foundation for a Unicorn from Mongolia was Held

Published: 2024-11-28 | Translated from: isee.mn

A decision has been made to provide eight types of tax and non-tax support to information technology companies registered in the virtual zone. The first meeting of the National Council to provide this support and develop its criteria and guidelines was held recently. During the meeting: - An Action Group to develop a strategic plan for developing information technology production and advanced technology was established. - The composition of the Action Group to draft the regulation on the provision of tax and non-tax support to the legal entities registered in the virtual zone was approved. Members of the Action Group were chosen, including relevant specialists and researchers from public and private sector organizations that specialize in science, technology, finance, taxation, small and medium enterprises, and innovation, as specified in the law regarding the support of the information technology industry. The National Council is tasked with building an innovation ecosystem in Mongolia and creating a practical environment that supports startups. At the inaugural meeting, the Director of the National Information Technology Park and Chief of Staff of the National Council presented successful global examples of countries supporting their information technology companies economically and how this increases their share of GDP, exports, and human resources. Information was also given on the legal framework established to provide this type of support to domestic startup companies. A Member of Parliament and Vice Chairman of the National Council stated that the parliament has passed the Law on Supporting Information Technology Production, opening up legal opportunities for information technology companies. Now the work of providing economic support is beginning. The National Council should be understood as having the responsibility to build an innovative ecosystem in Mongolia and create a real environment that supports startups in the future. This council will make decisions to provide tax and non-tax support to legal entities registered in the virtual zone and will present these decisions to the parliament and government. Therefore, there is a need to define the scope correctly and implement a technology-based selection process without human intervention. Furthermore, Mongolia has sufficiently digitized state services. Landlocked countries are showing interest in Ebarimt and E-mongolia. It was emphasized that the source code from the government will be exported, and the revenue generated will be centralized in the virtual zone. It was noted that today, the foundation is being laid to create a digital economy and increase the share of information technology in Mongolia's GDP, aiming to "birth" a world-class unicorn from Mongolia. In an era of rapid information technology development, nations around the world are declaring their ambitions. For example, Japan aims to focus on robotics, artificial intelligence, IoT, and cybersecurity by 2030, with the goal of increasing digital exports to 7 trillion yen annually. Australia, on the other hand, has set an objective to increase digital trade by 30%. Kazakhstan's Astana Hub aims to increase its technology exports to $500 million by 2025 and $1 billion by 2030. These countries are supporting their information technology companies economically to achieve these goals. Astana Hub, established in 2018, managed to concentrate $35 million in revenue within a year. By 2023, the country had increased its IT exports by over 80%, created 25,000 new jobs, and attracted $665 million in investment. Astana Hub is working to produce its first unicorn company by 2027, declaring itself a "Technology Hub" with international ambitions. Uzbekistan's information technology exports reached $343 million in 2023. They have identified themselves as an "Outsourcing Hub" internationally and have plans to create 300,000 jobs and increase exports to $5 billion by 2030. In Mongolia, the telecommunication and information technology sector accounts for 3.2% of GDP. Increasing this share and developing a digital economy are crucial tasks of the national council. The Prime Minister of Mongolia serves as the chairman of the National Council, while the Deputy Minister of Communications, Information, and High-Tech and the Director of the National IT Park serve as deputy chair and chief of staff respectively.

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Today's Stories

Politics

Economy

Diplomacy

Infrastructure

Society

Environment

Innovation

Politics

ASSEMBLY: Mongolia is situated between two nuclear-armed powers but lacks nuclear facilities

Khaltmaagiin Battulga: National Consensus is Crucial for Accelerating Green Development

The Executive Director of MNCCI Detained

China Investigates Third Defense Minister for Corruption

Members of the Mongolian-Turkish Parliamentary Group Met with Representatives of the Grand National Assembly of Turkey

Parliament Session to Convene

The Parliament Session will Discuss Issues Related to Nuclear Safety Operations

Official Statement on the Arrest of Executive Director T.Düüren of MNCCI

Economy

IMF: The Bank of Mongolia and the Government Must Work Like 'Doubled Riders' for Sustainable Growth

Mongolia Must Diversify Its Economy

L. Tög-Öd Elected as the New President of the MNCCI

Discussing the Increase in Vehicle Taxes

Global Brands in Mongolia!

Evidence: Next Year Car Taxes Will Increase from 36,000 to 108,000 and Road Fees from 20,000 to 100

The Proposal to Increase Charges Related to Pollution and Road Usage

By 2030, GDP per capita will reach 8410 USD

D.Gan-Ochir: Mongolia Urgently Needs to Diversify Its Economy

C. TUVAAN: We need to fix the mistake of abandoning the exploration sector and establish the Geology and Mining Agency

Diplomacy

Reuters: Indian companies negotiate with Mongolia on transporting coking coal

Initiation of Social Security Agreement Talks with Australia

Kuwait's Ambassador Muhammad Al-Mutairi was Received

State Worker Travels to Turkey on Foreign Ministry Expenses

Infrastructure

Providing Opportunities for Multinational Corporations to Operate Construction Activities in Mongolia

C. Tuvaan: Due to the delay in the Gashuunsukhait-Gantsmod cross-border railway, our country lost the opportunity to transport 232 million tons of coal and earn 18.5 billion USD

Discussing the Development Policy for the Introduction of Electric Vehicles

M. Regmi: It is Important to Accelerate the Transition to Electric Public Transport

Supporting Electric Vehicles Requires Good Infrastructure and Charging Stations

Agreement reached to connect Gashuunsukhait-Gantsmod border crossing railway by one company

B. Delgersaikhan: The Cost of Building the Border-Connecting Railway is 979 Billion

Supporting Regional Development Policy through Enhanced Intersectoral Cooperation and Enterprise Support

Selenge: 10 Projects are Underway to Support Regional Development Policy

Next Year, Main Pedestrian Paths in the City Will Be At Least Two Meters Wide

Society

Project to Increase Public Confidence in Courts to be Implemented with EU Funding

Enabling Year-Round Tourist Reception

Registration for the "JENESYS" program selection with Japan ends this month on the 30th

State Employees to Telework One Day a Week to Reduce Traffic Congestion

Environment

U.Khurelsukh: 6.3 trillion MNT to be spent on mitigating climate change

U.Khurelsukh: Our country agreed to triple its climate financing to $300 billion

The Green Transition in Agriculture, Housing, and Energy Sectors Highlighted at the Sustainable Finance Forum

B.Davaadalai: By 2030, Mongolia will make 10 percent of all loans green loans

COP29: Agreed to Increase Climate Financing to 300 Billion Dollars Annually

U.Khurelsukh: National Consensus is Vital for Advancing Green Development

Innovation

The First Conference to "Birth" a Unicorn in Mongolia Was Held

J. Zolzaya: Legal Environment Established to Provide Economic Support to Tech Companies

Mongolian Experts Qualify for the Finals of the World Hacker Competition

The First Meeting of the National Council to Lay the Foundation for a Unicorn from Mongolia was Held

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