Mongolia asks Russia not to raise sale price for oil amid instability on global market - Cabinet of Ministers www.interfax.com

The Mongolian government has appealed to the Russian government with a request not to raise oil prices in bilateral trade, despite the volatility of prices on the global oil market provoked by the conflict in the Middle East, the Mongolian Cabinet of Ministers wrote on its website.

"Despite the existing disbalance between supply and demand and the volatility of prices on the oil market caused by the international geopolitical situation, a written request has been sent to Russian Prime Minister Mikhail Mishustin to stabilize the prices of the fuel which is supplied to Mongolia, and not to raise them," the statement reads.

The Mongolian Cabinet of Ministers said that the Russian government had responded, saying that it would resolve the issue of stabilizing fuel prices in the near future.

"The war in the Middle East has led to a sharp growth in fuel and oil prices, to a deficit, a crisis in transport and logistics and disruptions to foreign trade, which has paralysed the world economy. Many countries have reported a state of emergency. In our country, which is 100% dependent on imported fuel, the growth in prices and the supply deficit poses a particularly high risk. The price of fuel is the price of everything: [...] The price of bread, flour, meat, milk and all production resources," Mongolian Prime Minister Nyam-Osoryn Uchral is quoted as saying in the statement.

He said that the accompanying growth prices was feeding inflation even more, thus lowering wages, weakening the tugrik exchange rate and causing an outflow of dollars from the country. Transportation and operating costs in Mongolia have grown by at least 20% in recent times, decreasing companies' profits and household income in general.

Commenting on the initiative to adjust import duties for imported oil, previously spoken of by the Mongolian government, Uchral said that even if the duty of 5% of the price is abolished, this would not be enough to change the "price storm" on the global market.

"We have already seen enough in many sectors to understand that administrative attempts to control prices are effective at the current moment, but the consequences are serious. Lowering or waiving taxes and fees levied on fuel are limited and have little effect on prices. Nobody can predict how prices will grow due to force majeure circumstances on the international market, or what will happen tomorrow. It is essential that we work hard to prevent a fuel shortage. We will maintain an active dialogue and contact with Russia across all areas and work on ensuring supplies are delivered without disruptions," the prime minister said.

As reported, the Mongolian government sees the consequences of the U.S. and Israel's military operation in Iran as a serious threat to its fuel market and financial stability. Mongolia's economy is entirely contingent upon imported petroleum products and will suffer from the global shock on the world market, which will bring about a fuel crisis lasting for up to several months.

Russia is Mongolia's principal supplier of petroleum products, making up 95% of the total imports.

Mongolia names new prime minister in bid to end legislative deadlock www.apnews.com

Mongolia’s parliament has confirmed Uchral Nyam-Osor as the third prime minister in a year in a bid to end a deadlock in the legislature at a time of mounting economic pressures for the landlocked, resource-dependent country.

Uchral called for political unity, saying internal disputes have compounded external challenges.

“As others unite to confront crises, we cannot afford political infighting that weakens our economy,” he told lawmakers.

A total of 107 of the body’s 126 lawmakers voted Monday night, with 88 supporting Uchral — or 82.2% — clearing the way for the 39-year-old leader to take office.

Uchral is a former minister of digital development and communications, where he promoted transparency reforms and digital governance initiatives. Before entering politics, Uchral got public attention as a hip-hop artist under the stage name “Timon.”

He has positioned himself as a reform-minded leader focused on modernizing Mongolia’s regulatory environment, including streamlining the permitting systems inherited from the country’s Soviet-era. Mongolia transitioned to democracy in 1990 after decades of one-party Communist rule.

Uchral was seen as a compromise between factions in the Mongolian People’s Party loyal to the president and others loyal to a former prime minister, Oyun-Erdene Luvsannamsrai.

A boycott by the opposition Democratic Party and the infighting in the ruling party had left the parliament without the required number of members to hold votes in the session that began about two weeks ago.

Outgoing Prime Minister Zandanshatar Gombojav, who had taken office nine months ago, submitted his resignation Friday to resolve the crisis. He was also under pressure because one of his senior ministers faced corruption allegations.

Zandanshatar, who is close to the president, had replaced Oyun-Erdene, who was prime minister for four years before resigning last June after losing a vote of confidence in parliament. All three prime ministers are from the Mongolian People’s Party.

Mongolia excluded from Russian gasoline ban www.gogo.mn

Alexander Novak, Deputy Prime Minister of the Russian Federation, has officially announced a complete ban on the export of gasoline from Russia beginning April 1, 2026.

On March 29, the Ministry of Energy and Mineral Resources said that Mongolia will not be affected by the ban. In September 2024, Mongolia and Russia signed an agreement on cooperation in the petroleum products sector, which exempts Mongolia from the restriction. 

We are focusing on increasing Mongolia’s participation in international logistics networks www.en.mininginsight.mn

The current state of Mongolia’s transport sector, the progress of railway projects, and cross border connectivity were discussed in an interview conducted by Mining Insight’s E. Odjargal with B. Delgersaikhan, Minister of Roads and Transport.

As Chair of the National Committee to Reduce Traffic Congestion in Ulaanbaatar and as Minister of Roads and Transport, you are directly involved in transport infrastructure. What key issues and priorities are you focusing on?

In essence, the work of the Minister of Roads and Transport is about creating domestic and international connectivity, and it also has a diplomatic dimension. In modern political and economic thinking, connectivity has become a central concept. As strategist Parag Khanna has noted, countries that can connect to multiple markets are the ones that develop. Transport infrastructure networks therefore play a critical role in the economy. Mongolia, which is highly dependent on imports, is incurring significant losses due to inefficient domestic freight transport, slow turnover, weak connectivity, and the absence of a well-developed national network. Improving connectivity across all modes of transport is essential, though this must be done with clear priorities and a focus on strategically and economically viable routes. When I assumed the role of Minister, I committed to focusing on the country’s key strategic projects. First, to improve safety for Ulaanbaatar and its residents, we are advancing the Bagakhangai–Khushig Valley railway project to address the rail line running through the capital. Second, we are prioritizing cross-border railway connections by expanding access to foreign markets. This includes new railway routes and border connections to support mineral exports. These efforts aim to reduce transport costs, strengthen export competitiveness, and increase Mongolia’s participation in international logistics networks.

What policies are China and Russia pursuing in terms of transport infrastructure connectivity, and what kind of discussions are being held with Mongolia?

In reality, Mongolia has only two neighboring countries. By making use of the opportunities offered by these large markets, Mongolia is focusing on developing its western and eastern railway corridors and, in the longer term, opening the shortest route connecting Europe and Asia. This is considered essential for the country’s future development. The programme to establish the Economic Corridor, signed in 2014 by the heads of state of Russia, Mongolia, and China, clearly outlines railway routes along the eastern and western vertical axes. At present, Mongolia’s main source of income is mineral resources. Six types of mining products account for 95 percent of the country’s exports, most of which are bulk cargo. It is estimated that 25 to 30 million tonnes of mineral products and raw materials are exported annually via Ulaanbaatar Railway. However, the Zamyn-Uud border crossing has a capacity of only about 12 million tonnes per year, which limits the transport of both domestic mineral products and transit cargo. Ulaanbaatar Railway, a joint venture owned 50:50 by Mongolia and Russia, has traditionally focused on maintaining the northern route. Meanwhile, the southern sections, particularly beyond Sainshand, have gentle gradients that restrict both passenger and freight transport. The Zuunbayn–Sainshand line was not originally designed for full freight use and can carry loads of only two to three tonnes. 

Mongolia has been transitioning to a market economy for more than 30 years. As a result, export-oriented railway lines that connect the country to international markets are critically needed. 

For this reason, the Gashuunsukhait–Gantsmod border railway project is being implemented as a priority.

The Gashuunsukhait–Gantsmod border railway project, which will open Mongolia’s second cross-border railway connection after more than 60 years, has been discussed since 2008, yet construction has only recently begun. When is it expected to be completed?

Discussions on connecting the Gashuunsukhait–Gantsmod railway across the border date back to 2010, and it is said that 55 meetings were held with the Chinese side. After I was appointed Minister of Roads and Transport, I participated in the 56th meeting. It is true that negotiations with the Chinese side were complex, particularly regarding missed opportunities. China also consistently raised the issue of cross-border railway connections. Following the agreement reached, construction of the long-delayed Gashuunsukhait–Gantsmod cross-border railway finally began in June 2025. As Mongolia has waited many years to move this project forward, border and customs-related issues have been carefully addressed. In particular, a dedicated zone for incoming workers has been established, and border protection authorities have been instructed to ensure that the work proceeds without disruption. As a result, construction is progressing according to plan. Of the more than 3,000 bridge pillars required, around 1,100 have been completed to date. The target is to reach 70 percent completion by 2026.

How much bulk cargo is currently being transported on the Tavan Tolgoi–Gashuunsukhait railway?

Under a resolution of the Government of Mongolia, the infrastructure and rolling stock of the Tavan Tolgoi Gashuunsukhait railway are being operated under a lease agreement by Mongolian Railways. In accordance with a long term coal transportation agreement signed between Mongolian Railways and China Energy Coking Coal, transportation began on 24 June 2025. To date, over a seven-month period, a total of 4 million tonnes of coal have been transported.

Will the Tavan Tolgoi–Gashuunsukhait railway be extended westward toward Dalanzadgad?

Yes. Design work is currently underway for a 100-kilometer railway line along the Tsogttsetsii–Dalanzadgad route. First, this will connect the capital of Umnugovi Province to the cross border railway. The line will later form part of the planned Zamiin Uud–Zuunbayan–Dalanzadgad–Shiveekhuren railway corridor. By linking the provincial capital to the Tavan Tolgoi–Zuunbayan railway and providing southbound access as well as a route toward Zamiin-Uud, this project will enable not only the transport of mining products but also the movement of goods for local residents and private businesses.

One of the key elements of the intergovernmental agreement on the Gashuunsukhait–Gantsmod cross border railway is the plan to connect the next phase of border crossings, namely Shiveekhuren–Sekhe and Khangi–Mandal, by rail. When is the Shiveekhuren–Sekhe cross-border railway expected to be connected?

That is correct. The agreement stipulates that once construction at Gantsmod begins, negotiations on cross-border rail connections at other border points will also commence. In line with this, at the opening ceremony of the Gashuunsukhait Gantsmod cross-border railway construction, an agreement was reached with the Chinese side to begin the Shiveekhuren–Sekhe railway connection. Discussions are currently ongoing at the working level, and the agreement is expected to be signed this year. There is a possibility that the Shiveekhuren–Sekhe railway could be connected and become operational ahead of the others. Essentially, the connection requires laying approximately 300 meters of railway to link with the Chinese side. Construction on the Mongolian side of this cross-border railway project was fully completed in 2024 and accepted by the state commission.

Will a railway be built from the Shiveekhuren border crossing to the Nariinsukhait group of deposits, and if so, when?

Yes, it will be built. Once the Shiveekhuren–Sekhe cross-border railway connection is completed, a railway line will be extended to the Nariinsukhait group of deposits. The companies currently engaged in coal mining at those deposits will construct this railway themselves, as they have the right to do so.

More broadly, will Mongolia’s western vertical railway corridor be extended as far as Arts Suuri? The “State Policy on Railway Transport” includes the Arts Suuri Nariinsukhait–Shiveekhuren route.

This has not yet been finalized. At present, there is no clearly identified investor for this railway project. The main unresolved issue remains the question of railway gauge.

What is the current operational status of the Tavan Tolgoi–Zuunbayan railway, which forms part of the east–west horizontal axis connecting the western and eastern vertical corridors, including the Shiveekhuren Dalanzadgad–Tavan Tolgoi–Zuunbayan route? Is freight transportation increasing?

At present, six coal trains per day are operating on this railway, transporting coal to the Khangi border crossing. From this year onward, coal exports from the Umnugovi side, particularly from Tavan Tolgoi, will increase. From the Dornogovi side, transportation of lignite coal for export will also increase significantly.

At what stage is the cross-border railway connection project at the Khangi–Mandal border crossing?

A working group has been established to ensure unified management and coordination of negotiations with the Chinese side and to develop technical solutions for the construction of the Khangi–Mandal cross-border railway. Discussions with the Chinese side are ongoing. It is necessary to include this railway project in China’s 15th Five-Year Plan, to amend the 2004 intergovernmental agreement between Mongolia and China on border crossings and their regimes, and to formally approve the border connection point. Construction work will begin after these steps are completed.

What expansion and modernization works are being carried out at the Khangi border crossing? What export capacity is being achieved? What are the prospects for increasing Mongolia’s mining exports through this crossing, and how strong is demand from the Chinese side?

At the Khangi border crossing, terminals for bulk cargo, hazardous cargo, and fuel are being constructed. All construction work at the border crossing is expected to be completed this year. Demand for coking coal, which is Mongolia’s main export revenue source, is strong among end users in the Baotou industrial region, one of China’s leading steel-producing centers and the world’s second-largest industrial hub. Baotou is the most important, largest, and closest market for Mongolia’s coking coal. This reflects Mongolia’s geopolitical reality.

Erdenes Tavan Tolgoi has announced plans to increase coal exports through the Khangi border crossing. Freight volumes on the Zuunbayan–Khangi railway are expected to grow. Will the capacity of this railway be expanded?

At present, there are orders totaling 10 million tonnes from the Zuunbayan side. Looking ahead, as conditions improve for delivering coal to Chinese end users via a shorter route, freight demand on this railway is expected to increase, and the railway’s capacity will therefore be expanded.

What is the status of the Bichigt–Zuunkhatavch cross border railway project?

The issue of railway gauge at Bichigt has not yet been resolved. Because the gauge issue remains unsettled, investment decisions have also been delayed. There are estimates that more than 400 kilometers of railway would need to be constructed along the eastern vertical corridor to reach the Bichigt border crossing. The feasibility study for the Bichigt–Zuunkhatavch cross-border railway project is currently being prepared by Mongolian Railways. After that, a selection process will be conducted. The project is planned to be implemented as a public–private partnership. Mongolia’s eastern corridor railway would pass through China’s Zuunkhatavch border crossing and continue through Liaoning Province to the Jinzhou seaport. This is expected to help reduce congestion and pressure at Tianjin Port, which currently handles much of Mongolia’s foreign trade cargo. Mongolia also sees potential for cooperation with Russia on the Solovyovsk Ereentsav–Bichigt railway route, although Russia is currently facing limited financial resources. The Ereentsav railway line is operated by the Ulaanbaatar Railway joint venture. Overall, in parallel with the construction of the Bichigt border railway, domestic infrastructure will need to be upgraded and improved. 

What is the current progress of the Bagakhangai Khushig Valley railway project, which branches off from the 1,100-kilometer railway network operated by Ulaanbaatar Railway?

Although a decision was made three years ago to implement the Bogd Khan Railway project, no construction work had begun until it was restarted. Agreements were reached through negotiations with Russian Railways. Construction of this railway officially commenced on 25 April 2025, with plans to put it into operation in 2027. This is a project of strategic importance for national development. Once this branch railway becomes operational, it will be possible to transport 34 types of hazardous cargo, including fuel, chemicals, and explosive materials, along a new route south of Bogd Khan Mountain without passing through the city center, significantly improving safety for residents of the capital. In addition to traffic congestion, hazardous cargo should not pass through the city. At present, 424 trains carrying explosive materials are stopped in Ulaanbaatar. Due to a lack of storage facilities and other constraints, these cargos are not unloaded and remain stationary for extended periods. This issue has been repeatedly raised with relevant authorities, including the Cabinet Secretariat, the State Emergency Commission, and the General Intelligence Agency. Despite budget constraints, work has continued. With the efforts of 62 domestic companies, 82 kilometers of basic infrastructure have been completed, and the upper structure has reached 10 percent completion. Mongolian Railways has been financing part of the project through its own efforts. In general, management at Mongolian Railways and Ulaanbaatar Railway is required to operate with the efficiency of private companies. We must reduce excessive structures and unnecessary burdens in order to operate profitably. Once this branch railway enters operation, it will be capable of transporting 3.5 million tonnes of cargo in the first year, increasing to up to 20 million tonnes annually over time. As a result, between 316 and 1,800 heavy trucks per day will no longer need to operate on the capital’s roads. This is expected to reduce traffic congestion in Ulaanbaatar by 20 to 30 percent and lower noise and air pollution.

What road infrastructure projects are currently being implemented?

For the first time in Mongolia, a heavy-duty, special-purpose road will be constructed through a public–private partnership. This will serve as a model for the country and mark the beginning of a gradual transition toward toll roads in line with international practice. In recent years, vehicles transporting mining products and fuel operated by individuals, businesses, and organizations have frequently exceeded weight limits. Vehicles with an actual weight exceeding 44 tonnes while traveling on public roads are required to use non-public, special-purpose roads. Last year, construction began on the first phase of a 152-kilometer paved road along the Baruun-Urt–Bichigt route, connecting Baruun-Urt, the center of Sukhbaatar Province, with the Bichigt border crossing. The project is planned for implementation between 2025 and 2027 with state budget funding totaling MNT 324 billion, of which MNT 31.6 billion has been allocated in the 2025 state budget. Once the paved Baruun-Urt–Bichigt road is completed, a new Asia–Europe road network passing through Mongolia will be added, and the Bichigt border crossing is expected to develop into a major gateway after Zamiin-Uud. This will create opportunities for trade with Northeast Asian countries via Chinese ports such as Tianjin, Jinzhou, and Dalian, giving the project significant economic importance.

What are the main priorities in the aviation sector for 2026?

This year, the focus is on passing the international audit (USOAP CMA), launching flights to the United States, and increasing the number of international flights transiting through Mongolia’s airspace. Under Mongolia’s 2026 State Budget Law, the amount of air navigation service charges transferred to the state budget will be reduced, with MNT 40 billion allocated for upgrading technical equipment to ensure flight safety. In addition, efforts will be made to upgrade Gurvansaikhan Airport in Umnugovi Province, Murun Airport in Khuvsgul Province, and the airport in Bayan-Ulgii Province to international airport status.

Is the new international airport reaching capacity?

It is true that passenger numbers have increased and the airport is becoming crowded, but this is a positive challenge. In my capacity as Minister of Roads and Transport, I paid an official visit to Japan this month and met with Japan’s Vice Minister for Foreign Affairs as well as the Vice Ministers of Land, Infrastructure, Transport and Tourism. These were decision-making meetings. In line with agreements previously reached at the government level between the two countries, the airport will be expanded using Japan’s loan facility of up to USD 1 billion. The currently operating Chinggis Khaan International Airport was originally designed to serve 1.6 million passengers, with a total area of 37,000 square meters. As of 2025, it is handling 2.4 million passengers. With increases in both international and domestic flights, passenger numbers are expected to continue growing. Demand for international flights is particularly strong. Therefore, the airport will be expanded to a total area of 86,000 square meters, which will add 11 additional boarding and disembarkation gates. The expansion work is scheduled to begin in 2027.

What challenges is Mongolia’s transport sector currently facing?

The development of Mongolia’s railway sector is influenced by many external and internal factors. At a time when global economic and geopolitical conditions are changing by the minute, it is essential for us to act quickly and decisively in developing the railway sector. Within the framework of Mongolia’s foreign policy concept, we strive to cooperate on railway sector development on an equal footing with all countries around the world. In particular, we are working to expand cooperation with our neighboring countries, Russia and China. Cooperation with neighboring countries must be based on aligned interests. From a domestic perspective, however, it is very difficult to secure political decisions for the railway sector. Railways are mega projects that are directly linked to the country’s economy and development, involving decisions at the level of Parliament and the Government, as well as complex investment issues. There are many challenges in this regard. Nevertheless, compared to the past, an important shift has taken place in Mongolia’s mindset. There is now a growing recognition that Mongolia is capable of building railways using its own internal resources and capacities.

Thank you for the interview.

Mining Insight Magazine,  January 2026 

The Unruly Few: Mongolia Faces Another Government Change  www.thediplomat.com

In just 10 months, Mongolia has now weathered three changes of governments, highlighting the lack of political stability.

Mongolia’s domestic politics has now reached a boiling point, with the resignation of the incumbent Prime Minister Zandanshatar Gombojav and nomination of the Speaker of Parliament and Party Chairman Uchral Nyamosor as his replacement. Mongolia has now had three governments since the ousting of Prime Minister Oyun-Erdene Luvsannamsrai in May 2025. The overall political fiasco is disheartening the Mongolian public and distorting any efforts toward good governance and political stability. 
On March 27, Zandanshatar, who took office in June 2025, submitted his resignation request to the Mongolian Parliament, the State Great Khural. This came as a shock to many Mongolians as the country braced for yet another leadership change, followed by a government change. 
The day after Zandanshatar’s resignation request the Mongolian Parliament voted 74 percent in support of relieving Zandanshatar from his prime ministership. During the Third Convention of the Mongolian People’s Party, the MPP voted 99.7 percent in support of Uchral Nyamosor as next prime minister to lead the country. Uchral previously served as minister of digital development and communications of mongolia and is currently the chairman of the MPP. 
The political discord that began last year with the ousting of Oyun-Erdene’s coalition government unfortunately has deepened and is becoming a disruptive force for Mongolia’s governance. Oyun-Erdene’s resignation was followed by indictment of the interim Speaker of the Parliament Bulgantuya Khurelbaatar, and now the abrupt resignation of Zandanshatar. 
In just 10 months, Mongolia has now weathered three changes of governments, highlighting the lack of political stability. The repeated upheavals further beg the questions of whether MPP should continue to lead the country’s government.
Among Mongolia observers, there are several competing explanations for the current political theater, relating to internal feud within the MPP but also involving the upcoming 2027 presidential election. 
In June 2025, when the Oyun-Erdene government was ousted by several major youth-led protests, there were rumblings about an unfriendly break between Oyun-Erdene and President Khurelsukh Ukhnaa. The Oyun-Erdene faction within the MPP pushed the narrative that Khurelsukh wanted to serve another term, which the presidential office repeatedly denied. Under Mongolia’s 2019 constitutional amendment, Khurelsukh can only serve one-six year term. 
Another explanation holds that the younger leaders within the MPP, particularly Oyun-Erdene and former Speaker of Parliament Amarbayasgalan Dashzegve, are making political maneuvers to bolster their influence with the goal of becoming the MPP’s presidential candidate. In terms of public opinion, it’s unlikely that either would have full confidence to be elected as president, given their roles in the political drama over the past year.
Zandanshatar stepped into the prime ministerial role during a hectic time in Mongolia’s domestic politics. Now his abrupt decision to resign also is read by some as a sign that he may be interested in running for the presidency as well. 
These arguments have been highly politicized. As a result, these failures and distorted political scenes of the MPP are actually strengthening confidence in the Democratic Party and the Khun Party candidates in the upcoming 2027 presidential election. 
Beyond the political fiasco within the MPP, the Mongolian people continue to voice their concerns with more concrete issues. Even while the country’s leadership was changing yet again, several protests erupted in Ulaanbaatar concerning a major highway construction project that will destroy the capital’s only major water source, the Khatan Tuul River. 
The building of a major highway was part of the Oyun-Erdene government’s 14 mega projects that aimed to reduce traffic congestion in the capital. On March 28 and 29, several protests took place in opposition to Mayor of Ulaanbaatar Nyambaatar Khishgee’s decision to build the highway, citing major environmental concerns. So far, the government remains unmoved. During a parliamentary session, MPs Lodoisambuu Chuluunbileg and Munkhbayasgalan Bayasgalan pointed to the existence of a counter protest to defend Nyambaatar’s decision to continue with the highway project despite the public’s opposition.
Researchers and environmental advocates continue to demand an expert review. Officials from the Ministry of Environment have deferred questions to the contracting companies and avoided accountability. Several parliamentary members cited major discrepancies and called for accountability from the mayor. 
The events over the weekend – not only the resignation of Zandanshatar Gombojav and the MPP’s nomination of Uchral Nyamosor as the next prime minister, but also the ongoing protests – do not create a positive image for Mongolia’s governance or political stability. 
The frequent changes at the top result in major disturbances in the country’s governance. The instability not only prevents any positive change in Mongolia’s governance, but is arguably itself a clear indication of corruption, nepotism, and factionalism. Mongolia’s Corruption Perception Index rating has not improved since 2018, and this has a direct link to the failures of all previous governments to tackle high-level corruption. 
In 2024, Mongolia’s score on the Government Effectiveness Index was -0.39 (where (-2.5 is the weakest and 2.5 is the strongest). That was not only well below the world average, but marked an additional decline from 2023, when Mongolia scored -0.36. These numbers reflect major challenges in the government’s public service quality and failed policy implementation.
What is happening in Mongolia’s domestic sphere may not be a surprise to analysts. But to the Mongolian public, every change of government sets back their opportunities and the country’s potential. 

By Bolor Lkhaajav
Bolor Lkhaajav is a researcher specializing in Mongolia, China, Russia, Japan, East Asia, and the Americas. She holds an M.A. in Asia-Pacific Studies from the University of San Francisco.

Parliament Votes to Remove Speaker Uchral, Clearing Path to Prime Ministership www.montsame.mn

State Great Khural on March 30 voted to relieve Uchral Nyam-Osor of his duties as Speaker of Parliament, formally clearing the way for his nomination as Prime Minister following a week of rapid political change in Ulaanbaatar.

The Parliament's Standing Committee on State Structure held a session earlier in the day at which Uchral presented his own resignation request. "The Mongolian People's Party congress has made a political decision to nominate me as a candidate for Prime Minister," he said. "Therefore, I am submitting my request to be relieved of my duties as Speaker in order to ensure political stability, preserve parliamentary immunity, and place the national interest above all else." All 20 committee members present voted in favour. Deputy Speaker Bat-Erdene Jadamba was instructed to serve as acting Speaker until a successor is elected.

The full Parliament is expected to vote on Uchral's appointment as Prime Minister within days. If confirmed, the 39-year-old — born January 2, 1987 — would become the second-youngest Prime Minister in Mongolia's democratic history, after Elbegdorj Tsakhia, who served in the role in 1998 at the age of 35.

The events on Monday follow a sequence of developments that began last week. On March 27, Parliament accepted the resignation of Prime Minister Zandanshatar Gombojav, who had held the post for nine months after taking office following the removal of his predecessor amid a no-confidence vote last May. Zandanshatar told Parliament he was stepping down voluntarily. "I am not seeking to hold my position," he said. "Therefore, I am stepping down, prioritizing the interests of the country." Seventy-four percent of members voted to accept his resignation. He will continue in an acting capacity until a new Prime Minister is appointed.

In his final address to Parliament, Zandanshatar presented an account of his government's economic record, noting that coal exports reached 90 million tons and total exports hit 15.8 billion USD in 2025. He said economic growth rose from 2.6 to 6.8 percent, inflation fell from 8.3 to 6.5 percent, and foreign currency reserves reached a historic high of 7 billion USD — an increase of 2.1 billion USD. His tenure was defined by a fiscal austerity drive that cut budget expenditures by 2.2 trillion MNT, and his final act in office included overseeing a deliberative polling process on Mongolia's National Wealth Fund.

Zandanshatar's resignation came under compounding pressure: with his two ministers resigning, and the opposition Democratic Party had boycotted Parliament sessions since earlier this month.

On 29 March, at the MPP's third party conference session, Secretary-General Sodbaatar Yangug formally introduced Uchral's nomination for Prime Minister. After 32 conference members posed questions on political, social, and economic matters, a secret ballot was held. Of 421 members present out of 597, the resolution backing Uchral's nomination passed with 99.7 percent of the vote.

Uchral, who holds degrees in law, history, and business administration, first joined the MPP in 2009 and is regarded as a consensus figure capable of bridging factional divisions within the party.

The incoming Prime Minister will face a demanding agenda: resolving the Democratic Party's parliamentary boycott, managing an economy under strain from global energy market disruptions, and consolidating the fiscal gains of his predecessor while addressing persistent public concerns over governance and corruption.

Mongolia Receives Up to $1 Billion in Bids for Borteeg Coal Deposit www.montsame.mn

Mongolia plans to bring the Borteeg deposit – part of Erdenes Tavan Tolgoi JSC  Coking coal deposit in Umnugobi with over 424 million tonnes of reserves – into economic circulation and to cooperate through investment. In January, government of Mongolia was planning to take investment proposals for the deposit. Since March 23, seven domestic and foreign companies and consortia have submitted investment proposals for Mongolia's Borteeg deposit, with advance payment offers ranging from $500 million to $1 billion, officials said on March 30.

The submitted proposals will be evaluated by a working group led by Deputy Prime Minister and Minister of Economy and Development Enkhbayar Jadamba. Candidates scoring 700 points or higher will be eligible for selection, with up to three participants invited to enter into cooperation agreements.

The working group will assess proposals based on financial and economic returns, project implementation experience, and comprehensive development plans for the deposit, before presenting its recommendation to the Government.

The Government of Mongolia earlier issued an open call to the international investment community to bring the Borteeg deposit into economic circulation through partnership.

Annual political dialogue between the UK and Mongolia: joint press statement www.gov.uk

UK Minister Malhotra and Mongolia Deputy Foreign Minister Amartuvshin underlined the importance of people-to-people ties and a shared commitment to democratic values for all areas of UK-Mongolia co-operation.

On 23 March 2026, the Deputy Foreign Minister Gombosuren Amartuvshin welcomed the United Kingdom Parliamentary Under-Secretary of State Minister for the Indo-Pacific, Seema Malhotra MP to Ulaanbaatar for the second annual Political Dialogue under the Mongolia-UK Joint Co-operation Roadmap towards a Comprehensive Partnership.

Deputy Foreign Minister G.Amartuvshin and Minister Malhotra reaffirmed the strong partnership between Mongolia and the UK, built on shared democratic values, respect for international law, and close economic relations.

In a rapidly changing global context, both sides reaffirmed their commitment to upholding the principles of the UN Charter, international law, and democratic values. These principles are anchors for Mongolia and the UK in navigating global uncertainty. Both sides renewed calls for all countries to refrain from using force against the territorial integrity and sovereign independence of any state.

Mongolia and the UK recognised that there were many opportunities for further strengthening bilateral relations and co-operation across all areas.

Ministers underlined the importance of people to people ties and shared commitment to democratic values for all areas of bilateral Mongolia-UK co-operation.

Both ministers agreed increasing access to education opportunities would strengthen ties further. Ministers committed to continue exploring ways to expand co-operation between higher education institutions, noting the many young Mongolian students enrolling on the Chevening Scholarship.

Deputy Foreign Minister G. Amartuvshin expressed Mongolia’s appreciation to UK for its continued support in English Language teaching, provided in partnership with British organisations. The ministers welcomed the expansion of quality English language teaching through partnership between the Mongolian Ministry of Education, UNICEF, and British organisations. They welcomed this provision extended to rural and nomadic communities.

The ministers welcomed Mongolia’s vibrant civil society and recognised the important contribution that civil society organisations make to democratic societies. They also welcomed the role these organisations play in increasing women’s political and economic empowerment. Minister Malhotra welcomed the collaboration between the BBC Media Action and Mongolian media supporting these goals.

Both sides welcomed the increased number of female parliamentarians in both countries and committed to maintaining progress toward women’s political participation at all levels.

In challenging global circumstances, ministers committed to explore opportunities to support mutual and resilient economic growth whilst increasing the flows of trade and investment between Mongolia and the UK. To that end, the ministers discussed their national economic plans, noting areas of alignment between our respective strategies on priority Industrial strategy sectors.

Ministers discussed the need for improvement of the business environment in Mongolia, and stability for new and existing investment. Both ministers noted the UK’s readiness to continue discussions on UK Export Finance regarding support to the construction of Ulaanbaatar’s first Metro.

Both ministers recognised the important role private and public finance played in tackling climate change. Transitioning to clean energy was a key priority for both nations.

Ministers looked forward to Mongolia hosting COP17 Desertification in August 2026 and to its success. Mongolia welcomed the role of UK experts played in COP-17 preparations.

Ministers noted the substantial benefits of Mongolia-UK co-operation on critical minerals. They recognised that our co-operation was vital to diversifying supply chains, global economic resilience and future growth. Sharing innovations, research and expertise including, on rare earth and minerals presented more opportunities to strengthen ties.

The ministers agreed on the importance of the highest Environmental, Social, Governance standards and agreed to work together to increase co-operation through the Working Group established under the MOU on Critical Minerals between Mongolia and UK.

Both ministers welcomed opportunities for continued and regular engagement between Mongolia and the UK and look forward to scaling-up the co-operation to a Comprehensive Partnership.

COP17 Roads, Site, Parking Works Reach 65 Percent Completion www.montsame.mn

Representatives of the 17th Conference of the Parties (COP17) to the United Nations Convention to Combat Desertification (UNCCD) are visiting Mongolia for the third time.
 
During the visit, a delegation led by Director of the UNCCD Liaison Office in New York Rajeb Boulharouf reviewed progress at the project site as part of preparations for the COP17 conference. The delegates examined the technical solutions of the conference facilities, room layouts, and planning process, and provided recommendations to ensure compliance with international standards and requirements.

 While working at the project site, Deputy Minister of Environment and Climate Change Munkhtamir Batbayar and Head of the State Protocol Department Odmunkh Enkhbold provided proposals and relevant directives to the National Committee’s Working Office regarding the access areas for high-level delegates and the “Green Zone,” overall organization, and matters to be incorporated into the work plan.

 As of today, connections to the site’s infrastructure have been completed, while road, site, and parking works, which began on March 15, are 65 percent complete. Installation of the main structures is scheduled to be finished by June.

 At the same time, the project contractor emphasized the need to urgently select contractors for landscaping, assembly of conference halls, and equipment installation, and to commence these works simultaneously, urging attention to this matter.

City Launches Bond Trading for Thermal Power Plant Project www.montsame.mn

Under Article 10.3 of the 2026 State Budget Law and Article 28.1 of the Law on Debt Management, the ceiling for municipal bond issuance has been set at MNT 275 billion.

Accordingly, the capital city has decided to finance the Thermal Power Plant No. 5 project by issuing domestic bonds worth MNT 200 billion, in line with relevant laws and regulations. The primary market trading of the municipal bonds was officially launched on March 30, 2026, with a bell-ringing ceremony.

A total of 200,000 bonds—each with a face value of MNT 1 million—have been offered to the public. The bonds have a three-year maturity and carry an annual interest rate of 14 percent.

Speaking at the ceremony, Governor of the Capital City and Mayor of Ulaanbaatar Nyambaatar Khishgee noted that the revised Law on the Legal Status of Cities has enabled the capital to finance major infrastructure projects using diverse financial instruments. He highlighted that around 60 percent of Ulaanbaatar’s population currently lives in housing connected to engineering infrastructure, while about 40 percent reside in ger districts.

The mayor emphasized that expanding electricity and heat supply is a priority to transition residents from ger districts into apartments. He also noted that the city had fully repaid its previous domestic bonds issued two years ago, making it possible to issue new bonds to finance the long-planned Thermal Power Plant No. 5 project.

Once completed, the plant will provide reliable electricity to around 100,000 households and heat to 40,000–50,000 households. The first unit is expected to be commissioned in the first quarter of 2028.

The Thermal Power Plant No. 5 project is being implemented as a public-private partnership, with a contract signed with Mitime International. The total project cost is estimated at USD 658.5 million, of which the city’s share amounts to USD 131.7 million (approximately MNT 467.4 billion). Of this, MNT 200 billion will be financed through bond issuance in 2026, with the construction period set at 30 months.