Ambassador Fiona Blyth: I Was Going to be the Ambassador to Mongolia, Not Just to Ulaanbaatar www.montsame.mn

Every ambassador arrives with a suitcase and a mission. In our ongoing "Posted In" series, we sit down with outgoing British Ambassador to Mongolia H.E. Fiona Blyth as she reflects on Mongolia-Britain's resilient partnership and its future potential. She speaks about the warmth of the Mongolian people, the work she and the embassy have done to advance women's participation, and their efforts to protect one of Mongolia's most iconic and elusive inhabitants—the snow leopard.

-What surprised you most when you first arrived in Mongolia?

-It started from the moment I landed in Mongolia. You are immediately in the countryside — Mongolia’s beauty surrounds you right away. I was not expecting that at all. I was bracing myself for something like landing in the middle of an urban sprawl, as you do in so many places. And then the vastness of the country also. I come from quite a small island nation, so I had to get used to the sheer scale of this country.

-And the people? What misconceptions you might have had about Mongolians?

-I thought people would be more reserved. I thought there would be a barrier to having warm interactions with strangers. But that barrier is usually gone very quickly with Mongolians. I was struck almost immediately by the warmth and also by the sense of humour. British people and Mongolian people share a very similar sense of humour — we laughed a lot about many things.

I think there is a perception in the world that Asian cultures are more guarded in dealing with strangers. I did not find that here. And perhaps the reverse is also true — people who have not spent time with British people often assume we are very formal, very proper, very stiff. I think we are the opposite. 

“I thought people would be more reserved. That was gone very quickly.”

There is sometimes an old-fashioned view of British culture — that we serve tea in fine china, that our ministers are very proper and uptight. And then when our foreign secretary, David Cameron, visited the country, he just wanted to walk everywhere, get out of the car, see the city, ride a horse, and be in a ger. I think that nonchalant and not wanting to be formal surprised people. He really loved Mongolia. And I think that openness surprised people in a good way. He is a lord, but none of that came with him.

Maybe that speaks to the fact of our longstanding relationship. And on that note, how would you describe the relationship between the UK and Mongolia in one word?

I would say our relationship is visionary. When the UK and Mongolia established diplomatic relations in 1963, there were many reasons why that would have been unusual, even challenging. These are two countries on opposite sides of the world. One comes from a long tradition of parliamentary democracy. And at the time Mongolia was a fully functioning socialist state at the height of the Cold War. The Cuban Missile Crisis had recently happened. The Iron Curtain was very real factor of geopolitics.

And yet with all those odds our countries decided, despite all that distance and difference, they were going to form a relationship. In 1963, we had no idea that Mongolia would become a parliamentary democracy, would develop this open economy, would carry this proud sense of democratic identity. We could not have known that. It took genuine vision to decide to form that relationship. That is something I feel very proud of.

“In 1963, we had no idea Mongolia would become a democracy. That relationship took vision.”

-Is there a moment in the shared history of our two countries that is personally meaningful to you?
-Yes, and it is quite personal. I served in the British Army, and the British Army served alongside Mongolia in Afghanistan and Iraq. Mongolia served with distinction in Afghanistan — our forces were side by side.

I have a colleague here — a Mongolian who served with British forces in Afghanistan. When I got to know him here in Ulaanbaatar, he gave me one of the unit patch that soldiers wear on their uniforms — the ones that show which unit and which country you are from. His unit was joint Mongolian and British, so the patch was half Mongolian flag and half British flag. He gave me his, and it has been one of my most prized possessions ever since. I kept it beside my desk for the whole of my posting, to remind me that our two countries were, in that moment, simply one.

It does not come up very often in conversation. But it means a great deal to me.

-You have spoken about the importance of women’s leadership. What is your message to Mongolia on that front?

-I would love to see Mongolia playing a leading role in women’s leadership — and I say that because of your history, not despite it. Under Chinggis Khaan, women held real authority. That is part of your heritage. Mongolian women are strong. That is something I see in modern Mongolia every day and something I take from your history. But strength alone is not enough if the platforms are not equal. People sometimes challenge me when I talk about women’s leadership by saying, "What about men?" And that is fair — men have challenges too, and I am not dismissing that. But women are over fifty percent of the world’s population. All I am advocating for is an equal platform. Not that women take over everything, just that we all support each other. Human equality, not women’s equality as a separate category — just human equality.

-What concrete work did the embassy do in this area?
-We did the first-ever national research in Mongolia into barriers to women’s political participation. We engaged with over 7,000 women across the country. That is a significant evidence base. And what I am proud of is not just the research itself, but what it showed about Mongolia: that you are open to examining yourselves honestly, looking at the evidence, and finding solutions. That openness is not universal.

We shared the research across our diplomatic network globally and it has been held up as best practice. It even inspired colleagues in Thailand to do the same thing. One finding from Mongolia’s last general election illustrates the challenge clearly: of all the media coverage during the campaign, only two out of every ten articles, posts, or programmes included a woman’s voice. Two out of ten. And that is not unique to Mongolia — it is the same in the UK, in Europe, in North America. But identifying the problem is the only way to solve it.

“Only two out of every ten media pieces during the last election included a woman’s voice.”

-So, what else have Britain and Mongolia been effectively cooperating on?
-Education has been a really strong foundation of our partnership, particularly during my time here. Mongolia’s decision to make English its official foreign language opened a great deal of space for us to work together.

We looked at English language attainment scores across all 21 aimags and targeted those with the lowest scores — often in the most remote regions or areas with large rural communities. We then worked with the Ministry of Education to train teachers in those aimags. In total we trained around 740 teachers. There are roughly three and a half to four thousand English teachers in Mongolia, so that is a meaningful proportion. And beyond the training itself, we worked with the British Council to build a framework that will continue to support teachers in building their competency over time. That kind of systemic approach is what I am proud of.

-That is some great work, but what sectors Mongolia and Britain could have worked on, what are untapped potentials Britain could help with Mongolia?
-A metro line – if that happens transformational potential is real. I come from a country that built the world’s first metro. I have seen what it does to a city. And I think anyone who has spent time in Ulaanbaatar can see that the traffic is a serious problem. It is affecting productivity, it is affecting air quality, and it is affecting children’s health and people’s ability to live and work and move around. If nothing changes, nothing change.

I am not just talking about Ulaanbaatar either. Imagine being able to take a train from east to west across Mongolia. That would be one of the world’s great train journeys — people would come from everywhere just go on that journey. Aside from everything it would do for ordinary life — for families, for business, for daily movement — it would be extraordinary.

The UK is offering a Private Finance Initiative partnership. That makes the upfront costs much more manageable for Mongolia — it spreads payments over twenty years, at a lower rate and lower cost. Our experience in London with our most recent line is that the headline fiscal costs are much smaller than the long-term economic gains. Londoners were sceptical before it opened. Now it is the most popular line in the whole of London.

I understand why it is hard for governments to make decisions whose benefits will not arrive within a political cycle. That takes political bravery and long-term vision. But I want to be clear: this is not a personal project or any individual’s pet initiative. This is a government-to-government offer from the United Kingdom to Mongolia. If Mongolia wants it, we are ready. If Mongolia decides it is not the right time, that is of course your choice. But we believe in the benefits.

“Imagine a train from east to west across Mongolia. That would be one of the world’s great train journeys.”

-Let's say that project does come to fruition, and we start construction on a metro line. So, what obstacles might hinder or limit this cooperative project? And aside from projects like these, what other obstacles are there that limit cooperation?
-The foreign investment environment. I do not say this to be critical — I say it because it matters and because it is solvable. Investors need confidence that if a project goes wrong — and projects do go wrong. That is a normal part of building an economy — they will be able to get a decision, enforce it, and then move on and take the next risk.

Aside from that, the long-running legacy disputes, some going on ten or fifteen years, send a very difficult message. There needs to be some form of independent arbitration and dispute resolution that is swift and respected. There also needs to be greater transparency in how contracts are awarded, how tenders are run, and how the tax code operates. Making those processes visible and consistent is the best deterrent to shady transactions — far better than enforcement action after the fact.

And I would say this gently but directly: in Mongolia, decision makers sometimes face prosecution later for decisions they took when they were in office. That is a significant deterrent to anyone considering a bold long-term decision. Accountability is vital — I agree with that fully. But the risk of prosecution for a decision taken in good faith, at the time agreed upon, makes difficult decisions even harder to take. Transparency before the fact is the better solution. Just make the environment for making decisions and any kind of deals transparent and open. Without that you have instances of punishing leadership after the fact. 

-Those are important subjects we need to engage in. But moving toward a lighter subject. Which Mongolian tradition or culture that have resonated with you the most?
-Your fashion. I really love [Mongolian] fashion. I enjoyed so much of the fabric, the design and the heritage. I think Mongolians have so much talent. I really had the privilege of experiencing and enjoyed wearing the unique deels that I have gathered throughout my post.

-Is there a favorite designer that you have grown fond of?
-I have become a very good customer of Michel & Amazonka. Aside from that there is a beautiful jacket I wear constantly when I am back in the UK, even at the pub, which I bought from Narantuul Market. So, both ends of the spectrum are well represented in my wardrobe. I wear them both equally and with love and adoration.

-Are there things that you wished you would have done but just didn’t come to fruition due to unforeseen circumstances?
-I visited 17 aimags during my three years. I missed Khentii, Sukhbaatar, Dornod, and Zavkhan. I genuinely regret not being able to make it all of the aimags. But I was determined from the beginning that I was going to be an ambassador to Mongolia, not just an ambassador to Ulaanbaatar. To me, that meant getting out, meeting people across the country, hearing different perspectives, seeing places that are very different from the capital.
There are always reasons to stay in Ulaanbaatar — there is always work to do here. But I was quite determined. And I would have felt very sad leaving if I had spent three years only in the capital. 

-Maybe a train line would have helped? 
-Yes, a train line would have helped.

-Aside from the women leadership research, is there anything else that you are most proud of during your tenure? 
-The conservation of snow leopards. The UK supports research into snow leopard conservation. Mongolia has the second largest snow leopard population in the world, which is extraordinary, but it creates real tension with herders whose livestock are vulnerable. The work being done is about finding practical ways to protect both — building corrals that keep livestock safe without harming the snow leopards, separating water sources, and setting up a local insurance scheme so that herders can be compensated if they lose an animal to a snow leopard. And one of the research projects we support is the Tost Tosonbumba Nature Reserve in Umnugobi aimag, and I have visited the reserve several times. The first time I went, we saw the foot tracks but not the animal itself. We set up cameras. Months later, the snow leopard came, and we caught it on film. And then on one later trip, I saw a snow leopard close, in the mountains, with the sun coming up over the Gobi. It was truly magical. One of those moments you do not really have the words for. That is a moment I will truly cherish throughout my life.

“The sun was coming up over the Gobi, and this beautiful creature was there. Truly magical.”

-That is Amazing, I think being here for some you probably have picked on some Mongolian mannerism and idioms. Is there any Mongolian proverbs you have picked up on?
-A couple. One that feels very relevant: when our Foreign Secretary visited — we were the sixth country he was visiting on that trip, after five Central Asian countries — just before he landed, a colleague said to me: ‘The last camel carries the heaviest load.’ I laughed, but I was not entirely sure it was the moment for that one.

The one I use more regularly is ‘Bolno doo’ — what will be will be, and that is enough. I spend a lot of energy trying to push things forward, speed things up, move things along. A colleague reminded me sometimes to just let things be, and accept things as they are. I liked that very much.

-What is your message to Mongolians and to the person who will be taking on your role as you leave?

-Just thank you. To the people of Mongolia. It has been an extraordinary privilege. Everywhere I have gone in this country I have been welcomed with warmth and generosity that has genuinely moved me. People have given me gifts who had very little to give.

I wish I had another three years. I am genuinely jealous of my successor. My advice to them would be simple: get out of Ulaanbaatar as often as you can. Talk to regular people living their lives. Try to see Mongolia from Mongolia’s point of view — not from the outside. It is a unique perspective, and one of the real privileges of this role is to try to inhabit it, even a little.

And if there is a metro by the time I visit again, I expect to take it all the way from the airport to the center of Ulaanbaatar.

Mongolia Highlights Drone Technology and Aviation at Dronecon 2026 www.montsame.mn

The International “Dronecon 2026” Championship for Unmanned Aerial Vehicle (UAV) Piloting is underway for a second day at Buyant-Ukhaa International Airport.

The competition aims to support the development of drone technology and promote its localization and practical application in national security, agriculture, and other sectors through the advancement of drone sports. The event features four categories: professional, amateur, gaming, and self-assembled drones.

Competitors from a number of countries including China, South Korea, Russia, Japan, and Kazakhstan are participating in three disciplines: the 5-inch professional drone race, the 65mm micro-drone race, and Drone Soccer. A total of 52 teams and athletes are competing for top honors.

Meanwhile, the “BU-AIRSHOW” (Buyant-Ukhaa Air Show) is a special public program designed to promote Mongolia’s aviation sector and strengthen cooperation across industries. The air show has been organized annually since 2022, each year featuring unique programs.

For example, in 2023, athletes and performers from Mongolia’s Ministry of Defense participated in the event, while in 2025 the renowned Russian aerobatic team Strizhi Aerobatic Team thrilled audiences with aerial displays using Mikoyan MiG-29 fighter jets.

This year’s edition is particularly notable for being held alongside Dronecon 2026. The event brings together aviation industry exhibitions, drone technology showcases, public entertainment programs, cultural performances, and educational activities in a single venue.

'World Horse Day' to Be Held at Khui Doloon Khudag on July 11-13 www.montsame.mn

The organizing committee for the "World Horse Day" held its regular meeting on May 28. 

During the meeting, Minister of Culture, Sports, Tourism and Youth Aldarjavkhlan Jukov, State Secretary of the ministry Bat-Erdene B., and Director of the Arts and Cultural Policy Department Batkhuyag G. presented updates on preparations and organizational progress for the cultural and artistic events planned as part of "World Horse Day."

Deputy Prime Minister Nomtoibayar Nyamtaishir instructed related officials to ensure the event is carried out in a highly organized manner according to the detailed plan. He also emphasized the need to make horse registrations convenient and hassle-free for citizens and obliged to inspect the preparedness of the sub-working groups.     

Home News Law & Governance Article Buddha's Disciples' Relics on Display in Mongolia for Cultural Exposition www.devdiscourse.com

Relics of Buddha's prominent followers, Sariputra and Mahamoggallana, have embarked on a journey to Mongolia, where they are to be showcased in a ten-day exhibition commencing May 31. This was confirmed by officials on Sunday.

The revered relics have been ceremonially placed at the Gandantegchenling Monastery in Ulaanbaatar, Mongolia, coinciding with the celebration of Buddha Purnima, also known as Vesak Day, as noted in a statement from the Union culture ministry.

Welcomed with profound respect, the relics have attracted thousands of devotees and Sangha members. This marks a significant enhancement of India-Mongolia cultural and spiritual connections, having been brought from India specifically for this event occurring from May 31 to June 10, according to the ministry.

The exposition's inauguration featured Assam Governor Lakshman Prasad Acharya, Indian Ambassador to Mongolia Atul Malhari Gotsurve, Mongolian government officials, and distinguished Buddhist leaders. Announced by Prime Minister Narendra Modi during a state visit of Mongolian President Ukhnaagiin Khurelsukh to India in October 2025, this effort underscores the deep spiritual and civilizational ties shared by India and Mongolia through Buddha's teachings.

(With inputs from agencies.)

Jade Gas (ASX:JGH) just booked Mongolia’s first ever gas reserve in a major step towards production www.stocksdownunder.com

A 2P reserve of 316 million cubic metres unlocks the production licence pathway and reframes the funding story
Jade Gas (ASX:JGH) has done something no other company has managed in Mongolia. The Mongolian Minerals Reserves Council has approved the country’s first ever booking of natural gas reserves, and they belong to Jade.

The headline number is a 2P gross recoverable gas reserve of 316 million standard cubic metres, with 165 million attributable to Jade after its 60% interest in the operating JV. The 3P figure runs to 793 million gross. These are not enormous volumes by global standards, but they are a regulatory first, and that is what matters here.

The reserve booking is the gate that unlocks the next two steps. Jade can now lodge its Plan for Development and Operations, then apply for an Exploitation Licence.

What is easy to miss is how small a slice of the project this covers. The 2P reserve sits on just 4.2 square kilometres of the 60 square kilometre Red Lake Field, and only one of six to seven known gassy coal seams. The rest sits in contingent and prospective resources, waiting for the drill bit.

Why a first-ever reserve booking is more than a press release line
Mongolia has never had a domestic gas reserve booked under its own regulatory framework. Jade is the trailblazer, and that means the Mongolian Minerals Council has now established a working pathway for coal seam gas approvals. For Jade, that removes a layer of regulatory ambiguity that has hung over the TTCBM project since the appraisal program began.

The reserve booking is classified as Justified for Development under PRMS 2018. That language matters because it signals the regulator and the qualified evaluator both agree the 40-well initial development has a commercial threshold worth pursuing.

Worth noting, the 1P reserve is reported as zero. That reflects the fact that the low-side production case does not cover the capital cost of the initial LNG modules, which is normal for a small-scale, first-of-kind development. The 2P case carries the economics.

The funding picture just got materially easier to pitch
Jade flagged a letter of intent for A$70 million in project funding back in November last year, plus a non-binding agreement with drilling contractor DWK to drill 20 wells. Neither of those was going to convert without a reserve booking on the table.

A binding gas sales agreement with UB Methane LLC for LNG offtake was signed in September last year, with the product positioned as a diesel replacement for Mongolia’s heavy transport sector. Combined with today’s approval, the bankability narrative gets considerably tighter.

We think the next six to twelve months will tell us whether the company can convert this regulatory milestone into a hard funding package. Drilling of development wells is planned to commence in 2027.

The contingent resource story is where the optionality really sits
The 4.2 square kilometre reserve area is a fraction of the broader resource base. Gross contingent resources sit at 1,372 million cubic metres at 1C, rising to 11,097 million at 3C across the wider Red Lake Field.

Our take is that the reserve booking is the proof point, not the prize. The real value lever for shareholders is the migration of contingent resources into 2P and 3P categories as drilling extends across the other gassy seams.

That said, execution risk is real. Coal seam gas development is capital-intensive, and the LNG modules carry roughly 100% freight, installation and commissioning costs on top of the manufacture price.

The Investors Takeaway for Jade Gas
The reserve booking is a genuine de-risking event, and one that no other ASX-listed Mongolia gas play has managed. The question now is execution. The PDO submission, the Exploitation Licence application, and the conversion of the A$70 million funding letter of intent into binding capital are the three milestones that matter between now and the planned 2027 drilling start.

Investors can find our prior coverage of Jade, including our interview with MD Chris Jamieson, at stocksdownunder. If management can string those three milestones together inside the next twelve months, the contingent resource conversion story moves from theoretical to investable.

Mongolia, Luxembourg Seek to Deepen Cooperation in Healthcare www.montsame.mn

Minister of Health Batshugar Enkhbayar received Roland Reiland, Ambassador of the Grand Duchy of Luxembourg to Mongolia, residing in Beijing, to discuss bilateral cooperation in the health sector.

During the meeting, the two sides exchanged views on the outcomes of ongoing cooperation and future directions for collaboration.

Minister Batshugar expressed gratitude to the Government of Luxembourg for its consistent support to Mongolia’s health sector over the past 25 years, highlighting its tangible contributions in telemedicine, cardiovascular care, and maternal and child health services.

According to Mongolia’s Ministry of Health, one of the concrete results of the partnership is the “Cardiology, Cardiac Surgery and Telemedicine in Mongolia” project, implemented since 2022, which has enabled certain diseases previously requiring treatment abroad to now be treated domestically.

The two sides also discussed expanding cooperation by strengthening cardiovascular care capacity, accelerating the establishment of a National Cardiovascular Center, advancing telemedicine, and broadening joint projects and programs in maternal and child health.

Green Lending Accounts for 5.7 Percent of Total Loans www.montsame.mn

As of the first quarter of 2026, Mongolia’s banking sector had issued a total of MNT 2.54 trillion in green loans, accounting for 5.7% of total lending.

By the end of the reporting quarter, the weighted average maturity of all green loans stood at 62.2 months for loans issued in tugrugs and 45.6 months for those issued in foreign currency. The weighted average interest rate was 14.3% for tugrug-denominated loans and 10.9% for foreign-currency loans.

Of the total green loan portfolio, 58% was allocated to energy-efficient projects, while green buildings, sustainable agriculture, land use, forestry, and eco-tourism accounted for 18.2%. Renewable energy projects represented 9%, and low-carbon transportation projects made up 7% of total green lending.

Under Mongolia’s goal of developing green and sustainable finance and implementing its green taxonomy framework, the country aims to increase the share of green loans in the banking sector to 10% by 2030.

In line with relevant regulations issued by the Governor of the Bank of Mongolia, the repayment period for certain green loans has been extended to between 30 and 60 months. In addition, loans for electric vehicles have been included under the green loan classification.

Strengthening the EU–Mongolia Partnership www.eeas.europa.eu

Following a landmark Europe Day celebration in Darkhan city – the first time the annual event reached beyond Ulaanbaatar. Ambassadors and representatives of 21 EU Member States carried that momentum into the Mongolian capital, holding an intensive programme of high-level meetings on 25 and 26 May 2026.

The visits spanned parliament, the cabinet, key ministries, the business community, and international partners, with discussions following a common thread: how to deepen and broaden what the EU and Mongolia are building together. Democratic governance, green transition, sustainable development, and economic partnership - these are not separate agendas. They reflect a relationship that has grown in scope and ambition over many years.

Speaker Byambatsogt welcomed the Ambassadors and congratulated the EU on holding Europe Day in Darkhan city, Darkhan-Uul province for the first time. He underlined the importance of legislative cooperation in broadening bilateral ties across all sectors, noting that the Parliament of Mongolia (State Great Khural) maintains 19 active friendship groups with EU Member States and EU institutions.

The Speaker outlined his vision for a "Good Parliament" focused on strengthening parliamentary democracy, ensuring public participation in the legislative process, and restoring public trust. He expressed keen interest in learning from EU and Member State experience in open and transparent lawmaking, and in cooperating on legislative responses to disinformation - an issue he identified as a growing global challenge.

Speaker Byambatsogt also raised the situation of approximately 65,000 Mongolian citizens currently living, studying, and working in EU Member States, calling for eased visa conditions and a more balanced trade relationship. Ambassador Ina Marčiulionytė, speaking on behalf of the EU, highlighted cooperation priorities including support ahead of Mongolia's upcoming elections - particularly on disinformation resilience and cybersecurity, and noted the EU's strong interest in advancing the Forestry Law and achieving concrete outcomes at UNCCD COP17. She also raised investment climate challenges, including the need for progress on international arbitration frameworks.

Sacred relics from Sanchi Stupa to be sent to Mongolia on PM Modi’s initiative www.newsonair.gov.in

On a special initiative of Prime Minister Narendra Modi, sacred relics from the UNESCO World Heritage Site Sanchi Stupa are being sent to Mongolia. These relics belong to two of Lord Buddha’s most prominent disciples, Sariputra and Maudgalyayana
 
Today, they will be flown to Delhi from Bhopal’s Raja Bhoj Airport with full state honours.
 
Tomorrow, the relics will be placed on public display at the National Museum in New Delhi. After that, on May 30, a special Indian Air Force aircraft will carry them to Mongolia.
 
From May 31, the relics will be kept for public viewing in Ulaanbaatar, the capital of Mongolia. More than ten lakh devotees and tourists are expected to visit.
 
This initiative will further strengthen the cultural and spiritual ties between India and Mongolia. It will also generate greater interest among foreign tourists in Buddhist pilgrimage sites like Sanchi.

Central Bank Introduces New Reserve Rule for Foreign Borrowing www.montsame.mn

The Monetary Policy Committee of the Bank of Mongolia has adopted a new macroprudential policy measure requiring banks to hold mandatory reserves equal to 25 percent of foreign funding raised for periods ranging from 360 days to three years, starting October 1, 2026.

Previously, the central bank did not impose reserve requirements on funds raised from international markets with maturities exceeding one year. Under the new policy, such funding sources will now be subject to mandatory reserve requirements.

According to the Bank of Mongolia, the measure is intended to reduce liquidity risks associated with banks’ reliance on foreign currency-denominated funding amid heightened uncertainty in the external economic environment.

In recent years, the combined value of bonds and loans raised by Mongolian banks from foreign markets has accounted for around 19% of the banking sector’s total funding sources, while the sector’s loan-to-deposit ratio has reached approximately 138%.

The central bank noted that research on emerging economies shows banking systems need to pay closer attention to balance sheet vulnerabilities, particularly rising currency and maturity mismatches between assets and liabilities, which may increase financial fragility.

The Bank of Mongolia stated that systemic cyclical risks in Mongolia’s banking sector have declined compared to previous periods, while the financial cycle has shifted toward a more balanced level. Stress test results conducted by the central bank also showed that banks would maintain adequate capital buffers and risk-bearing capacity even under major macroeconomic shocks.

Nevertheless, the central bank said the policy was introduced to prevent the accumulation of future risks in the banking sector and encourage banks to secure more long-term funding from international markets.