1 VALE EVACUATES 200 PEOPLE FROM TOWN NEAR ITS MAR AZUL MINE WWW.MINING.COM PUBLISHED:2019/02/17      2 TOOTH PLAQUE SHOWS DRINKING MILK GOES BACK 3,000 YEARS IN MONGOLIA WWW.SCIENCENEWS.ORG  PUBLISHED:2019/02/17      3 INCREASING NUMBER OF CHINA-EUROPE FREIGHT TRAINS SUPPORTS MONGOLIA'S ECONOMY: OFFICIAL WWW.XINHUANET.COM PUBLISHED:2019/02/17      4 TAX REVENUE INCREASES BY 33.7 PERCENT WWW.MONTSAME.MN PUBLISHED:2019/02/17      5 COPPER MINER'S $10B BET COMES TO LIFE IN PANAMA JUNGLE WWW.MINING.COM PUBLISHED:2019/02/15      6 TRADE UNIONS REQUEST PM TO FOCUS ON INTEREST RATE CUT WWW.ZGM.MN PUBLISHED:2019/02/15      7 MONGOLIA’S HOURLY WAGE TO REACH USD 1 WWW.NEWS.MN PUBLISHED:2019/02/15      8 US NARCOTICS BY POST TO MONGOLIA! THREE ARRESTED WWW.NEWS.MN PUBLISHED:2019/02/15      9 WRITER D.URIANKHAI NOMINATED FOR THE NOBEL PRIZE WWW.MONTSAME.MN PUBLISHED:2019/02/15      10 MONGOLIA-CHINA-RUSSIA ECONOMIC CORRIDOR BENEFITS ALL SIDES: OFFICIAL WWW.XINHUANET.COM PUBLISHED:2019/02/15      “ОЮУ ТОЛГОЙ” КОМПАНИ 570 ТОННЫ ДААЦТАЙ CAT БРЭНДИЙН ГИДРАВЛИК ЭСКВАТОРООР ХҮЧЭЭ СЭЛБЭЛЭЭ WWW.GOGO.MN  НИЙТЭЛСЭН:2019/02/15     ӨРХИЙН САРЫН ДУНДАЖ ОРЛОГО 78,000 ТӨГРӨГӨӨР ӨССӨН Ч ЗАРЛАГА ДАВСАН ХЭВЭЭР БАЙНА WWW.IKON.MN НИЙТЭЛСЭН:2019/02/15     АВСТРАЛИЙН ЭЛЧИН САЙД ДЭВИД МЭТЬЮ ВОСЭН ИТГЭМЖЛЭХ ЖУУХ БИЧГЭЭ ӨРГӨН БАРИВ WWW.MONTSAME.MN НИЙТЭЛСЭН:2019/02/15     2018 ОНД МОНГОЛ УЛСЫН ЭДИЙН ЗАСАГ 6.9 ХУВИАР ӨСЛӨӨ WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2019/02/15     МХБ: II/15-НЫ БАЙДЛААР 8 КОМПАНИ ХЭХ-ЫН ТОВОО ГАРГААД БАЙНА WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2019/02/15     2017 ОНД 1.9 ТЭРБУМ ТӨГРӨГИЙН АЛДАГДАЛТАЙ АЖИЛЛАСАН “УЛААНБААТАР БҮК” 2018 ОНД 566 САЯ ТӨГРӨГИЙН АШИГТАЙ АЖИЛЛАВ WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2019/02/15     ОРХОН ТҮҮХИЙ НҮҮРСНЭЭС ТАТГАЛЗСАН АНХНЫ АЙМАГ БОЛНО WWW.UNUUDUR.MN НИЙТЭЛСЭН:2019/02/15     АТГ-ААС НЭР БҮХИЙ 6 ШҮҮГЧИЙГ ШАЛГАЖ ЭХЭЛЖЭЭ WWW.EAGLE.MN НИЙТЭЛСЭН:2019/02/15     МОНГОЛ УЛС ДЭЛХИЙН 77 ОРОНД БАРАА ЭКСПОРТОЛСНООС ХЯТАДАД 93%-ИЙГ НЬ НИЙЛҮҮЛЖЭЭ WWW.IKON.MN  НИЙТЭЛСЭН:2019/02/14     АВТО МАШИНЫ ИМПОРТ 2018 ОНД 30% ӨСӨЖ, 86,296-Д ХҮРЧЭЭ WWW.IKON.MN  НИЙТЭЛСЭН:2019/02/14    

Events

Name organizer Where
“Doing business with Mongolia”, “UK Investors show” бизнес хөтөлбөр March 27-April 02. 2019 ЛОНДОН ХОТ, ИХ БРИТАНИ Mongolian Business Database London UK
SYMPOSIUM ON GLOBAL MARKETS Nationalism and Protectionism: The United States in the International Arena June 17-18, 2019 The Center for American and International Law Plano, Texas, USA The Center for American and International Law (CAILAW) Plano Texas June 17-18 2019
"Open to Export" ICC WTO International business award ICC WTO London

NEWS

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Alibaba's Jack Ma to star in short kung fu film www.chinadaily.com.cn

Chinese e-commerce tycoon Jack Ma has confirmed he is to make his debut next month in a kung fu film alongside action stars such as Jet Li and Donnie Yen.

Titled Gong Shou Dao, which means the art of guard and defense, the 20-minute movie, which will not be seen in cinemas, is set to be released on November 11.

"That night ... that dream," Ma wrote in a post attached the movie's poster on China's microblogging platform Weibo on Saturday, without giving any details of the plot.

Jet Li, the movie's executive producer, told Sina, one of China's leading Internet-based media groups, "We all have the same dream to use the movie to promote traditional Chinese culture and pay a tribute to the predecessors in the field of Chinese kung fu."

Other big names among the film's crew include action stars Jet Li, Donnie Yen, Wu Jing and Sammo Hung Kam-bo, boxing star Zou Shiming, Thai actor Tony Jaa and retired Mongolian sumo champion Asashoryu Akinori.

Ma, the executive chairman of the Alibaba Group, has long expressed interest in traditional Chinese culture, especially kung fu, and has practiced tai chi for many years.

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Alibaba Leads $335 Million Funding for Chinese Car Trading Site www.bloomberg.com

SouChe.com, a Chinese car trading site, raised $335 million in a funding round led by Alibaba Group Holding Ltd. as it expands in auto-financing and prepares for a potential U.S. IPO.

Alibaba will become the biggest backer of the site and integrate parts of the business with its own e-commerce services. Warburg Pincus, Primavera Capital and CMB International also took part. The new funding round valued the company at between $1 billion and $2 billion, according to SouChe founder Yao Junhong.

SouChe sells used cars from dealers across the country, with interest in second-hand vehicles increasing as the Chinese economy begins to slow. The company also provides financing for customers to buy new vehicles for a year, which they can then purchase outright, trade in for a new model or hand back.The company may consider an initial public offering and could do so at a higher valuation than Qudian Inc., Yao said The online provider of credit products sold stock at a valuation of more than $6 billion last month.

“We are considering a U.S. IPO for next year, potentially towards the end of the year," Yao said. “But our finances are strong so we may not have to do it.”

The latest round follows an earlier funding that included Alibaba affiliate Ant Financial, which is working with SouChe to finance products and services through a product called TanGeChe. Over 50,000 cars have been sold through financing, with data from Alibaba and customers used to reduce the risk of bad debt - Yao said its default rate stood at less than 1 percent. These are then turned into asset-backed securities to raise money from the banks to purchase more cars.

The company is expecting to hit 150 billion yuan ($22.6 billion) in 2017 gross merchandise volume, which refers to the total value of cars sold on its platform.

SouChe has raised $615 million in the past year. But rivals in the sector include Renrenche.Com, which raised $200 million from car hailing service Didi Chuxing in September as well as Uxin Group, which has raised $500 million. Another rival Guazi.com raised $400 million this year, according to the South China Morning Post, and this week launched a similar car financing program.

Uxin in particular is a key threat with search giant Baidu Inc. and Tencent Holdings Ltd. among its shareholder base. However, Yao said his company’s advantage was its extensive connection to traditional offline used car dealerships.

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Mongolia Strengthens Business Environment with Better Access to Credit for SMEs and Movable Collateral Registry Reforms: Doing Business www.4-traders.com

Ulaanbaatar, November 1, 2017 - Governments in 119 economies carried out 264 business reforms in the past year to create jobs, attract investment and become more competitive, says the World Bank Group's latest Doing Business2018: Reforming to Create Jobs report, which monitors the ease of doing business for small and medium enterprises around the world.

Developing countries carried out 206 reforms, accounting for 78 percent of the total reforms, with Sub-Saharan Africa implementing 83 reforms and South Asia implementing a record 20 reforms. A large number of reforms centered on improving access to credit and registering a new business, with 38 reforms each, as well as facilitating cross border trade, with 33 reforms.

Business reforms continued at speed in East Asia and Pacific, with regional economies adopting 45 reforms during the past year. The region is home totwo of the world's top 10 ranked economies, Singapore and Hong Kong SAR, China, and two of this year's top 10 improvers, Brunei Darussalam (for a second consecutive year) and Thailand.

Mongolia implemented substantive reforms to boost SME financing through Secured Transactions Reform project. Access to finance is a challenge faced by many Mongolian SMEs, which struggle to obtain bank loans as they do not own land or buildings that banks generally seek as collateral.

To address this issue, the International Finance Corporation (IFC), a member of the World Bank Group, and the Ministry of Justice have partnered with the Bank of Mongolia, Mongolia Bankers' Association, and other stakeholders since 2013 to help reform the country's secured transactions system to unlock affordable financing for SMEs. As part of the reform, a web-based pledge-notice registry was launched in February 2017, enabling creditors to search for existing interests on movable assets that they intend to use as collateral and to file security interest on their approved collaterals. In addition, the IFC-supported Law on Tangible and Intangible Movable Property Pledge went into effect on March 1, 2017. The new law, along with the registry, allows SMEs to offer moveable assets such as accounts receivable, inventory, livestock, equipment, and future income as collateral to banks - a major move to improve access to finance for SMEs. The system also reduces the need for paper documents and notifies creation of pledge-rights to existing and prospective lenders.

To date, around 90,000 pledge-notices have been registered, 38 percent of which is equipment, 24 percent is livestock, 5.4 percent is account receivables, and 2.0 percent is vehicles. Women account for 24 percent of the total borrowers.

'We are very encouraged to see the strong early results from this project' said Tuyen D. Nguyen, IFC Resident Representative in Mongolia. 'Mobilizing movable collateral to boost access to finance, especially for MSMEs, can play a significant role in Mongolia's sustainable economic recovery and job creation.'

In its annual ease of doing business rankings, New Zealand, Singapore and Denmark retained their first, second and third spots, respectively, followed by Republic of Korea; Hong Kong SAR, China; United States; United Kingdom; Norway; Georgia; and Sweden.

This year's top 10 improvers, based on reforms undertaken, are Brunei Darussalam; Thailand; Malawi; Kosovo; India; Uzbekistan; Zambia; Nigeria; Djibouti; and El Salvador. For the first time, the group of top 10 improvers includes economies of all income levels and sizes, with half being top improvers for the first time - El Salvador, India, Malawi, Nigeria, and Thailand.

The report also monitors hurdles faced specifically by women in the areas of Starting a Business, Registering Property and Enforcing Contracts. This year's report records a welcome reform by the Democratic Republic of Congo, which eliminated the requirement for women to obtain their husband's permission to register a business. However, 36 economies continue to place obstacles for women entrepreneurs, with 22 economies imposing additional steps for married women to start a business and 14 limiting women's ability to own, use and transfer property.

This year's report includes two case studies on transparency, which analyze data from business registries and land administrations and find that economies with more transparent and accessible information have lower levels of corruption and bribery. A third case study on private sector participation in formulating construction regulation finds that such rules exhibited higher costs and a propensity for conflicts of interest. A fourth case study highlights three successful insolvency reforms in France, Slovenia and Thailand, and lessons that are transferable to other economies.

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October 31, 2017 trading report www.mse.mn

On October 31, 2017, 144,688 shares of 26 firms listed as Tier I, II, and III were traded. 14 firms’ shares increased in price, 9 decreased and 3 remained unchanged. Mongol Post JSC /MNP/ was the top performer, increasing 4.73 percent, whereas Moninjbar JSC /MIB/ was the worst performer, decreasing 13.10 percent.

On the secondary market for government bonds, 1,700 bonds with a value of MNT170.0 million were traded.

On the secondary market for corporate bonds, 2,025 bonds with a value of MNT202.5 million were traded.

The MSE ALL Index decreased by 0.51 percent to stand at 1,133.69 points. The MSE market cap stands at MNT 2,181,283,620,998

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Canada supports environment ministry with skills upgrade and high technology www.montsame.mn

Ulaanbaatar /MONTSAME/ The 'Mongolia: Enhancing Resource Management through Institutional Transformation (MERIT)' project, funded by Global Affairs Canada, will hand over GPS and drone equipment to the Ministry of Environment and Tourism on November 2, 2017.

This equipment will be used for obtaining high-definition aerial pictures and gathering visual documentation of field conditions at mine sites during regular inspection visits based on Environmental Management Plans developed by mining companies.

As main users of this equipment, officers of the cadastral unit for forests, water and protected areas of the Ministry of Environment and Tourism and members of a working group including the Mineral Resource and Petroleum Authority of Mongolia (MRPAM) officers have received both on-the-job and field training and are now fully equipped to apply their learning in practice. The working group members will carry out joint inspection visits all year round starting in spring when mining operations commence in the field and document performance of the environmental management plans such as land rehabilitation and afforestation activities, etc.

By having this high cost, yet high technology equipment and a well-qualified workforce Mongolia is advancing to the new level of environmental management.

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Partnership and Cooperation Agreement between the European Union and Mongolia enters into force www.eeas.europa.eu

On 1 November, the Partnership and Cooperation Agreement (PCA) between the European Union and its Member States and Mongolia will enter into force.

The Agreement, which was signed on 30 April 2013, replaces the 1993 Agreement on trade and economic cooperation between the European Economic Community and Mongolia.

The High Representative of the European Union for Foreign Affairs and Security Policy/Vice-President of the European Commission, Federica Mogherini said: "The European Union and Mongolia are consolidating their strong ties, based on shared values and interests, and a common will to work more closely together. The entry into force of our Partnership and Cooperation Agreement, combined with the establishment of a European Union Delegation in Ulaanbaatar, which will take place in the coming days, consolidates existing areas of cooperation and engagement, and deepens and diversifies relations further in areas of mutual interest, for the sake of our peoples."

The Partnership and Cooperation Agreement strengthens the existing relationship between the European Union and Mongolia and builds on a shared commitment towards good governance, human rights and sustainable development. Moreover, the Agreement will broaden cooperation in a wide range of areas, such as sustainable development, raw materials, climate change, justice and security, human rights, science and technology, good governance, as well as facilitate trade and investment. The Partnership and Cooperation Agreement brings on board the European Union and all of its Member States, therefore providing opportunities to create synergies between EU activities and individual Member States' policies.

The entry into force of the Partnership and Cooperation Agreement coincides with the opening of an EU Delegation in Mongolia, for which implementing the Agreement will be a top priority.

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Mongolian economy is rapidly recovering: IMF www.news.xinhuanet.com

ULAN BATOR, Oct. 31 (Xinhua) -- The Mongolian economy is rapidly recovering, said an International Monetary Fund team after evaluating an economic bail-out program here.

The IMF predicts Mongolian GDP growth to reach 3.3 percent this year and 4.2 percent next year. The country's Extended Fund Facility (EFF) program has achieved its goal, said the IMF.
In the near future, the IMF will focus on supporting the banking sector and improving the implementation of Mongolia's monetary policies.
Geoff Gottlieb, leader of the IMF staff team in Mongolia, said the Mongolian economy is recovering faster than they expected, which was largely due to the growth of coal exports as well as the restoration of services. But next year the coal industry will be at risk.
The quantitative indicators that determine current monetary policies were positive as a result of strict control over the expenditures of the state budget, which has been increased.
Last year, Mongolia's budget deficit reached 17 percent, while it decreased by 7.5 percent in 2017. Net international reserves improved, and the authorities turned over sovereign bonds with maturity in 2017 and 2018 at attractive interest rates, eliminating the key risk to the external position.
Long-term structural reforms will continue to contribute to economic growth.
The authorities have moved ahead with their ambitious structural reform agenda, which will help to sustain growth over the medium term, promote diversification and competitiveness and mitigate the boom-bust cycle.
Currently, the banking system is being restored and strengthened: the results of a comprehensive asset quality review are expected in mid-December; important legal reforms are being developed to strengthen the financial system; and improvements of the regulatory and supervisory framework are under way.
The Mongolian authorities and the IMF team have reached staff-level agreements on the completion of the first and second reviews under the EFF arrangement, which is subject to the approval of the IMF Executive Board.
As part of the full implementation of this program, Mongolia will receive 440 million U.S. dollars from the IMF and 5.5 billion U.S. dollars from donor countries, including Japan and the Republic of Korea.
The IMF staff team, led by Gottlieb, were in Mongolia from Oct. 18 to 30 to sum up the results of the first phase of its EFF program and decide whether to continue it.

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One Metal Will Be Transformed by the Electric Car Boom www.bloomberg.com

Glencore Plc and Trafigura Group Pte are often at loggerheads, but one thing they agree on: the nickel market will be transformed by the rise of electric cars.

Nickel sulphate, a key ingredient in lithium-ion batteries, will see demand increase 50 percent to 3 million metric tons by 2030, Saad Rahim, chief economist at Trafigura, said in an interview. While other battery metals like cobalt and lithium have more than doubled since the start of last year, nickel prices have been subdued because of large inventories.

"When you look structurally, we should start to get bullish now,” Rahim said. “Are you going to be able to meet that demand when the time comes, given underinvestment in the supply side?”

His view echoes the outlook from Glencore, which told analysts recently that nickel production would need to increase 1.2 million tons by 2030, equal to more than half of current global output, to keep up with demand from the battery industry. Prices are currently more than double what it costs Glencore to mine the metal.

It’s a surprising mood change for a market with a disastrous reputation. Nickel was long a thorn for Glencore, which was saddled with unprofitable operations following its takeover of Xstrata. It sold an Australian nickel mine, which Xstrata bought in 2007 for $2.4 billion, for just $19 million in 2015.

“The nickel industry’s been a bit of a dog since about 2007,” Oliver Ramsbottom, a partner at McKinsey & Co. in Tokyo, said by phone.

The battery industry could revive the fortunes of miners more than a decade after nickel collapsed from a peak of $51,600 a ton in 2007, when Indonesia and the Philippines started to flood the market with low-grade supply. Nickel currently trades at $11,870, up 18 percent for the year.

Future batteries will likely use more nickel and less cobalt, Rahim said. Cobalt prices have surged and the biggest source of supply is the Democratic Republic of Congo.

Still, some analysts are skeptical that the bullish scenarios will play out. Electric cars are still a niche industry and nickel oversupply remains a threat, with current stockpiles four times bigger than since the start of 2012.

Indonesia has authorized its largest producer to export more nickel ore. The Philippines has also discussed ending a ban on open-pit mining, raising concerns that supply will spike.

“For years, the market has completely dismissed the idea that something positive could happen in nickel,” Ingrid Sternby, senior research analyst at Blenheim Capital Management LLP, said in an interview in London. “With the recent announcements about Indonesia and the Philippines, it’s easy to see why the market is still scary enough for people not to want to be involved.”

About half of global nickel production is in the form of ferronickel or nickel pig iron, which is nickel alloyed with iron, making it suitable for stainless steel. Battery makers, instead, use nickel sulphate, produced by dissolving pure nickel metal in sulphuric acid.

One hope is that the pricing of nickel pig iron and the high-grade nickel sulphate will diverge in the coming years, improving the fortunes of miners that can produce battery-quality material.

The global nickel market is heading for a deficit once above-ground stockpiles of battery-grade metal are consumed, according to Wood Mackenzie. The question for miners is how quickly the premium for top-quality nickel will emerge.

“You can see the tightness ahead in the nickel market, but my concern is that we’re going to see a lot of value destroyed along the way,” said Colin Hamilton, managing director for commodities research at BMO Capital Markets Ltd. “If the miners really believe in the EV growth story, the thing to do would be to keep the nickel in the ground until the deficit arrives.”

Still, politicians and automakers are increasingly counting on a future of electric cars, attracting traders such as Trafigura.

“Will we see a real breakout in next 12 months? That’s hard to see, but beyond that, structurally this looks to be going up,” Rahim said.

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Canada oil, gas drilling to pick up in 2018: industry body www.reuters.com

CALGARY, Alberta (Reuters) - Canadian oil and gas drilling activity will climb 5 percent in 2018 as a gradual uptick in crude prices gives rise to cautious optimism among producers, an industry body forecast on Tuesday.

The Petroleum Services Association of Canada (PSAC) expects energy firms to drill 7,900 wells next year, up from 7,550 in 2017. The biggest increase in activity will be in Canada’s main crude oil and gas-producing province of Alberta.

Based on PSAC’s forecast, next year will be the busiest for drilling since 2014, when oil prices crashed because of global oversupply.

The 2018 estimate is still 30 percent below 2014 well totals, highlighting the slow speed of recovery. U.S. crude prices are hovering just under $55 a barrel CLc1, well below early 2014 prices of above $100.

“For 2018, confidence that oil will stay in the low-to-mid $50 range as markets tighten and inventories reduce, along with growing interest in Canada’s vast liquids rich natural gas, should support a 4 to 5 percent increase in activity levels,” PSAC president Mark Salkeld said in a statement.

He also called for more export pipelines to ship Canadian oil and gas to market, warning that TransCanada Corp’s (TRP.TO) recent decision to cancel its Energy East project was a blow to investor confidence.

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Russia starts building Bushehr 2 nuclear power plant in Iran www.rt.com

Russia's state atomic energy corporation Rosatom announced on Tuesday construction of the Bushehr 2 nuclear power plant (NPP) in Iran has started. The project was agreed between Moscow and Tehran three years ago.
"I am sure this major Russia-Iran investment project will strengthen cooperation and ties between our countries,” said Rosatom’s Director General Aleksey Likhachev at the ground breaking ceremony.

The Bushehr 2 NPP will have two VVER-1000 power units built with Generation III+ technology, including the latest safety features. They will have a combined capacity of 2100 MW.

The project’s cost is estimated at $10 billion and will take up to ten years to complete. The deal, which was signed by Russia and Iran in November 2014, also included the option of building six more reactors in the future.

Likhachev and the head of Iran’s Atomic Energy Organization Ali Akbar Salehi visited the site of the Russian-built Bushehr 1 NPP which was connected to the national grid in 2011. It was started in 1975 but was halted four years later after the Islamic Revolution because German manufacturers withdrew. Russia’s nuclear construction company Atomstroyexport took over the project in the 1990s.

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