1 MONGOLIA-CHINA AGREE TO COLLABORATE IN INCREASING MEAT EXPORT WWW.MONTSAME.MN PUBLISHED:2018/09/21      2 U.S. AND MONGOLIA SEEK TO STRENGTHEN ECONOMIC RELATIONSHIP WWW.STRTRADE.COM PUBLISHED:2018/09/21      3 MONGOLIA, U.S. LEADERS DISCUSS BILATERAL TIES WWW.XINHUANET.COM PUBLISHED:2018/09/21      4 BELT AND ROAD SIGNIFICANT TO MONGOLIA, PEOPLE AROUND WORLD -- ACADEMIC WWW.ENG.YIDAIYILU.GOV.CN PUBLISHED:2018/09/21      5 PETRO MATAD UPDATES MONGOLIA EXPLORATION WWW.OGJ.COM PUBLISHED:2018/09/21      6 RIO TINTO’S EXIT FROM COAL PAYS OFF, TO RETURN $3.2B FROM SALES PROCEEDS TO SHAREHOLDERS WWW.MINING.COM PUBLISHED:2018/09/21      7 OPENING CEREMONY OF SAINSHAND SALKHIN PARK HELD WWW.MONTSAME.MN PUBLISHED:2018/09/21      8 ALIBABA’S MA SAYS TRUMP’S TRADE WAR ‘DESTROYED’ HIS PROMISE TO CREATE JOBS FOR 1MN AMERICANS WWW.RT.COM  PUBLISHED:2018/09/21      9 LEGAL DISPUTE OVER EMC OWNERSHIP COMES TO AN END WWW.ZGM.MN PUBLISHED:2018/09/20      10 ERDENES TAVAN TOLGOI REVENUE SURGES DUE TO HIGHER COAL PRICES WWW.NEWS.MN PUBLISHED:2018/09/20      НУРАХ ДӨХСӨН БАЙРУУДЫГ ШИНЭЧЛЭХ КОМПАНИ ОЛДОХГҮЙ БАЙНА WWW.ZGM.MN НИЙТЭЛСЭН:2018/09/21     МОНГОЛ УЛС ВАШИНГТОН, ПЁНЬЯНЫ ХЭЛЭЛЦЭЭРТ ЗУУЧЛАХАД БЭЛЭН ГЭДГЭЭ ЗАРЛАЛАА WWW.EAGLE.MN НИЙТЭЛСЭН:2018/09/21     УЛСЫН ХЭМЖЭЭНД 85.3 МЯНГАН ТОНН ТӨМС ХУРААН АВААД БАЙНА WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/09/21     ЗГ: БУЦАЛТГҮЙ ТУСЛАМЖИЙГ УСНЫ НӨӨЦИЙГ САЙЖРУУЛАХ, ХЭРЭГЛЭСЭН УСЫГ БУЦААН АШИГЛАХАД ЗАРЦУУЛНА WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2018/09/21     ҮСХ: УЛААНБААТАРТ АЖИЛЛАГЧДЫН САРЫН ДУНДАЖ ЦАЛИН УЛСЫН ДУНДЖААС 121.7 МЯНГАН ТӨГРӨГӨӨР ИХ БАЙНА WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2018/09/21     МОНГОЛ УЛСЫН ИХ ХУРАЛ, ЕВРОПЫН ПАРЛАМЕНТ ХООРОНДЫН XII УУЛЗАЛТААР ХАМТАРСАН МЭДЭГДЭЛ ГАРГАЛАА WWW.DNN.MN НИЙТЭЛСЭН:2018/09/21     ТӨРИЙН АЛБАНЫ УДИРДАХ АЖИЛТНЫ УЛСЫН ЗӨВЛӨГӨӨН БОЛЖ БАЙНА WWW.UNUUDUR.MN НИЙТЭЛСЭН:2018/09/21     2019 ОНЫГ МОНГОЛ, АМЕРИКИЙН ЗАЛУУЧУУДЫН ЖИЛ БОЛГОНО WWW.EAGLE.MN НИЙТЭЛСЭН:2018/09/21     УУРХАЙЧДЫН АЖЛЫН БАЙР НЭМЭГДЭЖ, ЦАЛИН ӨСЧ БАЙНА WWW.GOGO.MN НИЙТЭЛСЭН:2018/09/20     “ЭРДЭНЭТ”-ИЙН 49 ХУВИЙН ӨМЧЛӨЛ ТОЙРСОН ХУУЛЬ ЗҮЙН МАРГААН ЭЦЭС БОЛЛОО WWW.ZGM.MN НИЙТЭЛСЭН:2018/09/20    

Events

Name organizer Where
Frontier's "Invest Mongolia Tokyo 2018" Frontier Securities Tokyo Japan
"Open to Export" ICC WTO International business award ICC WTO London

NEWS

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Goal set to maintain government debt within 60 percent of GDP www.montsame.mn

Ulaanbaatar /MONTSAME/ Report on the current state and perspective of the country’s economy, government budget and financial situation was uncovered during today’s parliament session. The information was presented by the Minister of Justice and Home Affairs S.Byambatsogt.

Mongolia saw economic growth of 11.6 percent in 2013, 7.9 percent in 2014, 2.4 percent in 2015 and 1.0 percent in 2016. The main factor of decreasing economic growth was the fall of minerals on the world market, as well as the economic declines in neighboring countries. Other causes can be named, such as the repugnant monetary policy and irresponsible and costly actions conducted by the previous government and the Bank of Mongolia, of which actions did not comply with the Government Budget Plan. The authorities, however, have been taking immediate measures including tightening monetary policy and amending some laws and regulations.

“Today, actions are being taken to slow down the economic decline. The International Monetary Fund has been collaborating in this effort. The government debt is intended to be limited within 88 percent of the country’s GDP in 2016, 85 percent in 2017, 80 percent in 2018, 75 percent in 2019, 70 percent in 2020 and 60 percent in 2021”, said the Minister. 
B.Amarsaikhan

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Cross-border cooperation to be further developed with Buryatia www.montsame.mn

Sankt Petersburg /MONTSAME/ Prime Minister J.Erdenebat, who is attending the St.Petersburg International Economic Forum in Saint Petersburg, received acting Head and Chairman of Government of Republic of Buryatia of Russia A.S.Tsydenov on June 1. During the meeting, the parties talked about development of cross-border cooperation, trade and investment relations of the two countries and influencing factors to them.

PM J.Erdenebat underlined ‘- Trade turnover between the two countries has increased since visa-free travel for Mongolian citizens to Russia took effect. When an intergovernmental agreement on supporting regional and cross-border cooperation is adopted, the widening relationship will develop further to higher level”.

They agreed to actively cooperate in exports of meat and meat products and supply of breeding animals. The parties also noted the necessity of powerful, reliable infrastructure to intensify newly-restoring multilateral cooperation between bordering regions. "The two countries are connected with railway and international roads and there are broad possibilities to improve the quality of this infrastructure and develop tourism businesses" highlighted the parties.
B.Ooluun

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Mongolia GDP per capita PPP Forecast 2016-2020 www.tradingeconomics.com

GDP per capita PPP in Mongolia is expected to be 11641.12 USD by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Mongolia GDP per capita PPP is projected to trend around 11722.71 USD in 2020, according to our econometric models.

 
 
 
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PM J.Erdenebat takes part in St.Petersburg International Ecomomic Forum www.montsame.mn

 
Ulaanbaatar /MONTSAME/ Prime Minister J.Erdenebat is taking part in the St.Petersburg International Economic Forum on 1-3 June in Sankt-Peterburg, Russia. At the opening meeting of the forum, UN General Secretary and Prime Ministers of Mongolia, Gabon and Serbia made speeches.
 
Mongolia's PM J.Erdenebat noted “- Since its inception by the initiative of President of the Russian Federation V.V.Putin, the St.Petersburg International economic forum has become a platform for exchanging views on pressing issues of international and regional economy, investment and businesses with participation of government heads of countries and business representatives. I consider, it is making contributions to lay a foundation for coordinating the future development of countries, cooperation and ensuring sustainable development of countries within the framework of cooperation. Russian has been a giant bridge connecting Europe and Asia historically, culturally and geographically and today’s forum is proof of it”.
 
“- Our development path has not been always smooth. Although we are faced with difficulties and challenges by failing and succeeding, every person and government of countries are keen to go forward optimistically with full of hope for the future ahead.
 
However, development path and possibilities given to world countries are not same. For example, Mongolia is a landlocked developing country and there are over 30 countries like our country. Small island countries also have troubles. I express my gratitude to the UN for understanding the situation of these countries with peculiar troubles and working for them by developing supportive policy. One way for going out of the difficulties, I think, is the relationship and cooperation between the regional countries. These issues were touched upon during the recent “Belt and Road” summit in China. Heads of Mongolia, Russia and China met and reached an agreement regarding the establishment of economic corridor connecting the three countries. It is a step to restore the ancient historical tradition of ‘Silk Road’, which had created a wide network connecting Asia and Europe by then-merchants and traders.
 
Furthermore, the goal to establish an economic corridor connecting the three countries by coordinating the initiatives of ‘Development path’ of Mongolia, ‘Belt and Road’ of China and Eurasian Economic Union progress will not be restricted within the three countries. Investment and active participation of world leading economies with cutting-edge technologies are greatly required for the infrastructure to be established in our country within this framework and I hope you will take it into your consideration.
 
Our country has many advantages, including having huge natural resources, enormous renewable energy reserves, vast fertile territory and skillful personnel as well as bordering with two countries with the world's biggest markets.
 
Today, we are enduring economic, budgetary and financial difficulties, however, with assistance from organizations of multilateral cooperation, including International Monetary Fund and other countries, we strive to achieve goals to balance macro economy, create growth and restore trust of foreign and domestic businessmen and investors.
 
I invite Russian investments, businesses and technologies. We have a wide cooperation opportunity in the development of a number of areas, such as infrastructure and agriculture. Particularly, I call upon to cooperate and invest in sectors vital to us, including railway and energy. Herder families of Mongolian steppe never lock their homes and they even have a tradition to leave the door open with prepared meal for unexpected guests during their absence. In accordance with this tradition, our door will be always open to you all” he said.
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Is coking coal pricing moving away from quarterly benchmarks? www.mining.com

Metallurgical coal miners could be exposed to more pricing volatility if a move afoot to do away with quarterly pricing comes to anything.

Coking coal, the kind used in steelmaking, is currently set at quarterly benchmarks between Australian mining companies and Japanese steelmakers.

But current negotiations between the two parties are pointing to a shift from benchmark pricing to a system that uses the monthly average of a daily spot price, Reuters quoted three sources close to the negotiations. The sources say it's Japanese steel mills that want a change.

"They want index-linked or fluctuating pricing," said a source at a mining company willing to be quoted. "They are tired of quarterly discussions and want more third-party assessments."

If that is true, coking coal pricing could be moving to a system more akin to the way iron ore, the other main ingredient in steelmaking, is priced. For the past eight years iron ore has been set on a daily basis, but prior to 2010, the bulk-shipped mineral was hammered out between buyers and sellers in one-year fixed contracts.

The more flexible pricing system would benefit coal miners when supplies are tight, which raises prices. Conversely, the same companies would be hit with lower prices when supply is plentiful and demand is weak. Of course, the latter situation would be a boon to steel mills.

According to Reuters BHP is siding with the Japanese steelmakers while "Other miners led by Glencore and Peabody are resisting the moves since they sell coal with a lower heat content that could be priced at a discount to a spot market price."

Australian premium coking coal was being sold as high as $304 a tonne earlier this year after Cyclone Debbie hit Queensland, the heart of Australian met-coal mining.

On Thursday a cargo of hard coking coal was being traded for around $156 a tonne according to MetalBulletin.

The steelmaking raw material is now trading more than $150 a tonne below its mid-April peak when the price of Australia free-on-board premium hard coking coal jumped to its highest since the second quarter of 2011.

That price spike was also the result of flooding in Queensland that saw quarterly contract prices negotiated at an all-time high of $330.

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Inner Mongolia has become China’s model of assimilation www.economist.com

BAYIN was three when he moved from the eastern grasslands of Inner Mongolia to Chifeng, a city of some 1m people. Like hundreds of thousands of ethnic Mongolian pastoralists forced to settle by the government, his family has gone from rural yurt to urban block of flats within a generation. Bayin, who is 32, moves seamlessly between staccato Mongolian and tonal Mandarin. In many ways he exemplifies the successful assimilation of China’s 6m ethnic Mongolians, most of them in Inner Mongolia in China’s north.

Yet Bayin lives largely within a Mongolian world. He designs Mongolian robes for a living and wore them to get married in 2012; of his 300 or so wedding guests only a handful were Han, the ethnic group that makes up more than 90% of China’s population. His daughter attends a Mongolian-language kindergarten. He likes to watch videos of Mongolian life in the 1950s.

The Chinese government has long struggled to bring the country’s borderlands under control. It took a decade for the Communist Party to subdue Yunnan in the southwest and Tibet after it came to power in 1949. In Tibet and in the far western province of Xinjiang ethnic tensions still sometimes flare into violence; both have separatist movements that have been brutally suppressed. Ethnic relations have not always been easy in Inner Mongolia either: Mongolians frequently clashed with the authorities until the early 1990s.

In recent decades, however, the province has been largely quiescent. It does not have a separatist movement—a surprise given that Mongolia, an independent, democratic country populated by 3m people of the same ethnicity, lies just to the north. Local gripes are more often expressed in economic terms than in ethnic ones. It helps that many ethnic Mongolians are visually indistinguishable from Han Chinese, says Enze Han of the School of Oriental and African Studies in London. They are far more likely to marry a Han than minorities in western China. Many more youths leave the province to find work elsewhere too. Small wonder that the Communist Party is trying to replicate at high speed in Tibet and Xinjiang policies that have helped it subdue Inner Mongolia over many decades.

Damned if you Xanadu

Inner Mongolia’s integration is partly historical. Kublai Khan, grandson of Genghis Khan, founded a dynasty in 1271 that bound it to China. Geographical proximity to Beijing meant exchanges were frequent. Tribal divisions and the dispersal of the population hampered resistance to Chinese authority. Inner Mongolia constitutes 12% of China’s territory, but hosts less than 2% of its population.

Government policies suppressed Mongol identity. Han migration started in the 19th century. The native population was already in the minority by 1949; now only 20% of people in the province are Mongolian. The region suffered especially severe violence in the Cultural Revolution—up to 100,000 people died, by some reckonings. Buddhism, which was strongly rooted in Inner Mongolia, was crushed, and most temples destroyed. At the sprawling monastery of Da Zhao in the provincial capital of Hohhot, tourists now outnumber devotees (nevertheless, in case of problems, a SWAT team waits around the corner).

Teaching local children in Mandarin, a policy which the party is now pursuing with gusto in Tibet and Xinjiang, started early in Inner Mongolia too. All young Mongolians speak Mandarin—far fewer understand Mongolian. So comfortable is the party with the dominance of Mandarin that it has allowed Mongolian-language education to grow: the share of primary and middle-school pupils taught in Mongolian actually increased from 10% in 2005 to 13% in 2015.

Money has helped ethnic Mongolians come to terms with the Chinese Communist Party: GDP per person is $10,000 a year in Inner Mongolia, compared with $4,000 in Mongolia the country. Such riches are the result of a deliberate government strategy to exploit minerals, particularly coal, and build infrastructure (another measure repeated recently in western China).

The question is whether the model of assimilation and appeasement is sustainable. Economic pressures are growing. Many Mongolians feel excluded from the province’s overall prosperity. City folk, who are disproportionately Han, earn twice as much as herders. Even in rural areas, the energy-intensive and heavily polluting industries that fuelled the region’s boom largely benefit Han companies; few miners are Mongolian.

Mining companies show scant regard for grass or goats and consume lots of water. The water table has dropped by 100 metres in some places, according to Greenpeace, an NGO. New mines were curtailed in 2011, when a Han driver deliberately ran over and killed a Mongolian herder, sparking protests. The provincial government also soothed pastoralists with subsidies.

But Tsetseg, a 36-year-old herder near West Ujimqin, close to the scene of the killing, says most subsidies now exist in name only. Desertification and climate change mean there is less grass for her goats to graze on, so she increasingly has to buy corn as well. With rising feed costs and falling meat prices, her family has little hope of ever repaying the 100,000 yuan ($15,000) they owe. Tsetseg’s economic woes sometimes assume ethnic overtones. The area was awash with Han police after the protests in 2011, she says. She “would not agree” to her son marrying a Han: “There aren’t many Mongols now. When they marry a Han we lose them: we have to keep our bloodline.”

Bodi, who is 65, lives in a community of settled herders in Bailingmiao, an hour’s drive from Hohhot. His flat is comfortable, he says, but he hates the noise of cars, the fried (Chinese) food and eating meat raised by someone else. His neighbours, who are in their thirties, say they miss the grasslands, but their 12-year-old daughter is happy “anywhere where there is Wi-Fi”.

The government is emboldened by the area’s tranquillity. This year it is marking Inner Mongolia’s 70th anniversary as an “autonomous region” with months of “traditional” sports, music and other events. Beyond government-sponsored festivities, however, there are signs of a quiet resurgence of Mongolian identity. A 20-something in West Ujimqin whose upbringing was so Chinese that he goes by his Chinese name recently started a line of clothing adorned with local Mongolian monuments and Mongolian script that he himself cannot read. Social media have helped Mongolians from different parts of the province get in touch; Mongolian-language apps, some aimed at adults wishing to learn, are helping revive the language.

Ties with the country of Mongolia have grown too. Restaurants in Hohhot advertise chefs and singers from Mongolia. Like many Chinese-Mongolians, Bayin talks of his visit to Mongolia with awe: “Everyone there is Mongolian—even the leaders.”

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Petro Matad : Signs LOI with Sinopec Mongolia to Drill Two Wells in 2017 www.4-traders.com

Further to the Company's announcement of 21 April 2017, Petro Matad is pleased to announce the awarding today of a Letter of Intent (LOI) to Sinopec Mongolia LLC (Sinopec) for the drilling of up to two wells in 2017. The LOI is subject to completion of all contractual negotiations, which are at an advanced stage and are expected to be completed soon. Sinopec will commence rig preparation for mobilization shortly after issuance of the LOI so the remaining contract negotiations will not cause further delay.
The Company's funding agreement with Bergen Global Opportunity Fund, LP, as announced on 8 May 2017, has put the Company in a strong financial position to execute this drilling campaign.
To provide the Company with additional financial flexibility, Petro Matad continues to be in farmout discussions with a number of interested parties.
Subsequent announcements will include specific information on the drilling programme.
Ridvan Karpuz, CEO of Petro Matad, said: "We are delighted to have reached agreement with Sinopec on the contractual framework for executing a drilling programme later this year. Sinopec has a proven track record of successful operations in Mongolia and fully understands the operating conditions in the country.
(c) 2017 Universal Solutions S.A.E. All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info)., source Middle East & North African Newspapers
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Listen to Children Day declared to give voice to Mongolian children’s needs www.theubpost.mn

Mayor of Ulaanbaatar S.Batbold declared that every Wednesday of the last week of May will be Listen to Children Day, to give voice to children’s concerns and respect their opinions.

During the second meeting of the Council for Children of Ulaanbaatar, the Mayor ordered representatives from every district to organize Listen to Children Day events every year.

“Listening to children and respecting their voices will directly benefit our work. We will be able to get more realistic results if children evaluate the investments, policies, and projects we carry out for them,” stated Mayor S.Batbold.

Nearly half the population of Mongolia lives in the capital, and more than 450,000 of the city’s residents (30 percent) are children, according to U.Gan-Ulzii, the head of the Children and Families Development Center. He emphasized the importance of paying more attention to children.

During Monday’s meeting, members of the council reported on projects and made recommendations related to children’s leisure. The results of The Voices of Adolescents survey conducted by Save the Children Mongolia NGO were shared to give the meeting’s attendees a better grasp of the challenges faced by teenagers in Mongolia.

The survey was conducted in Ulaanbaatar among 1,236 sixth, eighth, and tenth grade students between the ages of 11 and 16.

Children’s Rights Governance Program Coordinator of Save the Children Mongolia E.Tsolmon said, “Children must be allowed to exercise their right to freely express their thoughts in every environment. Listening to children’s opinions and reflecting them in our activities is the responsibility of adults. Raising children’s awareness about exercising their rights, identifying violations of their rights, reporting such instances, and voicing ideas for potential solutions is a normal practice in democratic societies.”

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Top CEOs tell the CEO president: You're wrong on Paris www.cnn.com

General Electric CEO Jeff Immelt is not happy with President Trump. And he's not alone.
Dozens of top executives urged Trump not to pull the U.S. out of the Paris climate agreement. Now, many are voicing their displeasure.
"Disappointed with today's decision on the Paris Agreement. Climate change is real. Industry must now lead and not depend on government," Immelt said on Twitter shortly after Trump's announcement.
Elon Musk, the CEO of Tesla (TSLA) and SpaceX, announced that he's quitting the president's business advisory councils because of the decision.
"Am departing presidential councils. Climate change is real. Leaving Paris is not good for America or the world," he said on

Am departing presidential councils. Climate change is real. Leaving Paris is not good for America or the world.

Marc Benioff, the chief executive at Salesforce (CRM, Tech30), also voiced his disappointment.
"Deeply disappointed by President's decision to withdraw from Paris Agreement. We will double our efforts to fight climate change," he said.

Deeply disappointed by President's decision to withdraw from ParisAgreement. We will double our efforts to fight climate change.

Microsoft (MSFT, Tech30) president Brad Smith echoed those sentiments.
"We're disappointed with the decision to exit the Paris Agreement. Microsoft remains committed to doing our part to achieve its goals," he said.

Google (GOOG) CEO Sundar Pichai also weighed in.
"Disappointed with today's decision. Google will keep working hard for a cleaner, more prosperous future for all," he said.

Meanwhile, over on Facebook (FB, Tech30), CEO Mark Zuckerberg shared his own chagrin.
"Withdrawing from the Paris climate agreement is bad for the environment, bad for the economy, and it puts our children's future at risk," Zuckerberg said.

In recent months, hundreds of companies have lobbied the Trump administration to remain in the agreement. Apple (AAPL, Tech30), Starbucks (SBUX), Gap (GPS), Nike (NKE), Adidas (ADDDF), L'Oreal (LRLCF) and Monsanto (MON) all voiced their support for the Paris deal.

Even oil companies like ExxonMobil (XOM) and Chevron (CVX) gave their backing. Exxon CEO Darren Woods wrote Trump a personal letter earlier this month asking him to remain in the pact, saying it ensures the U.S. is "well positioned to compete."

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Russia has no plans to privatize oil sector - Kremlin responds to Kudrin www.rt.com

The Russian government has no plans to sell the state’s share in major oil companies like Rosneft, according to the President’s press secretary Dmitry Peskov.

The statement was issued in response to a proposal from former Russian Finance Minister Aleksey Kudrin during the St. Petersburg International Economic Forum (SPIEF).

During the Forum, Kudrin said the Russian government should privatize all state-owned oil firms by 2025.

"The oil sector should be fully privatized in the next 7-8 years, no state companies are needed now as state ownership brings more harm than benefit to those companies," he told the TASS news agency, adding that oil companies can deal with problems without government participation.

“It turns out that the private sector reacts more quickly to all these new changes. Reducing the public sector and increasing the private sector is within our power,” said Kudrin.

Russia's dependence on oil and gas exports resulted in a two-year recession, which finished at the end of 2016. Kudrin has repeatedly urged President Vladimir Putin to consider oil privatization to help revive economic growth.

“This is a well-known expert point of view of Aleksey Kudrin. His arguments are reasonable enough. There are also other points of view. As far as I know, the government has no such plans yet," Peskov said.

Kudrin is now working for the Kremlin in an unofficial capacity developing an economic plan for Russia in competition with other independent economists.

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