|Frontier's "Invest Mongolia Tokyo 2018"||Frontier Securities||Tokyo Japan|
|"Open to Export" ICC WTO International business award||ICC WTO||London|
Ulaanbaatar /MONTSAME/ D.Oyunkhorol, Minister of Environment and Tourism received Ms. Dorina Bianchi, Undersecretary of Cultural Affairs and Tourism of Italy. At the beginning of the meeting, Minister D.Ouynkhorol underlined that the government of Mongolia is pursuing a policy to develop tourism industry as a key sector of economy and expressed her willingness to upgrade bilateral tourism cooperation between Mongolia and Italy.
Moreover, she said that the one of the ways to diversify the Mongolia's mining and animal husbandry-oriented economy is development of tourism sector.
Mongolia took part in ITB Berlin 2015 International tourism trade fair as an official partner with an aim to promote Mongolia abroad and jointly organized an International Silk Road Conference on Nomadic Tourism and Sustainable Cities in Ulaanbaatar in 2016 with the World Tourism Organization (UNWTO) and the World Cities Scientific Development Alliance (WCSDA).
In this connection, the Minister highlighted the significance of the conference, which gathered about 300 representatives from UNWTO Silk Road program member states, UNWTO affiliate members and Sister Cities International.
As Italy is famous for ancient history, culture, architecture and literature, it is one of the Silk Road Member States which receive the largest number of tourists each year. For instance, from Mongolia, about 8500 tourists traveled to Italy, whereas, Mongolia received over 3000 tourists from Italy last year.
Furthermore, Minister D.Ouynkhorol expressed her interest to cooperate with Italy towards training tourism event organizers, developing water tour in the Lake Khuvsgul, establishing temporary accommodation complex to enable safe and comfortable travel in the region, developing brand name products titled “Travels of Marco Polo”, promoting Mongolia in Italy, increasing the number of mutual travels, and signing MOU on cooperation of tourism development between the Governments of the two countries.
In turn, Ms. Dorina Bianchi, Deputy Minister of Culture and Tourism of Italian Republic agreed on signing MOU as well as informed that Italy is ready to open Mongolian representative office of tourism in Rome to promote Mongolia in Italy. “Opening of the representative office in Rome will have a great significance to strengthen the promotion of Mongolia” she said. Moreover, Ms. Dorina Bianchi expressed her willingness to develop tourism near the Lake Khuvsgul, open tourism center of Italy in Mongolia as well as to jointly organize exhibitions of the Great Empires of the two countries. Tourism in Italy is being developed in two areas, sports and nature.
The hard facts attest to China's Belt and Road Initiative resulting in better-than-expected achievements in the past three years, said Shen Danyang, Ministry of Commerce spokesman.
Since 2013 when President Xi Jinping first proposed the initiative, trade volume between China and economies along the trading routes amounted to $3 trillion, total investment reached $50 billion, and newly signed contracts exceeded $304.9 billion, Shen said.
China has signed approximately 50 government-level cooperation agreements with these economies and established 56 economic and trade cooperation zones, Shen added.
Shen made the remarks at a news conference on Monday when the Beijing-based China Bond Rating Co Ltd and the Chinese Academy of Social Sciences released a blue book of outbound investment and risks, with this year's emphasis on summarizing overseas investment along the Belt and Road countries and regions.
According to the annual report, China's outbound investment in those regions is expected to maintain rapid growth this year, with capital primarily flowing into sectors that meet the destinations' socioeconomic development demand.
Findings show that since 2015, energy, transportation and information technology are the top three fields attracting Chinese investors, the majority of whom come from Beijing, Shanghai, Guangdong and Zhejiang provinces.
The report shows the top three destinations receiving most investment are Southeast Asia, the Middle East and South Asia. Of the two commonly used modes, average investment scales of projects by mergers and acquisitions turn out bigger than those through greenfield investment.
Greenfield investment refers to a form of foreign direct investment where a parent company builds its operations in a foreign country from the ground up.
However, when seeking cross-border investment opportunities, Chinese companies are exposed to greater unexpected legal and cultural obstacles, the report said.
Risks in host countries, such as changing local policies and fluctuations in exchange rates, play decisive roles in investors' sustainable development and profitability, Feng Guanghua, chairman of the China Bond Rating Co Ltd, said at the news conference.
Despite the odds, homegrown companies will fulfill the goal of investing abroad by thorough preliminary investigation and prudent risk management, Shen said.
"Chinese companies need to join forces in overseas expansion, and beef up their respective advantages. They should keep away from vicious competition," he added, referring specially to a previous irrational investment frenzy.
Failure to meet the internet-inspired aspirations of people in poor countries runs the risk of creating the conditions for war, terrorism and increased migration, the president of the World Bank has warned.
Speaking in London ahead of the Bank’s spring meeting next week, Jim Yong Kim said an urgent development push was needed in order to meet the demands for a better life by those in developing countries, increasingly aware through their smartphones of how rich people lived.
The Bank is particularly worried about recent low growth in Africa and Kim said official aid money should be used to turn the billions of dollars provided by western countries into trillions of dollars of investment from the private sector.
“Aspirations, linked to opportunity, can breed dynamism and inclusive, sustainable economic growth,” Kim said, in a speech at the London School of Economics on Tuesday. “But I worry that if there’s no opportunity to achieve these aspirations, frustration may well lead to fragility, conflict, violence and eventually migration.
“We’re already seeing worrying trends – 2 billion people live in countries affected by fragility, conflict and violence. After a period of decline since the end of the Cold War, violent conflicts have increased rapidly since 2010. Terrorism incidents have increased by 120% since 2012.”
Kim said that an individual’s happiness was linked not just to their own income but also to the incomes of others. As internet coverage had expanded, the comparison was increasingly with people in rich countries.
“Keeping up with the Joneses used to be about keeping up with your neighbours. But it’s no longer only about the Joneses living around you – because of connectivity, the Joneses could be anywhere in the world.”
Kim said creating the right conditions for the private sector to invest was vital if the world was to meet the ambitious sustainable development goals by the target date of 2030.
The World Bank president believes that too much official aid has been spent on projects that the private sector could finance, and that instead of picking “low hanging fruit” official development assistance should be spent in more difficult areas.
He said the top priority should be to “systematically de-risk countries to enable private sector financing, while at the same time ensuring that these investments benefit poor countries and poor people. We should do this by crowding in the private sector whenever possible.”
Kim added that he wanted a “win-win” outcome, where the trillions of dollars earning little interest were used to fund projects such as solar power and transport infrastructure. Investors looking for more lucrative opportunities should be mobilised to help meet the “exploding aspirations” of people all over the world.
“This is a fundamental shift in our conception of who we are,” Kim said. “For too long, our first thought was how can we get the loan or the grant out of the door? But that’s often not what’s best for poor people and poor countries, and it’s not what’s best for the world. We need to have a different and difficult conversation about how we approach development finance.”
He singled out climate change as an area where urgent action was needed. He said time was running out and joint public-private action on both mitigating the impact of climate change and adapting to the changing environment was required immediately....
Shares in the owner of United Airlines recovered some ground after the airline's boss issued a second statement apologising over its removal of a passenger.
United Continental Holdings stock fell 4% at one point before losses narrowed to finish down 1%.
Videos of a passenger being dragged off a United flight in the US sparked outrage on social media.
United's chief Oscar Munoz apologised for the "truly horrific" incident.
Mr Munoz initially issued a statement on Monday apologising "for having to re-accommodate these customers" before an internal email to United staff emerged revealing that the chief executive had called the passenger called "disruptive and belligerent".
Mr Munoz released another statement later on Tuesday, saying he "continues to be disturbed" by the incident and the company would "fix what's broken so it never happens again".
United Continental Holdings was the biggest faller on the S&P 500 index at the opening bell.
But it started to pare losses in afternoon trading and was given a further boost by a second statement from Mr Munoz.
The footage taken inside the airliner shows a man being pulled out of his seat and dragged down the aisle. He is later seen with blood on his face.
Communications experts have predicted the incident could damage United Airlines' brand.
It comes just weeks after the company, whose slogan is "Fly the Friendly Skies", was criticised on social media for refusing to allow two teenage girls to board a flight because they were wearing leggings.
Wall Street jitters
The recovery in the United share price came as US stocks narrowed their losses in afternoon trading.
Wall Street shares were hit by investor nerves over geopolitical tensions between the US and Russia over Syria.
The S&P 500 share index itself finished 3.38 points lower at 2,353.78.
The Dow Jones fell 6.72 points to 20,651.30, while the tech-focused Nasdaq index ended 14.15 points lower at 5,866.77.
Investors sought out so-called safe haven assets, with gold gaining 1.6% to $1,274.26 an ounce and the Japanese yen rising 1% against the dollar.
Ulaanbaatar /MONTSAME/ On April 11, Chairman of Citizens’ Representative Khural of Ulaanbaatar Ts.Sandui received the visiting delegation from Shining Star Group from the Republic of Korea, lead by the group’s president.
Mr Ts.Sandui told the guests that Ulaanbaatar, the largest and capital city of Mongolia that accommodates 44 percent of the country’s population, is in a serious need of solutions in terms of infrastructure system, including drinking water and sewage network and access to heat and road system. The main concept of Ulaanbaatar is that of a ‘Happy City’. “We wish to cooperate with You on this”, he said.
In response, head of the delegation underlined that this meeting is becoming the first step of a long-time partnership. “Our group collaborates with 25 internationally-acknowledged banks and companies. We have started cooperation with India, Taiwan and Russia, and have the expertise to resolve problems facing Ulaanbaatar, such as air pollution, traffic jam and green facilities” he said and added that Shining Star is willing to kick off operation anytime soon.
The sides also exchanged opinions and reached some agreements on co-implementing the Happy Tower project and projects on building new sources of renewable energy and sophisticating the city’s waste management.
Ulaanbaatar /MONTSAME/ A women's group in Dundgobi aimag is producing multi-times reusable fabric bags, supporting a campaign to refuse plastic bags. “We have initiated the production to make a contribution to decrease inefficient consumption of plastic bags and to avoid toxic garbage, which takes over 100 years to decompose” said head of “Amgalan Undral” Group Ch.Tserendorj.
Seven women joined to form the group and started their production two months ago. They obtained sewing machines with financial support by the World Vision and a local development program of Dundgobi aimag. Durable bags are being made with various designs and for different uses, including for groceries, official documents and notebooks, using quality textiles and costs MNT1500-10000.
The group has supplied over 300 products to Nomin Supermarket in Ulaanbaatar and their local market. We are getting constant orders, said a member of the group P.Erdenechuluun.
Mongolian biggest producing and processing companies such as Erdenet, Darkhan Metallurgical Plant, Oyutolgoi, and Erdenes Tavan Tolgoi introduced their procurement plan for 2017 at the Mining Mongolia expo that was held on Apr 5-7 in Ulaanbaatar city.
All mining experts agree to purchase safety, healthy, environmentally friendly, value-added, quality and competitively priced products. Meanwhile, they consider that supplier must meet general requirements, such as the supply of products on time and adherence to business ethics.
Oyu Tolgoi has made service contracts worth $760 million at the end of 2016 and 82 percent of the expenditure or $63 million was spent with Umnugobi supplier companies. The total amount of national procurement was relatively high compared to other mining companies.
In other words, every $8 out of $10 spent by the Oyu Tolgoi has remained in Mongolia. In 2017, the company plans to make a $83 million contract with local suppliers.
Moreover, 83 percent of the underground equipment was purchased from local suppliers. National producers supply cast balls, chalk powder, concentrate bags and staff clothing for the first time. Procurement notices and proposals of Oyu Tolgoi are published on their website.
In addition, Oyu Tolgoi enabled their suppliers to receive a soft loan from commercial banks, which considered as an important step in supporting their business partner.
ERDENET MINE: PROCUREMENT WILL BE SUPPLIED DIRECTLY BY MANUFACTURERS
Erdenet Mine was established in 1978 with a capacity to mine 4 million tons of copper per year. Now it is processing 32 million tons of copper ore per year.
In 2016, Erdenet mine centralized approximately MNT 400 billion to state budget and MNT 50 billion to local budget. As 100 percent national company, they changed its procurement policy.
We announce tender and directly purchase from manufacturers, said D.Nemekhbayar, Head of Development Policy Department.
Erdenet mine is not only one of the major consumers but also supplier due to they manufacture many types of products such as maintenance, mechanic and car plant.
Erdenet mine spent MNT 397 billion on procurement last year which is equivalent to half of annual investment of the Ulaanbaatar city. ;
47 percent of domestic suppliers,
36 percent of local suppliers,
17 percent of foreign suppliers.
Moreover, the company purchased products worth MNT 6 billion from 14 manufacturers in scope of supporting small and medium-sized enterprises. These manufacturers created more than 600 workplaces in Orkhon aimag
PM J.Erdenebat: Government will continue to ensure favorable working environment for international banks in Mongolia www.montsame.mn
Ulaanbaatar /MONTSAME/ Prime Minister of Mongolia J.Erdenebat addressed a plenary session of the State Great Khural (Parliament) on Friday, April 7, to give briefing on cooperation of the government with international banking and financial organizations.
Mongolia has joined 74 global and regional organizations, foundations and associations, of which 12 are international banks, and financial, economic and commercial organizations.
Mongolia entered the International Investment Bank (IIB) in 1970, the International Monetary Fund (IMF), World Bank and the Asian Development Bank (ADB) in 1991, the European Bank for Reconstruction and Development (EBRD) in 2000, Asian Infrastructure Investment Bank in 2015. Mongolia is celebrating the 25th anniversary of cooperation with World Bank, IMF and ADB, the 15th anniversary of working with EBRD.
With the intervention of international banking and financial organizations, Mongolian domestic economy and financial sector has been taking huge steps toward improving its prestige on international arena and discovering numerous opportunities to draw projects and programs to our market, as well as it has been effecting our capacities to benefit from development loans and increase the leverage and extend the terms of MNT/CNY and MNT/USD SWAP trades. The government views that the cooperation with international financial institutions will continue to give yields to Mongolian economy, said the Prime Minister after briefly presenting the government’s collaboration activities.
As of today, foreign banks and financial institutions have made investments to eight national banks, and five internationally acknowledged and prestigious banks are operating their official representative missions in Mongolia with the permission of the Bank of Mongolia (central bank).
The government, while promoting the activities of the international representative offices and ensuring the favorable environment for them to run their operations smoothly in our country, will be putting efforts to increasing effectiveness of cooperation through implementing mega-scale projects on infrastructure and constructions and directing the investments to private sector, the Prime Minister concluded his speech.
From a business and investment perspective, the Belt and Road Initiative will benefit not only China but also economies in Asia and Europe, said several foreign officials.
Forty-seven officials from 14 countries began a 15-day seminar on energy strategies of the Belt and Road Initiative economies in Beijing recently.
China University of Petroleum jointly organized the seminar with the Academy for International Business Officials of the Ministry of Commerce.
At the event, Ahmady Mohammad Yasin, an official from Afghanistan's Ministry of Energy and Water, said the initiative is important for every country.
As Afghanistan has abundant resources, he hoped the two countries could have more cooperation in the energy and mining sectors.
"The Belt and Road Initiative is not only for China, Asia, Europe, but also the whole world," Shambhu Prasad Ghimire, advisor to the deputy speaker of the Legislature-Parliament Secretariat of Nepal, said.
"It makes very good connection with each other, not only for development but also for the happiness and the prosperity of the people," he added.
Ghimire said China has cooperated with Nepal in infrastructure from the very beginning. He is looking forward to cooperation in health and education, in particular, in building hospitals in rural areas and polytechnic schools that impart practical skills.
The Belt and Road Initiative "shows the leadership of China and its responsibility for the rest of the world", said Loannis Economides, senior industrial extension officer in Cyprus' Ministry of Energy, Commerce, Industry and Tourism.
Cyprus has rich natural gas reserves. At present some international companies, including Total, Eni, Kogas and ExxonMobil are exploring natural gas in the exclusive economic zone in Cyprus, Economides said.
He hoped that Chinese companies will join in the country's natural gas exploration in future.
"We hope that in future we'll get a Chinese company as well. If there are more discoveries, I'm sure that will interest Chinese companies because this is in line with the energy policy of China," he added.
Economides is optimistic about progress in liquefied natural gas as it is more environmentally friendly than oil.
Being near to the Suez Cannel, Cyprus has been a base for international shipping management companies. He hoped that Chinese companies would also base themselves there to manage their fleet.
Cyprus has a trade deficit with China and it hopes to export more to China in the future and is seeking such opportunities under the Belt and Road Initiative, he said.
Data provided by the China University of Petroleum show 55 percent of the world's proved reserves of crude oil and more than 76 percent of the proved reserves of natural gas come from the economies along the Belt and Road Initiative.
In 2014, 71.5 percent of China's oil imports and 96.1 percent of its natural gas imports came from the economies along the Belt and Road Initiative.
By 2016, China oil majors including China National Petroleum Corp and China Petroleum & Chemical Corp had invested in some 200 oil and gas projects in more than 50 economies overseas, according to a blue book issued by the China Petroleum Enterprise Association and China Oil and Gas Center.
The university said it is proud of the tradition of training personnel to accommodate the globalization of Chinese oil and gas giants.
Amid increasing interest in the Belt and Road Initiative, it plans to start overseas student recruitment this year in its new campus in Karamay city, a key linkage on the Belt and Road routes and located in China's Xinjiang Uygur autonomous region....