1 TOP 10 RICHEST PEOPLE IN MONGOLIA 2018 MONGOLIAN BILLIONAIRES WWW.ELITESHARED.COM PUBLISHED:2018/07/22      2 IRKUTSK REGION'S EXPORT OF CHICKEN EGGS TO MONGOLIA ALMOST DOUBLED WWW.RUSEXPORTER.COM PUBLISHED:2018/07/21      3 86 PERCENT OF ACTIVE ENTITIES IN MONGOLIA HAVE UP TO 9 EMPLOYEES WWW.GOGO.MN PUBLISHED:2018/07/20      4 MONGOLIA TAKES STEPS TO BOOST CASHMERE PRODUCTION WWW.NEWS.MN PUBLISHED:2018/07/20      5 HIV INFECTIONS RISES TO 262 IN MONGOLIA WWW.XINHUANET.COM PUBLISHED:2018/07/20      6 FRONTCLEAR FACILITATES A LANDMARK TRANSACTION WITH STATE BANK MONGOLIA, EBRD AND ING BANK WWW.KTVN.COM PUBLISHED:2018/07/20      7 MONGOLIA COULD BE RIO'S COPPER GROWTH KEY WWW.MINING-JOURNAL.COM PUBLISHED:2018/07/20      8 FOREIGN OFFICE MINISTER MARK FIELD VISITS MONGOLIA WWW.GOV.UK PUBLISHED:2018/07/20      9 ZOO-BRED PRZEWALSKI’S HORSES ARE FREED INTO THE PLAINS OF MONGOLIA WHERE THEIR ANCESTORS ROAMED FOR CENTURIES HAVING BATTLED BACK FROM JUST ONE SURVIVING WILD ANIMAL WWW.DAILYMAIL.CO.UK PUBLISHED:2018/07/20      10 MONGOLIAN AND CHINESE JOINT VENTURE ESTABLISHED WWW.MONTSAME.MN PUBLISHED:2018/07/20      ТАВАНТОЛГОЙ-ЗҮҮНБАЯН ЧИГЛЭЛИЙН ТӨМӨР ЗАМЫГ БАРИХ АЖИЛ ЭХЛЭЭД БАЙНА WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/22     ШИНЭ УРГАЦ ГАРЧ ЭХЭЛСЭН Ч НОГООНЫ ҮНЭ ӨНДӨР ХЭВЭЭР БАЙНА WWW.ZGM.MN НИЙТЭЛСЭН:2018/07/20     АВТОЗАМД ҮҮССЭН ХОХИРЛЫН ХЭМЖЭЭ 1,3 ТЭРБУМ ТӨГРӨГТ ХҮРЧЭЭ WWW.MEDEE.MN НИЙТЭЛСЭН:2018/07/20     BURBERRY БРЭНД 32.6 САЯ АМ.ДОЛЛАРЫН ҮНЭ БҮХИЙ БАРАА БҮТЭЭГДЭХҮҮНЭЭ ШАТААЖЭЭ WWW.GOGO.MN НИЙТЭЛСЭН:2018/07/20     ИРГЭДЭЭС ЦУГЛАСАН ХАНДИВААР ГАЛ УНТРААХ ТОНОГ ТӨХӨӨРӨМЖ АВЧЭЭ WWW.DNN.MN  НИЙТЭЛСЭН:2018/07/20     ГААЛИЙН БАЙГУУЛЛАГЫН ТӨСӨВТ ТӨВЛӨРҮҮЛСЭН ОРЛОГО 1.2 ИХ НАЯД ТӨГРӨГТ ХҮРЧЭЭ WWW.NEWS.MN НИЙТЭЛСЭН:2018/07/20     ИХ БРИТАНИЙН АЗИ НОМХОН ДАЛАЙН БҮС НУТГИЙГ ХАРИУЦСАН САЙД МАРК ФИЙЛД МХБ-Д ЗОЧИЛЛОО WWW.NEWS.MN НИЙТЭЛСЭН:2018/07/20     ЭКО АЛТНЫ УРАМШУУЛЛЫГ МОНГОЛБАНК ОЛГОХГҮЙ WWW.EAGLE.MN НИЙТЭЛСЭН:2018/07/20     ЯМАШИТА МАМОРҮ: МОНГОЛД ДУНДАЖ ЦАЛИНГ ТЭТГЭВРИЙН ХЭМЖЭЭТЭЙ УЯЛДУУЛЖ ТООЦОХ МЭРГЭЖЛИЙН БАГ ХЭРЭГТЭЙ WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/20     ХЯТАД УЛС БИЗНЕСИЙН ОРЧНОО САЙЖРУУЛНА WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/19    

Events

Name organizer Where
"Open to Export" ICC WTO International business award ICC WTO London

NEWS

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The first 100 days of a government mongolianbusinessdatabase.com sourced from bloombergtv.mn

It is already been 100 days since the new government was established. The government recently approved a new 4-year program. For the first time, the government strategy includes steps on how to overcome economic difficulties in their program. For example, the government continues to urge consumers to buy domestic goods and products in order to support Mongolian producers. Prime Minister Erdenebat also presented his visit to Japan as another step toward supporting local businessmen. Furthermore, foreign relations policy will focus on building production in Mongolia. In addition, the government is intending to support domestic businessmen with tax policies.

Within the last 100 days progress was made in energy sector as well. The closing financing agreement on building a 50 MW wind power plant in Tsogttsetsii, Umnugovi was signed. The project will be financed for a total of 128 million dollars from EBRD, JICA, SB Energy and Newcom. Also, “Solar Power International” is constructing a 10MW solar power plant in Darkhan. The project is currently 65 percent complete and scheduled for completion by the end of the year. Additional power plant and cable network projects to be built aimag centers will be implemented by soft loans from the government of South Korea.

There are currently 68 projects in the energy sector, implementation of these projects will produce 20 times more energy than Mongolian national energy consumption. Currently, by implementing 5 of these projects the amount of produced energy will fully meet domestic demand and reach the maximum exporting volume.

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Dubai hosts IT fair for start-ups www3.nhk.or.jp

Dubai, in the United Arab Emirates, is hosting the largest IT fair in the Middle East. This year, hundreds of start-ups are pitching their technologies in a special exhibition.
 
The emirate has a strategy of investing in venture firms and business innovation, to make up for the lack of income from energy resources.
 
The first-ever exhibition for start-ups has drawn 400 firms from 60 countries. Seven are from Japan.
 
One of them is displaying a humanoid robot that can mimic users' facial expressions. Developers said they can also make the robot copy human body movements.
 
Another Japanese venture has drawn attention for its software that can manage highly detailed physical data of athletes. It is already holding business talks with a local firm.
 
An official of JETRO, the Japan External Trade Organization, said Dubai is eager to foster venture firms, and is a promising market for Japanese technology.
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Thai economy faces uncertainty after King’s death www.rt.com

The recently deceased King Bhumibol Adulyadej was a guarantee of Thailand’s economic stability, despite weak growth and weak investment. Analysts at Capital Economics have raised concerns the Thai economy may now face some turbulence, but others disagree.
"The highly revered king has been an important unifying figure in the country," said London-based Capital Economics.
 
"The king has helped add some legitimacy to the current military government. Without him, there are a number of times over the past decade where the country could have been plunged into civil war," the analysts added.
 
The 88-year old king ruled Thailand for seven decades.
 
Thailand has been suffering from weak growth and lack of investment. With possible political turmoil on the horizon, the country’s safe haven of tourism may be hit as well.
 
“The lack of investment is undermining the economy's future productive capacity. The bottom line is that it is difficult to be upbeat about Thailand's medium-term outlook until the political picture becomes clearer," analysts said.
 
According to the World Travel and Tourism Council, tourism makes up 10 percent of the Thai economy and employs 5.4 million people.
 
On Friday, however, the Thai baht was strengthening against the dollar, trading 0.38 percent higher. Thailand’s SET index was ailing this week on reports of the king’s worsening condition, got a boost on Friday, up over 4.5 percent.
 
Other analysts say the transition of power in Thailand will be quick and won’t hurt the economy.
 
"We expect the royal succession to designated heir Crown Prince Maha Vajiralongkorn will be stable and that market volatility around the king's death will not be long-lasting," Eurasia Group said.
 
The impact on the investment environment will be "relatively minor" and won’t last more than 100 days of mourning, it added. Thai companies are likely to postpone launches of new projects for the period, according to Eurasia Group.
 
"We have only seen two or three days of net outflows from the local equity and bond markets and the sizes are not very big," said Singapore-based Nordea Markets' chief analyst Amy Yuan Zhuang. She added however the outflows could grow.
 
Although bars could remain closed for a few days, airports will not be shut down, and things will return to normal quite soon, according to an officer at a Western embassy in Bangkok, quoted by Reuters.
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ZTO Express eyes largest Chinese company U.S. IPO since Alibaba www.reuters.com

Logistics company ZTO Express has set terms for what could be the largest U.S. initial public offering this year and also the biggest by a Chinese company after the $25 billion IPO of e-commerce giant Alibaba Group Holding Ltd (BABA.N) in 2014.
 
ZTO's IPO later this month, which could raise as much as $1.5 billion, is the latest example of a Chinese company seeking to capitalize on its growth prospects to lure Western investors, while also avoiding the red tape associated with launching IPOs in mainland China.
 
China is the world's largest express delivery market, with 21 billion parcels delivered in 2015, according to market research firm iResearch, cited in the IPO prospectus of ZTO. This is approximately 1.5 times the total parcel volume of the United States.
 
ZTO said in a regulatory filing on Friday that it expected to sell 72.1 million American depositary shares in the range of $16.50 to $18.50.
 
Sources close to ZTO told Thomson Reuters publication IFR earlier this year the company was eyeing a U.S. listing for a faster completion and to make it easier for existing shareholders to monetizes their stakes.
 
A consortium of investors including Hillhouse Capital Management Ltd of Hong Kong and private equity firm Warburg Pincus LLC invested in the company in 2015.
 
Founded in 2002, ZTO is a major player in China's quickly expanding e-commerce market. It delivers parcels for Alibaba and JD.com Inc (JD.O), among others.
 
ZTO delivered roughly 14 percent of all parcels in China last year, according to its IPO prospectus.
 
Sales of ZTO jumped to RMB 6.1 billion ($915.8 million) in 2015, up from RMB 3.9 billion in 2014. Its net income was RMB 1.3 billion ($200.4 million). It has roughly 7,700 network partners and 74 sorting hubs.
 
ZTO will use the proceeds from its offering to buy more trucks, expand capacity through the purchase of land, facilities and equipment and for other general corporate purposes.
 
ZTO intends to list on the New York Stock Exchange (NYSE) under the ticker ZTO.
 
Morgan Stanley (MS.N) and Goldman Sachs Group Inc (GS.N) are the lead IPO underwriters.
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UK economy 'faces prolonged weakness', Item Club report says www.bbc.com

Britain's economy faces a "prolonged period" of weaker growth as consumer spending slows and business curbs investment, according to a report.
Although the EY Item Club think tank predicts the economy will grow 1.9% this year, it expects that performance to fizzle out as inflation rises.
The economy's stability since June's Brexit vote was "deceptive", EY said.
Meanwhile, a senior Bank of England official told the BBC that inflation may surpass its 2% target.
In an interview to be broadcast on Monday, the Bank's deputy governor Ben Broadbent told Radio 5 live that sterling's weakness would fuel inflation, but that controlling prices with tighter monetary policy could hit growth and jobs.
The dilemma facing policymakers was underlined in the Item Club report.
It expects inflation to jump to 2.6% next year before easing back to 1.8% in 2018. That will cause growth in consumer spending to slow from an expected 2.5% this year to 0.5% in 2017 and 0.9% the year after, the report said.
Business investment is also forecast to fall due to uncertainty surrounding Britain's future trading relationship with the EU, dropping 1.5% this year and more than 2% in 2017.
EY predicts that the impact of weaker consumer spending and falling investment will cause UK GDP growth to drop sharply to 0.8% next year, before expanding to 1.4% in 2018.
Vulnerable sectors
Peter Spencer, chief economic advisor to the EY Item Club, said: "So far it might look like the economy is taking Brexit in its stride, but this picture is deceptive.
"Sterling's shaky performance this month provides a timely reminder that challenges lie ahead. As inflation returns over the winter it will squeeze household incomes and spending.
"The pressure on consumers and the cautious approach to spending by businesses mean that the UK is facing a period of relatively low growth," he said.
The report said that exporters will benefit from the depreciation of sterling, which last week tumbled against a basket of currencies. Exports will increase by 4.5% in 2017 and 5.6% in 2018, EY forecast.
But Mr Spencer did not expect this to be enough to offset a wider slowdown.
"With activity in the domestic market flat, GDP growth will become heavily dependent upon exports next year," he said.
'Undesirable consequences'
"But once the UK has left the EU certain sectors, such as aerospace, automotive, and chemicals that trade extensively with the EU will be a lot more vulnerable and may need to be supported by subsidies and more robust industrial policies," he said.
Some of the economic challenges were spelled out in Mr Broadbent's BBC interview with 5 live's Sean Farrington.
The deputy governor, echoing remark's by the Bank's governor Mark Carney last week, said that letting inflation run ahead of the 2% target might ensure the economy does not suffer.
Tighter monetary policy to meet the target could lead to "undesirable consequences" such as lower growth and higher unemployment, he said. It's a "trade off", he added.
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China backs Brics nations despite global uncertainty www.bbc.com

China's president has said the long-term prospects of the Brics countries - Brazil, Russia, India, China and South Africa - are still positive despite a precarious global economy.
President Xi Jinping said the Brics countries were among those currently enduring slower economic growth.
But he stressed that the potential and strength of the group was "unchanged".
It comes as leaders of the Brics countries agreed in India to forge closer business and trade ties.
The grouping contains about half of the world's population and nearly 25% of world economic output.
Speaking at the Brics summit in the Indian resort state of Goa, Mr Xi referred to the recent slowdown in economic growth amongst the group.
But he added the position of the Brics "is still positive long-term" due to their resources and workforces.
Earlier this month, the International Monetary Fund cut its forecast for world economic growth in 2016, with Brazil, South Africa and Russia receiving some of the sharpest downgrades.

The Brics economies have been hit by falling global demand and lower commodity prices, while some have faced corruption scandals.
Brazil and Russia are both in recession, and Brazil on some counts is suffering its worst downturn since the 1930s.
South Africa narrowly avoided a recession last month, while China is going through its slowest economic growth in 25 years.
Still, Lord Jim O'Neill, the economist who coined the term "Brics", told the BBC he remained confident of the grouping's success.
Ahead of the talks, he said it is "bigger today [than] even in the most optimistic scenario I thought 15 years ago, and it's primarily because of China".
'Asian century'
At the summit, the Brics leaders agreed to set up a new credit rating agency and expand the role of emerging economies, and recognised the threat from terrorism.
In separate agreements, Mr Xi vowed to pursue closer ties with India and Russia as part of a wider Chinese push to foster global trade partnerships.
Indian Prime Minister Narendra Modi said India and China had a responsibility to join hands and turn the 21st Century into an Asian century.
Meanwhile, Mr Modi and Russian President Vladimir Putin signed multi-billion dollar energy and defence pacts on Saturday on the sidelines of the summit.

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More measures ahead to streamline business registration in China www.xinhuanet.com

BEIJING, Oct. 14 (Xinhua) -- The Chinese government will further streamline registration procedures for private businesses after the October introduction of related measures to encourage entrepreneurship and improve the business environment.

The measures, initially approved in May and put in place from Oct. 1, included merging five business certificates into one license. They have significantly facilitated the operation of private businesses within two weeks of implementation, showed data from the General Administration for Industry and Commerce in a report heard at the State Council's executive meeting chaired by Premier Li Keqiang on Friday.

Registering a new business in China now takes only two to three working days, compared to a previous process of several months involving stacks of printed documents to be submitted to half a dozen departments.

The premier praised the progress, while pointing out that more efforts are needed as starting a business in China still requires too many certificates.

"We should reduce those certificates that are not really required for starting a business, therefore fully releasing the benefits of reforms and the market," Li said.

The premier has continuously stressed that streamlining business registration and scaling back government control would serve another round of opening-up and improve China's global competitiveness.

Measures have been taken since 2015 in China to combine the business license, the organization code certificate and the certificate of taxation registration into a single document, with another two certificates, namely the social insurance registration certificate and the statistics registration certificate, included later.

"Chinese people do not lack the passion and wisdom for innovation and entrepreneurship," Li said. "The key is to properly unleash their potential."

Measures to be introduced to further facilitate business registration in China include encouraging pilot measures to integrate more certificates into the current scheme to be taken in certain cities and regions for assessment before putting them into practice nationwide, and providing an online service covering the whole registration process.

Currently, 22 provinces and regions, including Beijing and Shanghai, have launched such trials.

The Friday meeting also called for greater efforts in on-time and in-time regulation with better information sharing and recognition among government departments.

A total of 488,000 new business licenses have been issued since Oct. 1. An online survey showed more than half of those surveyed gave positive comments on the business registration reform.

Data also showed new business registrations increased from about 12,000 per day in 2015 to 14,600 in the first eight months of 2016, compared to only 6,900 before the changes.

Premier Li also stressed the importance of proper supervision in carrying out the business registration reform, while warning against the disruptive examination of private enterprises.

Despite the fact that China faces mounting downward economic pressure, the employment rate is up. Li said that more than 10 million urban jobs have been created since January.

"This is a remarkable achievement, and the way to ensure employment is to boost market potential and vigor," Li said. Enditem

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Alibaba’s Jack Ma wants to create 100 million jobs www.rt.com

Jack Ma, the founder and chairman of the world’s largest e-commerce platform Alibaba, has revealed an ambitious plan to create 100 million jobs in the next twenty years.

“Alibaba is a company aiming to help solve social problems. In 20 years, we hope to serve two billion consumers around the world, empower 10 million profitable businesses and create 100 million jobs,” wrote Ma in the annual letter to shareholders, stressing that the group would be in for an even more difficult journey than the one it has gone through.

Ma expects three more decades of fast technological change across industries. The change will include transformation of traditional retailers in a multi-trillion dollar market.

“Throughout history, technological disruptions have followed similar trajectories: 20 years of technological disruption followed by 30 years of further rapid change as new technologies are applied throughout society,” the letter says.

Alibaba aims to invite retailers to join its system of online selling platforms, advertising tools as well as cloud computing offerings.

“We are working to create the fundamental digital and physical infrastructure for the future of commerce, which includes marketplaces, payments, logistics, cloud computing, big data and a host of other fields,” the CEO wrote, adding that the company didn’t try to switch transactions from offline to online.

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Russia is planning for low oil prices for years www.cnn.com

President Vladimir Putin's government has just set a draft budget for the next three years based on the assumption Russia will be able to sell its oil for $40 a barrel. That's $10 below current world prices.
Russia is the second biggest oil exporter after Saudi Arabia. It has been talking to the Saudis and other OPEC producers about restraining supply to support prices.
Putin's budget suggest he wants to be prepared if a preliminary OPEC production cut agreed last month is not implemented, or proves ineffective.
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He may also have learned a painful lesson. In 2015, the Russian government originally based its budget on an average price of $100, double what it actually was.
The slump in oil prices forced the government to slash spending. That hurt everyday Russians, who were already struggling with rising prices and falling wages. Some even took to the streets in rare public protests.

The budget for 2016 predicted $50 oil, $10 above the average price in the first nine months of the year. And once again, the government was forced to change its plans.
It amended the budget earlier this month, to accommodate higher defense spending and a one-off bonus for pensioners to be paid in January. That will push up borrowing: the budget deficit is now expected to reach 3.7% of GDP, well above the official target of 3%.
The government is now expecting the deficit to fall to slightly above 3% of GDP next year.
Prime Minister Dmitry Medvedev said on Thursday Russia cannot afford to continue living in debt, and ordered more spending cuts. He wants the deficit to be less than 1.2% of GDP by 2019.
But Putin is up for election in 2018 in the middle of the budget cycle, and that will limit the scope for spending cuts or tax increases, said Anna Zadornova, an economist with UBS.
putin russia reserves

Russia desperately needs to get its finances in order, because its cash reserves are being depleted at a rapid rate. Analysts expect the country's rainy day fund will shrink to just $15 billion by the end of this year and dry up completely soon after that. It was $91.7 billion in September 2014, just before oil prices started to collapse.
Experts are skeptical whether the country will be able to stick with the plan. "Russia's inability to stick to a fiscal plan even over the course of several months undermines the spending and deficit targets for 2017 and beyond," analysts from the Eurasia Group wrote in a note.
Russia is trying to become less dependent on oil and gas. Energy now accounts for 37% of all government revenues, compared to roughly 50% just two years ago.
Eurasia Group analysts say the government is still opting for more austerity rather than genuine economic reform.

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How VW, GM will take on the Toyota-Suzuki duo www.asia.nikkei.com

TOKYO -- Toyota Motor's biggest Western rivals are gearing up to compete in areas other than size, just as the Japanese automaker moves to join forces with Suzuki Motor.

Volkswagen and General Motors, which have wrangled with Toyota for the top spot in sales volume, both seem to see scale as only a secondary focus going forward. They are actively pouring resources into such advanced technologies as artificial intelligence to cultivate ride-hailing and other services.

VW actually has a history of partnering with Suzuki. The two formed a capital partnership back in 2009, when Ferdinand Piech was still in charge. But the German carmaker's strong focus on capitalist logic hurt the relationship, and the tie-up ended in September 2015. Dashed were VW's hopes of borrowing Suzuki's know-how in developing small vehicles for such emerging markets as India.

Heading off a crisis

Now, under a new chief, VW has set its sights on something different. Matthias Mueller took the helm after the diesel emissions scandal and has said since day one that the company should not pursue scale alone. A key part of its strategy through 2025 is to become the global leader in mobility services. The automaker expects minimal growth in annual sales volume over the nine years from the current 10 million units.

VW invested in Israeli ride-hailing company Gett in May, making Uber Technologies of the U.S. a rival in the automaker's eyes. Mueller sees a future in which many people stop owning cars. This sense of urgency is driving the shift in business models.

Adding new brands was like a hobby for Piech. In contrast, the 13th brand Mueller announced at the Paris Motor Show in September was for car-sharing and on-demand services -- targeting those who do not own cars. In effect, VW is creating a new playing field to steer clear of the Toyota-Suzuki juggernaut.

GM is also moving to cultivate new business by tapping the latest technologies. It announced in January a $500 million investment in ride-hailing company Lyft. And in March, GM said it would buy a Silicon Valley startup developing self-driving systems. The American automaker thus acquires software engineers and other talent it cannot cultivate in-house. GM will begin tests of self-driving taxis with Lyft as early as this year.

Toyota and Suzuki had thrived on their ability to slash costs. In the West, automakers are increasingly handing these efforts over to fast-growing manufacturing services providers. In Europe, some such companies even develop engines. Automakers have freed up internal resources to instead plow into self-driving technologies and next-generation powertrains, for example.

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