|“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|
Minj Property LLC, which is organizing its roadshow for a bond offering today, is planning on becoming a publicly traded firm. Along with the company, Ard Credit and Tumen Shuvuut have announced potential IPOs in upcoming months. Minj Property LLC is a construction firm that has implemented Park Town-1 project for 620 households in Darkhan-Uul aimag. A study that involved 600 households in need of accommodation in Darkhan city shows that 22 percent of surveyee are planning on purchasing new housing in the short-term. Because of the fact that 91 percent of accommodation in the city were constructed in 1990s, the demand for new housing stands high in Darkhan city. The province has over 100,000 population, of which working-age population account for 64 percent.
Thus, Mongolian Securities Exchange informs that these will act as guarantees for Park Town-2 project. The next financial instrument in the capital market is expected to be Ard Credit non-banking financial institution (NBFI). The company announced that they plan on raising MNT 5 billion from the stock market and have submitted necessary documents to the Financial Regulatory Commission (FRC) for approval. Simultaneously with Ard Credit, Tumen Shuvuut LLC notified the FRC for an IPO. The company, which runs a poultry farm, intends to raise MNT 10 billion within this year. This agribusiness with over 300,000 chickens annually supplies 60 million eggs to the domestic market and helps reduce import eggs to 40 percent, accounting for 30 percent of egg production and 20 percent of total egg market in Mongolia. Funding its operation from own assets and bank loans since the beginning, the company grew by 12 times since establishment.
Potential IPOs of Minj Property, Ard Credit and Tumen Shuvuut expected
Overall, five companies have offered 230 million units of shares and raised MNT 26.73 billion from IPOs this year. According to the FRC, a total of 304 publicly traded companies are operating nationwide. Analysts expect growing trend of entities going public, giving more options for investors in the domestic capital market. As for securities market, market capitalization grew 12.8 percent to MNT 2.35 trillion, which is 8.4 percent of 2017 year-end GDP as of the third quarter of this year.
IMF Reaches Staff-Level Agreement on the Sixth Review of Mongolia's Extended Fund Facility www.imf.org
Growth remains strong, led initially by buoyant external conditions and increasingly by a recovery in domestic demand. The fiscal deficit is improving much faster than expected, allowing government debt to fall sharply. The authorities are on track to meet all macroeconomic targets for end-year.
Two important vulnerabilities are that international reserves and bank capital are still not at appropriate levels. Macro-economic policies should be used to dampen high credit growth and help build external buffers. Meanwhile, it is crucial that banks complete the recapitalization efforts started in 2017.
For 2019, program goals are to continue reducing public debt, resume international reserve accumulation, and ensure the banking system is well-capitalized. In addition, it is critical that the authorities strengthen the investment climate to attract the foreign capital necessary for Mongolia’s long-term growth.
An International Monetary Fund (IMF) staff team led by Mr. Geoff Gottlieb visited Ulaanbaatar from November 7-17, 2018 to conduct discussions on the sixth review of the three-year Extended Fund Facility (EFF) arrangement approved on May 24, 2017, in an amount equivalent to SDR314.5054 million, or about US$434.3 million (see Press Release No. 17/193 ).
At the conclusion of the visit, Mr. Gottlieb made the following statement:
“As we reach the mid-way point of the IMF supported program, significant progress has been made by the authorities in overcoming the economic crisis. Growth has revived to over 6 percent, the overall fiscal balance has swung from a large deficit to a small surplus, and government debt has fallen sharply. While the external environment has been supportive with buoyant export demand, the recovery has become broader based with consumption and investment rising sharply. Against this backdrop, the authorities are on track to meet all end-December macroeconomic targets, including the fiscal deficit and net international reserves.
“While welcome, this recovery brings new challenges. Stronger domestic demand conditions are widening the current account deficit, halting reserve accumulation. In response, the Bank of Mongolia should rein in high credit growth through tighter monetary conditions and the introduction of well-targeted macro-prudential measures.
“In the financial sector, the follow-up to the Asset Quality Review that was completed in 2017 is entering its final phase. Those banks that were found to be undercapitalized have until end-December to raise the necessary new capital. Banks that fail to do so will face Central Bank intervention or be resolved as per the Banking Law.
“The authorities are also moving ahead with reforms that will allow for more rapid resolution of non-performing loans, strengthen their Anti Money Laundering framework, and improve the selection and appraisal of public investment projects. Given the importance of attracting more foreign capital, the authorities should also commit to strengthening the business and investment climate.
“The authorities and the IMF team have reached staff-level agreement on the economic policies for completion of the sixth review under the EFF arrangement, which is subject to the approval of the IMF Executive Board. The authorities have committed to several actions, mainly in the financial sector, that will be completed before the Executive Board meeting.”
The team thanks the authorities for their cooperation, constructive dialogue, and hospitality during its stay in Mongolia.
IMF Communications Department
PRESS OFFICER: TING YAN
PHONE: +1 202 623-7100EMAIL: MEDIA@IMF.ORG...
Kincora Copper says geophysical surveys in Mongolia support multiple drill targets www.proactiveinvestors.co.uk
Mongolia-focused miner Kincora Copper Ltd (CVE:KCC, OTCMKTS:BZDLF) said Wednesday that geophysical surveys at the East Tsagaan Suvarga and Bronze Fox projects in Mongolia were completed on time and under budget.
The results supported multiple drill targets, Vancouver-based Kincora said in a press release, adding that a preferred drill contractor has been selected. Final modeling is expected in upcoming weeks.
The surveys were carried out by SJ Geophysics Ltd, based in Delta, British Columbia.
"Significant progress has been made at Bronze Fox,” Peter Leaman, senior vice president of exploration, said in a statement. "Preliminary results of the SJ geophysical survey at East Tsagaan Suvarga have provided significant encouragement.”
In the past 12 months, Kincora has reviewed more than 300 projects, according to the company.
Shares of Kincora slipped C$0.02 to C$0.14 in Canadian trading on Wednesday.
Ulaanbaatar /MONTSAME/ The 87th International Criminal Police Organisation (Interpol) General Assembly ran for the third day yesterday, November 21, discussing about enrollment of new member countries.
On the sidelines of the assembly, Mongolian delegation led by Commissioner-General of the National Police Agency S,Baatarjav held meetings with Interpol’s Vice Chair for Europe and Chief of Russian Interior Ministry’s National Central Bureau of Interpol Alexander Prokopchuk and Head of the INTERPOL National Central Bureau for China and Vice Minister of the International Police Cooperation Department of China's Ministry of Public Security Duan Dachi.
During the meeting, they exchanged opinions on widening cooperation between the National Central Bureaus, promptly exchanging information on crime, educating and specializing officers in human trafficking and drug related crimes as well as receiving technical support within the cooperation between the national police agencies of the two countries and a project by INTERPOL.
According to Bayan Zam Transporters Association, over 7000 trucks are stuck in line at the main coal export route Gashuunsukhait-Gantsmod border checkpoint. Therefore, a working group from the Ministry of Road and Transport Development and National Center for Auto Transit has been deployed at Gashuunsukhait in Umnugobi aimag to resolve the issue. The working group has reportedly sent unloaded vehicles to Oyu Tolgoi route. Specifically, they are sending the trucks heading to Tsagaan Khad customs inspection zone in two lanes by temporarily halting movement of the opposite direction. Officials highlighted that this will prevent long queues and potential accidents in the long queue of trucks driving in wrong-lane. Although 77 trucks entered the border on Monday, which doubles the amount of previous day, the association highlighted that the entry capacity needs to be increased to 1000 trucks per day, which was the average capacity in October; however, the number drastically dropped to 400 in November and on November 16, only 30 trucks were able to enter the border. Economist Naranbaatar Lundeg remarked, “Chinese side decided to cease all types of coal import. China explained that this year’s import plan has been fulfilled around 40 days prior to the end of year as this year’s amount was set lower than 2017. So this unpredictable situation might continue until February of next year. Sarah Liu, Vice President of Fenwei Energy Information Services, mentioned about this situation during an international conference of coal in Beijing. Also researchers from different countries warned about this near the end of the year at Coal Mongolia 2018 conference, yet our Government ignored it.
Working group temporarily suspends coal loading at Tavantolgoi residual deposits
Now the problem is upon us. Coal mines will have to cut mining and transportation now. If we load 12 thousand trucks, the truck drivers might have to stay on road until the next Lunar New Year. In the first 10 months of this year, coal export accounted for 41 percent of total export. A total of 31.3 million tons of coal exported worth USD 2.4 billion were exported during this period, of which Erdenes Tavan Tolgoi JSC made up one third of this amount. The Government plans to export 42 million tons of coal next year; however, experts are warning that the amount may be unachievable due to China’s limit on coal imports. Additionally, the working group reported that they have temporarily suspended coal loading at Tavantolgoi residual deposits.
On Monday, Mongolian MP D.Khayankhyarvaa presented a letter for dissolving the cabinet to Speaker of Parliament M.Enkhbold. According to law, the letter must be discussed by the Parliamentary Standing Committee on State Structure within in week and by State Great Khural (Mongolian parliament) within 14 days. Subsequently, the committee will discuss the issue on Friday 23 November at 3.00 p.m.
A total of 27 MPs have signed the letter; seven of them are members of Parliamentary Standing Committee on State Structure itself.
The Mongolian People’s Party (MPP) won a landslide victory in the 2016 general election, taking 65 out of 76 seats in the national parliament and formed the cabinet headed by former Prime Minister J.Erdenebat. However, J.Erdenebat was was accused with an abuse of power and dismissed from his post and his cabinet was dissolved following a vote of no confidence in the State Great Khural (parliament) in September, 2017. Since then, the MPP has been plagued by numerous problems, such as the current SME Fund scandal, where large numbers of MP’s and government officials allegedly benefited to the tune of several million dollars.
A “Science, Technology and Innovation-2018” exhibition opened at the Mongolian National Art Gallery. A total of 120 enterprises displayed nearly 1500 innovation products such as books, medicine, bio active products, agriculture and food technologies at the exhibition.
The aim of the event is to promote and disseminate scientific achievements and find application for new innovations. It is hoped that thanks to “Innovation-2018”, they will go into production and find economic application.
The Science and Technology Foundation of Mongolia has planned to implement 454 projects in 2018; in total, 80 percent or 431 projects have been successfully implemented. The foundation has spent 9.6 billion for financing the projects. The foundation provides finance for eight different kinds of projects every year.
Ulaanbaatar /MONTSAME/ ‘Asian Door 2018’ international fair opened on November 20 in Ulaanbaatar. Over 30 companies of Irkutsk Oblast are participating in the ‘Asian Door 2018’ fair, annual event of Russian agricultural and industrial products.
The Asian Door fair aimed at connecting, intermediating producers of Mongolia and Russia and expanding their business opportunities is being held for the 29th year. President of the Mongolian National Chamber of Commerce and Industry (MNCCI) B.Lkhagvajav said that as a result of the fair the cooperation in mining and agriculture, supply of goods and technology have increased as well as it has brought many other significant changes. “A number of Russian entities operate in Mongolia. The expansion is needed,” he noted.
Over the past two years, domestic agricultural companies have cooperated with 7-8 Russian factories, making an overall technical renovation worth USD 17 million. CEO of the host company ‘Business Contact’ A.A.Sidorov expressed his gratitude to the Trade Mission of the Russian Embassy, MNCCI and the administration of Irkutsk city for supporting the event.
Governor of Tulunsky District of Irkutsk Oblast M.I.Gildebrant expressed his willingness to cooperate in mining and agricultural sector and to supply 100,000 tonnes of wheat. The ‘Asian door 2018’ fair will run till November 23.
San Francisco (CNN)Bitcoin may be the most popular form of digital currency but it's far from the only one.
In fact, about 1,500 other cryptocurrencies have emerged since the creation of bitcoin in 2009. And they fall into buckets like stable coins and tokens.
Coupled with the lack of clear regulations or oversight and how new the space is, it's enough to leave any crypto newcomer completely confused.
Crypto is valued by investors because it's not regulated by any central figure. It's also exchanged pseudonymously, which allows for greater privacy.
While it was originally used for illicit transactions, it's gained wider adoption. Even companies like Overstock and Starbucks have started experimenting with how to let customers use it to shop.
Investing in crypto is still risky and volatile -- let's recall bitcoin's infamous rise in value to $20,000 late last year and its current price of under $5,000.
Because of this, knowing the core differences is worth your time.
Coins vs. Tokens
First, you'll want to know the difference between coins and tokens. Coins are essentially virtual cash used for many types of transactions. They're bought and sold over numerous different crypto exchanges, including Coinbase, bitbuy.ca and Binance. The first recorded bitcoin transaction was for two pizzas.
Tokens represent assets or anything that has value ascribed to it. For example, tokens can be used to represent things like the ownership of a piece of art or the number of rewards points a customer has in a company's loyalty program. They both have value and rely on blockchain technology, a digital ledger of transactions that can't be erased. But a coin is virtual money and a token is not.
Bitcoin and Alt Coins
Bitcoin was the original form of cryptocurrency -- and it's the coin others are compared to.
"Bitcoin is the mother crypto," said Marshall Hayner, founder of Metal Pay, an app that's much like Venmo for crypto.
Not surprisingly, its emergence sparked the rise of copycats, including alternative coins like litecoin, XRP and ether.
Ether is used to power its own unique blockchain called Ethereum -- one of the biggest creators of smart contracts. These contracts use cryptographic code to verify and trigger transactions when certain conditions are met. For example, a smart contract could be set to pay out a certain amount of crypto at 1:00 p.m. on a specific day.
Another bitcoin alternative is XRP, which was built to make it easier for banks and payment processors to make cross-border payments. It's one of the most popular cryptocurrencies.
There are also obscure alternatives, like dogecoin, which was created as a joke based on a viral meme of a Shiba Inu. The dog's face is displayed on the front of the virtual coin. The currency is commonly used on social media to tip users who post interesting things.
Dogecoin has helped many people learn about and dabble in trading cryptocurrencies because its community tends to not take itself too seriously and is very friendly to new investors.
Stable coins are pegged to actual currencies like the US dollar, the euro or the British pound. That means that one dollar or pound gets you one crypto coin. These coins are designed to mimic actual currencies and tend to be less volatile than other cryptocurrencies.
Tether was one of the first stable coins.
"The idea behind tether is you give a dollar and you get one tether," Hayner said.
But there's still risk, according to Ryan Taylor, CEO of the cryptocurrency Dash. Their value can erode over time similar to fiat currencies like the US dollar.
Other recent stable coins are more transparent. For example, TrueUSD complies with some standard financial regulations and uses escrow accounts.
Utility tokens represent a certain service or good on a specific platform -- kind of like a gift card to a specific store. They aren't really investments but they have value.
Hayner likens them to casino chips: When you go to a casino, you exchange your dollars for chips and then can use those chips to play games. The chips serve a function because they allow you to do something and hold value but you have to exchange them to get actual cash.
Taylor said he was skeptical of most utility tokens because they aren't the best way to interact with users. They require additional steps that make them more complicated to use and that could turn some people off.
However, he noted that they do make it possible to transact in extremely small quantities.
Security tokens are still relatively new. Their value is derived from real-world assets, which could include commodities like gold or oil, shares of a company or interest in a fund. These tokens are meant to be investments and because they're considered securities and subject to federal security regulations.
Some fans of security tokens argue they would ensure greater accountability for companies because shares would be public and couldn't be over-issued.
Both Hayner and Taylor say these tokens are still a ways off from showing up in people's portfolios because of uncertainty around how they'd be regulated.
And according to Stephen Innes, head of trading in Asia Pacific for online trading platform Oanda, security tokens still don't provide enough of a "consistent metric off which to base an underlying investment strategy."
Security tokens, which would be regulated, also go against the very core of what crypto was meant to be -- a deregulated currency. But regulations would be a draw for investors.
Non-fungible tokens have a unique value or use. They can store value but no two tokens are the same.
For example, in the video game CryptoKitties, users can use ether to buy digital cats. The digital kitties can be traded and bred, but each has its own unique non-fungible token that can't be replicated -- kind of like a digital fingerprint.
Future of money?
Digital currency is becoming more mainstream as companies like Starbucks and Goldman Sachs experiment with how to engage with it.
It's unclear whether crypto will be the future of money, but it's volatility isn't helping its case for wider adoption. As values continue to drop and rebound, investors continue to show caution.
"There's a lack of adoption on Wall Street," Innes said. "The big banks that most people are doing business with are reticent to get involved, which I think is telling."
Ulaanbaatar/MONTSAME/ Foreign Affairs Minister D.Tsogtbaatar met Ambassador of the French Republic to Mongolia Philippe Merlin on November 20.
Recalling his successful visit to France last October, Minister D.Tsogtbaatar expressed an interest to collaborate with newly-appointed Ambassador of France in realizing talks agreed to make roadmap of elevating bilateral relations and cooperation into a comprehensive partnership level and implementing projects and programs to attract French investment and technology into agricultural sector.
In turn, Ambassador Philippe Merlin expressed his commitment to work for expanding and elevating bilateral cooperation into a new level and backing projects being implemented with the support of France. The Ambassador also informed about progress of French-invested mining and renewable energy projects.