|Frontier's "Invest Mongolia Tokyo 2018"||Frontier Securities||Tokyo Japan|
|"Open to Export" ICC WTO International business award||ICC WTO||London|
A study by research firm Wealth-X has found that the number of ultra-rich people rose 13 percent worldwide in 2017, totaling about 256,000 individuals with combined assets of $31.5 trillion.
According to the report, Asia saw the fastest growth, driven by mainland China and Hong Kong. The growth in the number of people worth $30 million or more (the so-called ultra-high-net-worth individuals) surged 19 percent in Asia, twice the growth rate of North America.
“Asia-Pacific is forecast to close the ultra-wealth gap with other regions over the next five years, but is expected to remain behind Europe, the Middle East and Africa in absolute terms,” the report said.
Asia’s financial hub Hong Kong saw its ultra-wealthy population explode by 31 percent in 2017 to more than 10,000, overtaking New York's 9,000 super-rich residents for the first time. Tokyo ranked third with 6,800 multimillionaires. China is home to 26 of the world’s 30 fastest-growing cities for the ultra-rich.
“Hong Kong’s rise in terms of the number of ultra-high-net-worth individuals is mainly because of its trade and investment links to China’s mainland, where new, self-made wealth is growing at the fastest pace,” said the head of Wealth-X Institute Vincent White.
The report found that the world’s ultra-rich held more of their wealth (some 35 percent) in liquid assets such as cash. Private holdings accounted for about 32 percent, while public holdings stood at 26 percent. Alternative investments such as real estate, art and yachts made up 6.6 percent of total assets.
Wealth-X also said that 35,000 women made the ultra-rich list last year, accounting for a record-high share of nearly 14 percent. The report forecasts that in the next four years “Asia is expected to experience the strongest growth” in the world among those worth $30 million or more. By 2022 the region is expected to have 108,000 ultra-high-net-worth individuals, growing by 50 percent. North America will grow by less than a third over that time period, to 132,000.
That growth would help Asia to “close the gap with other regions,” said the report.
Mongolia has launched a National Campaign to protect children from cyber crimes and strengthen parental control over the social media usage of children, Mongolia’s National Police Agency said on Thursday.
“The number of Internet users has been growing day by day. Safety for kids and teens on social media in our country is generally under threat,’’ said Davaasambuu Budzaan, head of the division to protect children from crime at the National Police Agency.
Before 2010, about 20 cyber crimes were registered in Mongolia annually and since then, the number of online crimes in the country has increased significantly, Budzaan said.
“For example, a total of some 300 cyber-related cases, including child sexual abuse through the internet and creation of child pornography, have been registered across Mongolia in the first half of this year,’’ he said.
He urged all parents and relevant officials to reinforce their control over the social media usage of children, including removing strangers from their children’s list of friends on social networking websites.
During the 20-day campaign, relevant officials will give lectures on how to use social media effectively at more than 700 general education schools across the country.
Facebook is the most popular social network among Mongolians.
According to data by the Mongolian government, there are more than 1.5 million Facebook users in the country with a population of some three million.
Almost 97 per cent of the pupils in Ulan Bator, the capital of Mongolia, and some 93 per cent of rural pupils are active Facebook users.
The world’s fifth largest consumer of natural gas, China, is planning to boost imports from neighboring Russia, according to the Chinese Board of Energy Affairs. Beijing will also buy more gas from Kazakhstan.
At the same time, China is set to promote diversification of natural gas imports, an official source said, as quoted by government-controlled China News Service.
“In 2017, China imported 95.6 billion cubic meters of natural gas via the Central Asian and China–Myanmar gas pipelines from Turkmenistan, Uzbekistan and Myanmar,” the source told the agency. “In the near future, imports of gas from Russia and Kazakhstan will be increased.”
Power of Siberia: Russia’s mega gas pipeline to China almost complete — RT Business News
One of the world’s longest gas pipelines – the Power of Siberia – which is being created to deliver natural gas from Russia to China, is now 93 percent complete.
In 2014, Russian energy giant Gazprom and the China National Petroleum Corporation (CNPC) signed a contract for gas deliveries via Power of Siberia – one of the world’s longest gas pipelines currently under construction. Under the deal, China is set to buy 38 billion cubic meters of Russian gas annually for 30 years. The supplies are scheduled to begin in December.
At the same time, Russian gas producer Novatek, in cooperation with the CNPC, is working on the implementation of Russian-led energy project Yamal LNG. China has purchased the first two batches of liquefied natural gas from Yamal.
One of the world’s longest gas pipelines – the Power of Siberia – which is being created to deliver natural gas from Russia to China, is now 93 percent complete.
According to Russian energy major Gazprom, 119 operational gas wells have been completed at the Chayandinskoye field in Yakutia. At the moment, the main technological equipment is being installed there. More than 2,000km of pipelines have been welded and laid from Yakutia to the Russian-Chinese border.
The construction of the two-thread underwater crossing of the pipeline across the Amur River is 78 percent complete, Gazprom said.
The Power of Siberia pipeline, which is also called the ‘Eastern Route,’ is one of the major projects between Russia and China. The pipeline could help Russia become one of China’s main providers of natural gas as demand in the country increases.
The 3,000km pipeline will be longer than the distance between Moscow and London. Deliveries should begin in late 2019. The deal on the ‘Eastern Route’ took more than a decade to negotiate. Last July, Gazprom and the China National Petroleum Corporation (CNPC) inked an agreement to start gas deliveries via the route.
In May 2014, the two companies signed a $400 billion, 30-year framework to deliver 38 billion cubic meters of Russian gas to China annually. In 2017, Gazprom invested 158.8 billion rubles ($2.3 billion) in the project. This year it plans to invest another 218 billion rubles ($3.2 billion).
Moscow and Beijing plan to build another pipeline – Power of Siberia 2 or the ‘Western Route’ – that will deliver another 30 billion cubic meters of natural gas from Russia to China. According to the head of Gazprom, Aleksey Miller, China’s growing gas consumption, which was more than 200 billion cubic meters in 2016, will soon reach 300 billion cubic meters.
A unit of Chinese state-run conglomerate CITIC will become this month Canada's Ivanhoe Mines’ (TSX:IVN) biggest shareholder following billionaire Robert Friedland’s company’s decision to sell a 20% stake for about $548 million (C$723m).
The deal, announced in June, has received all necessary approvals from China’s regulatory agencies, so it’s expected to close on Sep. 19, the companies said in a statement.
As part of the transaction, CITIC Metal has already loaned $100 million to Ivanhoe Mines, which is using the funds advance projects in southern Africa, including its flagship Kamoa-Kakula project in the Democratic Republic of Congo – considered the most significant copper discovery in decades.
Another Chinese firm, Zijin Mining Group — which acquired a stake in Ivanhoe Mines in 2015 through a wholly-owned subsidiary — has exercised its existing anti-dilution rights through a concurrent private placement. This means that Zijin owns now 9.7% of Ivanhoe Mines.
Ivanhoe Mines estimates the asset, discovered in 2007, holds the equivalent of at least 45 million tonnes of pure copper. The company aims to extract 300,000 tonnes per year once the mine is operating at full tilt.
An international conference ‘Expanding business cooperation through the Confederation of Asia-Pacific Chambers of Commerce and Industry’ is being hosted in Ulaanbaatar city.
Jemal Inaishvili, President of the CACCI, authorities of the confederation and representatives of Silk Road Chamber of International Commerce, who are attending the conference, paid a courtesy call on the President Kh.Battulga to discuss about regional economic matters.
Moreover, the sides exchanged views on some sectors that can potentially diversify Mongolian economy. In particular, President Kh.Battulga emphasized the excellent opportunities for starting and expanding business in agriculture, tourism and high technological sectors, citing some benefits to business, such as the transit transport tariff discount from Russia and customs duty support from other countries.
(MENAFN) The government of magnolia's press office declared that the leader of the Mongolian cabinet secretariat, Gombojav Zandanshatar, has called social media platform Facebook to block fake accounts which disrupts the public order spreading false news.
Zandanshatar's request took place at a session with a Facebook delegation directed by George Chen, head of public policy for Mongolia and Chinese Hong Kong and Taiwan regions, and Jeff Wu, leader of trust and safety for the Asia-Pacific region.
He confirmed: "Facebook is a platform where everyone could all share ideas, exchange views and also obstacles. But some people have been disturbing public order by spreading disinformation and rumors through fake accounts they have created."
Zandanshatar added: "Therefore, Facebook needs to control its users and close fake accounts.
Mongolia’s election of President Battulga Khaltmaa, who gained political prominence for stirring up fear of Chinese influence in Mongolia, is the latest development in a historically fractured Sino-Mongolian relationship. Fear of Chinese investment and intervention in Mongolia has halted key Chinese investment projects, and in turn, played a role in precipitating Mongolia’s economic slump.
The case of Mongolia-China relations represents a crucial signpost in describing the Chinese leadership’s struggle to overcome Eurasia’s negative perceptions of China as it attempts to execute investment and infrastructure projects. Such Sinophobia can lead to both unanticipated hurdles that have the power to change these projects’ trajectory, and more importantly, salient issues that sometimes indirectly impact the political trajectory of the countries themselves. Relations between China and Mongolia have been complicated by nearly a millennium of territorial disputes. As recently as the early 1980s, Mongolia sought help from third party nations in protecting itself against Chinese invasion. Today, China buys more than 90 percent of Mongolian exports, mostly coal and copper, and in 2013, trade with China accounted for nearly half of Mongolia’s total foreign trade. From 2002 to 2013, trade rose from $324 million to $6 billion. Yet against this the backdrop, public opinion of China in Mongolia is the lowest of any country except for North Korea (they are equal). In a March 2016 survey conducted by the IRI’s Center for Insights in Survey, 53 percent of Mongolians polled said they had an unfavorable (33 percent) or extremely unfavorable (20 percent) opinion of China. Further, 43 percent of Mongolians were able to correctly identify China as Mongolia’s current greatest economic partner, but only 5 percent of Mongolians said that they preferred China to be Mongolia’s greatest economic partner.
China’s leadership has many reasons to engage in infrastructure development in Mongolia. Labor market pressures, desire to create links in the global supply chain, and access to Mongolia’s mineral resources are all major drivers of China’s rocket-speed infrastructure expansion in Mongolia and Eurasia generally. China has worked quickly and methodologically to build roads, rails, and bridges through large infrastructure investment programs such as One Belt One Road (OBOR) and the China-Pakistan Economic Road (CPEC), using Chinese-controlled funding vehicles like the newly enacted Asian Infrastructure Investment Bank (AIIB) to do so.
In China’s grand cost-benefit analysis of infrastructure investment, improving global public opinion of China factors high. At the same time, pre-existing political climate and public opinion heavily influence the outcome of infrastructure projects themselves. Flybjerg et al. found that “political explanations have been seen to be the most dominant explanations for cost overruns,” of large-scale infrastructure projects, especially in political systems where corruption is common. If true, then using infrastructure investment as a tool to increase soft power in countries such as Mongolia may be like throwing money into a black hole. Bilateral relations might simply be too fragile in some cases to support even mutually beneficial infrastructure projects.
Standard vs. Russian Gauge
One particularly political decision among rail projects in Eurasia using Chinese investments is whether to use standard (1435 mm) or Russian (1520 mm) rail gauge. The majority of the world (55 percent) uses standard gauge, including China and almost all of Europe. The majority of rails in Russia and the former Soviet Union) as well as Finland and Mongolia use Russian gauge. Politicians in Kyrgyzstan, Kazakhstan, Mongolia, and Russia have voiced disapproval of Chinese rail projects that fund standard gauge tracks. Anxieties around the Chinese of standard gauge almost always revolve around national security and, specifically, lack of safeguards against China bringing military equipment into the host country.
In the summer of 2014, a Mongolian television network aired a 30-minute talk show that sparked an outcry leading to the shutdown of a $483 million railroad deal with China. In his appearance on his self-produced TV show, member of the then-opposition Democratic Party and judo hero, Khaltmaa Battulga claimed:
“Tanks can easily penetrate Mongolia in no time if we build a railway with a [narrower] gauge track, the same used in China.”
Within a week, public pressure on politicians had halted the project. The move annoyed Chinese investor Shenhua Mining Corp., which was interested primarily in building a standard gauge rail, but it proved disastrous for Mongolia. After parliament formally blocked the deal, planners were forced to switch the standard, Chinese-fitting gauge out for the Russian gauge. This necessitated a costly change-of-gauge station at the Chinese border, and to the dismay of the international business community, increased the price of coal being transported from Tavan Tolgoi to China from $14 per ton to $17 per ton. There is no evidence that Chinese investors of the railway had any intention of using it for militaristic purposes. More troubling, in the midst of the dispute, commodity prices continued to plummet and with it, so did Chinese foreign direct investment in Mongolia.
Lasting Effects for the Mongolian Economy
The International Monetary Fund forecasted Mongolia’s growth at around 1 percent for 2017. From 2012 to 2015, national debt grew from $11.7 billion in 2012 to almost $23 billion making Mongolia “one of the most indebted frontier markets.” With mining holding 20 percent of the Mongolian gross domestic product, a more inclusive, modernized rail transport system is key in boosting economic growth in Mongolia today. In hindsight, a standard gauge rail linking the Tavan Tolgoi mine to the Chinese border could have significantly blunted the Mongolian economy’s drop. Now, a loan restructuring settlement of the Tavan Tolgoi mine could produce a government payout of nearly $2 billion in 2018, but such measures are short-term and do little to solve Mongolia’s pre-existing infrastructure paucity.
While sociohistorical precedent played a large role in the delay of the Tavan Tolgoi rail project, another more immediate factor was Mongolians’ impression of China as a job remover rather than a job producer. In the same poll conducted by IRI in 2016, Mongolians cited unemployment as the single most important problem facing Mongolia and 78 percent felt that the presence of foreign migrant workers presented a threat to Mongolia, many of whom are Chinese.
The case of the Tavan Tolgoi Rail highlights the need for more cohesive risk assessment for China’s infrastructure projects. China’s new Asian Infrastructure Investment Bank (AIIB) has been criticized for its risky deals, but few of those criticisms even account for the fragile relationship between China and many of the countries in which it funds infrastructure. Calculations of infrastructure projects’ risks, both by those analyzing China and by China itself, must also account for the added political risks of Sino-cooperation in countries with a history of Sinophobia.
In the case of Sino-Mongolia relations specifically, Sinophobia played a large role in determining the election of Khaltmaa Battula, who became president in July 2017. Despite his strongman stance, Mr. Battula has become friendlier to Chinese investment since becoming president. This month, for example, he announced that Mongolia would sell up to 30 percent of the mine’s deposits on foreign and international exchanges, a strong pivot from his nationalistic protection of the mine just last year, and one heralded by China.
It is not always clear how the powerful forces of anti-China sentiment and the allure of Chinese investment will interact with one another in a given country. At least in Mongolia, it seems that the more political issue — rail gauge — has been abandoned, while less visceral, but arguably more important aspects of China’s access to the mine — such as its ownership structure— have been allowed through. This dichotomy — between the public’s perception of China’s involvement and China’s actual control over key natural and economic resources — is still evolving in Mongolia. It is one that both countries’ political leaders will have to balance carefully in the coming years, as their economies become even more intertwined.
Ms. Maria Sinclair is a Program Coordinator and Research Assistant with the Freeman Chair in China Studies at CSIS....
ULAN BATOR, Sept. 6 (Xinhua) -- The 16th Discover Mongolia International Mining Investors Forum kicked off here Thursday, with an aim of highlighting the business-friendly environment in Mongolia's mining industry and attracting more investment.
More than 300 officials and investors from about 10 countries, including Canada, Australia and Germany, were attending the forum.
During the two-day event, the participants will discuss the current status of the Mongolian mining industry, the prospect of its development and ways to create a more favorable environment for foreign investors.
"The mining is the main economic sector of Mongolia. Currently, the industry accounts for 22 percent of the gross domestic product ... 74 percent of industrial production and over 90 percent of exports in Mongolia," Mongolian Minister of Mining and Heavy Industry Dolgorsuren Sumiyabazar told the opening ceremony,
The mining industry also involved 72 percent of the total foreign direct investment in Mongolia, the minister said, calling on foreign investors to invest more.
The vast territory of Mongolia has rich mineral deposits, including coal, copper, gold, uranium, molybdenum and fluorspar.
Oyu Tolgoi giant copper mine and Tavan Tolgoi coal mine in the southern Gobi desert of Mongolia are the country's world-class mining projects under development.
The Discover Mongolia is the largest event to attract investment in the landlocked East Asian country alongside the Coal Mongolia International Conference, which was held here on Sept. 4-5.
The international investment event came after Mongolia decided to sell up to 30 percent of the Erdenes Tavan Tolgoi Company on domestic and international stock markets.
Tavan Tolgoi is one of the world's largest untapped coking and thermal coal deposits, with an estimated reserve of 6.4 billion tons.
British luxury goods maker Burberry has announced that it will stop the practice of burning unsold goods, with immediate effect.
The fashion label also said it would stop using real fur in its products, and would phase out existing fur items.
In July, an earnings report revealed that Burberry destroyed unsold clothes, accessories and perfume worth £28.6m in 2017 to protect its brand.
Environmental campaigners responded angrily to the news.
At the time, the retailer said that 2017 had been unusual as it had to destroy £10m worth of old perfume products after signing a new deal with US firm Coty.
Fashion firms including Burberry destroy unwanted items to prevent them being stolen or sold cheaply.
Burberry said it already reused, repaired, donated or recycled unsold products, but it would continue to increase these efforts.
The retailer has started a partnership with sustainable luxury company Elvis & Kresse in the past year that will see 120 tonnes of leather off-cuts transformed into new products over the next five years.
At the same time, Burberry also established the Burberry Material Futures Research Group with the Royal College of Art to invent new sustainable materials.
"Modern luxury means being socially and environmentally responsible," said Burberry's chief executive Marco Gobbetti.
"This belief is core to us at Burberry and key to our long-term success. We are committed to applying the same creativity to all parts of Burberry as we do to our products."