Mongolia Calls for Faster Expansion of Chinggis Khaan International Airport www.montsame.mn

Although Chinggis Khaan International Airport was designed to serve 1.6 million passengers annually, it handled 2.4 million passengers in 2025.
As flight and passenger numbers continue to rise, Minister of Road and Transport Delgersaikhan Borkhuu emphasized the urgent need to begin the airport’s expansion during a meeting with Ambassador of Japan to Mongolia Masaru Igawahara and representatives of the Japan International Cooperation Agency (JICA).
During the meeting, the parties exchanged views on issues related to expanding and increasing the capacity of Chinggis Khaan International Airport using Japan’s concessional yen loan to Mongolia, the Ministry of Road and Transport reported.
Minister Delgersaikhan noted that the growing number of international and domestic flights has led to congestion, including long queues at baggage claim areas and delays in domestic flights. Taking these circumstances into account, he conveyed to the Japanese side Mongolia’s interest in amending the existing agreement. He also requested that construction begin earlier, the project timeline be shortened, and planning and feasibility studies be accelerated with projections through to 2039.
He also requested that construction begin earlier, the project timeline be shortened, and planning and feasibility studies be accelerated using projections through 2039.
As of last year, Mongolia operates flights to 56 international destinations and has concluded 50 air services agreements. With the number of transit passengers increasing, the Government plans to build a transit hotel serving the airport through a public–private partnership in the short term.
In addition, New Ulaanbaatar International Airport LLC sharply increased international landing and takeoff fees this year from MNT 17,000 to USD 18. Amid a challenging global geopolitical environment and high aircraft fuel costs, MIAT Mongolian Airlines JSC is operating at a loss of MNT 10 billion. Under these circumstances, a three- to fourfold increase in aviation fees could lead to higher ticket prices and other difficulties. The Mongolian side, therefore, proposed that the parties hold consultations and introduce the fee increases in stages.
Ambassador Masaru Igawahara and JICA representatives stated that preparations for the expansion of Chinggis Khaan International Airport are accelerating, adding that further discussions are needed on planning and financing the design and construction of a cargo terminal in order to commence the project at an earlier date.

Mongolia Advances IASA Preparations for Direct Flights to the U.S. www.montsame.mn

The Cabinet has approved a draft grant agreement to be signed between the Government of Mongolia, the Civil Aviation Authority of Mongolia, and the United States Government, U.S. Trade and Development Agency.
Mongolia and the United States signed an Air Transport Agreement in 2023, establishing the legal framework for operating direct flights between the two countries. On the Mongolian side, launching direct flights requires undergoing the International Aviation Safety Assessment (IASA) conducted by the U.S. Federal Aviation Administration, as well as a security assessment by the Transportation Security Administration.
As part of preparations to initiate direct flights, the Civil Aviation Authority of Mongolia announced a tender and, in 2024, signed a consultancy service contract with U.S.-based The Wicks Group Consulting to obtain professional guidance for the IASA assessment.
Civil aviation sector institutions are currently implementing the recommendations provided through the consultancy services. To fully complete preparations for the IASA assessment, negotiations have been held to secure second-phase funding for consultancy services from the USTDA.
The grant agreement is expected to be signed in the near future. Once concluded, it will provide the legal basis for the Civil Aviation Authority of Mongolia and The Wicks Group Consulting to sign a consultancy contract and commence work.

Construction Advances on Four Road Underpasses in Ulaanbaatar www.montsame.mn

A project to construct road underpasses at four locations in the capital is being implemented to improve traffic safety by eliminating intersections between railway and road traffic.
According to the Integrated Project Management Department, the project covers the following locations:
Tavan Shar railway crossing
Geological Central Laboratory intersection
Railway crossing near the “Hermes” Center
Narny Road–Ikh Khuree Street intersection
At the first site—the Tavan Shar underpass at Railway Crossing No. 396—construction progress has exceeded 90 percent. Works on lighting, landscaping, stormwater drainage systems, and other finishing tasks have been completed. Design documentation for a 90-meter-long pedestrian overpass to ensure pedestrian safety has been approved through expert review, and construction began in December 2025.
At the second site—the Geological Central Laboratory intersection—land acquisition is ongoing, with 19 of 21 land parcels fully cleared. Negotiations are continuing for the remaining two parcels. Following approval of the detailed design through expert review, construction began in 2024 but has been temporarily suspended due to winter conditions.
At the third site, located south of the “Hermes” Center, design documentation for the railway underpass has been approved and land acquisition has been completed. The main structure of the underpass has been installed beneath the railway foundation using a box-pushing method, which allows construction to proceed rapidly without disrupting train operations. Road construction works are planned to begin in the second quarter of 2026.
At the fourth site—the Narny Road–Ikh Khuree Street intersection—design work for the underpass is currently underway.

Integrated surveillance system operates to improve safety www.ubpost.mn

Ulaanbaatar City has established a centralized video surveillance center along with subsidiary monitoring centers in each district, and continues to operate an integrated system that includes infrastructure, management and control mechanisms, and software solutions. This system is designed to support crime prevention and detection, improve public order, and enhance overall public safety across the capital city, while contributing to a safer and more secure living environment for residents.
Through the use of surveillance cameras throughout the city, authorities are able to monitor and respond to criminal activities, public order violations, and road traffic accidents in a timely manner. A significant proportion of recorded offenses in Ulaanbaatar City; more than 80 percent; are related to violations of traffic regulations. In response, major intersections and pedestrian crossings have been equipped with cameras and placed under centralized monitoring, enabling more effective enforcement of traffic rules, encouraging disciplined participation in traffic, and improving travel conditions for the public.
The system also strengthens coordination and information-sharing among government agencies responsible for road and transportation management, as well as other stakeholders involved in traffic operations. By introducing modern technological solutions into the core functions of relevant institutions, the capital city aims to reduce time and financial costs for citizens, mitigate the negative effects associated with the growing number of vehicles, and manage traffic flow more efficiently. An integrated platform based on artificial intelligence has been introduced to monitor and regulate vehicle movement in real time.
Addressing traffic congestion, one of Ulaanbaatar’s most pressing challenges, is a key focus of the system. Surveillance cameras and analytical tools are used to identify traffic violations, collect data, and support intelligent traffic management and regulation. This approach facilitates quicker decision-making and improves the organization of road traffic, particularly during peak hours.
In addition to traffic management, the camera system supports urban services, monitors construction projects in real time, and is used by relevant organizations within the scope of their official duties. It also provides timely information in the event of potential emergencies or disasters, enabling rapid response and coordination.
Moreover, eight traffic accidents causing congestion on major roads in Ulaanbaatar were recorded as of 5:00 p.m. on January 28, all of which were captured by the surveillance cameras of the Traffic Management Center. Following the report, the relevant authorities urged drivers to strictly comply with Mongolia’s traffic regulations, ensure their vehicles are in proper condition, and exercise heightened caution while driving. With temperatures falling and icy patches forming on streets and roads, officials emphasized the importance of careful and responsible driving to prevent further accidents and ensure the safety of all road users.

Mongolia Receives National Productivity Master Plan (2026–35) to Drive Productivity-led Growth, Resilience, and Shared Prosperity www.globalnewswire.com

The Government of Mongolia received the National Productivity Master Plan for Mongolia 2026–2035 at the Deputy Prime Minister’s office, Government Palace, Ulaanbaatar, on 26 January 2026. The master plan was formally handed over to the Deputy Prime Minister of Mongolia, H.E. Gankhuyag Khassuuri, by the Asian Productivity Organization (APO) Secretary-General, Dr. Indra Pradana Singawinata, in an official ceremony jointly organized by the Ministry of Family, Labour and Social Protection; the Mongolian Productivity Organization; and the APO.
The master plan provides a national pathway for strengthening competitiveness and resilience by making productivity a deliberate, measurable priority. It presents a clear baseline message: Following a business-as-usual trajectory without significant productivity reforms, annual GDP growth in Mongolia is projected to slow from 6.2% (2000–24) to 4.2% in 2026–35 and then to 2.8% from 2036 to 2050, driven primarily by a decline in the contribution of labor productivity from 4.0% to 1.4% over the same periods.
“The Master Plan is not merely a report. It is a strategic instrument of statecraft,” said Secretary-General Dr. Indra. In addition, he emphasized that productivity, when treated as a deliberate national agenda, can raise living standards, strengthen competitiveness, and widen opportunity simultaneously.
In his remarks, Deputy Prime Minister Gankhuyag reaffirmed the Government’s productivity-led development objectives, including efforts to “increase the labor productivity and wages of Mongolian people” and to sustain stable growth “above 6 percent” through higher manufacturing processing, productivity, and diversification. He also emphasized public sector productivity reforms under the New Revival Policy, including digitalizing public services, reducing bureaucracy, streamlining inspections, and rationalizing special permits, while underscoring that “productivity is not only an economic indicator” but a concept that directly affects public service quality and citizens’ quality of life.
Minister for Family, Labour and Social Protection Aubakir Telukhan highlighted Mongolia’s national policy direction to advance a “Productivity Revolution,” reduce unemployment, and steadily increase labor productivity and wages while aligning reforms with rapid global changes in technology, trade, and climate policy. Highlighting the scale of the challenge, he stated: “In Mongolia, average labor productivity is 11.3 thousand US dollars, which is 3.6 times lower than the global average.”
To address the above, the master plan is structured around five strategic thrusts:
Expanding market access and prospects
Driving technology and digitalization
Raising the quantity and quality of talent
Making an efficient business environment
Shaping inclusiveness and equity
It also identifies eight priority sectors for focused productivity acceleration: agriculture, forestry, and fishing; processing industries (manufacturing); wholesale and retail trade (including vehicle repair); education services; accommodation and food services; human health and social work activities; water supply and sewerage, waste management, and remediation; and transportation and storage.
Secretary-General Dr. Indra expressed his appreciation to the Government of Mongolia, the Mongolian Productivity Organization, ministries, and stakeholders for their leadership and substantive contributions. He also reaffirmed the APO’s continued commitment to translating Mongolia’s National Productivity Master Plan into measurable outcomes.
About the APO The Asian Productivity Organization (APO) is a regional intergovernmental organization dedicated to improving productivity in the Asia-Pacific region through mutual cooperation. It is nonpolitical, nonprofit, and nondiscriminatory. Established in 1961 with eight founding members, the APO currently comprises 21 member economies: Bangladesh; Cambodia; the Republic of China; Fiji; Hong Kong; India; Indonesia; Islamic Republic of Iran; Japan; the Republic of Korea; Lao PDR; Malaysia; Mongolia; Nepal; Pakistan; the Philippines; Singapore; Sri Lanka; Thailand; Turkiye; and Vietnam.
The APO is shaping the future of the region by fostering the socioeconomic development of its members through national policy advisory services, acting as a think tank, institutional capacity-building initiatives, and knowledge sharing to increase productivity.

78 foreign nationals from 12 countries deported from Mongolia www.gogo.mn

The Immigration Agency of Mongolia says that inspections in January 2026 led to the deportation of 78 foreign nationals from 12 countries, each banned from re-entering Mongolia for 3–5 years. Nationality breakdown: 53 from China, 11 from Russia, 3 from Uzbekistan, 2 from Vietnam, 2 from Kyrgyzstan and 7 from other countries.
Authorities said the deportations were ordered for reasons including overstaying visas or residence permits, working without the required permission, engaging in activities other than the declared purpose of entry, and cases where foreigners had been convicted and served sentences.
The department noted that 1,222 foreign nationals were deported in the previous year, an increase of 41.4% from the year before.
Separately, in cooperation with the Investigation Department of the Criminal Police Service, Mongolian authorities organised the hand-over of a Chinese national, M.U., on 26–27 January 2026. M.U.’s Mongolian residence permit was revoked under relevant law and he was returned to authorities in his country of origin to face legal proceedings.

Japanese Military Maps Reveal First Look at the Hidden Great Mongolian Road www.indiandefencereview.com

Silver Elephant Announces Favorable Tax Tribunal Ruling in Mongolia www.investingnews.com

Silver Elephant Mining Corp. (TSX: ELEF,OTC:SILEF) (OTCQB: SILEF) (FSE: 1P2) ("Silver Elephant" or the "Company") announces that the Mongolian Tax Tribunal (the "Tribunal") has issued a decision dismissing and cancelling a supplementary tax assessment issued to its subsidiary, Redhill Mongolian LLC ("Redhill"), by the Mongolian tax authorities.
The supplementary tax assessment, issued on September 11, 2024, alleged MNT 63.8 billion (approximately CAD 24.6 million) in corporate income tax, value-added tax and related penalties and interest, as a result of the Company's internal restructuring of its Mongolian subsidiaries in 2021. For further information, please refer to the Company's disclosure documents under its profile on SEDAR+ (www.sedarplus.ca).
Following a hearing on Friday, January 23, 2026, the Tribunal ruled by majority vote in favor of Redhill, dismissing the tax assessment in its entirety. As a result of the Tribunal's decision, the supplementary tax assessment has been cancelled.
The Tribunal's decision is final, and the official written decision and resolution of the Tribunal are expected to be delivered in February 2026.

Melting reserves of power: Mongolia’s glaciers and the future of energy and food security www.reliefweb.int

The International Year of Glaciers’ Preservation in 2025 was a timely reminder that the stability of Mongolia’s economy rests on fragile mountain systems that are melting faster than ever recorded. The loss reverberates across the country’s energy and agricultural systems, two development pillars that draw from the same finite resource: water.
Warming and glacial retreat
Mongolia’s average surface air temperature is already 2.3°C higher than the pre-industrial baseline, about 1.3°C above the global average. The most fossil fuel-intensive climate scenario (SSP5) indicates nearly 8°C of warming by the end of the century with the steepest increases expected in the northern and western provinces; home to the country’s glaciers.
These glaciers contribute more than 70 per cent of Mongolia’s freshwater, sustaining agriculture, hydropower, and domestic use. Since 1940, glacier volume has declined by about 28 per cent, and total glacier area has decreased by 35 per cent between 1990 and 2016, leaving only 627 glaciers covering 334 km². Between the 1980s and 2010, Mongolia lost 63 lakes larger than 0.1 km² and about 683 rivers, many in the foothills of the Altai ranges with the highest concentration of glaciers. Groundwater storage on the Mongolian Plateau is also decreasing at nearly 3 mm per year, linked partly to reduced glacial input.
Analysis using downscaled IPCC climate projections available on ESCAP’s Risk and Resilience Portal suggests that this trend is likely to continue in the coming decades and by 2,100 many western Altai glaciers may disappear entirely (Figures 1A and 1B).
Water, energy and agriculture: A tightening nexus
Mongolia’s semi-arid climate has always made water a strategic asset for development.
Agriculture remains the largest water consumer, accounting for roughly two-thirds of total use. Since 2008, more than 1,000 hectares of irrigated land have been added annually, driven by food and livestock-security goals. With prolonged dry conditions (Figure 3), farmers in western and northern provinces report increasing reliance on shallow wells and groundwater pumping, while pastures dry earlier in the season.
These demands coincide with a growing push to expand hydropower for domestic energy security.
Hydropower in transition
Hydropower accounts for nearly one-fifth of Mongolia’s electricity generation, but its viability depends on stable water flow. In the western region, hydropower provides 93 per cent of locally produced energy.
The Durgun Hydropower Plant (HPP) in Khovd Province, for example, provides over 28 per cent of regional power but operates in one of the driest parts of the country. With glacier retreat and declining summer precipitation, inflows have become less predictable. ESCAP drought-exposure modelling shows that the western provinces already face chronic low-to-medium drought intensity, with worsening conditions under future scenarios (Figure 3).
When summer river levels fall, reservoir storage drops, hydropower generation declines and diesel generation must fill the gap raising both costs and emissions. Meanwhile, agricultural water withdrawals upstream further constrain available flows for power generation. The result is a feedback loop: limited water cuts hydropower output, leading to higher reliance on fossil energy, which in turn intensifies warming and glacier melt.
Competing pressures in a semi-arid economy
In the Western Energy Systems, consisting of provinces closest to the glaciers, rising demand compounds these stresses. Between 2018 and 2019, electricity consumption in the region rose 5.6 per cent, driven by population growth and mining expansion.
In summer months, when electricity demand peaks for irrigation pumping and cooling, river discharge often reaches its lowest levels. This mismatch between energy demand and hydrological supply poses a systemic risk. Climate projections show that long-term discharge in key basins will decline, reducing the economic lifespan of existing hydropower assets.
Addressing this challenge requires coordinated planning across water, energy, and agriculture. Three areas stand out:
Water-efficient agriculture. Expanding drip irrigation, adopting drought-resilient crop varieties, and improving on-farm water storage can reduce demand during low-flow periods. Aligning irrigation schedules with projected runoff cycles would ease pressure on hydropower reservoirs.
Diversified renewables. Mongolia’s wind and solar resources can complement hydropower seasonality. Integrating hybrid systems with storage or pumped hydro can maintain grid stability during drought years.
Data-driven basin management. Glacier monitoring and real-time hydrological data should inform both irrigation allocation and hydropower operation. This shared evidence-based approach can prevent conflicts between sectors during dry spells.
Mongolia already emphasizes renewable diversification. By embedding glacier and river monitoring within sector planning, the policy can better anticipate seasonal stress rather than react to it.
From vulnerability to transformative adaptation
Glacier retreat, once viewed as an environmental concern, is now an economic one. For Mongolia, without adaptation and foresight, the combined stress of reduced meltwater, erratic rainfall, and rising temperatures could destabilize both food production and energy security.
Protecting these frozen reserves and managing the water they release means securing not only the country’s rivers but its power and food systems as well.
Resilience begins where risk meets foresight.
Authors
Madhurima Sarkar-Swaisgood, Economic Affairs Officer, ESCAP
Prangya Paramita Gupta, Disaster Risk Reduction Consultant, ESCAP
Parvathy Subha, Disaster Risk Reduction Consultant, ESCAP

Mongolia Construction Industry Report 2025: Output to Grow at an AAGR of 4.3% Between 2026-2029, Supported by Investments in Transportation, Electricity, and Infrastructure - ResearchAndMarkets.com www.businesswire.com

DUBLIN--(BUSINESS WIRE)--The "Mongolia Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2029 (H2 2025)" report has been added to ResearchAndMarkets.com's offering.
Construction industry in Mongolia to grow by 9.5% in real terms in 2025, supported by public and private sector investments in the development of energy, transport network, and residential construction projects.
According to the Mongolian National Statistics Office (NSO), construction value-add grew by 34.5% year on year (YoY) in real terms in Q2 2025, preceded by a YoY decline of 0.8% in Q1 2025 and a YoY growth of 16.8% in Q4 2024. Furthermore, rising foreign direct investment (FDI) is expected to boost construction development.
According to NSO, foreign direct investment in the construction industry rose by 7.7% YoY in Q2 2025, following YoY declines of 43.1% in Q1 2025 and 55.6% in Q4 2024, reflecting growing investor confidence in the country's energy sector and infrastructure development. In April 2025, the construction of Bagakhangai-Khushig Valley branch railway project was started.
Mongolian construction industry to record annual average growth of 4.3% between 2026 and 2029, supported by investments in transportation, electricity, and infrastructure sectors. In September 2025, the government submitted the draft Law on the State Budget of Mongolia for 2026 to the Parliament. In the draft budget, the government estimated a total expenditure of MNT32.98 trillion ($9.6 billion) for 2026, with an aim to ensure macroeconomic fiscal stability, increase citizens' income, and improve the quality and accessibility of basic social services.
The 2026 Draft State Budget includes funding for a total of 579 projects and programs through state budget investment, including 149 new projects to be implemented in 2026 and 430 continuing projects from the previous year. In the 2026 Draft Budget, the government announced plans to invest MNT3.9 trillion ($1.1 billion) in the energy sector in 2026. Furthermore, the government has set a national goal to achieve 100% enrollment in education in the draft budget.
Report Scope
Historical (2020-2024) and forecast (2025-2029) valuations of the construction industry in Mongolia, featuring details of key growth drivers.
Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies
Assess market growth potential at a micro-level with over 600 time-series data forecasts
Understand the latest industry and market trends
Formulate and validate business strategies using the analyst's critical and actionable insight
Assess business risks, including cost, regulatory and competitive pressures
Evaluate competitive risk and success factors
Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Latest news and developments
4 Project analytics
5 Construction Market Data
6 Risk Profile
7 Appendix
For more information about this report visit https://www.researchandmarkets.com/r/1f8t85
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