Scaling AI in Education Systems: Lessons from Mongolia (A Three-Layer Architecture for Scaling AI from Tools to Systems) www.blogs.worldbank.org

Mongolia is introducing the Teacher Virtual Assistant through Medle, its national learning platform, in a phased manner. The tool will help teachers generate lesson plans and differentiated practice questions for Grades 1–5 mathematics. The larger lesson from Mongolia is not about one AI application, but about the system being built around it: stronger education data systems, government-owned, curriculum-linked digital content, school quality standards, and early work on sustainable financing.

Governments around the world are rapidly piloting AI-enabled education tools, ranging from lesson-generation models and adaptive tutoring systems to teacher-facing assistants. Yet many promising pilots do not progress to system-wide adoption. The bottleneck is often not the technology itself, but whether education systems are ready to absorb, govern, and sustain AI at scale. Student records, attendance data, learning platforms, teacher systems, and curriculum repositories are often developed separately. Financing is often project-based, while responsibility for digital systems is spread across multiple agencies.

Drawing on operational work across education systems, the World Bank Education and Digital teams developed a three-layer architecture for moving AI in education from pilots to scale. This post introduces the framework and shows how Mongolia is putting it into practice.

A Three-Layer Architecture for Scaling AI

The architecture consists of three connected layers: Layer 1 establishes trusted data and institutional foundations; Layer 2 uses those foundations to deploy reusable AI applications; and Layer 3 supports scale through financing, operations, and partnerships.

Layer 1: Digital Public Infrastructure for Education

The first layer is the foundation. AI tools can only provide reliable personalization if education systems can identify learners consistently, link them to curriculum and assessment data, and update records across platforms. This requires unique student and teacher identifiers, interoperable education information systems, school connectivity, assessment and attendance systems, and clear governance arrangements.

Under the Global Partnership for Education-financed System Capacity Grant, Mongolia has strengthened the foundations of its education data systems. This includes introducing cross-system student identifiers, improving interoperability across education databases, and strengthening data quality and validation rules. In parallel, the country developed its first Education Quality Standards Framework, covering digital readiness, infrastructure, learning materials, and teacher capacity. These reforms may appear technical, but together they create the conditions for AI-enabled education systems to be built.

Layer 2: Modular AI Architecture and Platforms

The second layer is where AI applications are deployed. Rather than building separate systems for each new tool, governments can use modular AI platforms built around reusable components, such as curriculum repositories, learner profiles, assessment tools, analytics, and data exchange services. This reduces duplication, limits vendor lock-in, keeps systems aligned with the national curriculum, and allows technology to evolve without rebuilding the underlying platform.

The Teacher Virtual Assistant is Mongolia’s first application of this modular layer. Delivered through Medle, it helps teachers generate lesson plans and differentiated practice questions for Grades 1–5 mathematics, drawing on a government-owned curriculum dataset comprising more than 700 lesson plans and 4,900 practice questions.

The significance of the TVA extends beyond the tool itself. It demonstrates how AI applications can be integrated into a government-owned platform rather than operating as stand-alone products. Because it is built on national systems and curriculum content, it provides a pathway for introducing additional tools in the future, including adaptive assessment, content recommendation, and teacher feedback. The phased rollout is expected to generate evidence on teacher adoption and how AI-enabled lesson planning may support classroom practice and learning over time.

Layer 3: Financing and Private Sector Mobilization

The third layer focuses on scale. Many AI pilots are funded through short-term projects and are never integrated into regular government systems. Sustained deployment requires financing models that can support infrastructure, maintenance, teacher support, and future upgrades. It also requires clear roles for governments, development partners, and the private sector.

In Mongolia, this layer is being explored through education PPP discussions supported by the World Bank Group, including IFC and MIGA. The immediate focus is on whether private participation can help address infrastructure constraints, including classroom shortages in overcrowded urban schools, while keeping public oversight over quality and equity. This matters for the AI-readiness agenda because digital and AI reforms cannot scale in isolation. They require schools with adequate space, connectivity, basic infrastructure, and sustainable financing arrangements.

An important lesson from Mongolia’s experience is that the financing discussion was strengthened because the first two layers were already underway. The data systems strengthened under the System Capacity Grant, the quality benchmarks established through the Education Quality Standards Framework, and the modular logic demonstrated through the Teacher Virtual Assistant provided a concrete foundation on which longer-term financing options could be explored.

For other countries, Mongolia’s experience shows that the lesson is not to wait for perfect systems before using AI, but to ensure that each AI application strengthens the systems needed for the next one. AI will not scale through tools alone. It will scale where countries build the data systems, platforms, institutions, and financing arrangements needed to absorb and sustain innovation over time.

By Salman Asim, Hayeon Kim & Alex Twinomugisha

UNCCD Executive Secretary Yasmine Fouad on Mongolia, Desertification, and COP17 www.thediplomat.com

COP17, which will be hosted by Mongolia in August, “comes at a pivotal moment for global action on land.”

This year, Mongolia will host the 17th Session of the Conference of the Parties (COP17) to the United Nations Convention to Combat Desertification (UNCCD) from August 17-28. COP17 includes segments on finance, water, land and people, and food systems, which are all crucial elements for Mongolia’s fight against desertification – and also issues that intertwine with the country’s economic goals and policies.

In an exclusive interview, The Diplomat’s Bolor Lkhaajav spoke with UNCCD Executive Secretary Dr. Yasmine Fouad on range of issues facing Mongolia, the significance of Mongolia hosting COP17, and what policy recommendations UNCCD has for the country’s policymakers. 

What do countries, leaders, and participants hope to get out of COP17? What outcomes Mongolia should expect? 

COP17 comes at a pivotal moment for global action on land. Across the world, countries increasingly recognize that desertification, land degradation, and drought are no longer solely environmental concerns. They affect economies, food production, water security, biodiversity, and the resilience of communities.

I believe countries will come to Mongolia with a shared understanding that the challenge is no longer understanding the problem – we know what is at stake. The priority now is implementation. Countries have already committed to ambitious goals, including restoring around one billion hectares of degraded land by 2030. The focus now is on translating those commitments into action through stronger partnerships, increased investment and practical solutions. COP17 represents an opportunity to move from ambition to implementation by scaling finance, innovation and partnerships that deliver measurable results on the ground.

One of the key expectations for COP17 is progress in mobilizing finance for land restoration and drought resilience. Addressing land degradation and drought requires around $355 billion annually, yet current investment is only about $77 billion each year. Closing this gap will require stronger engagement from governments, development banks, the private sector and new financing partners.

Another important outcome will be advancing cooperation on drought resilience, sustainable rangeland management and more resilient food systems. COP17 also coincides with the International Year of Rangelands and Pastoralists, creating a unique opportunity to place rangelands and pastoral communities higher on the global policy agenda.

For Mongolia, hosting COP17 is an opportunity to place the challenges and opportunities facing drylands and pastoral communities higher on the global agenda, while strengthening international cooperation on land restoration and drought resilience. I hope the Conference will reinforce a simple but increasingly important message: investing in healthy land is investing in people, economies and a more sustainable future for generations to come.

In 2024, Mongolia committed to spending at least 1 percent of its GDP annually to combat climate change and desertification. What are some of the policies UNCCD recommends for addressing Mongolia’s desertification situation?

Land restoration should be viewed not as an environmental cost, but as an investment in economic resilience, food security, water security, and sustainable development. Countries that invest in healthy landscapes today reduce the far greater economic and social costs associated with land degradation, drought, and ecosystem decline in the future. Healthy land is the foundation of healthy food systems, water security, and resilient economies. Investing in restoration today reduces future costs while creating long-term opportunities for sustainable growth. 

One of UNCCD’s key recommendations is to integrate sustainable land management and restoration into national development planning so that investments in agriculture, water, infrastructure, and climate action reinforce one another rather than operate in isolation. 

Another priority is creating policy and regulatory frameworks that encourage long-term investment in sustainable land use and reward measurable restoration outcomes. Countries should also strengthen policy coherence by integrating land restoration across agriculture, water, infrastructure, climate and food systems policies, ensuring that public investment delivers multiple development benefits.

Public finance remains essential, but it cannot meet the scale of the challenge on its own. It should be used strategically to mobilize additional investment from development banks, the private sector and other financing partners. Innovative financing approaches and stronger public-private partnerships will be critical to scaling up action. Public finance should increasingly be used to reduce investment risks and unlock larger flows of private capital, making restoration more attractive as a long-term investment opportunity.

Globally, implementing countries’ plans to address land degradation and drought requires around $355 billion annually, while current investment is estimated at only $77 billion each year. Yet the cost of inaction is even greater – estimated at nearly $900 billion every year. Investing in restoration is therefore not simply an environmental imperative; it is also a sound economic decision.

Ultimately, every country will determine the financing approaches that best reflect its national priorities and circumstances. UNCCD’s role is to support countries by sharing knowledge, strengthening partnerships, and helping mobilize the investment needed to restore land and build resilience to drought.

In the last decade, Mongolia witnessed hundreds of little lakes and rivers disappear. What are some of the direct and indirect impacts of these catastrophic events? What UNCCD policy recommendations and global knowledge can be shared with Mongolia to solve this crisis?

The disappearance of lakes and rivers is one of the clearest signs that climate change, land degradation, and water scarcity are becoming increasingly interconnected. While changing rainfall patterns and rising temperatures are major drivers, the condition of the land largely determines how landscapes respond to these pressures.

Healthy soils regulate the water cycle by absorbing and storing water, replenishing groundwater, and reducing runoff. As land degrades, soils lose this capacity, making landscapes increasingly vulnerable to drought and water scarcity. In turn, prolonged drought further accelerates land degradation, creating a cycle that becomes increasingly difficult to reverse. Healthy land and healthy water systems are inseparable. Restoring landscapes is one of the most effective ways to improve water security while reducing the impacts of drought.

Mongolia is experiencing these pressures very directly. Nearly 77 percent of its territory is affected by land degradation, while average temperatures have risen by more than 2 degrees Celsius since the 1940s – more than twice the global average. Rainfall has declined, droughts have become more frequent, and the number of sand and dust storm days has more than tripled over the past six decades. These changes reduce pasture productivity, place increasing pressure on water resources and threaten the livelihoods of pastoral communities.

The devastating combination of summer drought followed by the 2023–2024 dzud, which resulted in the loss of more than 7 million livestock, illustrates how climate extremes can cascade through ecosystems, livelihoods, and the wider economy.

From the UNCCD perspective, one of the most important recommendations is to manage land and water together rather than as separate issues. Restoring degraded landscapes improves water retention, strengthens drought resilience, and helps sustain agriculture, biodiversity, and rural livelihoods.

Experience from dryland regions around the world also shows the value of shifting from crisis response to prevention. Sustainable land management, drought preparedness, early warning systems, and science-based decision-making help reduce risks before they become disasters. Solutions are most effective when they combine scientific knowledge with the experience of local communities and pastoralists, who have managed drylands sustainably for generations. Also, artificial intelligence, Earth observation, and digital technologies are also creating new opportunities to strengthen drought forecasting, monitor land conditions, and support evidence-based decision-making.

The implications extend far beyond Mongolia. For countries like Mongolia, protecting water resources begins with restoring the landscapes that sustain them.

Given Mongolia’s vast landscape and its over-dependence on mining resources, what has been the main struggle to balance economic development and environmental protection? What steps should Mongolia take in the next five to ten years to make a major impact?

Finding the right balance between economic development and environmental sustainability is one of the defining policy challenges of the 21st century. It is certainly not unique to Mongolia. 

Many countries rely on natural resources to generate jobs, growth, and public revenues while facing increasing pressures from land degradation, drought, and climate change. Countries rich in mineral resources face the additional challenge of ensuring that economic growth today does not undermine the natural capital on which future prosperity depends. The question is therefore not whether countries should pursue development, but how development can be achieved in ways that sustain the land, water and ecosystems on which economies ultimately depend.

Healthy land underpins food production, water security, biodiversity, and resilient livelihoods. When land degrades, the costs extend well beyond the environment. Globally, land degradation already costs the world nearly $900 billion every year, while drought causes at least another $300 billion in annual losses. By contrast, investing in sustainable land management and restoration generates long-term economic, environmental and social returns. Land should therefore be viewed as productive natural capital that supports long-term economic competitiveness rather than simply an environmental asset.

Prevention is not only more environmentally effective – it is also far more cost-effective than responding once degradation has become entrenched. Mongolia illustrates both the opportunities and the complexity of this challenge. As a resource-rich country, it is also confronting the growing impacts of land degradation, drought, and water stress. Ensuring that natural resource development goes hand in hand with sustainable land management, healthy rangelands and resilient landscapes will be essential to building lasting economic resilience.

Over the next decade, one of the greatest opportunities lies in adopting integrated approaches that bring together sustainable land use, responsible resource management, restoration, water management and investment in resilient rural livelihoods. Economic development and environmental protection should not be seen as competing objectives. The greatest opportunities will come from aligning responsible mining, sustainable agriculture, restoration, water management and private investment within one integrated development vision.

Restored landscapes support productive economies, thriving communities and long-term prosperity. Countries that invest in land restoration today will be better placed to strengthen resilience, support sustainable growth and reduce future risks.

In 2021, Mongolian incumbent President Khurelsukh Ukhnaa initiated the “One Billion Tree” national movement to restore and reforest the country. Do projects like these actually have an impact on reducing desertification and related issues? How is Mongolia’s initiative progressing?

Large-scale tree-planting initiatives can make an important contribution to reducing land degradation, provided they form part of a broader landscape restoration strategy. The key point is that land restoration is about much more than planting trees. Successful restoration means improving soil health, increasing water retention, protecting biodiversity, and supporting the people whose livelihoods depend on healthy ecosystems. It is about restoring the ecological functions of landscapes rather than simply increasing tree numbers. The right tree must be planted in the right place. Successful restoration always begins with understanding local ecosystems rather than applying one solution everywhere.

In dryland countries such as Mongolia, this is particularly important. Trees have an important role where ecological conditions are suitable, but healthy rangelands, well-managed grasslands, and sustainable grazing systems are equally essential. Restoration therefore needs to reflect local ecosystems and combine scientific knowledge with the experience of local communities and pastoralists.

Mongolia has shown a clear commitment through initiatives such as the Billion Trees campaign and broader efforts to strengthen rangeland management and sustainable livestock systems. These initiatives reflect an important understanding that restoring degraded landscapes contributes not only to environmental protection, but also to water security, food production, resilient livelihoods and climate resilience. As with any large-scale restoration effort, the long-term impact will depend on sustained implementation, effective monitoring and ensuring that the right restoration approaches are applied in the right places.

Success should not be measured simply by the number of trees planted. It should be measured by healthier landscapes, restored soils, improved water security, more resilient rural communities and ecosystems that continue to provide livelihoods for future generations. That is the true measure of successful land restoration.

Based on your experience serving as Egypt’s minister of environment and the current extreme water scarcity and air pollution challenges facing Egypt – similar to Mongolia – what can Mongolia learn from Egypt about how to overcome these challenges? 

Although Egypt and Mongolia have very different geographies and ecosystems, countries facing water scarcity and land degradation often confront similar policy choices: how to manage natural resources sustainably while supporting economic development and people’s livelihoods.

One of the most important lessons from my time as Egypt’s minister of environment is that water scarcity cannot be addressed through water policy alone. Water, land, agriculture, and climate are deeply interconnected, and policies are far more effective when they reflect those connections rather than treating each challenge separately. Healthy food systems ultimately depend on healthy land and reliable water resources. Integrated policies therefore deliver stronger environmental, economic and social outcomes than sectoral approaches.

It is equally important to shift from crisis response to prevention. Droughts and land degradation are slow-onset disasters whose impacts accumulate over time, affecting food production, livelihoods and economic stability. Globally, droughts have increased by nearly one-third since 2000, while water demand is projected to exceed available resources by up to 40 percent by 2030. Investing early in sustainable land management, healthy soils, ecosystem restoration, efficient water use and early warning systems is therefore far more effective – and far less costly – than responding once crises unfold.

This is particularly relevant for Mongolia, where pastoralism supports around one-third of the population. Protecting rangelands is therefore not only an environmental priority; it is fundamental to food security, water management and rural livelihoods as climate pressures continue to intensify. For Mongolia, investing in healthy rangelands is also an investment in preserving cultural heritage, strengthening pastoral livelihoods and enhancing long-term national resilience.

No country has all the answers. That is why international cooperation is so important. UNCCD provides a platform for countries to exchange experiences, strengthen partnerships, and translate science into practical action. By learning from one another and investing in restoration, countries can build more sustainable and resilient futures.

By Guest Author: Bolor Lkhaajav
Bolor Lkhaajav is a researcher specializing in Mongolia, China, Russia, Japan, East Asia, and the Americas. She holds an M.A. in Asia-Pacific Studies from the University of San Francisco.

Mongolia's foreign trade turnover rises over 36 pct in H1 www.xinhuanet.com

Mongolia's foreign trade turnover increased by 36.3 percent year-on-year to 16.5 billion U.S. dollars in the first half of 2026, according to data released by the National Statistics Office (NSO) on Monday.

During the January-June period, the country posted a trade surplus of approximately 4.3 billion U.S. dollars, the NSO said.

The strong growth was largely driven by a surge in mining exports, which accounted for nearly 90 percent of Mongolia's total exports during the six-month period.

Mongolia traded with 150 economies worldwide in the first half of the year.

Among the countries, China remained the country's largest trading partner, accounting for 94.1 percent of Mongolia's exports and 39.7 percent of its imports, according to the NSO.

Jade Gas secures A$1bn funding for coal bed methane gas, LNG development in Mongolia www.miningweekly.com

ASX-listed Jade Gas has executed a non-binding collaboration agreement with a consortium comprising PT Beijing Energy Linking (PTBEL), its lead contractor, and subcontractors PetroChina and Hunan Geology & Mining Technology, which paves the way for Phase 1 drilling of the Red Lake coal bed methane area, in Mongolia.

The collaboration agreement considers the funding of 100% of Jade Gas's planned Phase 1 capital expenditure (capex), which is estimated at $762-million, or A$1.1-billion.

Phase 1 of the Red Lake development will comprise 175 wells, which covers only 30% of the total drilling currently being advanced across the 60 km2 Red Lake development area, which is, in turn, part of the company's broader 665 km2 permit area.

Jade Gas operates the Tavan Tolgoi coal bed methane project in the South Gobi region of Mongolia.

PTBEL has agreed to make up to ten drill rigs available for short-term deployment, with initial mobilisation targeted for February or March next year. PTBEL has also agreed to fund 100% of the capital expenditure required for Phase 1 drilling - as an approved contract cost in a field services contract that will be negotiated by the parties.

Jade Gas will retain ownership of Red Lake, with PTBEL to be repaid through a future gas sales revenue sharing agreement.

The funding contemplates associated infrastructure including an expanded camp facility, roads, communications, water handling and battery energy storage systems to support an accelerated drill programme.

Separately, Jade Gas has agreed with the consortium to fund a $150-million, or A$215-million, scalable liquefied natural gas (LNG) liquefaction facility, which forms part of the total Phase 1 capex estimate. The facility will enable the initial monetisation of about 40 wells, with modular additions to follow as production from Red Lake grows.

The Red Lake coal bed methane project has the potential to become a major new energy development, not only in Mongolia but within the Asia Pacific region, Jade Gas explains.

The company is pleased to partner with seasoned companies such as PTBEL, PetroChina and Hunan, given their proven coal bed methane drilling and large-scale project execution expertise from the Qinshui and Ordos Basin coal bed methane developments in northern China. These projects are the closest operating analogue to Jade Gas's Red Lake project.

For Jade Gas executive director Joe Burke, the need to secure reliable, proximate gas resources has never been more urgent and with the backing of PTBEL, PetroChina and Hunan, the company can develop Red Lake at a scale and speed that would not have been possible alone.

"This collaboration provides a clear pathway to bring significant volumes of Mongolian gas to market, displacing diesel, supplying LNG and contributing to the energy security of an entire region," Burke states.

He concludes that the agreement marks the beginning of developing one of Asia Pacific's most strategically located gas projects.

Meanwhile, Jade Gas has received commitments for a A$11-million placement at a price of $0.12 apiece, which can support field operations, working capital and a proposed listing in Hong Kong. 

President of Tajikistan arrives on an official state visit to Mongolia www.trend.az

President of Tajikistan Emomali Rahmon arrived on an official state visit to Ulaanbaatar, Mongolia.

This was announced in a report published by the press service of the Tajik president.

According to the report, at the Chinggis Khaan International Airport, the Tajik leader was welcomed by Mongolia’s Minister of Foreign Affairs Battsetseg Batmunkh, representatives of the Mongolian government, and diplomatic officials. The airport was decorated with the national flags of Tajikistan and Mongolia in connection with the high-level visit.

"In accordance with the official protocol for state visits, a red carpet was rolled out in front of the aircraft, with honor guards lined up on both sides," the report says.

The welcoming ceremony also included the participation of young representatives wearing traditional Mongolian attire, who greeted the head of state in line with national customs. During the visit, President Emomali Rahmon is scheduled to hold meetings with Mongolian officials. The visit will also include the signing of bilateral documents aimed at further developing cooperation between the two countries.

Diplomatic relations between the Republic of Tajikistan and Mongolia were established on April 24, 1992. The countries maintain friendly relations and actively develop bilateral cooperation in the political, economic, cultural, and humanitarian spheres. In recent years, ties have noticeably strengthened, including exchanges of high-level visits, expansion of trade and economic partnerships, and collaboration in agriculture, energy, transport, and tourism. Both sides attach great importance to further deepening mutually beneficial cooperation for the benefit of the peoples of Tajikistan and Mongolia.

Festival Diplomacy Lessons from Mongolia's Naadam www.chosun.com

The success or failure of diplomacy is not solely determined in solemn meeting rooms. Sometimes, deep communication and trust can blossom in a heartfelt festival. A few days ago, President Lee Jae Myung and his spouse drew their bows at Mongolia’s ‘Naadam Festival’. Mongolian President Okhna Khurelsukh knelt before nine white banners (Gubalgui), symbolizing prosperity and peace, imprinting the image of Genghis Khan’s descendants. The presidential couple participated in archery, one of the festival’s three main events. Their wide smiles in festive attire, rather than formal suits, created a scene that will be remembered longer than any official document.

Naadam is a festival embodying Mongolia’s soul. Officially recorded since the 13th century under Genghis Khan, it blends military training for tribal unity with nomadic culture. In 1921, it merged with Mongolia’s Independence Day, becoming the nation’s largest festival. Designated as a UNESCO Intangible Cultural Heritage in 2010, it has become Mongolia’s most powerful cultural language.

The reason for inviting the South Korean presidential couple to the heart of this festival is intriguing. According to Mongolia’s statistics agency, among approximately 950,000 foreign visitors to Mongolia in 2025, South Koreans ranked third after Chinese and Russian tourists. China and Russia share borders with Mongolia, so their visitors include a significant proportion of business and lifestyle travelers who cross frequently. In contrast, South Korea is the core inbound market with the highest tourism consumption tendencies. Combining the state visit with Mongolia’s largest festival was a strategic choice targeting both cultural diplomacy and tourism marketing.

As K-Culture gains global love, South Korean diplomacy stands at a new turning point. It is time to reflect on whether we remain confined to familiar frameworks, such as inviting K-pop stars or performing in yellow traditional uniforms. South Korea has numerous festival contents that tell unique stories and offer fun, such as the ‘Royal Culture Festival’—popular among foreigners—the ‘Mysterious Sea Road Festival’ in Jindo and Muchangpo, rarely seen abroad, and the ‘Daegu Chicken and Beer Festival’ combining chicken and beer.

This is an era where ‘protocol’ is also a diplomatic competitive edge. Instead of being bound by procedures and formalities, let’s explore clever ways to utilize existing festival resources. What makes Korea more beautifully remembered might not be a strict meeting room but a vibrant festival scene.

AI-92 gasoline prices increase as Russian import costs reach USD 800 per ton www.gogo.mn

Domestic pump prices for AI-92 gasoline have risen by MNT 250 to 300 tugriks per liter following a renegotiation of import rates with Russian suppliers. D.Davaabayar, Head of the Petroleum Products Department at the State Oil and Gas Industry of Mongolia, addressed the price hike, attributing it directly to recent volatility in global oil markets.

Since January 2023, the Mongolian government has maintained a contract to purchase AI-92 fuel from Russia at a discounted, stabilized border price of USD 705 per ton. However, D.Davaabayar explained that this contract includes a key contingency clause: if global oil prices increase or decrease by more than 30% for three consecutive months, the border price must be renegotiated.

Following a surge in global oil prices earlier this year, driven in part by international conflicts and tensions in the Middle East, the market price exceeded USD 100. With global averages hitting USD 100 in April and USD 90 in May, the contract's renegotiation clause was triggered.

Consequently, starting this month, Russia increased the supply price to Mongolia by USD 95, bringing the new total to USD 800 per ton.

Based on current exchange rates from the Bank of Mongolia, the new import cost translates to approximately MNT 2,866,000 per ton. As a direct result of this border price adjustment, domestic enterprises have been forced to increase retail prices by MNT 250 to 300 per liter.

COP17 Venue Exterior Works Reach 90 Percent www.montsame.mn

 Minister of Environment and Climate Change Sandag-Ochir Tsend, Deputy Minister Munkhtamir Batbayar, and State Secretary Batbayar Shurenchuluun inspected the evening shift at the construction site for the 17th session of the Conference of the Parties (COP17).

Currently, exterior landscaping and site improvement work has reached about 90 percent completion, while interior finishing works have commenced as scheduled following the handover of the building.

Construction crews are currently working extended hours in two shifts and continued full-time work throughout the National Naadam Festival holidays. Workers said they remain on track to complete all planned work within the scheduled timeframe.

The official website of the 17th session of the Conference of the Parties (COP17) is: https://unccdcop17.org/

Israeli Tourists Attacked With Axes and Knives by Men Shouting ‘Heil Hitler’ at Mongolia Campsite www.combatantisemitism.org

Six Israeli tourists were attacked last week at a campsite in northern Mongolia, according to a report published by Israel’s Ministry for Diaspora Affairs and Combating Antisemitism.

The assailants, who carried axes and knives, were said to be a group local Kazakh Muslims who shouted “Heil Hitler” before and during the attack, which took place on Monday, July 13.

The Israeli tourists, three men and three women, were settling in for the night when the attackers arrived.

“The Israelis recognized the threat as the attackers approached, quickly packed their equipment and put on closed shoes in preparation to flee, but were attacked before they could leave,” the report said. “The attackers appeared to target the group after hearing them speak Hebrew.”

The three Israeli men, all former IDF combat soldiers, fought back to protect the group and the attackers ultimately fled.

One of the Israelis suffered a fractured jaw and was flown back to Israel for medical treatment.

The incident came just days after a similar assault in Montenegro. On July 11, more than ten young men surrounded a group of Israelis in the coastal town of Budva.

“More than 10 young men cursed at us, kicked us, and threw chairs at us,” one of the victims told KAN News.

The beatings left one Israeli with a broken jaw. A second victim lost consciousness from the force of the blows.

Korea's Mongolian mineral bet may become a geopolitical tightrope walk between China, Russia and the U.S. www.koreajoongangdaily.com

As China tightens its grip on critical mineral exports, South Korea is eyeing Mongolia as an alternative supplier — though its distribution networks, hemmed in by China and Russia, carry the risk of political interference by the two regional heavyweights down the road.

The potential for tension could grow if South Korea ultimately funnels those minerals toward the United States under the two countries' ever-expanding mineral supply chain alliance. South Korea currently chairs a 17-nation coalition that Washington launched to reduce the world's reliance on China for critical minerals.

The presidents of South Korea and Mongolia concluded a Comprehensive Economic Partnership Agreement on July 11, eliminating tariffs of 2 to 5 percent that had been imposed on Mongolian copper, molybdenum and rare earth elements. Since December, the two countries have been running a joint research center to pursue collaborative research and seek methods for exporting. 
The pact reflects Seoul's broader efforts to find alternatives to China as Beijing tightens export controls on critical minerals, particularly rare earths. China currently controls roughly 59 percent of global rare earth mining and about 90 percent of refining and processing capacity. 

Rare earths — so named not for scarcity in the earth's crust, but for how difficult they are to isolate from the minerals containing them — are often called the “vitamins of advanced manufacturing,” since only small quantities are needed to make the permanent magnets essential to industries including EVs, chips, defense, robotics and drones.

Under the shadow of Beijing and Moscow
As a landlocked country, up to 90 percent of Mongolian exports, including minerals, must pass through either Russian or Chinese rail lines and ports in order to reach world markets.

That dependency leaves Mongolia's exports exposed to interference; If China and Russia recognize that minerals moving through South Korea are ultimately bound for the United States or Japan, experts warn that they could delay shipments or throw up obstacles along the route to slow them down.

“If China wanted to counter the United States, it could sharply raise customs costs or simply slow things down at the border,” said Jang Jae-hyuk, a professor in the Department of Mongolian Studies at Hankuk University of Foreign Studies. “For now, there's no way around that logistics bottleneck.” 

South Korea is considering building processing facilities directly in Mongolia and flying the finished materials home by air, which is being explored by the research center that opened late last year.

“Critical minerals like tungsten, molybdenum and rare earths can be processed locally into concentrates or intermediate materials through beneficiation or smelting, which makes transport far more efficient,” said Song Byeong-gu, chairman of the Korean Association of Mongolian Studies, who also teaches Mongolian studies at Dankook University.

“In fact, tons of Mongolian tungsten concentrate were flown into South Korea for the first time on June 27,” he said. “That shows there's real room to diversify how some critical minerals are transported.”

A mineral-rich, unmapped nation 
Mongolia ranks 10th among the world's mineral-rich nations, according to the U.S. Geological Survey, and more than 80 minerals including rare earths, copper, gold and uranium have been officially surveyed and confirmed within its borders.

Mongolia has registered six rare earth deposits and 26 known occurrence sites, giving it the world's second-largest rare earth reserves after China, at roughly 16 percent of the global total, or 31 million tons. Its copper reserves, at 55 million tons, rank second worldwide, and its coal reserves of 175 billion tons at fourth. 

Mongolia's territory is roughly 16 times the size of South Korea, and the reserve estimates now in circulation are based solely on the portions of that land that have undergone detailed surveys. Some 55 percent of Mongolian territory remains unexplored.

Mongolia is also home to Oyu Tolgoi, one of the largest copper and gold mines in the world, in the Gobi Desert located in the southern region of the country. Mongolia's Mineral Resources and Petroleum Authority estimates the site holds 45 million tons of copper and 15 million tons of gold.

The mining sector dominates Mongolia's economy; as of 2024, it accounted for 27 percent of GDP, 70.9 percent of industrial output and 87.2 percent of total exports.

Washington in the background
Experts say the South Korea-Mongolia partnership is, at its core, a channel for funneling minerals toward the United States — an outgrowth of a broader South Korea-U.S. mineral alliance aimed at breaking China's grip on the sector. 

Washington launched the Forum on Resource Geostrategic Engagement, or Forge, in February — a 17-nation coalition to secure and diversify global supply chains for critical minerals — and South Korea currently serves as its chair.

“On paper, this is a South Korea-Mongolia minerals agreement, but in practice it's closer to an agreement between South Korea, the United States and Mongolia,” said Professor Jang. “A significant share of the minerals and rare earths flowing into South Korea will ultimately end up in the United States. If China recognizes that intent, some form of interference is possible.”

Roughly 70 percent of the rare earth compounds and metals imported by the United States between 2020 and 2023 came from China, according to the U.S. Geological Survey. Of the 17 rare earth elements, China's share of production for the permanent magnets containing neodymium and dysprosium reaches 94 percent.

Heavy rare earths such as samarium-cobalt are especially critical for defense platforms — missiles, fighter jets and other weapons systems — due to their high-temperature stability, corrosion resistance and durability. A single U.S. F-35 fighter jet requires roughly 50 pounds of samarium magnets, according to a report from The New York Times.

“Mongolia maintains diplomatic ties with both North and South Korea and has been designated a partner in the United States' Indo-Pacific strategy, which is why neighboring countries are increasingly focused on the strategic value Mongolia holds,” said Park Jeong-hu, a research fellow at the Institute for National Security Strategy. 

That alignment is already taking shape; the U.S. government has acquired a 10.59 percent stake in Korea Zinc, the world's largest zinc smelter. A joint venture between Korea Zinc and the U.S. government, in which Washington holds the largest share, is investing roughly $7.4 billion to build an integrated nonferrous metals and critical minerals smelter near Clarksville, Tennessee.

Korea Zinc said of the investment that it was reviewed “at the request of the U.S. government” as the country is “pursuing the restructuring of critical mineral supply chains as a national strategy.” 

LS Cable & System is in talks with the state of Virginia to establish a finished rare earth permanent magnet plant, with production expected to begin by late 2027, while Posco International has partnered with Indiana-based ReElement Technologies to build a joint rare earth separation and refining plant with an annual capacity of 3,000 tons. 

BY SARAH CHEA   [chea.sarah@joongang.co.kr]