The international reserves grew by 9.3% from the previous month and 2.6 times more than the same period last year.

The growth was attributed to the implementation of the third phase of the International Monetary Fund's (IMF) extended fund facility (EFF) program in Mongolia and higher commodity prices on international markets, the central bank said.

The three-year IMF program was approved in 2017, aiming to stabilize the economy and establish the basis for a more sustainable and inclusive growth.

Mongolia's foreign currency reserves have more than doubled since the start of the program, according to the central bank.

Experts with the central bank predict that by the end of 2019 the country's foreign currency reserves will reach 3.8 billion U.S. dollars, and 4 billion U.S. dollars by 2020.

This follows Mongolian President Khaltmaagiin Battulga’s impromptu invite for a meeting with the Deputy Prime Minister yesterday.

“I was asked to have an audience with the Mongolian president at the State Palace,’’ Dr Wan Azizah told Malaysian journalists at the sidelines of the Asian Ministerial Conference for Disaster Risk Reduction 2018 here yesterday.

Although diplomatic ties between Mongolia and Malaysia was set up in 1971, there was very little interaction or exchange between both countries over the years.

The relationship became strained after the murder of Mongolian national Altantuya Shaariibuu in Bukit Raja, Klang, in 2006.

Dr Wan Azizah, who left to meet the president after attending the conference, said it was important for Malaysia to be seen doing the right thing in connection with Altantuya’s murder.

“If there is any course for a review (of the case) or anything, I think we can consider,’’ said Dr Wan Azizah, adding that this would be an indication of how the new Pakatan Harapan government administered the country.

As of June, the central bank's average gold purchase price was 100.041.97 tugrik (40.66 U.S. dollars) per gram, which corresponds to a low rate on the London Metal Exchange, according to experts from the Mongolian central bank.

The bank's gold purchase is expected to increase with the start of the peak of the gold mining season in August, September and October.

Local gold producers in cooperation with the government have moved to enrich the treasury fund and improve foreign exchange rates over past five years.

Gold miners submitted 20.01 tons of gold to the central bank in 2017, worth of over 800 million dollars.

The central bank launched a five-month campaign "National Gold to the Fund of Treasures" beginning last month.

The country's annual gold production has remained below 21 tons since 2005 when it reached its record high at 25 tons.

Editor: Shi Yinglun

The government is currently in talks with some Japanese banks, regarding with the provision of the needed funding for the implementation of these projects.

As part of these plans, a new 55MW site developed by Engie is expected to be commissioned near the city of Sainshand, which is the capital of the Mongolian province of Dornogov, by the end of this year.

The Engie site will become Mongolia’s third operational project.

In October 2017 another large wind plant, the 50MW Tsetsii site was launched in the South Gobi region of the country.

Project partners included Clean Energy Asia, a Mongolia-based renewable energy company established in 2012 as a joint venture between Japansese developer SB Energy and Mongolian infrastructure investor Newcomm.

Currently, Mongolia receives less than 5% of its energy from renewable sources.

However, according to state plans, it is aiming to increase these figures up to 20% by 2020 and by 30% by 2030.

The Cabinet assigned the Minister to buy equipment and machinery made in Russia, China, Belarus, Poland and Germany with loan from the Development Bank, to make cultivation of fallow within its planned period and to ensure preparation for harvest early.

As of today, sowing has been made on 494 thousand hectares of area including 342 thousand hectares for wheat, over 12 thousand hectares for potatoes, 8 thousand hectares for vegetable, 70 thousand hectares for oil plants, 37 thousand hectares for fodder plants, 947 hectares for medicine plants and 386 hectares for fruit and berries.

B.Batchimeg

The Australian citizen and three of his Chinese colleagues were arrested in 2009 during contentious iron-ore contract talks between top Aussie miner and the steel industry in China.

Hu’s release comes at a sensitive time for China's business and political relationship with Australia.
The following year, they were convicted of accepting bribes totalling about A$14 million and stealing trade secrets. Fired by Rio Tinto in the aftermath, Hu is expected to return to Australia this week, the Australian Broadcasting Corporation reported.

Hu was originally sentenced to 10 years in prison, but his time was reduced for good behaviour by the Shanghai No. 1 Intermediate People's Court and consequently released more than a year early.

His trail strained relations between Australia and its biggest trading partner, China. It also ended with Rio walking away from a $19.5 billion tie-up with Aluminum Corp. of China, better known as Chinalco, which fuelled speculation that Hu and his colleagues were being targeted for retaliation.

His release also comes at a sensitive time as Prime Minister Malcolm Turnbull’s government has just introduced new laws aimed at curbing perceived Chinese interfering in national affairs. Beijing has denied meddling and even accused Australia of having a “Cold War mentality”.

Rio Tinto has made efforts this year to strengthen ties with China, offering training to leaders of state-run companies and even forming a joint venture with Minmetals, one of the country’s biggest mining companies, to explore for mineral deposits first in the Asian country and then in the rest of the world .

The company is also finalizing details with China’s government and others parties over the planned sale of its stake in the Simandou iron ore project in Guinea to Chinalco, for $1.3 billion.

The forum was participated by officials led by Minister of Foreign Affairs D.Tsogtbaatar, Secretary General of Party Committee of Inner Mongolia Autonomous Region Li Jiheng, Ambassador of China to Mongolia Xing Haiming and President of Mongolian National Chamber of Commerce and Industry B.Lkhagvajav.

Foreign Affairs Minister D.Tsogtbaatar said that trade turnover between the two countries is increasing intensively. Also the sides are intending to bring this growth to USD 10 billion. Trade turnover with China upped by about 30 percent in recent years. Implementation of these agreements signed today will take time to be fully realized, but it is impossible to change agreed cooperation and trade price. Thus this kind of forum has significant importance to Mongolia’s economic growth.”

The forum aimed to introduce investors and businessmen of Inner Mongolia Autonomous Region to Mongolia and to make progress in bilateral economic ties. Mongolia and Inner Mongolia Autonomous Region have common values regarding culture, customs and lifestyle and we consider that it creates favorable business condition. Therefore businesses of Inner Mongolia Autonomous Region make up some 50 percent of business cooperation between Mongolia and China. We intend to study Mongolia’s business trends in the next three years and support for foreign investors, said Setsen, Vice-Director of the Trade Chamber of Inner Mongolia Autonomous Region.

B.Batchimeg

The yuan’s share jumped to 2.8 percent in the last quarter of 2017 from one percent in the third quarter of last year, according to the Bank of Russia report published Monday. The Chinese currency, along with a 17.2 percent share of gold, now make up one fifth of Russia’s reserves.

Russia is buying more yuan assets than other global central banks. With the buying spree of almost $12 billion in the second half of 2018, the Bank of Russia made the yuan share in its holdings much higher than the global 1.4 percent.

Chinese currency has become a more desired asset for Russia since the introduction of sanctions against the country in 2014 by the US, the EU and their Western allies.

Since then Russia has made a pivot to China, signing yuan-ruble swap agreements to boost share of settlements between countries in national currencies.

The majority of the Bank of Russia’s assets are still in US dollars, but the greenback's role is gradually declining. The dollar's share in Russia's reserves fell to 45.8 percent in the fourth quarter from 46.5 percent in the previous three months.

“The rise in the share of yuan assets, albeit still relatively small, reflects Russia’s intentions to diversify away from major currencies,” Piotr Matys, an emerging-markets currency strategist at Rabobank told Bloomberg.

But “it will not be easy for Russia to significantly reduce the share of the dollar in its reserves given that the greenback is still one of the most liquid currencies,” he added.

“Mongolia’s economy slowed down recently with the country’s gross domestic product growth declining from a high of 17.3% in 2011 to 5.1% in 2017,” said ADB Director for East Asia Transport and Communications Ms. Sujata Gupta. “Having safe and reliable road networks will help Mongolia foster economic activities through trade and tourism, which will underpin the economic outlook.”

Mr. Masahiro Nishimura, ADB Senior Transport Specialist for East Asia, highlighted the importance of infrastructure investments, not only on development but also on rehabilitation and maintenance, and regional integration to improve connectivity and access to domestic and external markets, given Mongolia’s urgent needs to restore macroeconomic stability in the short term and develop a more resilient and diversified economy that can deliver rapid, inclusive, and sustainable growth.

Currently, Mongolia has a road network of about 48,538 km, but only about 13.2% are paved—a situation that affects the country’s growth prospects, particularly on jobs, trade, and connectivity. The project and its attached technical assistance will improve Mongolia’s road asset management practices. Mr. Nishimura noted that investing in road improvement and maintenance is crucial because it creates jobs, provides people with better connectivity and access to markets and public services such as schools and hospitals, and improves road safety.

The Regional Road Development and Maintenance Project will rehabilitate and enhance the safety of road corridor sections, Mongolia’s crucial links with the People’s Republic of China and the Russian Federation, along Ulaanbaatar–Darkhan and Darkhan–Altanbulag. The road improvement project will promote inclusive economic growth through increased trade, as well as boost agriculture, agribusiness, and tourism.
Road safety in the project areas will also be improved, including the installation of road markings, barriers, and guide posts. Independent road safety audits will be conducted.

ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, it is owned by 67 members—48 from the region. In 2017, ADB operations totaled $32.2 billion, including $11.9 billion in co-financing.