Minister of Education and Science L. Enkh-Amgalan is attending the Education World Forum-2023, the largest annual gathering of education and skills ministers in the world, held on May 7-10.

On the sideline of the Forum, the Minister met Andreas Schleicher, the Director for Education and Skills, Organization for Economic Cooperation and Development (OECD), and expressed an intention to participate in PISA-2025.

In 2022, 88 countries were involved in the PISA assessment, and for our country, 9600 students from 196 schools were assessed. The assessment report will be published in December.

PISA is the OECD's Program for International Student Assessment. PISA measures 15-year-olds’ ability to use their reading, mathematics, and science knowledge and skills to meet real-life challenges. Results from PISA indicate the quality and equity of learning of the countries involved and allow educators and policymakers to learn from the policies and practices applied in other countries.

Chairman of the Executive Office of the Energy Regulatory Commission B. Bolor-Erdene informed journalists today about the real cost, consumption and demand of electricity in Mongolia.

The cost of electricity is currently MNT 224 for one kWh and it is sold to consumers for an average of MNT 211-213. Household consumers purchase one kWh of electricity for MNT 141-142. This is 58 percent lower than the actual cost. As for heating energy, consumers get 55 percent lower of its cost; loss is proportionate. Last year the energy sector’s operating loss amounted MNT 187 billion.

The losses are increasing. This leads to such risks as an increase in debts, inability to carry out necessary maintenance and repair at thermal power stations and heating and electricity networks, and delay of equipment renewal.

This situation will negatively affect the reliable supply of electricity and heat to consumers. The urgent need to bring the price of energy to its real cost is obvious. However, electricity consumption in 2022 has increased by 5.8 percent from the previous year amounting to MNT 10.3 billion nationwide. Out of total power, 79 percent is produced domestically, and 21 percent is imported. Here, electricity from Russia and China dominates.

To build a new energy source, tariffs must be approved according to the Energy Law. If the price is lower than the cost, it naturally will negatively affect on investors. Therefore, tariffs should be kept at a level that supports and satisfies investment.

Consumers really need to save electricity, in particular, during peak hours. In general, the Law on Energy Conservation defines the consumers who are obliged to save energy. To be clear, the threshold of their electricity saving has been updated by the Government's resolution this year. There are some 330,000 users who have such an obligation. They consume 40 percent of the total energy. In total, there are 812,000 electricity consumers and some 450,000 heat consumers nationwide.

The Law specifies that responsible consumers should have an energy efficiency manager. These managers promote, coordinate and implement ways to save energy. In addition, the Energy Audit Organization is operative.

There are 114 auditors engaged in energy saving, advising consumers on electricity efficiency, conducting audits, and determining causes of energy loss. The Commission aims to bring the auditors to the international level through training and implementing relevant projects and programs.

The 56th Annual Meeting of the Board of Governors of the Asian Development Bank (ADB) took place between May 2 and 5 in Incheon, South Korea. During the meeting, we interviewed Director General of the East Asia Department of the bank Teresa Kho and Country Director for Mongolia Pavit Ramachandran to talk about the implementation of the projects and programs, and what will be done within the Innovative Finance Facility for Climate in Asia and the Pacific (IF-CAP) recently announced by the bank. They stated their respective positions in the following interview.

Under the theme of Rebounding Asia: Recover, Reconnect, and Reform, this year’s Annual Meeting has been held. This is the first fully in-person annual meeting since 2019. Therefore, this year, the post-covid revival and reform is highlighted. What proposals and initiatives are countries making in this context? How compatible are these with the goals of our country?

Teresa Kho: When we engaged in Mongolia during the country partnership strategy period and the COVID-19 pandemic, we were looking at providing assistance of more than 500 million USD over the last three years for the pandemic. We have two budget supports: loans and policy-based loans. We also provided the health security policy-based loan. Moreover, the bank provided some grants and technical assistance to build the capacity of the government to respond to this health crisis. In the process of helping the government during this period, the government itself came up with the New Revival Policy, which defines what should the government prioritize in order to increase economic growth, provide jobs and sustain recovery. We are aligned with the New Revival Policy. Most of the projects we will be preparing this year are actually focused on this policy. We are preparing to implement a regional road project. The bank is also funding the transmission line to help the renewable energy sector. These are key investments that are fully aligned with the government policy.

Pavit Ramachandran: Countries are now looking to bounce back and start the recovery process after the COVID-19. Economies are opening up. Mongolia is in the same situation. From the ADB standpoint, there’s a big focus on climate change, looking at this ramping up ADB’s efforts and building on last year’s announcement. This year, we’re trying to further leverage our balance sheet to increase climate investments. There was also a big focus on gender financial inclusion, digital technology, harnessing these trends, and workforce trends. These areas are all very pertinent to Mongolia. We had a very robust response to Mongolia starting from February 2020 when the country had just declared a public health emergency. We came in at an early stage in terms of repurposing an existing loan for 1.4 million USD. We were the first development partner to step up in that regard.

We also had funds that we accessed from our asia-pacific disaster response facility. In total, 2.5 million USD was provided again for urgent support in terms of ambulances and PCR testing laboratories. ADB had a package of support that was related on the health side. We provided additional financing of 30 million USD to build capacity in tertiary secondary hospitals. The bank had a short response social protection project which supplemented the government’s child money program and food stamp program. We had direct budget support to the government treasury linking up with their expenditure program. It was really a comprehensive effort and now we are looking at supporting the government’s New Revival Policy and not just through public sector support but also the private sector. It would be an integrated package support.

You mentioned that the bank will support the private sector, which accounts for 80 percent of the country’s GDP. How and with what policy do you think our government should support them?

Pavit Ramachandran: One of the challenges for Mongolia is consistently predictable and reliable policy in terms of macroeconomic policy. Your foreign investment flows are very much tied to these swings and ships. Mongolia is largely dependent on a single commodity and the markets are very restricted as it is a landlocked country. So it’s crucial to have stable macroeconomic policy or financial policy. Mongolian debt servicing costs are manageable because that’s how markets react. Mongolia has also had impacts in terms of inflation. Inflation is still at a very high rate in the country so it’s essential to keep that at a stable low level.

Mongolia still imports a lot of goods from outside so the private sector is sending the right signals. The government is doing some of that. There’s a new investment law which we have been working on with other partners. There’s a public-private partnership law. A regulatory framework is coming together. The country is also increasing private sector investments in many sectors such as agribusiness and health. We have our first private sector health transaction that’s going to get approved soon. We also have quite ambitious plans on renewable energy because there’s a lot of potential in Mongolia. The country needs to harness the private sector.

This year, ADB has announced the IF-CAP to scale-up finance for accelerated action against climate change in Asia and the Pacific. What does the bank plan to do with Mongolia within this program?

Pavit Ramachandran: Mongolia has quite ambitious national commitments. The country is proposing to reduce its greenhouse gas to 22.7 percent by 2030. There are commitments. Now there is a need to target and align the investments to achieve that. More than half of this is from the energy sector. To actually make this transition, the country needs to focus on agriculture and forestry, such as land use. ADB is well positioned to support Mongolia on all sides of this picture. On the agriculture land use side, we have just approved a very transformational program. It’s a large program which would cover over the course of 10 years and the whole country. It is a 448 million USD investment program to support green and inclusive development of Mongolia’s provinces and soums. This is looking at climate smart agribusiness development. We are working with SMEs and herders to ensure regional and pastoral management. It’s about 735 million USD including government financing and co-financing from partners like the Green Climate Fund and the EU.

On the energy side, we’re doing a lot of work because it’s not an easy challenge in Mongolia because of the reliance on heating in winter and the abundance of cold resources. What we’re trying to do is first strengthen the grid, looking at smart grid options to help reduce reliance on imports. We are looking at a battery storage system which will be commissioned this year. It’s the country’s second largest battery storage of 80 megawatts. This will allow more renewables to be taken up in the system. We’re also looking at new renewable investments. There’s a pumped hydro storage project in the program. Later on we are looking at a transmission line and private sector investments in solar and wind. It is about 2,600 gigawatts. So there is a huge resource and a lot of potential. ADB can’t do it alone so we’re working with other development partners.

As you said our country is making some commitments on the matter of climate change. In particular, our president made a pledge to plant a billion trees by 2030. In this regard, Mongolia is implementing the “A Billion Trees” national movement. How feasible is it to plant such a large number of trees by 2030? How is the bank cooperating with the country in this direction?

Pavit Ramachandran: This gives a big boost to the climate initiative. It’s important that the country puts a spotlight on land use forestry on the whole side of the picture. I wouldn’t focus so much on the number personally. You have an initiative now that cuts across government machinery that goes down to the provincial level. The country can push sustainable land management. It’s not just tree planting but it’s about making sure that this is done properly with the right species in the right areas and that local communities are benefiting at the end of it.

Teresa Kho: We have hosted two pre-COP workshops over the last two years. We have been working closely with the President’s Office of Mongolia and green development partners to see how every development partner could assist in the effort of the government to address climate change.

At this year’s meeting, ways to leverage digitalization to enhance climate change response and disaster resilience in emerging economies are also being discussed. What is the importance of policy coordination for accelerating digital capacity to address climate change? How do you think our country is working in this direction?

Teresa Kho: We are preparing a policy-based loan right now. In the past, we had an IT project worth 25 million USD focused on increasing digitizations specifically to achieve some tax efficiency. ADB is trying to advance it through this upcoming loan. It can drive government services to become more efficient. So we’ve started in that space and we look forward to finding opportunities in our current and future projects to increase digitalization.

Pavit Ramachandran: This is a big priority for ADB. For the government, there is an E-Mongolia platform. Services are now being brought online. I think Mongolia is actually in the region already ahead of the curve in terms of adopting digital technology.

On climate change, we talk about renewables. Renewables need to come in to balance the peak usage and avoid outages and blackouts which are a big issue in Mongolia. Particularly in winter, people’s survival depends on that so the country needs to ensure a stable heating supply. The budget support is essential. We also have a climate change policy and the idea is to support and give a push to the government’s plans to implement the initially determined contributions. It’s a cross-sector because climate change cannot be with one agency alone, we have to work across different agencies and put the public and private sector. This is still under preparation but it will most likely be for next year.

The main pillar of our country’s economy is mining, especially coal. However, countries and international organizations started to stop implementing projects involving coal. In such a situation, our country needs to diversify its economy. What’s your position on this? Can Mongolia “survive” such a transition?

Pavit Ramachandran: Mongolia has a coal-dependent economy right now, particularly for the energy sector. Countries are already making commitments to the net zero transition so there will be less and less demand for coal. That’s just the nature of where things are headed. As you said, the multilaterals and bilaterals will not invest in coal projects. Moreover, we are also going to see less investment flowing into the fossil fuel sector so I think attractiveness as an investment destination will also depend on diversification. Mongolia has a lot of potential in agribusiness agriculture but it only processes five percent of the meat that they produce in the country. So there’s a huge potential for value addition. On the issue of tourism, the government is now making a big push. They just need to look at a broader product base, broader marketplace and look at diversification.

Our country is implementing some renewable energy projects but they are not commissioned yet. What do you think are the main reasons for this?

Pavit Ramachandran: Attracting investors is a challenge for the country because of its stable policies as I mentioned. Having some disruptions in the policy environment doesn’t always send the best signal to investors. The government is very conscious about that. They are making sure that the policy environment is much more reliable and they are keen to attract investors in the renewable space. I think the cost of new projects will also go down. I think it’s about just continuing the recent developments and providing the right signals.

ADB helps Mongolia in many fields, namely agriculture, education, energy, finance, health, transport and urban development. In general, how does the country implement approved projects by ADB and how well do they perform? Are there any problems? What’s hard to implement projects and programs in Mongolia?

Teresa Kho: ADB has 33 projects for the country. Twenty of these are on track. We’re working closely with the government to solve issues encountered in implementing these projects. In general, readiness is an issue in the country. Other countries typically start the projects much earlier. In the case of Mongolia, it typically happens after the loans are given. So we lose a bit of time. That’s why projects in Mongolia take longer to implement. I think one of the other considerations we have to bear in mind is that Mongolia has a very short construction season. So we are working closely with the government to figure out how to prepare for that short construction season. So we could accelerate project implementation on the ground.

What do you think is the key to Mongolia’s development?

Pavit Ramachandran: Let me name three points for my side. First I think the biggest resource of Mongolia is its people. It has a young population, and the median age is 28. They are keen to embrace innovation. Harnessing this potential is going to be essential for Mongolia to thrive in the future. The problem is that it’s a small population base and you do have a case of a number of the talent leaving Mongolia. Therefore, ADB is really focused on strengthening the education sector over the years and tertiary vocational education would be a very important area. There is still a skills mismatch between graduates who come out of Mongolian universities and the job environment of Mongolia. Second, there is an issue of macroeconomic stability. That’s a real challenge in the country. The country has the fiscal stability law so the regulations are in place to ensure that there are sufficient fiscal buffers. It’s important to have a stable reserve. The last area is green development. Mongolia has such a lot of potential. I think green development would be so clear.

The incumbent prime minister of Mongolia, Oyun-Erdene Luvsannamsrai took office in 2021. While the new administration was under immediate pressure to strategize a post-COVID economic recovery plan, both internal and external challenges continue to soar.

The prime minister answered questions from The Diplomat’s Bolor Lkhaajav on his administration’s policies and solutions for fighting corruption, maintaining a strong foreign policy, and streamlining foreign direct investment (FDI). The interview below has been lightly edited for clarity.

Considering Mongolia’s mining-dependent economy, diversification is necessary. What are some of the diversification plans and investment opportunities Mongolia is currently initiating with third neighbors?

We have a number of diversification plans in place to boost investment opportunities in Mongolia stemming from our landmark “New Recovery Policy,” which will create an investment-friendly climate. Our overarching message to foreign investors is clear: Mongolia is open for business.

Due to our policies, we have ensured that GDP grew by 4.8 percent in 2022, an uptick of 2.2 percentage points over predicted growth, and we expect to achieve an increase to 5.4 percent growth in 2023. Mongolia is well on track to becoming the fifth-fastest growing economy in Asia. Greater economic growth lifts people out of economic hardship, raises living standards, and ensures a growing middle class – one of the key elements of the New Recovery Policy.

There are so many opportunities to invest in Mongolia. In 2022, we launched “Mindgolia,” an innovative platform showcasing our thriving tech sector and shifting digital transformation.

Additionally, we are consistently benchmarking our successes in attracting and hosting FDI, such as the Oyu-Tolgoi project, one of the largest copper mining projects in the world. We are clear in our view that FDI is one of the key pillars to grow our economy and will contribute to our future sustainability, building a better future for generations to come.

Tourism is also critical to diversifying the economy and is responsible for the same amount of revenue as the total income of Mongolia’s non-mining sector. Tourism, mining, and agriculture represent the three key pillars of a future Mongolian economy. In November last year, the government unveiled a major package of new measures to showcase Mongolia as a growing tourist destination. As such, we are proud to have recently launched our “Welcome to Mongolia” campaign, as well as designating 2023-2025 as the years to visit Mongolia. Our campaign will encourage overseas travelers to visit Mongolia for both business and tourism.

Our landmark Tourism Bill also contains further proposals to open more travel routes, modernize Mongolia’s visa system, and reduce the cost of flights to and from the country. Measures in the Tourism Bill include introducing a VAT refund for tourists upon departure from Mongolia on purchases during their stay, including hotel and accommodation costs.

Additionally, this bill aims to increase the number of countries in which an “e-visa” will be issued online within 48 hours of application. The bill will allow for a significant increase in the number of flights to and from Mongolia, as well as establish a Tourism Development Fund to support sector financing while also designating parts of Mongolia as strategic regions for tourism development.

What are some of the legal issues your administration is solving or addressing in order to increase the confidence of investors?

We have settled our tax arbitration issue with Rio Tinto and, as investors will have seen, resolved many outstanding issues related to Oyu Tolgoi, thereby allowing the commencement of underground production. The agreed funding plan ensures value for the government of Mongolia and the Mongolian people. The continued successful cooperation between Oyu Tolgoi and Rio will continue to inspire confidence in foreign investors.

We are also making great strides to boost investor confidence by tackling corruption through a range of measures as identified in the recently announced anticorruption strategy and our five-point plan to root out corruption in the country and business operating environment.

Our efforts to tackle corruption through our Whistleblower Law have shown that the government’s priorities are the people’s priorities. This is why we have announced 2023 as the year of anti-corruption.

During the recent protests, it was the Mongolian government that uncovered and shone a light on historical corruption leading us to introduce the Commodity Exchange Law for the transparent public trading of mining products. It is vital that we continue to fight and root out corruption wherever it exists.

Transparency builds better societies, and we are boosting transparency through our E-Business platform while working to create a unified electronic registration database for the intellectual property sector as part of the digitization of services provided by the government to citizens. We have passed a law on regulating money lending systems to improve the legal protections afforded to consumers, as well as a law on permitting, which will reduce the number of special licenses and permits from more than 1,600 to 360.

Additionally, we have passed a law on Public-Private Partnerships as part of a series of reforms to support economic growth in line with international standards. We know that investors require a robust legal framework to facilitate foreign direct investment in a functioning democracy that is stable. We are guaranteeing that framework and business environment.

The prolonged Russia-Ukraine war has placed Mongolia in a challenging position, considering Ulaanbaatar’s bilateral relations with both Moscow and Kyiv. From Mongolia’s foreign policy standpoint, how will your administration manage its short- and medium-term effects if the security environment were to escalate?

We regret that the situation has deteriorated to the extent that it has and hope for a swift end to the conflict.

We continue to maintain good relations with all our neighbors as well as actively promote our third neighbor policy, through which Mongolia seeks to develop enhanced economic and bilateral ties with all countries.

As a democratic, peaceful nation, our foreign policy will reflect our values, and will do everything that we can to make sure that the world returns to stability.

Given Mongolia’s friendly relations with all nations around the world, our policy is clear.

The regional geopolitical environment certainly has changed in the last five years. Defense expenditures are increasing in almost all East Asian countries. Mongolia, too, increased its defense budget, although Mongolia’s foreign policy supports peaceful resolutions and diplomatic dialogue via many channels. What are some of the innovative ways or new mechanisms that Ulaanbaatar is looking into to balance these destabilizing factors and maintain strong relations with third neighbors?

The New Recovery Policy is the ultimate endorsement of Mongolia’s Third Neighbor Policy, as we promote inward investment such as that seen by Rio Tinto at the Oyu Tolgoi mine. Trade and investment are key to enhancing our energy security, building further cultural exchanges, and boosting our economy and growth prospects.

The regional and global geopolitical situation is one we are always mindful of. We will not exacerbate or take steps that will heighten tensions or destabilize both our country and key relationships. However, in line with the government’s New Recovery Policy, we continue to seek to explore new markets and create enhanced bilateral relationships with key allies globally. Whilst our existing relationships will remain, ultimately, this will focus more and more further afield through key multilateral organizations and partnerships.

What actions has your government taken since the December 2022 protests to try to address the demands made? Do you foresee further protests or unrest in 2023?

Mongolia is proudly democratic, and freedom of speech is vital to Mongolian society. The government uncovered and brought to the fore the historical issue of corruption as witnessed through the coal theft case, which we continue to pursue in earnest, including justice for guilty parties. Both protesters and the government were and are completely aligned in our joint wish to fight corruption and right a historical wrong. It is for this reason that I went out to speak directly speak to the demonstrators.

The government will continue to ensure that corruption is rooted out and that we will never see these issues again regarding corruption.

As for protests, Mongolia, as a free country, we vociferously defend the rights of citizens to protest and exercise their rights to free speech.

The Ministry of Justice recently submitted Mongolia’s Anti-Corruption Strategy. What are some of the improvements in comparison to the 2016 version? At what level these anti-corruption measures can show its effects?

The previous “National Anti-Corruption Strategy” ended with 75 percent of all recommendations implemented. The latest strategy is highly ambitious in its recommendations, with 10 goals, 45 objectives, and, 224 anti-corruption activities outlined in the strategy.

The government has welcomed the latest strategy, and while it still needs to make its way through the parliamentary process, we have committed to working with the anticorruption state agency (IAAC) on its implementation through 2030.

The key difference with this strategy is that it doesn’t stand alone. We have already committed to a number of actions that align with the recommendations of the strategy in this, the “Year of Fighting Corruption.”

These include strengthening a corruption-free public service, effective participation of citizens, the involvement of civil society and media in this work, the independence of state institutions, reducing the risk of corruption in the budgeting and procurement process, and tackling theft, embezzlement, and waste.

We are making significant progress in our anti-corruption efforts, but there is more to do. This strategy gives us a clear pathway to continue and enhance our anti-corruption measures and confirms we are on the right track to building a society of trust and confidence in government and our country.

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.

Ulaanbaatar (AFP) – Otgoo recalls running around freely as a child in Mongolia's once sparsely populated capital city, but he fears a rapid construction boom has now trapped his children in a concrete jungle.

Across Ulaanbaatar, high-rises are replacing the yurts that Mongolians have for centuries called home, symbols of a nomadic life that is fading away.

Locals say the construction boom -- fuelled by a decade-long mining windfall -- is squeezing out room for much-needed public services, from new hospitals to children's playgrounds.

"When I was a child I spent all day outside," said Otgoo, who only gave one name. "We used to play soccer, running like a wolf or rabbit in big empty spaces."

"My kids can't run like us. All places are filled with new apartment buildings."

Mongolia's mining boom drove double-digit growth, with vast profits from coal making up a quarter of the country's gross domestic product in 2022.

The industry has sparked a wave of demand for office space and luxury apartments in Ulaanbaatar.

The haphazard and rapid mushrooming of the capital city -- its population growing from half a million in the 1990s to roughly two million in 2022 -- has also led to massive daily traffic jams, trapping people in often hours-long commutes to and from work.

The boom, however, has largely not included vital civic infrastructure, leaving many children growing up without outdoor recreational facilities, parents told AFP.

There is little room for bigger playgrounds, schools and hospitals, many of which were built under Communist rule more than 30 years ago.

"My kids' only chance to play outside is on the weekend," said Ulzii, a mother of three.

"They stay home and watch screens."

Out of reach

Just a stone's throw from parliament, the Shangri-La hotel -- which boasts impressive views and hundreds of rooms priced well out of reach of the average Mongolian -- was built on land once intended to be occupied by a children's amusement park.

Existing civic services such as schools and kindergartens are stretched to their limit, with an average of 50 to 60 children crowding into each classroom.

Experts blame antiquated city planning strategies for the poor management of public spaces.

"There were urban plans before the boom but they weren't smart," Anu-Ujin Lkhagvasuren, an urban governance expert, told AFP.

"Places once meant to build garbage dumps have now turned into the most expensive residential areas."

Ulaanbaatar "basically copied" Soviet-style plans that placed workspaces far from residential districts, she said. The policy was meant, in part, to pull working-class people out of inner-city slums and into better-managed suburban communities.

"Workplaces are now centred around the main square and that causes traffic jams."

Larger issues

Some are pushing back: in the face of protests, the city's mayor in 2021 announced a ban on construction permits for new buildings, with the exception of schools, until 2040.

That ban does not, however, cover already-approved projects, meaning construction crews are still hard at work all over the city.

"When the country became democratic in 1990 Mongolians travelled abroad, and when they saw megacities like New York or Singapore, they wanted shiny skyscrapers and built the same ones here," Achit-Erdene Darambazar, an investment banker, told AFP.

In a country where poverty remains stagnant, some believe the construction boom is emblematic of larger issues -- specifically alleged corruption by public officials.

"We're asking each other: 'Where did the mining export income go?'" Achit-Erdene said.

"The answer is the construction boom."

Last year, the CEO of a large state-owned coal export company was placed under investigation for embezzlement, with the country's anti-corruption authority saying many of the looted funds went into real estate.

"Corrupt officials buy apartments instead of holding cash in their account or in their home," said Battsetseg Dorjlkhagva, a councillor representing Bayanzurkh, one of the Mongolian capital's largest districts.

"We live in such a little space that it can be difficult to pass one other at times."

Battsetseg led protests for a year against a high-rise office project, ultimately leading to the works being cancelled. Now, a kindergarten is being built in its place.

"We don't need tall buildings anymore," she told AFP.

"If there is any unused land, it should be used for the benefit of the people."

The State Committee for Physical Education and Sport, the Ministry of Sports of the Russian Federation, the Russian Figure Skating Federation, and the Steppe Arena LLC organized a figure skating show of the best Russian figure skaters at Steppe Arena, Ulaanbaatar on May 6 and 7, 2023. I thought this show might be held soon, so that in January when Japanese figure skaters such as Hongo Rika, Hiroki Honda, and Tsunehito Karakawa came to perform in Mongolia, I watched the Japanese figure skaters eagerly waiting for the arrival of the world-star Russian figure skaters. I saw Russian stars on May 6 and as a journalist, I was proud to report from this wonderful ice show.

Having waited since January, I went to the Steppe Arena at 3:00 p.m. which was two hours before the beginning of the ice show. The tickets for the ice show were sold between 30,000 and 150,000 MNT depending on the seat, and all the tickets for the two days were sold out within the first 72 hours after the ticket sales started on April 11. When I arrived, some other people had already arrived and were waiting by the entrance. Thirty minutes later, the doors opened and the spectators entered. While waiting for the ice show, I walked inside the Steppe Arena with a great sense of wonder. There were eight food booths and one food corner inside the arena, selling fast food such as sandwiches, hotdogs, burgers, coffee, tea, water, and sodas.

There was a booth with the banner “Eeltei Yertunts” or “Propitious Planet” NGO, and mothers of disabled children who make stuffed toys and organize activities and donations for disabled people. The stuffed toys thrown to the ice field cost 20,000 to 35,000 MNT, and coming with stuffed toys from outside is prohibited. Throughout much of the 1990s, flowers were the signature conclusion of figure skating, according to the 1992 Olympic Champion Kristi Yamaguchi. That pairing came to an end in 2001 when US Figure Skating banned flowers, citing debris and safety concerns (related to the September 11 attacks and subsequent anthrax scares). While there is no universal ban on flowers, many other organizations have adopted the same position. Fans have adjusted to the decision, viewing stuffed animals as a unique opportunity to provide personalized gifts to some of their favorite athletes. However, Astra flower shop was selling flower bouquets between 40,000 to 100,000 MNT.

The show started at 5:15 p.m. At the beginning of the figure skating show, 17 skaters, including 16 Russian skaters and one Mongolian skater, came out and performed their opening performance together. When figure skaters were skating, the audience did not even blink an eye, and figure skaters were performing single and duo performances. After that, the first figure skater, Mongolian junior athlete O.Misheel, came to the ice rink. She performed the song “Love Story” with a light rhythm. Her best techniques were Salchow and Sit Spin. I thought that pretty girl will, one day, become a good figure skater. Spectators cheered loudly for the only Mongolian athlete participating in the show.

Behind her, 15-year-old Adeliia Petrosian danced like a swan on ice to Barbara Pravi's French song “Voila”. It was like watching a future Olympic champion as she performed two triple Axel turns and brought her song to life. After that, Aleksandra Boikova and Dmitrii Kozlovskii appeared in a fairy-tale version of Tchaikovsky’s Swan Lake for a duet performance. For the first time watching such a pair of figure skates, the audience was in tears. It was truly amazing and left the audience speechless. After Dmitri Aliev, Petr Gumennik, Mark Kondratiuk, Sofia Akateva, Evgenia Tarasova and her partner Vladimir Morozov performed. The first part of the show ended.

One of the best parts of the show, which gave the audience an unforgettable memory, was the performance of Anastasia Mishina and Aleksandr Galliamov on the song “Life” by Mongolian singer Sarantuya. The audience never imagined that they could get such a precious feeling of love and wanting to fly in Mongolian songs. Throw jumps, and lifts, the relationship between them, the way they feel about each other, and their facial expressions were outstanding and beautiful.

The intermission of the ice show was 20 minutes, and the audience had long queues in the toilets and food booths. There were two restrooms on the right and left side of the arena hall. During the ice show, eight cleaning staff were working to ensure the cleanliness of the audience seats, the arena, and the restrooms. Volunteers directed spectators to seats, restrooms, and food booths. While watching these, I saw 5-year-old Ts.Amina came to watch the ice show with her father. She had been skating for a year and was excited to see Kamila. His father N.Tsengelbayar said, "I have two children, 12- and five-year-old. I try to get my children to play sports from an early age. When my children grow up, they do not have to become great athletes, but they will be able to have hobbies and spend their free time in the right way. My youngest daughter loves to skate. Having such a beautiful ice palace is a big step for the development of ice sports in Mongolia.”

The second part of the ice show began, and the figure skaters performed their performances which they were performing during the World Championship and the Olympics. Another memorable performance was Mark Kondratiuk’s performance with a Mongolian deel and hat on a German Dschinghis Khan song. We are grateful for such a performance out of respect for the people of Mongolia. 17-year-old Kamila Valieva, the star of this show, performed as “Wednesday” movie’s main character in her last performance on Lady Gaga’s Bloody Mary song. Mongolians supported the young star the loudest, it was like a tribute to the Olympic champion. She fell while performing the first part of the ice show, but the audience cheered her up. Because her performances can touch people’s hearts, everyone interested in figure skating in Mongolia loves her. In this way, the ice show that lasted for 3 hours ended.

We all saw that Russian figure skaters are really on another level. They usually skated on Russian songs. We saw how much effort, time, and work went into their performances. The Russian dominance in figure skating is paramount and unmatched. No country comes close to the athletes of Russia in any world championships and global tournaments. Russian skaters are the best and have swayed the figure skating world with their distinctive style of play and performance. The fusion of their technical abilities with artistic innovations in their performances has stunned and mesmerized the world. Decades have passed but the supremacy of the athletes in this region has not gone down or diminished. Russian figure skaters have raised the bar and every time they appear in a prominent tournament, they look better than before. But what makes them so exceptional and a potent force in the figure skating world? Russia develops the best skaters because the country has adopted skating as its heritage. They have the best talent identification and pioneering training, and coach kids at a very young age when the body is so agile. Their figure skaters can perform some difficult jumps with grace.

After the ice show, there was a long line of spectators who wanted to take pictures with the athletes and get autographs with Russian skaters. Mongolian people feel and know the beauty of sports, especially figure skating. For two days, over 5.000 people watched that ice show at the Steppe Arena. More than 200 people participated in the organization of this show, including more than 40 Russian athletes and coaches, as well as working in the back office of live TV. Also, congratulations to J.Sanchir, who worked as the director of the show program, and all the back office workers of Steppe Arena, and organizers. You guys have delighted the Mongolian people and inspired the children and young people who are interested in figure skating.

While watching such a beautiful performance, I had a secret wish that Mongolian figure skating would reach such a level like Russians and want to support our country’s athletes to participate in international competitions. Russia’s world stars “shot” in Mongolia. I hope Mongolian stars will “shoot” in the world soon.

Construction Development center presented information about the revival of the construction industry and

housing prices during a press conference. Founder of Barilga.mn G.Batsukh said, “The construction industry’s growth and decline lags behind the growth and decline of the economy. There was a small bump during the pandemic and the construction works have not started much. However, construction work is now starting and recovering from this month.

During the pandemic, the demand for housing and real estate increased thanks to the 10-billion economic stimulus program, the increase in the amount of mortgage loans and the influx of cash. The prices of new and old apartments have increased accordingly. There is no regulation to control this as there is a secondary trading of the real estate market. As for citizens, they are responsible for the rise and fall of prices based on the principle of supply and demand.”

The price of building materials rose by an average of 85 percent during the pandemic. The cost of the budget has also increased by this amount, so the price of new housing has definitely increased. There are also companies that have raised their prices on building new houses. In 2023, the amount for mortgage loan dropped, and there a monetary policy to reduce cash in the economy was carried out. In accordance, the prices of apartments and real estate are decreasing.

G.Batsukh then said, “It can be understood that the prices of apartments are expected to drop as the prices of imported construction materials are decreasing.”

He also gave information regarding whether the import conditions have returned to normalcy and noted, “70 percent of the total import goods and materials come from Zamyn-Uud port. As the road port opened, the turnover of goods has improved, and the cost of transportation has decreased. However, the carrying capacity of the truck is limited. In the past, 50 tons of cargo was loaded on one truck, but now it is limited to 25 tons. This increases the cost of transportation. Cargo transportation is not as large as it was before the pandemic. As for railway, there are not enough wagons in China, and there is a one-month waiting period.”

BUILDING MATERIAL RESEARCH CONDUCTED

At the press conference, Head of the Construction and Building Materials Production of the Construction Development Center D.Batnyam informed of the quality of building materials. His information stated, as for Mongolia, most of the construc-

tion materials are received from China and Russia.

Construction material price research is presented in two to three types. Due to the pandemic, the price increase in con-

struction materials caused enterprises difficulty. According to the minister’s order, a price survey of 890 types of construction materials was carried out, and the price increase of enterprises was also calculated.

Currently, the price of construction materials is relatively stable. Rebar prices fell by 12 percent, while cement prices

remained stable. However, the price did not reach the pre-pandemic level. In the future, the price of building materials will

decrease.

D.Batnyam says regarding the building material quality, “Attention is paid on construction quality and inspections are conducted. A recent reinforcement inspection revealed several irregularities. According to the Law on Construction, the quality of building materials is determined by the certificate of conformity. The requirement to obtain a certificate of conformity is imposed on domestic and imported goods.”

Taxation organizations collected MNT 9.3 trillion to the state and local budgets, exceeding by MNT 1.1 trillion the planned MNT 8.2 trillion, according to the 2022 Financial Report.

Head of General Department of Taxation B. Zayabal announced that tax revenue of MNT 10.1 trillion would be collected to the state budget in 2023 at the opening of Taxpayers' Days, annually organized by the Department.

The top 10 biggest taxpayers announced are as follows:

• "Erdenet Plant" State-Owned Company leads with MNT 1.216.2 billion

• "Erdenes Tavantolgoi" JSC MNT 990.1 billion

• "Oyu Tolgoi" LLC MNT 439.9 billion

• "Energy Resources" LLC MNT 289.3 billion

• "Tavantolgoi" JSC MNT 261.6 billion

• APU JSC MNT 212.1 billion

• KHAAN Bank MNT 197.4 billion

• Golomt Bank LLC MNT 137.4 billion

• "COAL" LLC MNT 104.0 billion

• "Tsairt Mineral" LLC MNT 98.6 billion

Last year's performance shows that companies and enterprises engaged in mining, processing, financial and insurance sectors paid the most taxes.

Overseas and domestic operations of the Mongolian tax organizations have been fully transferred to the digital platform. This year's Taxpayers' Days will be celebrated under the slogan "Let's have service digitally," said Head of the General Department of Taxation B. Zayabal.

According to the tax revenue performance data for the first four months of this year compared to the same period of the last year, the tax revenue increased by MNT 1.5 trillion. The budget revenue plan and performance also exceeded by some MNT 1 trillion. This is directly related to the recovery of the mining industry and the volume of exports.

As for VAT revenue, internationally it accounts for 30-35 percent of the total budget revenue. In the countries of the European Union, it makes 33-34 percent while in Mongolia, 24-27 percent of the total budget revenue is generated from VAT revenue. Last year, MNT 1.7 trillion was collected only from VAT. Approximately MNT 257 billion was spent on the two percent VAT refunds, some MNT 10 billion were allocated for prizes and lotteries, totaling MNT 270 billion.

While previously the General Department of Taxation used to announce the 10 biggest taxpayers, since last year it started to select the top 10 taxpayers in four categories, dividing taxpayers into the following four segments:

• 900 enterprises in the large segment,

• 300 enterprises in the medium segment,

• 30 thousand enterprises the small segment,

• 150,000 enterprises in the micro segment.

Yesterday General Department of Taxation announced the top 10 companies from four segments each. The top 10 micro companies by activity profile represent wholesale and retail trade, information and communication, construction, administrative and support services, scientific and technical, housing and food service sectors.

On 8 May, Finance Minister B.Javkhlan met with newly appointed International Monetary Fund (IMF) Resident Representative in Mongolia Tigran Poghosyan, who is in Mongolia on a two-week study visit.

The sides exchanged views on the current economic situation in Mongolia the intensification of cooperation between the IMF and Mongolia, as well as on future activities during the meeting.

The term of office of IMF Resident Representative in Mongolia Yoon Seok Hyun expires in early July this year. New Resident Representative Tigran Poghosyan will work in Mongolia for three years.

Previously, he served as the IMF Resident Representative in Kyrgyzstan.

The U.S government will end the COVID-19 vaccine requirements for international air travelers at the end of the day on May 11, the same day that the COVID-19 public health emergency ends.

This means starting May 12, noncitizen nonimmigrant air passengers will no longer need to show proof of being fully vaccinated with an accepted COVID-19 vaccine to board a flight to the United States.

For more information please visit: https://travel.state.gov/.../update-on-change-to-us...