ADB launches $92.6 million fund to support sustainable agribusiness in Mongolia www.qazinform.com

The Asian Development Bank (ADB) has launched a new fund aimed at expanding access to finance for herders, cooperatives, small and medium-sized enterprises and agribusinesses investing in sustainable livestock value chains in Mongolia, Qazinform News Agency cites the bank’s press service.

The Green Inclusive Regional Agribusiness Fund (GIRAF) was established with $92.6 million from the Green Climate Fund, under the ADB-supported Aimag and Soums Development Investment Program. An additional $25 million is expected to be provided by commercial banks.

The fund will support sustainable rangeland management, livestock production and rural businesses through concessional loans, credit guarantees, microfinance and grants for green innovation. The initiative is designed to address longstanding financing challenges facing Mongolia’s rural economy.

The GIRAF Fund represents a new approach to financing resilient rural development in Mongolia, said ADB Country Director for Mongolia John Juhyun Jeong.

“By providing tailored financial solutions for sustainable livestock production and improved rangeland management, the fund will help create jobs, strengthen rural economies, combat land degradation and desertification, and build resilience to disasters,” he added.

Temperate grasslands cover approximately 82% of Mongolia and underpin the country’s livestock sector, which accounts for around one-quarter of employment and more than 10% of gross domestic product.

However, Mongolia’s rangelands and the communities that depend on them are facing growing pressures from desertification and land degradation.

The GIRAF Fund will initially deploy $37.5 million, including a $3 million grant, to provide tailored financing for rural businesses. The financing package will include concessional loans, credit guarantees designed to reduce collateral requirements and grants supporting green innovation.

Priority will be given to businesses that have commercial partnerships and benefit-sharing arrangements with herders and herder cooperatives.

The initiative will also introduce a digital traceability and monitoring system using geospatial and remote-sensing technologies. The system will track investments and assess their environmental and socioeconomic impact.

By 2034, the GIRAF Fund is expected to support approximately 500 small and medium-sized enterprises and cooperatives and 1,000 microenterprises.

According to ADB, the initiative will help increase the value generated from livestock products while promoting sustainable rangeland management, land restoration and more resilient livelihoods in rural Mongolia.

Earlier, Qazinform reported ADB had priced a $2 billion 10-year global benchmark bond. 

Mongolia’s Rangelands Can Bounce Back–If the Livestock Model Changes www.blogs.adb.org

Reversing land degradation in Mongolia requires fewer animals, higher productivity, and farming that restores the land instead of exhausting it. This shift can raise incomes and boost resilience for herders and their families.

Mongolia’s grasslands are one of Asia’s great natural assets, covering about 1.2 million square kilometers—an area larger than France and Germany combined. Mongolia’s grasslands sustain pastoral livelihoods, retain water, and underpin a livestock economy that is central to national identity. But these rangelands are under growing stress. Desertification and land degradation are already visible in weaker pastures, thinner vegetation, drying water sources, and less resilience to changing weather patterns. 

As the land struggles, many herders have tried to protect their income by increasing livestock numbers.

Herd growth is also cultural: Nomadic herders see animals as savings, insurance, and pride. The result is a vicious cycle in which more animals graze the same land, soils degrade, the size of herds the land can support falls, animals enter winter in poor condition, and herders become even more dependent on herd size instead of better productivity per animal. 

Recent hard winters—known locally as “dzud”—have made this fragility painfully clear.

The answer is not to weaken pastoralism. It is to help pastoralism become more productive, resilient, and regenerative. 

We could protect and boost household income at the same time as reducing herd sizes gradually, if we provide fair incentives and plan proactively for higher productivity per animal, better raw-material quality, improve herders’ links to value chains. 

Environmentally smart herding practices such as rotating pastures, resting of degraded areas, protection of winter and spring reserves, harvesting water, preparation of fodder, and planned movement of animals can give grasslands time to recover.
 

Gradual reduction in herd sizes, guided by fair incentives and local planning, can ease grazing pressure without cutting household income.

Agriculture that promotes restoration of soil and nutrients can reinforce this transition. Restoring vegetation cover, increasing the organic matter in soil, protecting rivers and streams, reseeding bare patches, and managing manure and fodder systems more effectively all help soil hold more water and resist erosion. 

Healthy soil supports healthier pasture. Healthier pasture supports stronger animals. Stronger animals allow herders to earn more from fewer, better-managed livestock.

Community-based breeding programs offer a practical starting point for this shift. Instead of adding animals, herders work together to improve the quality of their flocks and herds. They select better animals for breeding, keep stronger replacements, and phase out poorer performers, matching breeding choices to what meat, hide, wool, and cashmere processors and markets need. 

Simple tools such as field measurements, fiber testing, animal records, planned mating, and basic offspring monitoring help communities see which animals perform better. Over time, this approach moves income strategies away from “more animals” toward “more value per animal.” This can help lay the foundation for quality‑based competitiveness that can support herders, cooperatives, processors, and local authorities. 

Scaling this change will take more than a single project. Mongolia can become a leader in livestock transformation through a package of mutually reinforcing reforms: community pasture agreements linked to the ability of a section of land to sustain animals; fair livestock taxation or grazing fees that are reinvested locally; pricing that rewards quality in cashmere, wool, meat, and hides; risk-financing tools that soften the blow of disasters; and public investment in veterinary care, breeding support, fodder, water infrastructure, and practical advice and training for herders.

Cooperatives can help pool purchases of supplies, enforce breeding rules, share equipment, and negotiate better prices. Processors can reward traceable, high-quality raw materials. Local governments can back pasture-use planning and protect key reserves. Done responsibly, the result could be transformative. Herders would own fewer but more productive animals. Livestock would enter winter in better condition. Communities would have stronger fodder reserves and face fewer catastrophic dzud losses.

Processors would receive more consistent raw materials. Pastures would have space to regenerate, with land slowly regaining vegetation cover and soils holding more moisture and carbon. Rural households could earn more secure incomes from a smaller ecological footprint.

This is the future Mongolia deserves: prosperous herders, resilient communities, competitive livestock value chains, and restored rangelands. The path begins with one clear idea: productivity, not herd expansion, is the foundation of a nature-positive pastoral economy.

The 17th Session of the Conference of the Parties to the United Nations Convention to Combat Desertification is under way in the Mongolian capital of Ulaanbaatar, and will run until 28 August.
 

Published: 24 August 2026

Author(s)

Au Shion Yee
Director, ADB's Agriculture, Food, Nature, and Rural Development Sector Office

Dustin S. Schinn
Water Resources Specialist, ADB's Agriculture, Food, Nature and Rural Development Sector

China, Arab countries release plan for desertification control at UNCCD COP17 in Mongolia www.bastillepost.com

China and Arab countries will deepen practical cooperation in combating drought, desertification and land degradation in the coming five years, according to an action plan released on Saturday in Ulaanbaatar, Mongolia.

The plan was released at a meeting of the Steering Committee of the China-Arab International Research Center for Drought, Desertification and Land Degradation and the China-Arab Cooperation Workshop, which were held on the sidelines of the 17th session of the Conference of the Parties (COP17) to the United Nations Convention to Combat Desertification (UNCCD).

Drought, desertification and land degradation are pressing ecological challenges shared by China and Arab nations. The action plan outlines concrete initiatives for the next five years, leveraging platforms such as the China-Arab Center and partnership networks to deepen cooperation in key areas including desertification control, degraded land management, and sandstorm monitoring and early warning.

The 17th session of the COP17 to the UNCCD officially commenced on Monday in Ulaanbaatar under the theme "Restoring Land, Restoring Hope." Delegates from UNCCD's 197 Parties, along with representatives from UN bodies, international organizations, civil society groups, research institutions and enterprises, gathered to discuss issues including restoration of degraded land, sustainable land management, drought resilience, and grassland protection and restoration.

Russia exports gasoline to its neighbors, while sales restrictions are in place in 58 regions www.nemoskva.net

Gasoline shortage in Russia intensifies, however, fuel exports continue. Deliveries of motor fuel abroad are carried out under intergovernmental agreements. They are not subject to the export ban imposed by the Russian government. extended until January 31 2027 year.

Mongolia will receive an additional 25 tons of AI-92.
On August 11, Mongolian Minister of Industry Damdinnyam сообщилRussia will supply the country with fuel in excess of the previously agreed volumes. By the end of the month, Mongolia will receive an additional 25 tons of AI-92 gasoline and 5 tons of jet fuel.

Agreements were reached with Rosneft, Gazprom Neft and the Russian Ministry of Energy.

At the same time, Russia is purchasing fuel from India and Belarus.
At the same time, Russia itself is purchasing fuel abroad. In August, gasoline and jet fuel imports will increase. up to 270 thousand tonsAbout a third comes from India. The remaining volumes, according to sources, are transshipped from tanker to tanker off the coast of South Korea and Malaysia.

In June, Belarus became the record holder for deliveries: in 25 days it put 2,4 times more fuel than in the whole of May.

Why is there a gasoline shortage in Russia?
In July, due to attacks on oil refineries, oil refining in Russia fell to a low not seen since 2002. This is approximately a third below the current seasonal norm.

By the beginning of July, gasoline production cover Reuters and Kommersant estimated that this figure was around 65-70% of summer demand.

Restrictions on sales are in effect in 58 out of 89 regions.
According to the BenZinMap portal, restrictions on gasoline sales will be in place by August 15 acted In 58 of 89 regions, localized power outages or price increases were also reported in another 18 regions.

Moon Jae-in to speak at UN desertification conference in Mongolia www.koreajoongangdaily.com

Former Korean President Moon Jae-in departed for Mongolia on Sunday to attend a United Nations conference on desertification and meet with the Mongolian president.

Moon left through Gimhae International Airport in the southeastern port city of Busan and will travel via Incheon International Airport to make a nine-day visit to Mongolia, the host of the 17th session of the United Nations Convention to Combat Desertification (UNCCD) Conference of the Parties.

He is scheduled to give a speech at the session's opening on Monday before attending a luncheon hosted by Mongolian President Ukhnaa Khurelsukh.
On Wednesday, he is scheduled to deliver a keynote speech at a high-level roundtable for the Peace Forest Initiative, a platform for global cooperation launched in 2019 jointly by the Korean government and the UNCCD.

This is Moon's second official overseas trip since leaving office in 2022. It was arranged at the invitation of the UNCCD and the Mongolian president.

COP17 in Mongolia: Finding solutions to land degradation www.euronews.com

Delegates of 179 members of the UN Convention to Combat Desertification engage with local communities and business partners to find solutions for land degradation which affects half of world's population and creates poverty and mass migration.
Geography says that 70% of land mass on our planet is suitable for human life. The rest is an extreme environment where people can hardly survive. But that proportion is rapidly changing. 40% of the soil humanity uses to sustain itself is already degraded and is becoming barren. Brought about by climate change, drought, misuse of agricultural land and other human activity, much of the habitable land is turning into a desert with natural, known deserts expanding every day.

This crisis was detected and its effects scientifically described already in the 20th century. The United Nations appealed to the member states saying that every community needs land to sustain life. Without land there is no food and it triggers poverty, migration and conflict. That is why the United Nations Convention to Combat Desertification (UNCCD) was approved in 1994 and came into force in 1996. It has 197 signatories. They meet regularly to find mechanisms to fight desertification and land degradation.

This year the United Nations entrusted Mongolia with organising the conference of parties, COP17. It opened in the capital of Ulaanbaatar on August 17 with participation of most UNCCD member states and over 400 different organisations and community representatives.

Why they need to do something urgently can be expressed in figures. Almost 3 and a half billion people on the planet are affected by land degradation. According to some estimates, it costs their states and local communities 900 million dollars every year to do something about it and save people from loss of income and food sources.

Droughts have increased by two thirds since the year 2000.

Water is becoming a scarce resource and the demand for it will surpass the sources by 40% by 2030.

85% of the affected people live in medium and low-income countries and much of the mass migration has to do with food and income being unavailable due to land degradation.

Our languages, cultures, ethnic backgrounds and religions may differ, but we share a common determination to safeguard the future in which we can all continue to live in harmony with Mother Earth.
 Nyam-Osoryn Uchral 
Prime Minister of Mongolia
The story of the host country, Mongolia where cost to produce a loaf of bread has tripled over just one past decade was repeated by all other participating regions. From the very opening, the leaders were eager to stress that the COP17 is not about some distant environmental worry, but about the problem that is already here and getting worse by the month.

“This summer we saw across different parts of the world, also in Europe, how drought disrupted river transport and strained energy production. It reduced agricultural yield and induced wildfire with losses of lives. Similar stories are there around different parts of the world that we never thought would be affected. The message is clear, droughts are no longer just an environmental issue, they are not just absence of rain or a geographic environmental issue. They are a systemic risk to food and water security, to international commerce, energy supply, livelihood and , simply to stability and prosperity,” said dr Yasmin Foudh, Executive Secretary of the UNCCD at the opening ceremony.

Mongolia has been chosen as the venue for the COP17 for three reasons. First, it wanted to be the host and applied 4 years ago. Second, it is among the countries that feel effects of land degradation. Over the last 8 decades the average temperature in Mongolia rose by 2 degrees Celsius and precipitation dropped significantly. Winds started carrying sand from the Gobi desert over the Mongolian flatlands all the way to South Korean and even Japan. Last but not least, it has been on the forefront of global efforts to combat the spread of deserts.

“Mongolia, our vast country, is among the most affected by the challenges facing the world today. On this vast territory, where there are only two people per every square kilometre, 77% of the country, or in another words, eight out of every ten steps of the land, are affected by desertification and is increasingly being covered by the encroaching sands,” said Mongolian Prime Minister, reminding that since his country joined the UN Convention on Combating Desertification, it has implemented many measures in its development plans.

Assuming the role of the COP17 president, Mongolia’s Foreign Minister Battsetseg Batmunkh pledged her country’s full commitment to combating the degradation of the land that the fabric of her nomadic nation is made of. Pledge supported by action taken so far.

“Today, Mongolia is contributing to global efforts through national initiatives aimed at protecting ecosystems, combating desertification, restoring degraded land, strengthening food security and increasing the resilience of our people and communities. The Billion Trees National Movement, the Food Revolution, White Gold and Unlock initiatives launched by the President and the Prime Minister of Mongolia, together with the recently adopted law on climate change, are tangible expressions of this national commitment. At the multilateral level, Mongolia initiated the United Nations General Assembly resolution proclaiming 2026 as the International Year of Rangelands and Pastoralists,” said Foreign Minister Batmunkh.

What are the solutions and what can COP17 achieve?

There is no one solution to the problem of desertification as each region has its own specific problems with drought, land degradation and their consequences. The sheer scale of the expense needed to combat the problem, estimated at almost 6,500 billion dollars a year sounds like unsustainable lost cause. But it is not so.

Experts have calculated and business people proved, that in many projects aimed at saving soil from turning into Mars-like surface, for every 1 dollar invested you can get 7 to 30 back. Because it is the investment into sustainable food production and green projects, all of which is profitable.

This is fortunate because it allows for the private money to flow into the desperately needed solutions. Since the establishment of UNCCD many countries have implemented measures and added them to their development programmes. Public-private cooperation have been established.

“Countries have already committed to the one billion hectare by 2030 and more than 70 countries had submitted already their drought management plans. So we are not starting from scratch. More than 100 countries would like to translate the land plans into actual projects, investable projects with the potential of 2 billion US dollars. More than 300 businesses are already engaging with us here,” says executive secretary Foudh.

There are many corporate parties involved in the conference as it seeks to utilize private funds and only the host country expects more than 1.5 billion dollars of funds to be directed at its programmes of re-forestation, green energy and sustainable agriculture.

But equally important impact of COP conferences is the interaction between all the stakeholders in the battle against losing soil. In this particular one, more than 500 representatives of indigenous communities, from Amazonia, through Africa to the Asian steppes, were able to speak and relate their problems and proposed solutions.

With 60 organisations exhibiting their solutions and over 400 cultural and scientific events, COP17 also promises to be the of the busiest and liveliest ones during the 12 days of gathering.

Organisers expect more than 30,000 people to visit the event before it closes on August 28.

Mayors Exchange Good Practices, Seek New Partnership Models at COP17 www.montsame.mn

The Mayors’ Forum is being held in Ulaanbaatar as part of the 17th session of the Conference of the Parties to the United Nations Convention to Combat Desertification (UNCCD COP17).

Opening the forum, Purevdagva Bayruuzana, Governor of the capital and Mayor of Ulaanbaatar, said that although Mongolia has preserved a nomadic heritage of living in harmony with the land, land degradation, drought and desertification have become major challenges, as they have in other countries.

“Desertification, water scarcity, climate change, pasture degradation and the resulting adverse impacts of dust storms are not confined by national borders. Therefore, partnerships among cities and international cooperation are essential. COP17 provides an opportunity to learn from good practices, share challenges and solutions facing the region, and address them together.

“Ulaanbaatar, as a major economic and financial center generating around 70 percent of Mongolia’s GDP, should play a leading role in promoting green economic cooperation through partnerships among cities and in reducing pasture degradation. Partnerships among cities and appropriate investment solutions will be crucial to implementing the goals put forward at COP17.

“We seek to learn from your good practices and jointly introduce new ideas and partnership models that can benefit all parties.

“Ulaanbaatar will take the lead in serving as a bridge for cooperation through city partnerships and an investment system based on the green economy. We will also put forward the ‘Ulaanbaatar Declaration,’ which will reflect the common positions and shared goals of cities, and the ‘Ulaanbaatar Initiative,’ which will link these goals with concrete actions and investment. Partnerships among cities and investment opportunities will be an important step toward international cooperation. I believe the new ideas and solutions emerging from this forum will mark the beginning of long-term cooperation.”

The forum brings together city leaders from around the world, representatives of international and research organizations, development partners, financial institutions, and the private sector for high-level policy discussions, scientific and technological exchanges, and the sharing of urban experiences. It aims to promote the international sharing of policies, good practices, technologies, innovations and nature-based solutions implemented at the city level; connect the voices and participation of local governments with the UNCCD process; and establish an institutional and financial foundation for sustained cooperation among cities.

Yasmin Fouad, Executive Secretary of the United Nations Convention to Combat Desertification, said that more than half of the world’s population is projected to live in cities and urban areas by 2050.

“The concentration of people, economic activity and infrastructure is making cities key centers for human development and environmental sustainability. When we talk about land, we cannot leave the people living on that land out of the equation. Urban areas should not be treated differently from rural areas. It is important to consider how financial resources can be delivered and how land and water can be managed properly. These issues must be addressed in an integrated manner.

“Therefore, we are discussing resilience to land degradation and climate change, and by the final day, we will make decisions for healthy and resilient land for all,” she emphasized.

Sandag-Ochir Tsend, Minister of Environment and Climate Change, noted that although desertification, drought and land degradation are often considered local issues, their consequences affect people’s lives through migration, air pollution and other impacts, making cities recipients of these risks. He stressed that mayors are among the most important actors in implementing the goals put forward globally at COP17.

He also emphasized the importance of cities in providing global leadership, saying that it is not enough simply to discuss green finance, investment and urban planning. Instead, successful solutions implemented in one city should be replicated in other cities.

The Minister added that Mongolia is ready to work with international and financial institutions, the private sector and civil society to address these challenges.

Dr. Ursula Sautter, a member of the Bonn City Council and Deputy Mayor of Bonn, Germany, spoke about the challenges facing her city.

“Since May, temperatures in Bonn have reached 35–40 degrees Celsius. The city’s buildings were not designed to cope with such extreme heat. The soil has become like a desert, making conditions difficult for trees, plants and birds. Water levels have fallen to levels never seen before in centuries. This is the first time we have experienced such difficulties, which other countries have faced before. In this regard, I am grateful to be participating in this forum,” she said.

She noted that money alone cannot solve all problems and said that, in addition to encouraging businesses operating in the city to contribute to biodiversity and environmental protection, Bonn is receiving financial assistance from local landowners to help address the challenges it faces.

Representatives of 33 countries, 24 cities, 51 international organizations and 23 domestic organizations are participating in the forum.

First 110 Green Housing Units Completed at Sharkhad Sub-Center www.montsame.mn

The first 110 green housing units have been completed and commissioned at the Sharkhad sub-center in Ulaanbaatar.

Built under the Ulaanbaatar Green Housing Project, the buildings are estimated to reduce energy consumption by 25 percent for residents, water consumption by 20–25 percent, and the embodied energy of construction materials by 20–25 percent compared with conventional buildings.

Speaking at the opening ceremony, Purevdagva Bayruuzana, Governor of the capital and Mayor of Ulaanbaatar, said, “The Ulaanbaatar Green Housing Project is being implemented at the Bayankhoshuu and Sharkhad sub-centers with financing from the Asian Development Bank and the Green Climate Fund to shift Ulaanbaatar from a monocentric to a polycentric city, reduce urban concentration, and ease traffic congestion.

“A total of 338 green housing units are being built at the Sharkhad sub-center. Today, the first 110 units have been commissioned and are ready to accommodate residents.

“The green housing units in Ulaanbaatar have received EDGE certification, a green building certification recognized in more than 150 countries worldwide. In other words, the buildings use environmentally friendly and human-centered construction materials and are designed to save water and energy, making them more comfortable for residents.

“Going forward, we will launch projects to develop 4,200 green housing units in partnership with the private sector. The project will help save 2.4 million kWh of electricity and 5.5 million liters of water annually, and improve residents’ living conditions.”

Under the Ulaanbaatar Green Housing Project, a total of 4,200 green housing units are planned to be developed as an integrated project, together with 120,000 square meters of green space, 16.4 kilometers of bicycle lanes, 39.2 kilometers of pedestrian paths, and 3,800 parking spaces.

Ten percent of the green housing units will be designated for persons with disabilities, making it the largest housing project in the city designed to provide an accessible living environment for people with disabilities. The buildings feature accessible entrances and exits, while their interior layouts have been designed to accommodate residents with disabilities.

Basic pensions for senior citizens to increase by MNT 100,000–300,000 from November 1 www.gogo.mn

Prime Minister N.Uchral presented amendments to Mongolia’s 2026 State Budget on August 20, 2026, and announced plans to accelerate the implementation of social insurance reform.

“Under the reform, basic pensions for senior citizens will be introduced starting November 1, 2026, with pension amounts expected to increase by MNT 100,000–300,000.

The current average monthly pension is approximately MNT 955,000 and is expected to increase by MNT 233,800, reaching approximately MNT 1.19 million.

A total of 435,000 senior citizens are expected to benefit from the reform, which will require an estimated MNT 1.2 trillion in funding.

This reform aims to reduce disparities in the pension system and ensure a fairer assessment of the work, years of service, and contributions of senior citizens. It will recognize the contributions of the older generation and make the pension system fairer,” Prime Minister N.Uchral said.

Currently, 435,000 citizens in Mongolia receive pensions.

Tourism driven by inflated figures, left behind in development www.ubpost.mn

The international tourism market is steadily recovering and has overcome the crisis caused by the zero-activity period during the COVID-19 pandemic in 2020–2021, according to UN Tourism. Last year, 1.5 billion tourists traveled worldwide, generating 2.2 trillion USD in tourism revenue. Both the number of travelers and the sector’s revenue increased three to fourfold compared with five years earlier.

In the first quarter of this year, 307 million international tourists traveled abroad, marking a two percent increase from the same period a year earlier. According to forecasts by the World Travel & Tourism Council (WTTC) and Statista, the number of tourists is expected to exceed one billion by the end of the year, while direct spending in the tourism sector is projected to reach 1.07 trillion USD, representing a 6.8 percent increase. “International tourism has passed through its most vulnerable period following the prolonged crisis and is now on a path of sustainable growth,” researchers concluded.

Meanwhile, Mongolia welcomed a record 847,000 tourists in 2025, the highest number in the country’s history, with tourism revenue reaching 728 million USD, according to official figures. The number of visitors was 14 to 25 times higher than during the pandemic period, while tourism revenue increased by 91 percent.

Last spring, UN Tourism named Mongolia among the world’s 20 fastest-growing tourism destinations, noting that the country is emerging as a strong competitor and a new destination in the regional tourism market.

As of the first eight months of 2026, 622,000 tourists have arrived in Mongolia. With the peak tourism season nearing its end, researchers have warned that it remains uncertain whether visitor numbers will increase significantly in the coming months and whether the country will meet its target of surpassing last year’s figure by the end of the year.

Although the sector’s overall performance and key quantitative indicators remain positive, a number of significant risks and pressing challenges lie behind these figures. Below, we compare the trends and changes in the international and Mongolian tourism markets.

QUANTITY OR QUALITY?

International tourism is shifting from a focus on quantity to quality, adopting a “value over volume” strategy. Rather than simply counting the number of tourists, countries are increasingly prioritizing the value visitors bring to local economies and communities and their overall economic impact.

According to research by UN Tourism, although modern travelers are taking trips less frequently, the average length of their stays and the amount they spend per trip have increased by 18–22 percent compared with the pre-pandemic period. For example, although the number of foreign visitors to France, one of Europe’s leading tourism destinations, in 2024–2025 had not yet returned to 2019 levels, tourism revenue exceeded 63.5 billion EUR, reaching a historic high. This has been attributed to tourists becoming more willing to spend on cultural events and premium services.

According to Spain’s National Statistics Institute (INE), the average daily spending of tourists visiting the country has risen to 170–195 EUR, a 21 percent increase from six years ago. Tourists are increasingly seeking longer, more comfortable and higher-quality travel experiences.

For this reason, international tourism markets are moving away from simply pursuing higher visitor numbers and are increasingly adopting policies aimed at maximizing the economic benefits generated by each tourist while reducing tourism’s negative environmental impact—in other words, shifting from volume to value.

Along with this trend, major cities around the world have begun introducing taxes and other measures to limit tourist numbers. Rather than accommodating millions of “low-spending” visitors, they are introducing regulations to attract and filter for economically capable, “high-value” travelers.

The authorities in Venice, Italy, for instance, have introduced an entry fee of 5 to 10 EUR for short-term visitors, particularly day-trippers. Amsterdam in the Netherlands has imposed a strict cap aimed at keeping annual tourist numbers below 20 million and has completely banned the construction of new hotels and certain tourism-related facilities in the city center.

These are just a few examples of the numerous policies and decisions introduced around the world to restrict and regulate tourism. This is the direction in which the macro trends and flows of international tourism are moving.

On the other hand, what is happening in Mongolia? A strategy of “value over volume”. Mongolia, however, has continued to pursue almost the opposite approach and remains firmly committed to it. Rather than focusing on the quality of tourists and the value they bring to the tourism sector, the country continues to chase visitor numbers.

This is the main reason Mongolia remains fixated on its goal and aspiration of attracting one million tourists. It also helps explain why tourism statistics and performance reports may appear positive while the actual situation on the ground remains less favorable.

For example, Mongolia welcomed 727,000 tourists in 2024. That year, tourism revenue reached a historic high of approximately 1.5–1.6 billion USD. However, despite receiving more than 120,000 additional visitors last year, tourism revenue barely reached 720 million USD. Industry experts say a similar situation is likely to be repeated this year.

According to reports from the Immigration Agency of Mongolia and the Tourism Professional Association, Russians and Chinese accounted for approximately 50–60 percent of the tourists who entered Mongolia this year. However, they are reportedly rarely seen in major tourist destinations, protected areas or tourism service facilities. Meanwhile, Japanese and South Korean visitors are said to make up the majority of tourists traveling to rural areas.

This is linked to the fact that Mongolia registers virtually every foreign passenger entering the country as a tourist, resulting in inflated visitor figures. The authorities do not adequately distinguish or accurately count how many of those arrivals are genuine tourists. This is the fundamental reason why tourist numbers continue to rise rapidly while tourism revenue and profitability indicators fail to show a corresponding increase.

Since the beginning of 2026, the number of travelers arriving in Mongolia has exceeded the same period last year by more than 20,000. International organizations continue to highlight Mongolia as one of the countries maintaining steady growth in tourism.

Yet tour operators and tourist camp operators say business activity has been relatively slow this year and revenues have been poor. The flow of visitors from South Korea, which has become one of Mongolia’s target tourism markets in recent years, has also reportedly declined sharply.

For this reason, tourism businesses and researchers are calling for a fundamental change: “At the very least, let us start by producing accurate tourist figures. We should stop counting every foreign national who crosses the border, including those who come to Mongolia to work on construction or road projects, as a tourist.”

They believe that only by doing so can Mongolia genuinely shift from quantity to quality and increase the actual economic benefits generated by tourism.

TRAVEL TRENDS AND PRIORITIES

Internationally, wellness tourism, which focuses on relaxation and health, and climate-sensitive tourism, which emphasizes environmentally responsible travel and sensitivity to climate change, are emerging as major trends.

Wellness travelers do not simply seek medical treatment and services. They choose these programs to support their mental health, relieve accumulated fatigue, escape social stress and recharge. They are increasingly willing to pay for travel packages offering a wide range of experiences, including yoga, meditation, spa treatments, hot springs, healthy eating, digital detox programs that limit smartphone and internet use, and relaxation in natural surroundings.

According to research by the Global Wellness Institute (GWI), wellness travelers spend 130 percent more than conventional tourists. As a result, countries are increasingly viewing them as high-value tourists and developing specialized products and services to attract them.

Climate-sensitive tourism, meanwhile, typically involves environmentally friendly programs, greater reliance on local communities and more traditional forms of travel. Studies have found that modern tourists, particularly Millennials and Generation Z, increasingly prefer eco-friendly travel programs that leave a minimal environmental footprint. Among younger travelers, even choosing airlines that operate aircraft with lower carbon emissions, as well as traveling by electric vehicles and horseback, is becoming increasingly popular.

Then, what types of tourism are trending in Mongolia? People working in the industry say wellness tourism aimed specifically at relaxation and health has yet to develop in Mongolia and remains a relatively new concept and service. However, nature-based and eco-tourism have gradually developed over the years.

B.Erkhem, who has worked as a tour guide for about 20 years, said, “Cultural tourism based on nomadic life and special-interest tourism remain the leading directions in Mongolia. Although they may sound like separate categories, both are essentially forms of nature-based tourism. Mongolian culture and nomadic life cannot be separated from nature. Special-interest tourism includes horseback riding, wildlife and bird watching, watching the sunset in the Gobi and visiting dinosaur footprints—all of which are connected to nature. The key issue is how we can align and develop these experiences with global trends in sustainable and eco-friendly tourism.”

“In recent years, more herder families in central provinces such as Arkhangai, Bulgan and Selenge have started hosting tourists. Cultural festivals and other events are also becoming more common. Integrating these activities with sustainable tourism policies would make them more valuable. Should we simply welcome every tourist who comes here and show them our most valuable product—our natural environment—for almost nothing? Mongolians can charge extremely high prices for empty buildings and vacant gers, yet we have failed to place a similar value on our natural environment,” the tour guide continued. 

“People criticize even a fee of 20,000–30,000 MNT for entering protected areas. But Bhutan, for example, charges every tourist a 100 USD sustainable development fee. They do not simply show visitors their natural environment; they also factor in the risks and costs associated with protecting it. We need to move closer to this model,” B.Erkhem further added. 

According to UN Tourism, the most pressing challenges currently facing the international tourism market are fluctuations in fuel prices and rising transportation costs stemming from the crisis in the Middle East.

For Mongolia, however, the most immediate challenge appears to be inflated tourism figures, and the policies and decisions of policymakers who continue to approach those figures without adequate scrutiny.