Mongolian authorities asked Russia to supply additional volumes of diesel fuel before the coming of cold weather, this should be resolved during December, Deputy Prime Minister Victoria Abramchenko told reporters on Tuesday. She was speaking after a meeting of the intergovernmental commission on trade and economic cooperation between Russia and Mongolia.

"We received an additional request from the Mongolian side to increase the supply of diesel fuel and are already discussing this issue in detail. In December, we should come to an appropriate decision. Today we heard about it for the first time. Our colleagues want us to resolve this issue very quickly, within December, before the coming of cold weather," Abramchenko said.

According to her, in order for Russia to be able to supply these volumes, Mongolia needs to adjust its laws on petroleum products. The Russian side proposed a formula that would make it possible to remove the relevant barriers.

"This law has been under consideration for more than two years, the amendment is ready, and we agreed that as soon as the Mongolian delegation returns home, they will launch the procedure for considering the amendment for the second reading, so that our operator will be the only supplier of oil products to the Mongolian market," Abramchenko explained.

She also stressed that Russia has already increased the supply of diesel fuel to Mongolia. "Over the past period, the volume of such deliveries from the Russian Federation has already increased by 60%," she specified.

Mongolia's inflation, measured as the consumer price index, surged year-on-year by 14.5 percent in October, said the country's National Statistics Office on Tuesday.

The index rose 1.3 percent from the previous month and 10.9 percent from the start of 2022. The increase is largely related to the higher prices for imported goods, the office said in a statement.

There are 410 items in the country's consumer goods and services basket, with 221 of them imported, said the statement.

Last week, on November 11, the State Great Hural approved the 2023 State Budget of Mongolia. At a time when the whole world is trying to strengthen its economy by switching to austerity mode, how Mongolia budgeted its budget is drawing people's attention. The current budget is unique in that it was approved at a time of uncertain risks, from the need to keep the inflation rate at a single digit in the next year to the impact of geopolitical and war issues.

Budget revenue to be 19 trillion 49.6 billion

The budget for the upcoming year will bring in MNT 19 trillion 49.6 billion in overall revenue, which is equal to 34.9 percent of the country's GDP. The total balanced budget deficit is anticipated to be MNT 1 trillion 425.7 billion, or 2.6 percent of the gross domestic product, whereas the total expenditures are MNT 20 trillion 475.3 billion, or 37.6 percent of the GDP. The budget was developed for the first time in accordance with the austerity law, officials emphasize. However, the total revenue expected to be collected in 2023 is MNT 3.4 trillion, which is more than 20 percent greater than the approved budget for 2022. The total deficit of the budget has been reduced to MNT 1.4 trillion, by MNT 127.6 billion compared to the previous budget. The deficit, for instance, hit MNT 4.4 trillion in 2020, MNT 2.9 trillion in 2021, and MNT 2.4 trillion in 2022.

Inflation rate to be kept at single-digit amount

Economic growth is projected to be 5 percent in Mongolia's budget for the following year, while inflation is projected to be 8 percent or a single-digit amount. However, according to international organizations, Mongolia's inflation rate would be between 10.5 and 13 percent in 2023. For instance, the Asian Development Bank found that Mongolia's inflation will still be high as a result of rising import prices brought on by disruptions in the supply chain, rising transportation costs, and the depreciation of the MNT relative to other currencies. According to the National Statistics Office of Mongolia, the depreciation of the MNT, problems with logistics and transportation, and excessive food inflation on the global market have all contributed to the inflation rate reaching 13.8 percent as of right now. The experts warn that projections may diverge due to the external environment's uncertainties, changes in the inflation rates of trading partners, and a decrease in the MNT currency rate.

Debt guarantee cap to be MNT 3.7 trillion

As of the halfway point of this year, Mongolia owes USD 33.3 billion in foreign debt. If we break it down, businesses have USD 21.3 billion, the government 8.1 billion, the central bank 2.5 billion, and the remaining USD 1.4 billion are issued to commercial banks. The maximum amount of international and domestic loans that the government may take in 2023 as part of funding the budget deficit is set at up to MNt 2.8 trillion. In particular, the government has been given permission to use up to MNT 1.2 trillion in foreign project loans. To put it another way, the government has estimated that it will receive MNT 4 trillion in loans to pay its losses next year. The maximum amount of the government's debt guarantee for the upcoming year will be MNT 3.7 trillion.

Mining sector to contribute MNT 4.9 trillion to budget

According to forecasts, state budget spending will rise by 58 percent in 2023 compared to 2022. It is anticipated that the Oyu Tolgoi underground mine will be put into operation next year, which would result in an increase in copper exports for our nation, which is dependent on mining. Mongolia, therefore, intends to step up the recovery of the border ports, increase the export of mineral goods, and concentrate its efforts on enhancing tax payments in the upcoming year. For instance, it is estimated that mining, which currently bears the bulk of the economy's weight, will produce MNT 4.9 trillion in revenue next year, or approximately 25 percent of the total budget revenue.

According to estimates, royalties from mineral resources will bring in MNT 2.5 trillion, 238 billion from gold, 1.7 trillion from coal, and 2.3 trillion from copper concentrate. In doing so, it was anticipated that copper would cost USD 8400 per ton and coal would cost USD 200 per ton. In addition, the completion of the railway connection between Gashuunsukhait and Gantsmod border port will result in a rise in coal shipments to 36.5 million tons in the next year. Experts have cautioned that recent coal export predictions have been overly optimistic, which could cause a disruption in the state's revenue. International specialists point out that although the cost of mineral products has risen in recent years on the global market, there is a tendency for it to fall in the coming years.

No new investments to be made

Although the government declared that it has fully shifted to austerity mode, the state budget expenditure was approved to be MNT 20 trillion 475.3 billion. Mongolia specifically boosted its expenditure over the prior year by 2.5 trillion. Mongolia will complete the construction projects begun in previous years and won't make any additional investments in the coming year. MNT 2 trillion 695 billion will be used to finance investment projects, measures, and constructions in the coming year while MNT 279.5 billion has been budgeted to spend on projects, measures, and constructions implemented under the turnkey contracts. For instance, 78 percent of the ongoing project will be completed in 2023, along with 86 schools, 62 medical facilities, 36 boarding homes, and 103 kindergartens. Public transportation fleet reforms will also be fully settled, and particular attention will be paid to decreasing the traffic in the upcoming year. In this context, the capital city will receive MNT 318 billion for the public transportation fleet renovation.

Finance Ministry's budget reduced by MNT 115.5 billion

One of the most important things that draw citizens’ attention is budget management. The funding that the Minister of Energy will use to finance the night electricity tariff has increased, as shown in the budget for the next year. Moreover, the budget of the Ministry of Energy and the Ministry of Environment and Tourism has grown by MNT 83.7 billion and MNT 11 billion, respectively, for the upcoming fiscal year. Additionally, MNT 18 billion more has been allocated to the Minister of Health's budget for the "Whole Liver-Mongolia" program's continuous implementation. On the other hand, the budget for the Minister of Finance has shrunk by MNT 115.5 billion, while the President's Office's expenses have declined by MNT 341 million.

Policy support to be provided for decentralization

The budget policy's implementation, which aims to balance urban and rural development, lessen excessive concentration, ease traffic congestion, and foster entrepreneurship and investment, will be closely watched the following year. For instance, citizens and entities shifting their businesses from Ulaanbaatar, the capital city, to the rural regions will be able to receive loans with a discounted interest rate of 1 percent, and individuals moving from the capital city will receive reduced mortgage loans of 3 percent.

In terms of the child allowance, it will be provided to 90 percent of all children of the households with a monthly income of less than MNT 3.5 million. Mongolia anticipates spending MNT 1.4 trillion on 1.1 million kids in 2023.

Thus, the budget was passed by the State Great Hural during a challenging moment for the economy, as rising inflation, a falling MNT exchange rate, and a decline in foreign exchange reserves will make things difficult for Mongolia's economy in the year to come.

Mongolia has provided housing mortgages to 6,469 borrowers since the beginning of this year, the country’s Ministry of Construction and Urban Development reported.

Over 80 percent of the housing mortgages were provided to residents in the capital city of Ulaanbaatar, which is home to over half of the country’s 3.4 million population. However, the Government is now focusing on providing housing mortgages in more provinces than Ulaanbaatar in order decreasing population density.

Since beginning implementing a mortgage loan program in 2013, a total of 109,800 borrowers have benefited from the housing program.

In order to increase affordability and accessibility of apartments and reduce air pollution in urban areas, the Mongolian government started implementing a mortgage loan program in 2013, targeting mostly families living in Ger district areas. With loan funding from the Bank of Mongolia, commercial banks have been providing Mongolian citizens aged above 18 years old housing mortgages at a subsidized interest rate of eight percent per annum for a maximum of 30 years for the purchase of an apartment of up to 80 square meters.

Beginning from October 2020, the Bank of Mongolia’s regulation on the housing mortgage financing have been changed to reduce the annual interest rate of housing mortgages issued after October 01, 2020 down to six percent with a view to make mortgages more affordable by providing reduced interest rate loans with government subsidies.

The COP27 has begun in Sharm El-Sheikh, Egypt. Leaders from over 100 countries and about 50,000 representatives from 180 countries are participating this year, being held 6-18 November 2022.

This year, Mongolia is paying huge attention and participating in more than 60 people which considering the largest delegations from Mongolia in COP’s history. President of Mongolia, Ukhnaa Khurelsukh, will be attending high-level meetings on November 7-8, and will present Mongolia's position on combating climate change, desertification, and mitigating global warming, as well as presenting policies and activities that have been implemented at the national level.

The COP27 officially included loss and damage in its agenda for the first time. According to the National Emergency Agency of Mongolia, the country faced direct economic losses of 1.6 trillion MNT between 2009 and 2019. Additionally, Mongolia need 30.3 trillion MNT or USD11.5 billion financing on adaptation and mitigation of climate change to reach its climate target by 2030.

“It is an important issue for less developed countries how to receive support, then deliver that support locally. Within this context, [support from] the Green Climate Fund, the Adaptation Fund, the Special Climate Fund, etc, that have been established to give support. However, addressing climate change is not just a matter of international organisations, to support developing countries. Mongolia needs to intensify its own efforts to combat climate change using public funds, also funding from the private sector,” said Damdin Dagvardorj, the Managing Director of Climate Change Development Academy.

When the pandemic hit, many countries were already grappling with economic challenges; inflation and poverty levels are rising, if no significant measures are taken to address climate change, developing countries will lose half a billion US dollars by 2030 and 1 trillion by 2050, according to the London School of Economics and Political Science. Mongolia emits 0.1 percent of the world's greenhouse gases today, half of which comes from the energy sector, but its per capita greenhouse gas emissions are 2.7 times higher than the world average, ranking 23rd in the world. Also, it’s estimated that 74 million tons of carbon dioxide equivalent or greenhouse gas emissions would be emitted by 2030

In its Nationally Determined Contributions document, Mongolia targets to reduce its emissions by 27.2 percent by 2030. But Mongolia has only recently submitted its emission action plan to the UNFCCC, said Batjargal Zamba, UN Climate Change Special Envoy to Mongolia.

“We should not only talk about this issue at the national level, but also at the international level. We should also consider what kind of collaborative pathways we can pursue, and where we should get our support from,” said Zamba.

Last year at COP26 in Glasgow, Khurelsukh introduced the One Billion Tree initiative by 2030. Since then, the country has planted 1 percent or 10 million trees, while biggest mining companies in Mongolia have pledged funds to plant 600 million trees. The One Billion Tree initiative is expected to absorb 11 percent of greenhouse gas emissions and neutralize desertification in the region.

This is a summary of a broadcast. Watch the original piece in Mongolian from NTV Broadcasting below.

This story was produced as part of the 2022 Climate Change Media Partnership, a journalism fellowship organized by Internews’ Earth Journalism Network and the Stanley Center for Peace and Security. It was first published in Mongolian by NTV Broadcasting on 8 November 2022 and has been translated to English and lightly edited for length and clarity.

New York, 15 November 2022 – The global population is projected to reach 8 billion on 15 November 2022, signalling major improvements in public health that have lowered the risk of dying and increased life expectancy. But the moment is also a clarion call for humanity to look beyond the numbers and meet its shared responsibility to protect people and the planet, starting with the most vulnerable.

“Unless we bridge the yawning chasm between the global haves and have-nots, we are setting ourselves up for an 8-billion-strong world filled with tensions and mistrust, crisis and conflict,” said UN Secretary-General António Guterres.

A more demographically diverse world than ever before

While the world’s population will continue to grow to around 10.4 billion in the 2080s, the overall rate of growth is slowing down. The world is more demographically diverse than ever before, with countries facing starkly different population trends ranging from growth to decline. Today, two-thirds of the global population lives in a low fertility context, where the lifetime fertility is below 2.1 births per woman. At the same time, population growth has become increasingly concentrated among the world’s poorest countries, most of which are in sub-Saharan Africa.

Against this backdrop, the global community must ensure that all countries, regardless of whether their populations are growing or shrinking, are equipped to provide a good quality of life for their populations and can lift up and empower their most marginalised people.

“A world of 8 billion is a milestone for humanity – the result of longer lifespans, reductions in poverty, and declining maternal and childhood mortality. Yet, focusing on numbers alone distracts us from the real challenge we face: securing a world in which progress can be enjoyed equally and sustainably,” said UNFPA Executive Director Dr. Natalia Kanem. “We cannot rely on one-size-fits-all solutions in a world in which the median age is 41 in Europe compared to 17 in sub-Saharan Africa. To succeed, all population policies must have reproductive rights at their core, invest in people and planet, and be based on solid data.”

Complex linkages between population, sustainable development and climate change

While the Day of 8 Billion represents a success story for humanity, it also raises concerns about links between population growth, poverty, climate change and the achievement of the Sustainable Development Goals. The relationship between population growth and sustainable development is complex.

Rapid population growth makes eradicating poverty, combatting hunger and malnutrition, and increasing the coverage of health and education systems more difficult. Conversely, achieving the SDGs, especially those related to health, education and gender equality, will contribute to slowing global population growth.

Relatedly, although slower population growth–if maintained over several decades–could help to mitigate environmental degradation, conflating population growth with a rise in greenhouse gas emissions ignores that countries with the highest consumption and emissions rates are those where population growth is already slow or even negative. Meanwhile, the majority of the world’s population growth is concentrated among the poorest countries, which have significantly lower emissions rates but are likely to suffer disproportionately from the effects of climate change.

“We must accelerate our efforts to meet the objectives of the Paris Agreement as well as achieve the SDGs,” said Li Junhua, UN Under-Secretary-General for Economic and Social Affairs. “We need a rapid decoupling of economic activity from the current over-reliance on fossil-fuel energy, as well as greater efficiency in the use of those resources, and we need to make this a just and inclusive transition that supports those left furthest behind.”

The need for a sustainable future built on rights and choices

In order to usher in a world in which all 8 billion people can thrive, we must look to proven and effective solutions to mitigate our world’s challenges and achieve the SDGs, while prioritising human rights. In order to pursue these solutions, increased investment from member states and donor governments is needed in policies and programmes that work to make the world safer, more sustainable and more inclusive.

Key facts and figures at a glance

It took about 12 years for the world population to grow from 7 to 8 billion, but the next billion is expected to take approx 14.5 years (2037), reflecting the slowdown in global growth. World population is projected to reach a peak of around 10.4 billion people during the 2080s and to remain at that level until 2100.

For the increase from 7 to 8 billion, around 70 per cent of the added population was in low-income and lower-middle-income countries. For the increase from 8 to 9 billion, these two groups of countries are expected to account for more than 90 per cent of global growth.

Between now and 2050, the global increase in the population under age 65 will occur entirely in low income and lower-middle-income countries, since population growth in high-income and upper-middle income countries will occur only among those aged 65 years or over.

Mongolia’s ministry of health reported 163 new COVID-19 infections on Tuesday, taking the national tally to 988,054.

No new related deaths were recorded since March, 2022, leaving the death toll unchanged at 2,179.

Last week, Mongolia reported the first case of new COVID-19 variant BF7-1, that has enhanced immunity evasion ability in comparison to its parental strain.

Mongolia is among countries that have highest vaccination rate against covid-19.

With high vaccination coverage and declining daily infections, life in Mongolia has essentially returned to normal. The country has resumed in-person classes for all educational institutions and fully opened its borders to foreign tourists in March, 2022.