Historical Breakthrough: Mongolia and China Unite Energy Networks for the First Time www.open.kg

A new open distribution substation (ODS) 220 kV "Zes-Oyu" has been launched in Mongolia, marking an important step towards diversifying energy resources. The project was fully funded by the "Oyu Tolgoi" company. This substation includes six inputs and a 3-kilometer overhead power line, allowing for the import of electricity from Inner Mongolia (China) during peak winter loads. Thus, Mongolia is ending its half-century dependence on a single electricity supplier.

Construction Achievements and Safety

The scale of the work on the construction of the substation is impressive: the project was implemented with the participation of more than 20 local companies and 2000 Mongolian engineers. The total labor input amounted to over 600,000 man-hours. All construction work was completed without a single case of injury, which demonstrates high safety standards.

Significance for the Energy System

The opening ceremony was attended by key figures in the energy sector, including Mongolia's Minister of Energy Naidalaa Badrah. He emphasized the importance of the new distribution complex for the country, noting that it will enable the import of up to 80 MW of power and enhance the reliability of energy supply in the South Gobi region. This is a historic moment, as Mongolia and China are connecting their energy systems directly for the first time.

Key facts about the project include:

Safety and scale: More than 20 national companies and over 2000 Mongolian specialists are working on the project, completing it without accidents.

Technical specifications: The substation includes six inputs and a 3 km overhead power line.

Relief for the Central Energy System: The imported capacity of 80 MW will reduce the load on the country's energy system.

The commissioning of the ODS "Zes-Oyu" and its connection to the energy system of Inner Mongolia opens new horizons for international cooperation. For the past five decades, Mongolia has been exclusively linked to Russia and is now gaining the opportunity to diversify its energy sources.

Emergency weather warning: Mongolia to be hit by abnormal heat, thunderstorms, and a sharp rise in river water levels www.open.kg

The National Agency for Meteorology and Environmental Monitoring of Mongolia has issued an emergency warning for citizens, tourists, and herders. In the coming days, most of the country is expected to experience intense heat, accompanied in the northern regions by heavy thunderstorms, gusty winds, and hail. Meteorologists point to a high risk of a sharp rise in river water levels and possible flooding.

Weather forecast by regions of the country:

In most regions of Mongolia, variable cloudiness is expected today. In some areas of the western, central, eastern, and Gobi aimags, brief rains with thunderstorms may occur. Wind speeds will be 4–9 meters per second (north — northwesterly, in other areas — westerly), but sharp gusts of wind may be observed during thunderstorms.

The air temperature in the mountain ranges of Khangai, Khuvsgul, and Khentii, at the sources of the Zavkhan River, in the vicinity of Khürenbelchir, as well as in the valleys of the Eg, Uur, Tuul, and Terelj rivers will be lower: +22…+27°C. In most other regions, the temperature will rise to +26…+31°C. The greatest warming is expected in the Basin of the Great Lakes and the southwestern part of the Gobi Desert, where temperatures may reach +32…+37°C.

Forecast for the capital (Ulaanbaatar):

In Ulaanbaatar and the districts of Baganuur and Terelj, cloudy weather with thunderstorms is expected. The wind will be from the west, at a speed of 4–9 m/s, with possible gusts during thunderstorms. The daytime temperature in the capital and Baganuur will be +26…+28°C, while in the resort area of Terelj it will be +25…+27°C.

Safety recommendations:

The Main Emergency Management Agency of Mongolia strongly urges residents and tourists to avoid resting near riverbeds and bodies of water, and not to set up camping sites in river floodplains due to the threat of sudden flooding. Drivers are advised to exercise increased caution on rural roads in conditions of reduced visibility during strong wind gusts and hail.

1,439.2 kg of Precious Metals Purchased Last Month www.montsame.mn

In July 2026, the Bank of Mongolia purchased 1,439.2 kg of precious metals, bringing the cumulative total since the beginning of the year to 8.9 tonnes.

Of this total, the central bank's branch in Darkhan-Uul aimag purchased 431.8 kg, while the branch in Bayankhongor aimag purchased 1,677.1 kg of precious metals, representing a 26.1% increase compared to the same period last year.

The Bank of Mongolia sets its purchasing prices for precious metals based on global market rates. In July of this year, the average purchase price for 1 gram of gold was MNT 469,752.63.

Mongolia to Chair COP17, Steering Global Environmental Talks www.montsame.mn

Mongolia is preparing to host and chair the 17th session of the Conference of the Parties (COP17) to the United Nations Convention to Combat Desertification (UNCCD) in Ulaanbaatar from August 17 to 28.

As part of the preparations, the Ministry of Environment and Climate Change, the Ministry of Foreign Affairs, the UNCCD Secretariat, and the Center for Multilateral Negotiations (CEMUNE) are jointly hosting the "UNCCD COP17 Endgame Workshop" to enhance the knowledge, negotiation skills, and leadership capabilities of the Mongolian government delegation.

Opening the workshop, Minister of Environment and Climate Change Sandag-Ochir Tsend emphasized that the presidency's role extends beyond logistics. He noted that the host nation must lead the negotiation process fairly and transparently, build trust, bridge differing positions among member states, and advance key policy decisions.

Sandag-Ochir highlighted that land degradation, drought, desertification, climate change, water security, and necessary financing have become central topics in global sustainable development discussions. Under these circumstances, he stressed the importance of Mongolia demonstrating diplomatic leadership to advance multilateral negotiations, strengthen consensus among parties, and elevate international cooperation.

Tourism Industry Associations Urge Immediate Improvement in Fuel Supply www.montsame.mn

The Mongolian Professional Tour Guides Association held a press conference urging the Government of Mongolia to take immediate action to normalize the fuel supply, which is currently in short supply, during the peak of the tourist season and ahead of the 17th Conference of the Parties (COP17) to the UN Convention to Combat Desertification.

As the number of international delegates and guests will increase during the COP17 this August, the association called for an urgent meeting among the Ministry of Culture, Sports, Tourism, and Youth, the Ministry of Roads and Transport, the Ministry of Industry and Mineral Resources, the Mongolian Professional Tour Guides Association, fuel importing companies, and other industry representatives.

The association requested immediate action to ensure a stable fuel supply and uninterrupted operation of air and road transport. The representatives emphasized that a fuel supply disruption could pose severe risks not only to the tourism sector but also to Mongolia's reputation.

As of July 31 of this year, Mongolia has welcomed 568,989 foreign tourists, an 18.9% increase compared to the same period last year. In July alone, the country received 150,257 tourists, marking the highest figure in the past four years.

However, representatives of tourism sector associations highlighted that the ongoing fuel shortage is disrupting the normal operations of international and domestic flights, road transport, tour itineraries, tourist camps, and hospitality services, negatively impacting the safety of tourists and the overall quality of services.

Fuel Sales Restricted to Odd-Even License Plate System www.montsame.mn

The Operational Headquarters for Stabilizing Petroleum Product Supply and Distribution, established by decree of the Prime Minister and led by Minister of Industry and Mineral Resources Damdinnyam Gongor, has issued a decision to limit fuel sales starting at midnight on August 3, 2026, due to nationwide fuel shortages.

Under the new measure, fuel distribution will be restricted based on odd and even license plate numbers, capped at MNT 50,000 per vehicle. The sale of fuel in loose containers has been strictly prohibited.

According to the Ministry of Industry and Mineral Resources, this regulation, commonly implemented in many countries, aims to ensure the fair and efficient distribution of reserves, minimize waiting times at petrol stations, and preserve fuel availability for rural areas. The restriction will remain in place until August 15.

Minister Damdinnyam emphasized that the global oil crisis and transportation difficulties affecting crude oil, fuel, and finished petroleum products are directly impacting Mongolia. "In July alone, Russian oil refineries were targeted by 190 drone attacks, a tenfold increase compared to last year. These attacks rendered 16 refineries inoperable, reducing processing capacity by up to 45%," the Minister clarified.

In terms of immediate supply measures, 1,000 tons of aviation fuel arrived on August 3, 2026, at the Zamiin-Uud border port. The authorities are focusing on increasing shipments from Russia, holding talks with ministerial and industry representatives from the Republic of Korea, and overseeing initial shipments from the People’s Republic of China, comprising 2,000 tons of diesel and 6,000 tons of AI-92 petrol.

Calling for unity to navigate this challenging period, Minister Damdinnyam stated, "We are striving to resolve this issue with minimal inconvenience to citizens while managing our reserves responsibly. We are also reserving 7,000 to 10,000 tons of diesel fuel required for the upcoming autumn harvest. Our main goals are to prevent supply disruptions and avoid excessive price hikes."

Mongolia's demand for petroleum products increases by 14% annually. The country consumed 3 million tons of petroleum products last year and 1,783,000 tons in the first seven months of this year. AI-92 petrol accounts for 30% of total consumption, while diesel fuel comprises 63%. The central and Gobi regions account for 80% of total national consumption.

Korean law firms boost Mongolia pro bono with new support center www.biz.chosun.com

Domestic law firms DLG, Jipyong, and Bae, Kim & Lee (in alphabetical order) collaborated to open the Pro Bono Support Center of the Mongolian Bar Association.

According to Jipyong on the 4th, on the 31st, the Mongolian Bar Association opened the Pro Bono Support Center in the capital, Ulaanbaatar. "Pro Bono" is short for the Latin phrase Pro Bono Publico, meaning for the public good, and refers to activities in which professionals share their knowledge and skills with society without compensation.

At the opening ceremony, key Mongolian human rights and legal figures attended, including Munkhbat Munkhdorj, president of the Mongolian Bar Association; Hurelbaatar Basanzargal, a lawmaker and human rights lawyer; and Gerel Dondovdorj, a Commissioner of the UN Committee on the Rights of Persons with Disabilities. From Korea, Jipyong managing partner Lim Sung-taek and DLG attorney Kim Yong-hyuk attended and delivered congratulatory remarks.

In his congratulatory remarks, managing partner Lim Sung-taek congratulated the Mongolian legal community on taking a new step to protect the rights of the socially vulnerable and said he hopes Korea's experience will help develop Mongolia's pro bono culture.

Attorney Kim Yong-hyuk cited the proverb "If you want to go far, go together," and said he hopes the opening of this Pro Bono Support Center will be a starting point for the legal communities of Korea and Mongolia to grow and cooperate together.

Attorney Odonzav Chendjav, appointed as the inaugural head of the Pro Bono Support Center of the Mongolian Bar Association, requested Korea's continued interest and cooperation, saying, "We want to receive and share Korea's many experiences, know-how, and knowledge." DLG, Jipyong, and Bae, Kim & Lee plan to continue supporting and cooperating to strengthen the Mongolian Bar Association's capacity for public-interest activities.

With its launch, the Pro Bono Support Center of the Mongolian Bar Association set three key areas of activity—▲ children's rights ▲ rights of persons with disabilities ▲ social welfare—and designated dedicated attorneys for each field.

Mongolia attracts nearly 569,000 foreign tourists through July www.qazinform.com

By July 31, 2026, Mongolia received 568,989 foreign tourists, an increase of 90,537, or 18.9%, compared with the same period last year, Qazinform News Agency reports, citing Montsame.

Foreign tourist arrivals in Mongolia have grown steadily over the past four years. By July 31, tourist arrivals stood at 364,594 in 2023, 435,037 in 2024, and 478,452 in 2025, reaching a record high of 568,989 this year.

In July 2026 alone, 150,257 foreign tourists visited the country. This is a 16.7% increase, or 21,449 more tourists, than the 128,808 arrivals recorded in July of last year.

Analyzing July arrivals over the last four years reveals 100,911 tourists in 2023, 139,502 in 2024, and 128,808 in 2025. July 2026 set a record with 150,257 visitors. This steady increase highlights Mongolia's tourism sector's strong recovery and growing international demand, suggesting that the 2026 season is more successful than previous years.

Earlier, Qazinform News Agency reported that the number of foreign nationals entering Mongolia increased by 25.7 percent in the first half of 2026 compared with the same period the previous year.

By Meruyert Pernekulova

Investor Demand Centers on the Stock Market, Keeping Market Outlook Positive www.montsame.mn

 MONTSAME National News Agency, in cooperation with MICC Mongolia International Capital Corporation LLC, is delivering a weekly overview of domestic and international capital markets and economic developments to its readers.

Weekly Capital Market and Economic Review
(July 27, 2026 - August 2, 2026)

MONGOLIAN STOCK EXCHANGE

Last week on the Mongolian Stock Exchange, a total of 4.5 million securities worth MNT 3.7 billion were traded. By trading value, Khan Bank JSC, Tavantolgoi JSC, Mongolian Stock Exchange JSC, APU JSC, and Trade and Development Bank were the most actively traded securities. No block trades were executed during this period.

MSE indices generally closed higher during the reporting week. The TOP-20 Index rose by 2.85% to 54,126.05 points, the MSE A Index grew by 2.50% to 20,800.63 points, and the MSE B Index increased by 1.52% to 14,402.83 points. However, the FTI Index slightly declined by 0.38%, closing at 1,011.38 points.

Buying activity increased relatively evenly across large, mid, and small-cap stocks, supporting broad market growth. The slight drop in the FTI Index reflected the weak valuation of investment fund units. Overall, investor demand centered on the stock market, maintaining a positive market outlook.

SECURITIES MARKET TRANSACTIONS DOUBLE; PRIMARY MARKET LEADS GROWTH

In the first half of 2026, total transactions in the securities market reached MNT 865.6 billion, representing an increase of MNT 435.4 billion, or a twofold surge compared to the same period last year. The primary driver of this growth was primary market activity, which accounted for 66.0% of total transactions, or MNT 570.9 billion, while secondary market transactions made up 34.0%, or MNT 294.7 billion.

Key Indicators:

Total securities transactions: MNT 865.6 billion (+2.0 times)
Primary market: MNT 570.9 billion (66.0% of total transactions)
Secondary market: MNT 294.7 billion (34.0% of total transactions)
Market capitalization: MNT 13.7 trillion (+12.8%)
TOP-20 Index monthly average: 51,621.47 points (+2,896.34 points year-over-year)
Although the total trading value rose sharply, a notable indicator was that the volume of traded securities stood at 266.3 million shares, down 57.9% year-over-year. This indicates that the market was dominated by fewer but higher-value transactions, particularly corporate bonds and primary market financing. Furthermore, corporate bonds accounted for 53.5% of total securities transactions, followed by corporate stocks (16.2%), asset-backed securities (15.4%), and government bonds (14.8%). This highlights the growing importance of debt instrument financing in the Mongolian stock market.

"INNOVATION INVESTMENT" JSC TO DISTRIBUTE DIVIDENDS FROM RETAINED EARNINGS

By Resolution No. 26/26 of the Board of Directors of "Innovation Investment" JSC, dated July 29, 2026, the company has resolved to distribute dividends from its accumulated net earnings. The company will allocate a total of MNT 11.09 billion across its 184.9 million common shares, issuing a cash dividend of MNT 60 per share. The record date for eligible shareholders is August 14, 2026, and the dividends will be deposited into shareholders' accounts through the "Mongolian Central Securities Depository" LLC by August 26, 2026.

Total dividends: MNT 11.09 billion
Dividend per share: MNT 60
Total shares issued: 184,889,160 shares
Record date for eligible shareholders: August 14, 2026
Dividend distribution date: By August 26, 2026
Form of distribution: Cash

MASD PARTICIPATES IN "MARKET OPPORTUNITIES FOR FOREIGN BANKS IN MONGOLIA" EVENT
Chairman of the Board of Directors of the Mongolian Association of Securities Dealers (MASD), Enkhbat Ganbold, attended the "Market Opportunities for Foreign Banks in Mongolia" event, organized by the Embassy of Mongolia in the Republic of Korea. During the event, he gave a presentation on investment opportunities in Mongolia's banking and financial sectors, upcoming amendments to the Banking Law, and non-banking investment opportunities through the capital market.

Indicator

Information

Main topic

Investment opportunities in the banking and financial sector

Legal amendments

Maximum shareholding limit: 20% → 34%; influential shareholder threshold: 5% → 10%

Highlighted opportunities

Purchasing bank shares, establishing branches/subsidiaries, and investment banks

Fuel Equivalent to 2.5 Days of Consumption Imported Over the Weekend www.montsame.mn

According to the Mineral Resources and Petroleum Authority of Mongolia (MRPAM), 22 wagons or 2,220 tons of AI-92 petrol arrived through the Sukhbaatar border checkpoint on August 1, and 49 wagons or 2,940 tonnes arrived on August 2. In total, 86 wagons, or 5,160 tons of AI-92 petrol, were imported over the weekend. This amount is equivalent to 2.5 days of the regular fuel consumption of Mongolia.

Efforts are underway to transport these wagons to their destination stations, specifically Tolgoit, Arshaant, Darkhan, Erdenet, and Ulaanbaatar, for unloading into storage facilities. Authorities are actively organizing the continuous distribution of the fuel to gas stations in both Ulaanbaatar city and rural areas.

Furthermore, an additional 28 wagons, or 1,680 tons of AI-92 petrol, dispatched from the Russian Federation on July 29, are expected to arrive through the Sukhbaatar border checkpoint soon.

To ensure uninterrupted supply, the Ulaanbaatar Railway (UBTZ), customs authorities, other relevant government agencies, and fuel-importing enterprises are working collaboratively around the clock. They are taking all possible measures to swiftly organize the transportation of the fuel wagons imported from Russia via the Sukhbaatar railway checkpoint to their respective destination stations and ensure rapid dispatch to fuel stations nationwide.