In November 2024, the Central Bank of Mongolia purchased 1,689.5 kg of precious metals, bringing the total amount to 15.8 tons since the beginning of the year.

This figure represents a 1.6 percent decrease compared to the same period last year.

Since the beginning of the year, the Darkhan-Uul branch of the Central Bank of Mongolia has purchased 753.4 kg of precious metals, whereas the Bayankhongor branch- 1,177.2 kg.

The Central Bank of Mongolia determines the purchase price of precious metals based on global market prices. In November 2024, the average price for purchasing gold was MNT 291,101.68.

According to the Mongolian Customs General Administration, on December 1, 2024, Mongolia exported 18.2 thousand tons of coal.

The total amount of coal exported since the beginning of the year reached 74,250.2 thousand tons of coal, a 23.9 percent increase compared to the same period of the previous year.

Mongolia has set a target to export 78 million tons of coal in 2024 and plans to increase the export of coal to 83 million tons for the next year.

Mining-driven economic growth since 2023 has lifted Mongolia to upper-middle income status, but despite this strong growth, further diversification of the economy is necessary.

Stereotypes abound when discussing Mongolia, not least its nomadic herding culture and vast steppe landscapes.

However, this resource-rich nation is currently undergoing a significant transformation. Its journey toward diversification, technological advancement, and sustainable growth reflects the aspirations of a society balancing deep-rooted cultural identity with the pressures—and, indeed, ambitions—of globalisation.

Mining-driven economic growth since 2023 has lifted the country to upper-middle income status. Mongolia’s economy is further projected to grow by 5.3 per cent in 2024 and 6.5 per cent in 2025, amid ongoing robust mining production and domestic demand, according to the World Bank’s latest semi-annual Mongolia Economic Update.

Economic growth held steady at 5.7 per cent year-on-year in the first half of 2024, with recent high-frequency data indicating continued momentum into the third quarter.

The strong performance is attributed largely to a sustained surge in mining and transportation services, despite contraction in the agriculture sector caused by harsh climate conditions.

Domestic demand was a key driver of growth, but is putting pressure on the balance of payments as imports outpace revenues from commodity exports.

The medium-term growth outlook remains positive, at six per cent over 2026–27. After a surge in output from the Oyu Tolgoi gold and copper mine in 2025, mining output is projected to moderate, with growth increasingly driven by other sectors, including trade and other services, and agriculture. Nevertheless, the mining industry remains the cornerstone of Mongolia’s economy, contributing approximately 21.8 per cent to the GDP.

Increased public consumption and investments under the government’s four-year action plan are also expected to accelerate the growth.

Challenges

Mongolia’s transformation, however, is not without its complexities. As the country harnesses its natural wealth and embraces digitalisation, it faces the dual challenges of economic dependency and environmental vulnerability.

Geopolitically, Mongolia’s position as a relatively stable democracy wedged between two authoritarian giants—China and Russia—adds another layer of intricacy to its narrative.

Indeed, the economic outlook faces several downside risks. Greater-than-expected fiscal spending could elevate inflationary pressures and widen fiscal and current account deficits.

Climate change heightens the risk of more frequent and severe natural disasters, posing significant economic risks for Mongolia, especially for poor and vulnerable households. Harsh climatic conditions, such as the severe winter of 2023–24, known as ‘dzud’, led to the death of over 6.9 million livestock, severely affecting the agricultural sector and nomadic herders.

Slower-than-expected global growth meanwhile could weaken external demand and reduce prices for key export commodities. Escalating geopolitical tensions could drive up fuel prices, resulting in higher imported inflation, increased production costs, and a larger import bill.

“While Mongolia’s ongoing mineral export boom is delivering positive macro-fiscal outcomes for the second consecutive year, maintaining these gains will require prudent macroeconomic management,” says World Bank Country Manager for Mongolia Taehyun Lee.

“The continued reliance on mining leaves Mongolia vulnerable to external shocks and structural reforms to diversify the economy and increase its resilience remain important.”

In recent years, Mongolia has prioritised digital transformation to diversify its economy beyond mining. The establishment of the Ministry of Digital Development and Communications in 2022 marked a significant step towards building a ‘digital nation’.

The government has implemented laws on personal information protection, cybersecurity, and digital signatures, creating a robust legal framework for digital advancement. 

With some help from e-government pioneer Estonia, an ‘e-Mongolia’ initiative exemplifies this digital shift, offering over 800 public services online, thereby enhancing government transparency and efficiency.

By January 2024, internet penetration in Mongolia reached 83.9 per cent, with 2.91 million users, indicating a substantial digital user base.

The IT sector: Crucial for diversification

In 2024, the IT services market is projected to generate revenues of approximately 124.20 million US dollars, with an anticipated annual growth rate of 5.08 per cent from 2024 to 2029, reaching USD 159.20 million by 2029, according to Statista.

The software segment is also experiencing significant expansion, with revenues expected to hit 214.20 million US dollars in 2024. This sector is forecast to grow at an annual rate of 8.62 per cent between 2024 and 2029, culminating in a market volume of 323.80 million US dollars by 2029. 

A vibrant start-up ecosystem is at the heart of Mongolia’s IT sector, fostering innovation and technological advancement. Notable start-ups include Chimege, specialising in automatic speech recognition and natural voice synthesis for low-resource languages.

Chimege focuses on the Altaic language family, including Mongolian, Kazakh, and Kyrgyz. Their technology enhances communication and digital content accessibility for speakers of these languages. 

Then there’s World Plus, which offers an interactive global magazine experience across all devices. World Plus serves as a dynamic digital newsstand, providing a diverse range of publications to keep users informed about global news and trends.

Anduud Lab meanwhile is a software development company dedicated to creating AI-driven platforms that empower small and medium-sized enterprises (SMEs) in their digital transformation journeys, enhancing efficiency and operational effectiveness.

Bolstered by these innovative start-ups and supportive government policies, Mongolia’s IT sector is clearly on an upward, if gentle, curve.

Continued investment in talent development and infrastructure will be key to sustaining this growth and ensuring the sector’s long-term success, and to fully diversifying the economy away from mining and agriculture.

FDI

Foreign investment could also help. Currently, however, there are barriers to entry: notably foreign investors must invest a minimum of 100,000 US dollars—not an issue for large firms, but a huge amount for start-ups—to establish a venture. In contrast, Mongolian investors face no investment minimums, according to the US department of State.

Second, only Mongolian adult citizens may own real estate in the form of land. Additionally, while foreign investors may obtain use rights for the underlying land, these rights last for five years with a one-time, five-year renewal. The government imposes no such restriction on its nationals.

There is some positive development, however. Mongolia offers a ‘One-Stop-Shop’ for investors, which provides investors with services related to visas, taxation, notarisation, and business registration.

Mongolia’s Ministry of Economy and Development, responsible for FDI promotion, has also created a new foreign investment and foreign trade support entity, Invest Mongolia.

Mongolia foreign direct investment for 2023 was 2.25 billion US dollars, a 10.25 per cent decline from 2022, according to Macrotrends—around 11 per cent of total GDP.

BY Marek Grzegorczyk

Japan has selected the Philippines, Indonesia, Mongolia and Djibouti as the next recipients of its Official Security Assistance (OSA) scheme, according to reports, with analysts saying the move reflects Tokyo’s aim to align its security objectives with partner countries while countering China’s growing influence.

The recipient nations are likely to receive non-lethal military equipment such as radar to improve their maritime surveillance and communications capabilities, the Yomiuri newspaper reported on Saturday.

Unveiled by the Japanese government in April last year, the OSA framework aims to address the growing security challenges faced by nations in the Indo-Pacific region.

The concept of "Data Governance and National Artificial Intelligence Strategy of Mongolia" is set to be discussed in January next year.

In 2020, Mongolia ranked 93rd out of 172 countries in this indicator. By 2023, the country was ranked 109th out of 193 countries in terms of artificial intelligence readiness. The lack of a clear vision for artificial intelligence has become a limiting factor.

To address this, the Ministry of Digital Development and Communications has announced plans to present the "Concept of Data Governance and National Artificial Intelligence Strategy of Mongolia" to the public next month.

The launch ceremony of the Cyrillic Mongolian editions of the second volume of "Xi Jinping: The Governance of China" and "Xi Jinping's Excerpts on Poverty Alleviation," along with a seminar on governance in China and Mongolia, was held in Ulan Bator, the capital of Mongolia, on Monday.

During the launch ceremony, guests from China and Mongolia jointly unveiled the Cyrillic Mongolian editions of the two books. This was followed by a seminar on state governance, where experts and scholars from both nations exchanged insights and experiences on governance practices in China and Mongolia.

Participants expressed the belief that on the occasion of the 75th anniversary of the establishment of diplomatic relations between China and Mongolia and the 10th anniversary of the establishment of the China-Mongolia comprehensive strategic partnership, it is of great significance for China and Mongolia to strengthen the exchange of experience in governance and poverty alleviation and jointly explore the modernization path with their own characteristics, deepen the friendship and mutual trust between China and Mongolia, integrate interests, and promote the building of a community with a shared future for the two countries.

The organizers of the event said that "Xi Jinping: The Governance of China" reflects the development context and main content of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, and is an authoritative work for the international community to understand contemporary China. Meanwhile, "Xi Jinping's Excerpts on Poverty Alleviation" systematically expounds on the guiding philosophy and great practice of China's poverty alleviation, and contributes the Chinese solution to global poverty governance.

The publication of the Cyrillic Mongolian version of the two important works is expected to help the Mongolian people better understand China, and open a new chapter for the traditional friendship and mutual learning of civilizations between China and Mongolia.

Khurelbaatar Bulgantuya, deputy chairman of Mongolia's State Great Hural (Parliament), said during the ceremony that, under President Xi Jinping's leadership, China is striving to comprehensively build a modern socialist country after achieving a moderately prosperous society. She noted that Mongolia admires these efforts. "Over the past 40 years, China has made significant contributions to global poverty reduction. These two works provide valuable references for countries around the world by sharing China's successful experiences," she said.

Shen Minjuan, Chinese ambassador to Mongolia, emphasized that China and Mongolia share similar development goals and interconnected futures. Shen expressed the hope that the Chinese solutions and wisdom contained in the two books would inspire Mongolia, boost motivation, and enhance confidence in achieving greater development while deepening bilateral cooperation across various fields.

Adiyasuren Davaajargal, state secretary of Mongolia's Ministry of Culture, Sports, Tourism, and Youth, noted that cooperation between Mongolia and China has grown increasingly close in recent years, yielding remarkable results. He added that Xi's works serve as a vital bridge for deepening the exchange of governance experiences between the two countries.

The second volume of "Xi Jinping: The Governance of China" was translated and published in Cyrillic Mongolian by the Foreign Languages Press in collaboration with Mongolia's Admon Publishing House.

To date, "Xi Jinping: The Governance of China" has been translated into 42 languages, while "Xi Jinping's Excerpts on Poverty Alleviation" has been made available in English, French, Spanish, Russian, Arabic, and other languages. Cyrillic Mongolian is the first language in which this book has been translated and published through international collaboration.

The events, co-organized by the Chinese State Council Information Office, the Ministry of Foreign Affairs of Mongolia, the China International Publishing Group and the Chinese Embassy in Mongolia, were attended by more than 300 representatives from political parties, media outlets and think tanks from both countries, and diplomatic missions in Mongolia.

With expanded reach to key global markets, Baogang Group said it has achieved growth in both scale and quality, as well as significant progress in steel exports.

According to the latest data from the Baotou, Inner Mongolia autonomous region-based major steel manufacturer, Baogang exported a total of 1.376 million metric tons of steel in 2023 to 46 countries and regions involved in the Belt and Road Initiative, solidifying its share on the global stage.

Among all the potential markets, Central Asia remains a key export destination for the group, it said.

For example, as the first Chinese enterprise to develop and mass-produce steel rails conforming to Russian standards, Baogang has yielded tangible results in product promotion and sales in the region. In July, the group signed a 130,000-ton steel rail export order with Uzbekistan for the country's railway maintenance project.

Over the past decade, Baogang has actively ramped up steel exports. The number of export destinations has grown from 22 to 60, with annual export volume once reaching a peak of 1.8774 million tons — doubling from initial levels.

In addition, the company's product range has also expanded to include new categories such as plates, pipes, rails and wires.

"We have adopted a product-driven approach, focusing on upgrading and transforming our product portfolio. By reducing exports of general-purpose materials and seizing opportunities in specialized steel markets along the BRI, we have seen growth in high-quality steel products for use in pipeline, wind power equipment, automotive sector, home appliances and rails," said Wang Wei, manager of the import and export division at Baotou Steel International Economic and Trading Co Ltd, a subsidiary of Baogang Group.

To further expand its global reach, Baogang plans to establish offices in the Middle East and Central Asia, creating international marketing stations and ultimately forming a globalized sales network, Wang said.

In addition, the group is preparing to sign a warehousing agreement with a logistics park at the Mandula Port on the China-Mongolia border. Currently in the preparatory and on-site investigation stages, the agreement is expected to pave the way for renminbi-denominated imports of iron ore and coal resources. Once operational, the port will serve as Baogang's largest transit hub for imported iron ore and coal, Wang added.

Beyond steel products, Baogang has also achieved record exports of non-steel products, surpassing 70,000 tons in the first eight months of this year, the group said. The products have been widely used in key projects around the globe, such as the Port Said development at the northern gateway of the Suez Canal and the Mombasa-Nairobi Standard Gauge Railway in Kenya.

The 16th Session of the Conference of the Parties to the UN Convention to Combat Desertification (UNCCD COP 16) is taking place in Riyadh, the capital city of Saudi Arabia, on December 2-13, 2024.

As designated Chair of the next Conference (COP17 in Mongolia), Prime Minister Oyun-Erdene participated as a guest of honor in the Opening Ceremony of the UNCCD COP 16 and made opening remarks.

The COP 16, themed "Our Land, Our Future," will address various issues, including the implementation of the UN Convention to Combat Desertification, the goal of combating desertification and land degradation, restoring degraded land and soils by 2030, responding to drought and desertification, sustainable food production, women's land rights, youth participation, and job creation.

Prime Minister Oyun-Erdene emphasized the critical need to resolve the challenges posed by climate change, desertification, and land degradation. In this crucial time, Premier Oyun-Erdene urged the Convention’s Parties to strengthen political leadership, unity, and mutual understanding and to make bold decisions for our shared future. The Premier then presented the policies and actions that the Government of Mongolia is implementing to mitigate desertification and land degradation.

The Head of the Mongolian Government stated, “Climate change and desertification affects every country and the daily lives of its citizens. According to a UN study, the frequency of natural disasters occurring in Mongolia has doubled in the past 20 years. For example, last year, snowfall in Mongolia reached a record high in the past five decades, causing a severe dzud that killed off millions of livestock, while the previous summer saw floods not seen in over 50 years. Each day, we are witnessing and experiencing such examples in every country. Our land is our future. Therefore, this Conference is being organized under the theme "Our Land-Our Future." In order to protect the land, which is the future of humanity, we must stand together for each other, as the situation demands. Challenges of climate change, desertification, and the pandemic have reminded us to be "One For All, All For One." Therefore, we call for the upcoming conference to be held under the theme "One For All, All For One."

Prime Minister Oyun-Erdene noted that Mongolia is proposing the establishment of the “International Association on Sustainable Pasturelands For the Future” during the 17th Conference of the Parties to the United Nations Convention to Combat Desertification, which will be held in Mongolia. The Premier expressed gratitude for approving the Resolution to designate 2026 as the International Year of Rangelands and Pastoralists during the United Nations General Assembly in 2022.

The Premier underlined that the Government of Mongolia is partnering with countries and international organizations in taking measures to mitigate the effects of climate change and introduce renewable energy in line with UN Sustainable Development Goals. The Prime Minister noted that Mongolia planted 84 million trees and stockpiled 64 million saplings as part of the “Billion Trees” National Movement initiated by the President of Mongolia, which is considered as a good practice internationally.

Prime Minister Oyun-Erdene stressed that implementing major renewable energy projects is crucial in mitigating the effects of climate change and reducing carbon emissions. Furthermore, the Head of Government noted that Mongolia is also focusing on clean energy transition, investing in renewable energy production, and implementing major reforms in the tax system, and invited governments, investors, and the private sector to collaborate in these projects.

As the designated host country of the 17th Session of the Conference of the Parties to the United Nations Convention to Combat Desertification, Mongolia reaffirmed its commitment to addressing drought, desertification, land degradation, and environmental protection and to actively cooperate with other participating countries. The Prime Minister of Mongolia conveyed his best wishes for the success of the Conference and extended a formal invitation to participants and delegates of the Conference to attend COP17, to be hosted in Mongolia in 2026.

The Mongolian Delegation, headed by the Minister of Environment and Climate Change Odontuya Saldan, will continue to participate in the main events of the Conference.

The COP16 concurs with the 30th anniversary of the UNCCD and is also the biggest international event organized by the Kingdom of Saudi Arabia. Notably, this Conference marks the first occasion of the event being held in the Middle East and North Africa (MENA) region.

The construction of a new bus depot has been completed in Ulaanbaatar. The bus depot, located in Khan-Uul district, has the capacity to house 110 buses, alongside an open parking lot for 150 buses.

Moreover, the depot will have a wash station, maintenance, servicing facility, an open service facility, storage for replacement parts and oils, a boiler house, and a bus monitoring center. A public service center will also operate at the depot.

Ulz Buyant Properties LLC constructed the depot to the order of the Investment Department of the Capital.

Once considered mere entertainment or a way to pass the time, electronic games have now evolved into a multi-billion-dollar professional sport that attracts global attention. Esports is still a relatively new industry in Mongolia. Although the term "esports" has been used in the country since the early 2000s, its rapid development has truly taken off in the last 4-5 years. Today, our athletes represent Mongolia on the international stage, consistently improving their performance and achieving greater success. Leading this charge are the athletes of "The MongolZ," who have written their names into history as some of the best in the world.

Training with the best led to the best

For a top-tier team like The MongolZ, the influence of sponsorship has been pivotal in achieving international success. The contribution of 1XBet has been particularly significant in helping the team secure notable results on the global stage. From the very beginning of cooperation, The MongolZ participated in major tournaments, but because of the lack of playing experience against top teams, the organization took not the top places. Seeing that the CS squad needed support, 1XBet initiated a bootcamp in Europe for The MongolZ. The team received support when they needed it most.

After long training sessions in Europe with top teams, the players definitely improved their skills, which showed up immediately in the results. After good results in a series of tournaments, including wins in international competitions, 1XBET offered to help organize regular bootcamps in Europe so that the MongolZ team could have maximum practice time against the best CS2 organizations in the World. As a result of these efforts, The MongolZ are now recognized among the best in the world. Ranking ninth globally by HLTV and fifth by Valve's Global Rankings is a remarkable achievement.

As e-sports grow and expand at an unprecedented pace, more money, opportunities, and competition are flowing into the industry. Now that the world is recognizing it as an official sport, it is time for our country to give it the same high priority. It is important to support and prepare the next generation of athletes who love the sport, are skilled, and are committed to it. In this context, 1XBet is not only a sponsor but also a strong foundation for teams and athletes, paving the way for them to practice hard, improve their skills, and ultimately succeed on the international stage, creating e-sports history.

The growing number of esports enthusiasts in Mongolia is evident from the fan meeting of the Mongolz team, which was held last Friday, November 22nd. Over 500 fans and supporters attended the event, where they had the opportunity to take photos with the athletes and receive autographs. During the meeting, official team merchandise was sold, a question-and-answer contest was held, and gifts were given out to the fans who attended. It was an unforgettable day, as e-sports enthusiasts of all ages gathered to show their support and offer words of encouragement to the athletes. The event was also organized by the official sponsor, 1XBet. Thanks to the strong support of 1XBet and the hard work of the Mongolz team, Mongolia has gained international recognition, and the name "Mongol" is now known worldwide. This partnership will continue to contribute to the growth of Mongolian e-sports and open doors to success for many teams and athletes in the future.