New Delhi, (Prensa Latina) The Foreign Minister of India, Subrahmanyam Jaishankar, and the Minister and Chief Cabinet Secretary of Mongolia, Luvsannamsrain Oyun-Erdene, chaired the seventh meeting of the Joint Cooperation Committee, which discussed joint development projects.

Both ministers exchanged views on possible cooperation in the fight against the pandemic, including the acquisition by Mongolia of a vaccine from India in the future, according to information published on the website of the Ministry of Foreign Affairs.

The progress of ongoing development partnership projects was reviewed during the meeting, including an oil refinery through an Indian credit line of 1.26 billion dollars.

They also welcomed the 65th anniversary of the establishment of diplomatic relations and highlighted that the relationship between both countries has strengthened in recent years.

The two ministers positively evaluated the coordination in the regional and multilateral forums and agreed to continue mutual support in the relevant international meetings.

India welcomed Mongolia's decision to join the International Solar Alliance and both parties agreed that this initiative will promote the use of clean energy in India, Mongolia and the world.

Ulaanbaatar /MONTSAME/ 808 thousand ha of land has been newly taken under special protection as a result of staged works, the Ministry of Environment and Protection reports. Within the framework of a project running by the Ministry of Environment and Tourism and the United Nations Development Programme Office in Mongolia, a goal was set to expand protected area system and take 940 thousand hectares of land under special protection and over 86 percent of the target fields or 808 thousand ha of land has been taken under special protection so far.

Specifically, Delgerekh Mountain located in Tosontsengel soum of Zavkhan aimag was taken under special protection in April this year while Khujirtiin-Ider River was taken under local special protection in October.

Furthermore, places including Doloonii khooloi, Edrengiin Nuruu, Tsagaan Dersnii Nuruu, Khuren tsav, Khongoriin Nuruu, Tsagaan-Uul Mountain, Shir bulagt, Zarmangiin khooloi located in Erdene soum and Gichgenii Nuruu, Bayantooroi in Tsogt soum in Gobi-Altai aimag as well as Bayantsagaanii Nuruu in Bayankhongor aimag have been taken under local special protection.

Ulaanbaatar /MONTSAME/ The Asian Development Bank (ADB) has launched a $9 billion vaccine initiative—the Asia Pacific Vaccine Access Facility (APVAX)—offering rapid and equitable support to its developing members as they procure and deliver effective and safe coronavirus disease (COVID-19) vaccines.

“As ADB’s developing members prepare to vaccinate their people as soon as possible, they need financing to procure vaccines as well as appropriate plans and knowledge to be able to safely, equitably, and efficiently manage the vaccination process,” said ADB President Masatsugu Asakawa. “APVAX will play a critical role in helping our developing members meet these challenges, overcome the pandemic, and focus on economic recovery.”

More than 14.3 million positive cases have been identified in Asia and the Pacific, causing more than 200,000 deaths. As the pandemic persists, economic growth in developing Asia is projected to contract by 0.4% in 2020—the first regional gross domestic product contraction since the early 1960s.

Promoting safe, equitable, and effective access to vaccines is a top priority for ADB’s COVID-19 response efforts. Vaccination programs can break the chain of virus transmission, save lives, and mitigate the negative economic impacts of the pandemic by restoring confidence in people’s ability to work, travel, and socialize safely.

The APVAX provides a comprehensive framework and resource envelope for supporting developing Asia’s vaccine access, using two complementary components. The Rapid Response Component will provide timely support for critical vaccine diagnostics, procurement of vaccines, and transporting vaccines from the place of purchase to ADB’s developing members.

The Project Investment Component will support investments in systems for successful distribution, delivery, and administration of vaccines along with associated investments in building capacity, community outreach, and surveillance. This may include such areas as cold-chain storage and transportation, vehicles, distribution infrastructure, processing facilities, and other physical investments. The component may also be used to develop or expand vaccine manufacturing capacity in developing members.

ADB financing for vaccines will be provided in close coordination with other development partners including the World Bank Group, World Health Organization (WHO), COVID-19 Vaccines Global Access Facility (COVAX), GAVI, and bilateral and multilateral partners.

APVAX promotes safe and effective vaccines to be accessed in a fair manner. For a vaccine to be eligible for financing, it must meet one of three criteria. It must be procured via COVAX, prequalified by WHO, or authorized by a Stringent Regulatory Authority. Additional access criteria, such as a vaccination needs assessment, a vaccine allocation plan by the developing member, and a mechanism for effective coordination among development partners also help ensure that vaccine support under APVAX can be fairly and effectively implemented.

ADB is also making available a $500 million Vaccine Import Facility to support the efforts of its developing members to secure safe and effective vaccines, as well as the goods that support distribution and inoculation. The facility is part of ADB’s Trade and Supply Chain Finance Program. AAA-guarantees available through the program’s vaccine import facility will mitigate payment risks and facilitate import of these goods. This will employ the same eligibility criteria on vaccines as COVAX. Cofinancing with private sector partners could result in the Import Facility supporting $1 billion in vaccine and related imports within a year.

In April, ADB approved a $20 billion package to support its developing members in addressing the impacts of the pandemic and streamlined some procedures to deliver quicker and more flexible assistance. ADB has committed $14.9 billion in loans, grants, and technical assistance, including $9.9 billion in quick-disbursing budget support from the COVID-19 Pandemic Response Option (CPRO) and support for the private sector.

In November, ADB announced $20.3 million in additional technical assistance to establish systems to enable efficient and equitable distribution of vaccines across Asia and the Pacific.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.

Source: ADB

MONTSAME news agency interviewed U.S. Ambassador Michael S. Klecheski.

1. Mongolia attaches great importance to its relationship and cooperation with the United States within the framework of its third neighbor policy. Mongolia became the 17th country to establish a strategic partnership with the United States, showing that the United States also attaches importance to its relationship with Mongolia. More than a year has passed since the U.S. – Mongolia strategic partnership was established. What progress and changes do you think have taken place in bilateral relations and cooperation to date?

Our strategic partnership is important not just for our two nations but for the entire region because it represents a shining example of international cooperation between democracies. Our relationship is founded on our shared values of democracy, human rights, free and fair private sector economic growth, and the sovereignty of nations. These are fundamental values in both our countries – they are very real, in that both Americans and, I am convinced, Mongolians, genuinely believe in them in practice - and this is why our partnership is so strong and growing even closer.

We have seen this commitment to democracy in vibrant action this year, with historic national elections in both our countries. Our shared democratic values mean that citizens of both our countries have the freedom to demand that our government protect and guarantee human rights, rule of law, religious freedom, diversity, and inclusion, and that we are free to express our views and concerns when we see these rights being threatened.

This strategic partnership is more than just words on paper. We are delivering real results for real people in both our countries. USAID was close to closing in Mongolia. Under the strategic partnership USAID is coming back in a big way now. We recently welcomed two full-time American USAID officers at the Embassy, including our new Senior Development Advisor Gary Robbins. These are the first American officers to be assigned full-time to Mongolia in several years. They are in the final stages of developing a new strategy to support Mongolia’s development, with particular attention on inclusive, sustainable, private sector economic growth, good governance and various practical aspects of the democratic process, like participation in government.

Over the last year, USAID significantly ramped up its Mongolia programming, including $1.7 million in COVID-19 assistance; a $15 million SME support program we call BEST to help small- and medium-sized businesses survive the pandemic; a $3 million nonpartisan program to provide voter information and support the participation of women and young people in parliamentary, local, and presidential elections; $2.7 million to help Mongolia transition to a private-sector-led energy market; and $6.6 million for Leaders Advancing Democracy (LEAD), which is helping empower a new generation of Mongolian youth leaders.

Also, the numbers of scholarships, exchanges, and English learning opportunities we offer is increasing, and will really flourish once we get beyond the coronavirus pandemic. I know that learning English is a top priority for many Mongolians, since it is in many ways the international language for business, science and technology, and much else, so we’re really focusing on it. And, finally, over the last year, through our Defense Attaché’s Office, we have built four state of the art kindergartens in various regions of Mongolia, totaling about $2 million in U.S. taxpayer dollars. People across Mongolia always tell me they need more English teaching and kindergartens, and we are doing what we can to meet this need.

2. Mongolia and the United States officially established diplomatic relations in 1987, and the relations between the people of the two countries dates back hundreds of years. Evidence shows that American businesspeople and citizens have been coming to Mongolia for over a hundred years with an interest in business, especially in the fields of agriculture and mining. How do you see the future direction of bilateral relations?

You are so right. While on one hand, our relationship became much closer when Mongolia made the courageous, and in my mind correct, decision to embrace democracy, the relationship between the people in Mongolia and the United States and our commercial relationship goes back much further.

I read in the excellent books by Jack Weatherford that the concept of religious freedom, yet another fundamental value our nations share, may have been inspired by Mongolian history. In fact, one of the founding fathers of the United States and our third president, Thomas Jefferson, kept a copy of the Secret History of the Mongols in his library. This book is now a part of the Library of Congress, which the public can visit and see. So, our history together certainly goes back to the foundation of our country.

Last year, before the coronavirus pandemic, our Embassy welcomed a record number of high-level U.S. official visitors to Mongolia, including our secretary of defense and national security advisor. And I had the honor of traveling to Washington, D.C., for President Battulga’s official visit. While the pace may have picked up, these visits are not new. Even before we had a formal diplomatic relationship, President Franklin D. Roosevelt dispatched his Vice President, Henry A. Wallace, to Mongolia in 1944. And Supreme Court Justice William O. Douglas visited Mongolia in 1962 with the National Geographic Society. In addition, interest in Mongolia in the U.S. Congress continues to be strong, and we hope to resume robust interparliamentary exchanges as soon as travel becomes possible again.

As for the future, I think that our shared democratic values and the real friendship between our people will continue to drive our countries closer together, despite the distance. One thing that could really accelerate the connections between our countries would be direct flights. We have had a small number of them to repatriate Mongolians and deliver welcome medical supplies to the United States. We stand ready to work with Mongolian authorities to try to make direct commercial and passenger flights a reality. That, together with a new airport, would really be a boon for business, tourism, and education, and it would be fantastic to make it so much easier for Americans to be able to come see Mongolia so much more easily, and vice versa. The recent direct diplomatic flights gave us momentum, but regularizing the direct flights still requires substantial procedural steps that both sides must work on.

3. The U.S. Presidential Election was recently held. When the Republican Party candidate Donald Trump served as president, there were many great improvements in bilateral relations. How has Democratic Party candidate Joe Biden, who won the majority of votes, defined the main line of his foreign policy? What specifically will be the difference of his policy towards Asia and Mongolia from the policy of Trump?

The 2020 presidential election was really remarkable. Despite the pandemic we saw record numbers of Americans exercise their right to vote, many with mail-in ballots. It was inspiring to me to see democracy in action in both Mongolia and the United States this year.

As for the future of our relationship, what I can tell you is that support for a strong partnership with Mongolia has been and will continue to be bipartisan, not just in the White House, but in the U.S. Congress. In the over 30 years since we established diplomatic relations, Mongolia has welcomed high level visits from representatives of the two major American political parties, and both Republican and Democratic presidents, vice presidents, and secretaries of state have met with their Mongolian counterparts here and in Washington. I fully expect that to continue as soon as it is safe to do so.

4. Do you agree that economic cooperation between Mongolia and the United States is insufficient? During Prime Minister U. Khurelsukh's visit to the United States in 2018, a roadmap for an expanded economic partnership between the two countries was approved. At what stage is this roadmap?

Our economic relationship is very good and growing stronger, and we are continuing to work hard with our Mongolian partners to create trade and investment opportunities that benefit people in both our countries. As an example, trade between our countries reached new highs just before the pandemic struck. U.S. exports reached a five-year high in 2019, and Mongolian exports to the U.S. more than doubled from the year before. On the investment side, we also have seen record growth in U.S. foreign direct investment in Mongolia. And the United States is actually the fourth-biggest source of foreign direct investment in Mongolia, I’m proud to say.

We are doing a lot to partner with the government and the business community to make Mongolia’s investment climate even more attractive for foreign investors. Investors really value reliable information and transparency. We are working hard to get full implementation of the U.S.-Mongolia Transparency Agreement, which requires the Mongolian government to post draft rules affecting international commerce for public comment prior to becoming final. A website called Legalinfo.mn that will give the public a chance to comment on regulations affecting business before they are finalized should be live next spring. This will really help bring openness and transparency to business regulations.

Our embassy has worked closely with your government to get Mongolia removed from the FATF gray list and strengthen its anti-money laundering and counter terrorist financing systems. This was crucial for Mongolia’s economic growth, and I am proud our government played an important supportive role. We did so through some very practical steps. In particular, the United States helped Mongolia obtain a sophisticated software package called goAML, which will substantially improve Mongolia’s ability to investigate suspicious money laundering transactions. We also helped fund the World Bank Stolen Asset Recovery Initiative to get back Mongolian money and property that belongs to the people. We brought a full-time U.S. Department of the Treasury technical advisor and anti-money laundering expert to work with the Bank of Mongolia’s Financial Information Unit, and we hope he will be able to return to continue his work here. And we organized a full and intense week of training in financial investigations for Mongolian law enforcement; numerous trainings for Mongolian customs agents; and have worked closely with other diplomatic missions and international financial institutions to coordinate and amplify our efforts. All of our work, and the impressive and serious actions by the Mongolian government, have paid off, I’m happy to say.

One more thing. We know how small and medium sized businesses are struggling during the pandemic. Through USAID, we started a $15 million SME support program called BEST, as I mentioned earlier. This program is helping small- and medium-sized businesses improve their operations and governance, and unlock access to bank loans. There are BEST offices across the country available to help businesses with information, training, and grants. If you run a business that needs assistance, please see the Facebook page @BESTprogramMN to learn more. I think you’ll be impressed.

5. Processed wool and cashmere products are Mongolia's most resource-rich export products. What kind of efforts are needed on both sides to cooperate in this area?

Helping to strengthen Mongolia’s private sector and trade and investment ties with the United States is my top priority, as I said during my U.S Senate confirmation hearing. As democratic third neighbors we care about Mongolia’s success and are committed to help.

When consumers better understand the value of Mongolian cashmere as a quality product, as I certainly do, sales and profitability will increase. Which is why we’re excited about our program to help Mongolia brand and market their products, so American and other customers know that when they look for cashmere, they know that Mongolian cashmere is ethically produced and of the highest quality. We are also providing a $5 million loan to help a woman-owned Mongolian cashmere producer build a new factory and buy additional equipment through the U.S. International Development Finance Corporation (DFC). This will help provide a good, stable income to their mainly women employees and the rural herders who supply the raw cashmere.

6. Mongolians believe that the approval of the "Third Neighbor Trade Act" by the U.S. Congress will turn a new page in bilateral economic relations. Can you share your views on this?

This act is before the U.S. Congress at the moment, and I am not in a position to forecast how it will fare, or to discuss any pending legislation, really. What I can tell you is that I know this bill was discussed at many senior-level meetings in Washington, D.C. As I just mentioned in talking about our support for branding, this is just one way we are working with Mongolia to develop the cashmere and wool sector. Tariff relief is just one part of our overall package of support.

7. Under the second MCA-Mongolia Compact, Mongolia received non-refundable aid of USD 350 million to implement three major projects to improve Ulaanbaatar's water supply. What is the progress?

Indeed, as I trust that most Mongolians are aware, we are providing a second Millennium Challenge Account Compact. The $350 million grant to the water supply program is one of the largest single commitments the U.S. has made in the Indo-Pacific region. It will bring many new jobs for Mongolians over its five-year lifespan and increase Ulaanbaatar’s water supply by 80 percent. This is really important, because this growing city is about to run out of water if the problem isn’t addressed. It is quite rare for a country to qualify for a second compact, so we commend Mongolia for its good initiatives and transparent management of the compacts. As you can imagine, at the beginning of large projects like this, there is a lot of hiring, contracting, and planning, which is necessary for the success of the program once we start the building phase. Progress is good and we are on track. What makes the MCC unique are strict requirements and measures to ensure transparency, and unlike some other international infrastructure development programs around the region, it is a grant, not a loan with strings attached or a debt trap.

8. U.S. Secretary of State Mike Pompeo was scheduled to visit Mongolia this month. However, it was postponed indefinitely. When will the visit be rescheduled? What issues are planned to be discussed during this visit?

The Secretary of State was disappointed he could not come to Mongolia, as he told President Battulga in a phone call, because President Trump had just contracted coronavirus. I was touched that so many Mongolians expressed their understanding and wishes for our president to recover. Although we had to postpone the visit, I can assure you that we are maintaining the momentum of our important bilateral discussions on ways to deepen our economic, diplomatic, security, and people to people ties. For example, we recently held our Economic Policy Dialogue with senior interagency representatives of both our countries. We would certainly welcome a high-level visit when it is safe to do so.

9. In 1921, Roy Chapman Andrews, an American explorer, made a sensational announcement to the world that dinosaurs laid eggs after his discoveries were found in Mongolian Gobi. At what stage is cooperation in the field of archeology today?

Obviously, the pandemic has slowed research progress, but it was really moving along incredibly well, and I’m so proud that the embassy is a strong partner in this field. Whether it is providing Fulbright scholarships for top American archeologists like Dr. Will Taylor, or helping preserve ancient Mongolian textiles found by Dr. Julia Clark and the American Center for Mongolian Studies through the Ambassador’s Fund for Cultural Preservation, we are doing all we can to help. Speaking of cultural preservation, I’m very happy that through this same fund, the embassy is helping to restore and preserve the majestic Choijin Lama Temple in Ulaanbaatar, which is a beautiful symbol of the resilience of faith and religious freedom in Mongolia. As some of my social followers may know, the field of archeology fascinates me, so that I read a lot about it, go to museums every chance I get, and listen to the lectures of the American Center for Mongolian Studies and other institutions on this and other subjects.

10. President of Mongolia Kh.Battulga visited NASA during his visit to the United States. During the meeting, he touched upon cooperation with NASA, and the head of the organization was invited to visit Mongolia. Is there any potential cooperation possibilities between the countries in the field of space science?

That was one of the highlights of President Battulga’s visit to the United States and I was glad to accompany him. The United States cooperates with many countries on science, technology, innovation, and space exploration. We welcome Mongolia’s continued development of its STEM fields including as it relates to satellites and space exploration. Working with allies and partners to enhance cooperation in civil, commercial, and national security space activities is one of the United States’ highest space policy priorities.

11. According to Mark Tasse, Director of the Mongolian Studies Center in the United States, Mongolian studies were established in the United States more than 100 years ago. How are Mongol studies developing in the United States lately?

American interest in Mongolian studies, history, culture, and society is growing in so many ways. We can see that in the record numbers of Americans who visited Mongolia, before coronavirus affected international tourism. I’m really proud that during last year’s “Year of Youth” program, we added new Fulbright opportunities for Mongolian professors and scholars to teach and research in the United States, which will help meet this increased interest in Mongolian studies. Every year we also send a Mongolian English teacher to teach the Mongolian language at American universities, while studying English teaching methodologies.

I already mentioned the very successful and fascinating books by Jack Weatherford. The HU had an incredibly successful tour in the United States, even topping the U.S. rock music charts – my own son attended one of their concerts in New York City, and loved it - and the artist Magnolian performed at the highly prestigious South by Southwest music festival in Austin, Texas and has an American record deal. I’m also really looking forward to wide distribution of an upcoming film about Mongolia by Robert Lieberman called “Echoes of the Empire” – I’ve already seen it and found it absolutely wonderful and really moving. I think there is a genuine cultural renaissance in Mongolia today, and interest in all things Mongolian in the United States has never been higher.

12. Finally, Mr. Ambassador, can you share your impressions of Mongolia and Mongolians?

My wife Eloisa and I came to love your country and its people almost as soon as we arrived, but our feelings have grown stronger and stronger the longer we’ve been here. We have many Mongolian friends, and we find Mongolians to be warm and hospitable. We also are struck by the importance they attach to traditions, in ways that are sometimes obvious, sometimes very subtle. And those traditions both celebrate and reinforce qualities like hospitality and respect, as well as awareness of their country’s history.

There is so much else that we love and find fascinating about Mongolia, and of course I can’t even begin to describe it all, though I have a feeling that what I put on social media may capture some of the range of it all. One of the things we love in every country where we live is the cultural scene, and as I said earlier, Mongolia’s is lively and fascinating, including in the ways it brings together the traditional and the modern. As for me, I enjoy walking around Ulaanbaatar, discovering new things I hadn’t noticed before that shed light on aspects of your country. It’s funny that my walks have even led me, kind of randomly sometimes, to wander into the Wrestling Palace to watch one of Mongolian wrestling, which also led me to think about the centuries-long history of that sport and of Naadam. And I’ve loved watching Mongolian basketball games at the Sports Palace. But I better stop here – this interview could go on and on and I don’t want to bore people.

Ulaanbaatar /MONTSAME/ The Asian Development Bank (ADB) has approved the release of $60 million as second tranche of a program to improve the air quality and health in the Mongolian capital of Ulaanbaatar.

The policy-based program loan of $160 million for the Ulaanbaatar Air Quality Improvement Program (Phase 2) was approved in December 2019, with the first tranche of $100 million released that month.

The program set out to improve the efficiency of the Government of Mongolia’s National Program for Reducing Air and Environmental Pollution 2017–2025 and the government’s regulatory framework on air quality management. It also implemented urgent measures to reduce air pollution and protect human health in Ulaanbaatar and establish mechanisms for environmentally sound and integrated urban, energy, and transport systems in the capital city and nationwide.

“The government has demonstrated strong ownership and a sense of appreciation of the program benefits and the further work required to green the energy sector,” said ADB Environmental Economist Annabelle C. Giorgetti. “The second tranche follows sustainable long-term measures taken for clean heating supply and accompanying policy reforms. Many of the program reforms are entrenched in state legislation and will be further supported and enhanced under an ongoing ADB technical assistance.”

The program was highly relevant and timely during the coronavirus disease (COVID-19) pandemic, which saw social, health, and economic conditions deteriorate for people around the world. There is scientific evidence that people living in areas with higher levels of air pollution face a greater risk of contracting COVID-19 and of experiencing more severe symptoms if they do contract the virus.

The program builds on reforms initiated in the Ulaanbaatar Air Quality Improvement Program (Phase 1), a $130 million loan approved in March 2018 that helped improve air quality management efforts and enacted measures to cut pollution and protect health.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.

Source: ADB

Mongolia has taken the unusual step of congratulating Azerbaijan on its victory over Armenia in the recent war, seemingly stepping up its efforts to strengthen relations with Turkey.

Azerbaijani and Armenian forces began fighting over the disputed Nagorno-Karabakh region in September and the war continued until early November, when Russian President Vladimir Putin convinced both sides to accept a ceasefire. Some sporadic fighting has continued despite the presence of Russian peacekeepers.

Azerbaijan is considered to have clearly won the war, as Armenia ceded all the territory it lost plus other areas that it has held since 1994.

International media have reported that Turkey supplied, trained and supported Azerbaijani troops, with further reports suggesting that Turkish soldiers even guided drone attacks (which Turkey denies).

Although Russia preserved some influence in the region through the peace deal and the presence of its soldiers on the ground, Azerbaijan’s victory shows the growing extent of Turkish influence in the region.

This may be why Mongolia’s Ambassador to Turkey and Azerbaijan Bold Radvan met with the Azerbaijani Minister of Energy Parviz Shahbazov late last week.

In a statement, the Azerbaijani ministry said that the Mongolian ambassador “conveyed his congratulations on the liberation of Azerbaijani lands from Armenian occupation and restoration of the territorial integrity and sovereignty of Azerbaijan.”

In the meeting, the ambassador also “drew attention to the development of relations between the two countries in various areas in recent years and expressed confidence that the bilateral relations will continue at a high level.”

The focus of the meeting appeared to be on bringing Azerbaijani expertise on oil and gas exploration and processing to Mongolia, as well as cooperating on renewable energy and international student placements.

Nonetheless, Mongolia’s congratulatory note over the war will no doubt be the main takeaway.

It could be seen as an effort to woo Turkey under the ‘Third Neighbour’ foreign policy, which is Mongolia’s strategy to improve relations with countries other than Russia in order to counter-balance China.

President Recep Tayyip Erdogan was outspoken in his support for Azerbaijan during the war, meaning Mongolia’s congratulations will not go unnoticed in Turkey and could open doors that may previously have been closed.

Turkey is a strong candidate for Mongolia’s ‘Third Neighbour’ policy thanks to long-standing diplomatic, educational and cultural ties: Turkey has had diplomatic relations with Mongolia since 1969 and has signed a number of bilateral agreements; Mongolia’s Orkhon Monuments are the some of the oldest Turkic-language inscriptions in existence and relate to the mythic origins of Turkic peoples; and thousands of Mongolian students have graduated from Turkish universities.

However, improving the relationship may not be entirely risk-free. Russia and Turkey have had disputes in the past and the war over Nagorno-Karabakh was seen as a test of both countries’ influence in the Caucuses. In seeking to improve relations with Turkey, there is a risk that Mongolia might draw the ire of Moscow, particularly if the Russo-Turkish relationship deteriorates.

Yet Russia is also a realist power. It appeared to recognise the inevitability of Azerbaijan’s victory and did not support Armenia in the war despite their mutual defence treaty. Perhaps Russia’s pragmatism is one reason why Mongolia was able to congratulate Azerbaijan - it’s a move that is unlikely to come with any significant cost, but could bring strategic benefits well into the future.

Ulaanbaatar, Mongolia--(Newsfile Corp. - December 14, 2020) - Steppe Gold Ltd. (TSX: STGO) ("Steppe Gold" or the "Company") is extremely pleased to announce its plans for a secondary listing of its common shares on the Mongolian Stock Exchange ("MSE").

The Company has retained Ard Securities as its lead advisor and underwriter in connection with the proposed listing. It plans to complete the listing in conjunction with a placement of shares to Mongolian investors, subject to regulatory approvals, on or before April 2021.

Bataa Tumur-Ochir, Steppe Gold, President and CEO, commented, "Steppe Gold quickly positioned itself as Mongolia's leading gold producer and we are excited to attract more Mongolian retail investors and institutions in the growth of our exciting and growing portfolio of precious metal assets. Steppe Gold already has over 20% of its shares owned by Mongolian investors and, with this move, we are reaffirming our commitment to enable more Mongolians to share in the success of Steppe Gold. Steppe Gold has built a strong reputation for community engagement and support, job creation and responsible mining already, and this proposed listing is aligned with our goal to create a national champion in precious metals, and an important contributor to Mongolia's economic success. Ard Securities is Mongolia's leading brokerage and financial advisory company, and we are looking forward to working with them on our secondary listing."

Amarbayasgalan Enhsayhan, Executive Chairman of Ard Securities and Head of Investment Banking at its parent, Ard Financial Group, noted, "We are delighted to be working with Steppe Gold on the dual listing of its shares on the MSE. We are witnessing an increased interest from Mongolia's growing retail investor base and they are excited to participate in the success of a home-grown mining company with a demonstrated success story. Mongolia is a proud mining country and Steppe Gold has quickly established itself as a great example of responsible mining and job generation in this high growth sector. We want to make this deal a case study for listing in this tough environment."

Proceeds of this placement will be used for Phase 2 expansion at the Company's ATO Gold Mine.

About Ard Securities:

Ard Securities is a fully licensed Mongolian investment advisory firm that offers brokerage and financial advisory services. Ard Securities has led the market with 40 percent secondary trading volume on MSE in the past two years. Its parent, Ard Financial Group leads the Investor Nation initiative which aims to increase access to capital markets to ordinary Mongolians.

In 2020, Ard Securities has successfully underwritten and closed the funding for the country's first ever closed-end fund on MSE, National Privatization Fund, bringing the total listed companies managed by the Group to 5: Ard Financial Group JSC, Ard Insurance JSC, Ard Credit NBFI JSC, Mongol Post JSC, National Privatization Fund.

Ulaanbaatar /MONTSAME/ Mongolia needs more selective infrastructure investments that target key value chains in order to drive growth, lower costs, and boost the competitiveness of the country’s economy, according to a new World Bank report released today.

The report, Infrastructure for Connectivity and Economic Diversification, analyzes Mongolia’s infrastructure needs and investment priorities in the context of the country’s geospatial characteristics, fiscal challenges, and the government’s economic diversification agenda. It focuses on five key value chains that are likely to generate the greatest demand for infrastructure services: the livestock industry, value added mining, tourism, renewable energy, and digital services.The focus on these selected value chains does not imply, however, that other sectors should be neglected; it means that these areas are likely to generate the scale of demand for infrastructure services to shape national investment decisions.

“Infrastructure is the backbone of Mongolia’s economy, yet a ‘build and they will come’ approach would limit economic returns on investments. Instead, infrastructure investments should be prioritized to unlock new drivers of growth,” said Andrei Mikhnev, World Bank Country Manager for Mongolia. “In addition to the mining sector, which has so far been the predominant driver of economic growth, priority should be given to unleashing growth potential in the livestock, tourism, digital services, and the renewable energy sectors.”

Mongolia’s population is small relative to the country’s size, limiting the range of economic activities in which it has a comparative advantage. The report finds that targeted investments in meat and iron beneficiation infrastructure have the highest potential to accelerate growth and reduce the country’s logistics cost, which stands at a high of 30 percent of GDP.

To improve the meat value chain, the report suggests establishing a network of strategic hubs in Ulaanbaatar and eight provinces with the highest concentration of meat and milk production. Priority should be given to upgrading key parts of the 4,300 kilometers of roads connecting these strategic hubs. Concentrating services in these hubs would reduce waste, ensure unbroken cold storage chains, and add value through ancillary services.

The report argues that improving urban mobility in the capital city will be crucial to promoting tourism and other services. Improvements in urban mobility should focus on construction, maintenance, and operations of Ulaanbaatar’s 1,190-kilometer road network.

As the country enjoys a strong backbone of digital infrastructure, the report suggests that priority in this area should be given to strengthening gaps in internet capacity and access, improving last-mile connectivity, and expanding 4G connectivity in rural areas.

In the mining sector, selective infrastructure investments can unlock the latent potential of several mineral value chains. For instance, supplying power to the mines, which currently only get 44 percent of their power supply from the grid, with the remainder coming from auto-generation or imports. This offers a major opportunity for a large revenue base of creditworthy, long-term power customers.

Similarly, privately financed mining projects could contribute to building shared railway infrastructure that is open to multiple uses and users, according to the report. Given limitations in public budget for infrastructure, Mongolia must leverage more private financing for developing needed infrastructure by improving the regulatory framework and investment climate. Efforts should be prioritized on turning the concessions list of projects into a market-facing credible list of well-prepared projects, which would help the government redirect its focus to priority projects and pique investor interest.

Finally, efforts must be made to develop Mongolia’s institutional infrastructure for the selection, planning, and implementation of infrastructure projects. The report recommends establishing a central unit to better manage highly fragmented investments and lack of coordination among agencies.

For more information, please visit: www.worldbank.org/mongolia

Source: World Bank

Ulaanbaatar /MONTSAME/ Following the Cabinet’s irregular meeting held today at noon, Prime Minister U.Khurelsukh presented the decisions made at the meeting.

The Cabinet decided that the government will pay utility bills (electricity, heat, water, and waste bills) of households and some enterprises for seven months with MNT 650 billion funding from Erdenet Mining Corporation. Specifically, from December 1, 2020, to July 1, 2021, the government of Mongolia will be responsible for the electricity, heat, water, and waste bills of enterprises except budget-funded entities, state-owned enterprises, mining extraction and processing facilities, banks, non-bank financial institutions, entities engaged in cryptocurrency activities, petroleum importers and sellers, telecommunications service providers, alcohol and cigarette manufacturers, and ferrous and nonferrous metal and concrete producers.

Moreover, it was decided to exempt every household in Mongolia from electricity, water, and waste bills and the ones living in apartments of up to 100 square meters from heat bills from December 1, 2020, to July 1, 2021 and increase the discount rate of refined coal from 50 percent to 75 percent with MNT 69 billion funding from Erdenes Tavantolgoi JSC. A household living in a home of 120 square meters, for example will have to pay the heat bills for the 20 square meters by themselves.

Ulaanbaatar/MONTSAME/. In the first 11 months of 2020, securities worth of MNT 39.6 billion were traded at the national stock market, which is decreased by MNT 117.1 billion (74.7%) compared to the same period of the previous year.

In November 2020, 17.2 million pieces of securities worth MNT 1.9 billion were traded at the national stock market, which is decreased by MNT 18.1 billion (90.7%), while the traded amount increased by 5.3 million (45.2%) pieces of securities compared to the same period of the previous year. The total worth of traded securities decreased by MNT 1.0 billion (35.9%), and traded securities decreased by 8.9 million pieces (34.2%) from the previous month.

In November 2020, the average of indices of the top 20 financial markets was 17541.3 units, increased by 83.2 units from the previous month, but decreased by 1064.0 units from the same period of 2019.

In November 2020, the total value of joint-stock companies operating at stock markets reached MNT 2.6 trillion, increased by MNT 32.8 billion (1.3%) from the previous month and increased by MNT 66.4 billion (2.6%) from the same period of the previous year.

Source: National Statistics Office