3,400 Mongolians to be brought back from abroad in July www.montsame.mn

Ulaanbaatar /MONTSAME/. During the press conference of the State Emergency Commission (SEC) on July 17, Deputy Prime Minister Ya.Sodbaatar, who heads the COVID-19 Operative Team of the SEC, announced that the Government does not have enough capacity to bring back all of over 10 thousand Mongolian citizens, who are currently stranded abroad due to Mongolia’s border closure to all passengers caused by concerns over COVID-19 pandemic, within only one month.

Wary of Sino-Russian influence, Mongolia seeks better ties with the US www.thinkchina.sg

The ruling Mongolian People’s Party (MPP) won a strong mandate in recent elections where it secured 62 seats out of 76. While it has done well to manage the Covid-19 crisis in Mongolia, its foreign policy room for manoeuvre remains limited due to the need to juggle demands from its closest neighbours, China and Russia. How will it keep the balls in the air with the US thrown into the mix?

Amid the Covid-19 crisis and uncertain international political climate, countries are holding national elections to maintain internal political stability and continuity in the process of governance. Mongolia held parliamentary elections on 24 June 2020. This was the eighth parliamentary election since the advent of democracy in 1990.

The elections were centred on the agendas of looming corruption, anti-incumbency, and dissatisfaction with the government. Despite these challenges, MPP managed its re-election due to having a strong political base as the oldest party.
Despite doubts that the incumbent Mongolian People’s Party (MPP) would face a tough challenge from the opposition Democratic Party, MPP confirmed its re-election by winning 62 seats out of total 76 in the parliament, though this was three seats less from its 2016 tally. MPP received 44.9% of the popular vote under the multi-member plurality voting system. The elections saw a total of 606 candidates in the contest across 13 mainstream parties, four major coalitions and a record 121 independent candidates seeking election to the State Great Khural (parliament).

The elections were centred on the agendas of looming corruption, anti-incumbency, and dissatisfaction with the government. Despite these challenges, MPP managed its re-election due to having a strong political base as the oldest party. MPP was founded in 1920 as Mongolian People’s Revolutionary Party and remained the only ruling political party until 1997. With the rise of democracy and new political parties in the 1990s, the party has constantly gone through several changes. The fact that MPP is led by several young parliamentarians has also helped convince the people that the party is active and competent.

Inspired by the 1989 democratic innovations in the neighbouring erstwhile Soviet Union and Eastern European countries including Hungary, East Germany, Bulgaria, Czechoslovakia and Romania, Mongolia’s 1989 democratic movement brought a multi-party system along with a new constitution in 1992. In the past thirty years, the democratic system in Mongolia has gone through a number of changes in governance and constitution. In 2008, a multi-party plurality system was adopted followed by constitutional amendments focusing on the power balance between the president and prime minister.

With his re-election as the prime minister, U.Khurelsukh faces immediate challenges both, at home and aboard. At home, Khurelsukh will have to bridge the economic divide between urban and rural Mongolia. Even during elections, rural candidates were outnumbered by the urban ones, creating an urban-rural divide in representation. Corruption and poor economic policies have led the country towards 30% of people living in poverty. Controlling pollution is another challenge faced by the government. The capital city Ulaanbaatar has become the symbol of an acute shortage of fresh drinking water and air. Also, the country has a high rate of unemployment. In 2019, Mongolia's unemployment rate reached a record all-time high of 11.8%. While policies have been made to meet these challenges, implementation remains to be seen.

The young Mongolians are miffed by the two-front involvement from China and Russia in draining the country’s natural resources in the name of foreign direct investment, including hydro-electricity development by China.
During his oath-taking ceremony on 2 July 2020, Prime Minister U.Khurelsukh promised to focus on promoting social justice and building a “Digital Mongolia", improving livelihoods and expanding the middle class, and sustaining balance between urban and rural development. In fact, Mongolia has become a global example in controlling the spread of Covid-19 cases. It is among very few countries to have closed its borders in January as part of its preventive measures to control Covid-19. As of 2 July, Mongolia has reported a total of 220 cases with no casualties.

On the foreign policy front, Mongolia has been hindered by the external influence from China and Russia. Mongolia was considered a satellite state of the erstwhile Soviet Union and with the disintegration of the Soviet Union in 1990, China began to tie its hands in terms of trade and investment. A resource-rich country with coal and copper, Mongolia exports 90% of its mined products to China, invariably, making it dependent on the latter for cash inflow. For its petroleum needs, Mongolia depends on supplies from Russia. The young Mongolians are miffed by the two-front involvement from China and Russia in draining the country’s natural resources in the name of foreign direct investment, including hydro-electricity development by China.

Meanwhile, it has been difficult for Mongolia to do away with the Sino-Russian influence, especially on the strategic front. For instance, with its stated military prowess, China wants Mongolia to join the Beijing-based Shanghai Cooperation Organisation. Mongolia actually wishes to diversify its strategic ties with other countries, especially the US. President Trump has been vocal in bringing Mongolia under NATO as a partner, but considering the unpredictability of President Trump, Mongolia cannot risk intimidating its neighbours. India is also looked upon as a promising partner of Mongolia. In October 2019, President Khaltmaagiin Battulga paid a state visit to India which caused immense unease in China. It was reflected through a muted coverage of the visit by Chinese media. A similar pattern of Chinese unease was observed during Prime Minister Modi’s visit to Mongolia in 2015, the first-ever visit by an Indian Prime Minister. However, the viability of these options is held hostage by its geography.

To conclude, the newly elected government in Mongolia led by Prime Minister U.Khurelsukh has a clear political mandate. Having proven its success in handling the Covid-19 crisis, the government can further focus on improving employment, water and air quality and socio-political and economic divide between urban and rural Mongolia. Although the country has long-lasting coal and copper reserves, their export story must be reflected in the financial well-being of the country. Similarly, Mongolia can look to diversify its ties away from China and Russia on the strategic front but it will be a challenge to avoid Sino-Russian high-handedness.

Mongolia and the Belt and Road Initiative: The Prospects for the China-Mongolia-Russia Economic Corridor www.ocnus.net

Mongolia is a landlocked country with a population of roughly 3.3 million people, bordering on only two nations, China and Russia. The country痴 primary exports are largely minerals and raw materials, making trade with countries other than its immediate neighbors difficult. China痴 Belt and Road Initiative (BRI)預nd specifically, its primary Mongolian component, the China-Mongolia-Russia-Economic Corridor (CMREC)用romises to facilitate trade between Mongolia and its neighbors, as well as granting Mongolia access to overland routes to the European Union and sea ports in Asia.

The possibilities under BRI/CMREC have drawn praise from a number of voices in Mongolia. Demberel Sambuu, CEO of the Economic Research and Training Institute at the Central Bank of Mongolia, has stated that irrespective of the name given to it, the corridor is natural, inevitable, and necessary. [1] Lakshmi Boojoo, Director General of Mongolia痴 Economic Policy and Competitive Research Center (EPCRC), agrees that the corridor is necessary, but that there are many considerations which must be taken into account before borrowing or spending begins. These factors include needs analysis, feasibility studies, regulatory reform, capacity building, and standardization, among others. [2]

Mongolia and Its Economic Relationship with China

During the period of the Mongolian People痴 Republic (1924-1992), Mongolia was a client state of the USSR, and Soviet engineers built much of the country痴 infrastructure, including the capital city of Ulaanbaatar. There was steady urbanization during this period, a trend that further accelerated after the fall of communism in the early 1990s. Today, over 65% of Mongolians are urban dwellers, with Ulaanbaatar accounting for 45% of the population (Statista, July 9; World Population Review, 2020). Mongolia is classified as a lower-middle income country, with a nominal annual GDP per capita in 2018 of $4,200 (CEIC Data, 2020).

Historically, Mongolia was almost completely dependent on animal husbandry; however, by 2014 exports accounted for more than half of Mongolia痴 GDP. These exports include: copper, apparel, livestock, animal products, cashmere, wool, hides, fluorspar, other nonferrous metals, coal and crude oil. Mongolia痴 primary export market is China, which purchases 84% of its export products (USTR, undated). As it is largely reliant on commodities exports預nd a single, large export partner葉he economy of Mongolia is directly dependent on both global prices for minerals and the performance of the Chinese economy. Conclusions reached by Mongolia痴 Economic Policy and Competitive Research Center corroborate research conducted by international institutions: Mongolia needs diversification in both its exports and export partners, as well as a movement up the value chain. [3]

The BRI痴 Attractiveness to Landlocked Countries

Mongolia痴 status as a landlocked developing country (LLDC) poses particular challenges for its economy預 fact reflected in the creation of the United Nations-affiliated 的nternational Think Tank for Land-Locked Developing Countries� in Ulaanbaatar (United Nations, June 11, 2018). The transportation infrastructure possibilities of the BRI hold particular attractiveness for Mongolia: speaking at the 鉄econd Belt and Road Forum for International Cooperation� held in Beijing in April 2019, Mongolian Minister of Road and Transport Development Byambasuren Enkh-Amgala stated: 典he BRI provides huge economic opportunities for landlocked countries like our country by mitigating their disadvantages of geographical position� Thus, Mongolia has actively participated in the BRI construction from the onset in order to accelerate its economic development by reducing the disadvantages associated with the lack of access to the sea� (Xinhua, April 26, 2019).

The Central Asian republics, which are the countries most similar in geography and circumstances to Mongolia, are landlocked members of the BRI. [4] Being landlocked dramatically decreases a country痴 GDP: the average GDP of the Central Asian republics is only 57% of their neighboring countries who possess access to the sea. It has been estimated that export costs from the Central Asian states are 10% higher than those from countries with maritime access (CACI Analyst, April 30, 2018). Lakshmi Boojoo, Director General of EPCRC, estimates that export costs from Mongolia are even higher. Alongside the distances that must be travelled by rail and auto (both of which are less efficient than shipborne commerce), there is the additional problem of having to pay duties and meet standards for transshipping through a neighboring country. She estimates that this raises the cost of exports by as much as 40%. [5]

Mongolia痴 total production is quite small. The factors of distance, difficulties in shipping, and regulatory restrictions all reduce Mongolia痴 hopes of achieving economies of scale. These problems reduce the competitiveness of Mongolian exports, which in turn causes the country to focus on a very small number of products. In its recommendations to countries considering BRI investment, the World Bank recommends only making the investment when a country expects to achieve economies of scale (World Bank, undated). With Mongolia痴 small population, that may be very difficult to achieve.

The realities of the economic challenges faced by landlocked countries help to explain why landlocked countries such as the Central Asian republics and Mongolia have embraced the BRI. LLDCs like Mongolia see the BRI as a means of obtaining financing for large scale infrastructure projects necessary for economic diversification, accelerated structural development, participation in regional cooperation, and increased trade. Through BRI projects, they can access funding from the Asian Infrastructure Investment Bank (AIIB) and other sources (CACI Analyst, April 30, 2018). The Central Asian republics have also joined the Shanghai Cooperation Organization (SCO)擁n which both China and Russia are leading participants葉hereby creating a platform for economic development and cooperation throughout the region. Mongolia has not formally joined the SCO, but enjoys observer status.

Image: A map of proposed railway construction to be undertaken for the 鼎hina-Russia-Mongolia Economic Corridor,� a key component of the BRI as envisioned for Mongolia. (Image source: Belt and Road Ventures, September 30, 2018)
The China-Mongolia-Russia Economic Corridor

Plans to develop a 鼎hina-Mongolia-Russia Economic Corridor� (CMREC) were jointly announced in 2016 by the leaders of the three countries. A Xinhua statement at the time indicated that the three countries would 途enovate ports of entry and overhaul customs procedures;� conduct 田loser cooperation in energy and mineral resources, high tech, manufacturing, agriculture and forestry;� and 兎xpand trade at border regions and widen services trade� [and promote] cooperation in education, science and technology, culture, tourism, medical care and intellectual property� (China Daily, September 16, 2016). Pursuant to these plans, the three countries have signed various agreements to cooperate on improving rail transit and highways through Mongolia, offering increased connections between China and Russia. Freight traffic has increased dramatically over the past few years: in 2014, only 10 China-Europe freight trains passed through Mongolia, but in 2018 there were around 900 (Xinhua, April 26, 2019).

The Mongolian government sees CMREC as a potential means of overcoming 斗andlockedness,� and as a program that could be integrated with Mongolia痴 own domestic development plans. Mongolia is pursuing its own Steppe Road Plan, a reported $50 billion infrastructure development program announced in 2014 that aims to boost energy, telecommunications, mining, and tourism, as well as to build or upgrade road and transport infrastructure (Eurasia Net, July 7, 2017). The PRC has touted the BRI as being 塗ighly consistent with Mongolia痴 Steppe Road program,� and as an initiative that 努ill guide the win-win cooperation between the two countries� (Xinhua, October 2, 2016).

Amid its benefits, one of the most salient potential drawbacks for the BRI/CMREC is the implications that it bears for Mongolian sovereignty. The completion of CMREC would require a large investment in transportation infrastructure, thereby increasing Mongolia痴 external debt, which already stands at 221% of nominal GDP (CEIC Data, 2020). Such a prospect carries the possibility of Mongolia being subjected to a BRI-related 電ebt trap� of the sort faced by countries such as Sri Lanka (China Brief, January 5, 2019; China Brief, April 13).

Analysis of the Economic Impact on Mongolia

The International Think Tank for Landlocked Developing Countries (ITTLLDC) in Ulaanbaatar has published models that examine three possible economic corridors, and their respective impacts on Mongolia and China. The models made several assumptions擁ncluding that the projects would be completed by 2020預nd then measured what their impact would be in 2030. The models assumed that average highway speed would be raised from 19.25 kilometers per hour (km/h) to 38.5km/h, and that average rail speed would improve from 19.1km/h to 40.0km/h. The models further assumed that customs facilitations would be undertaken, cutting the time and cost of clearing borders in half (ITTLLDC, 2017).

Per this analysis, the first corridor, connecting China and Russia through the Western part of Mongolia, resulted in the largest economic benefit going to China. Consequently, ITTLLDC speculated that China might be most interested in funding this corridor. The second corridor, connecting China and Russia through Ulaanbaatar, benefited the largest number of countries葉hus potentially making the project eligible for international funding through China, the EU, and Russia. The third corridor, connecting Bichigt, Mon and Ulaanbaatar, had a positive impact for both China and Mongolia葉herefore raising the likelihood that the two governments might collaborate on funding (ITTLLDC, 2017).

Conclusion

Despite the benefits, economic corridors such as the envisioned CMREC also carry with them some risks. These include a massive inflow of foreign direct investment, which could crowd out or decimate local industries; as well as a dramatic increase in migrant labor and goods imports, which could threaten domestic small and medium sized enterprises. From a geopolitical standpoint, Mongolia also bears a certain amount of risk, as it must balance its engagement with Russia against its engagement with China, without alienating one or the other. Deeper engagement with China痴 BRI program could offer considerable economic benefits to Mongolia傭ut it also presents complex political issues for Mongolia痴 leaders to consider as they contemplate their country痴 future.

Antonio Graceffo, PhD is an economic researcher and China analyst based out of Ulaanbaatar, Mongolia.

Mongolia’s Government’s budget shrinks by over 10 percent www.news.mn

The coronavirus crisis has hit commodity-dependent countries hard as economic lockdowns have shattered global demand for their exports.

Mongolian elected as a member of the IOC www.news.mn

Battushig Batbold has been elected as a member of the International Olympic Committee on July 17th, 2020 this is an extraordinary event in Mongolia’s sports history from every angle. After almost five decades, a Mongolian national was elected as a full standing member of IOC once more. General Secretary of Mongolian National Olympic Committee, 2008 Beijing Olympic Champion Badar-Uugan Enkhbat stated that “Undoubtedly, his election will be a boost in promoting sports in Mongolia by bringing potentially more investment, sponsorship and events.” IOC membership is once in a life time achievement that many cannot reach.

Battushig has started his journey in the Olympic community in 2015. He was first elected as a President of Mongolia’s Badminton Federation followed by his nomination and election to be a council member of Badminton World Federation. This was the first time a Mongolian national being elected to an executive position of an international sports federation. After being actively involved in the Olympic community, in 2017 he was elected First Vice President of the Mongolian National Olympic Committee becoming the youngest person to hold this position in Mongolia. The following year, he was appointed as member of the Marketing Commission of IOC and re-elected again in 2020. Battushig’s interest in sports has a long history. In school he was captain of his high school basketball team in Seattle at the Northwest School. When he studied at University of Chicago, School of Economics he dreamt of playing professional basketball and would become best friends with one of the Chicago Bulls players of the time, Luol Deng. Luol also an international figure originally from South Sudan has long term friendship with Battushig, where both have contributed to sports and basketball development through their foundations. Battushig’s father founded and sponsored one of the first professional basketball teams in Mongolia in the 1990’s, Altain Burgeduud (Altain Eagles), after their family company name of Altai Holding. Battushig has continued the support and development of this team even as it goes to different leagues in the country. Currently Battushig’s father Batbold occasionaly plays in the Master’s league, for seniors players. After working as an analyst in Morgan Stanley and graduating Harvard Business School Battushig came back to Mongolia and headed his family business, Altai Holding.

Currently, he serves as a Chairman of Altai Holding, one of leading business groups in Mongolia, Emart Mongolia, one of the most successful and innovative retail chains and Skytel Group, a pioneer in telecom and media industry. In the span of just four years, Emart has opened three hypermarkets introducing international standards of service, sourcing and quality. It became second largest retail chain in Mongolia in this brief period of time. The company has created over 1000 jobs directly and created growth opportunities for local small medium businesses in meat processing, milk and dairy, green produce and many other areas. Altai Holding as a group employs over 1800 people and contributes over 20 billion Tugrug in taxes and fees to state and local budget. All of its holding companies are ranked each year in the TOP-100 companies of Mongolia identified by Chamber of Commerce where industry leaders are positioned in terms of taxes paid, number of employees, social contribution and environmental practices. Battushig’s father, Batbold Sukhbaatar, was the 26th Prime Minister of Mongolia in 2009 until 2012 and Chairman of the ruling Mongolian People’s Party. After Mongolia started a transition from the one-party authoritarian rule to market economy and democracy, he was one of the first Mongolians to start a private business and grow it to a large corporation before entering politics.

As Prime Minister and Chair of the governing party he initiated introduction of Cambridge International Education Standards to public schools in Mongolia, reform of the stock exchange and its cooperation with London Stock Exchange, adoption of European technical and governance standards among many other things. The family values development of the country, contribution to sports and arts as well as the youth of the country. No doubt Battushig has continued this legacy well so far as he starts a bigger journey

5G wars: China could sanction Nokia & Ericsson in response to EU ban on Huawei www.rt.com

Beijing is considering sanctions against two major European telecoms-equipment manufacturers, should EU members follow the lead of the US and UK in barring China’s Huawei from 5G networks, the Wall Street Journal (WSJ) reported.
According to the WSJ’s sources, China’s Ministry of Commerce is mulling export controls that would prevent Nokia and Ericsson from sending products it makes in China to other countries. One source added that the measures may be applied only in the event of a worst-case scenario in which European countries prohibit the use of equipment from Chinese suppliers to create 5G.

India learning valuable lessons from Mongolia www.news.mn

A noteworthy example in this regard comes from Mongolia’s mining industry, a sector which has received significant concessions as part of India’s recent economic package. To respond to the economic crisis arising from the pandemic, the Indian government has announced a package of investments totalling at least 10 percent of the national Gross Domestic Product (GDP).

Mongolia has globally significant biodiversity, mainly grasslands in its Eastern Steppes and the Gobi Desert. With 40 percent of the Mongolian population living as nomadic herders, the grasslands support livelihoods and traditional lifestyles as well.

In 2008-09 when the government of Mongolia wanted to open up its mining sector for investments, it looked for ways in which it could find balanced solutions. It worked with civil society (The Nature Conservancy) on a land-planning approach called “Development by Design (DbD)”. The results of this effort speak for themselves today: as a result of this work, Mongolia created 39 new protected areas in its eastern grasslands. And yet, the country’s mining sector has continued to grow, accounting for 23 per cent of the country’s GDP today!

Mongolia has since replicated this land planning process in the Gobi Desert, as well as its northern and western regions, creating a seamless land-use plan that is leading to the creation of 177,000 square kilometres of new areas that are demarcated as protected areas, while keeping nearly as much land available for mining, on par with the investments in protected areas.

Mongolia’s ‘Development by Design’ approach entailed working collaboratively with businesses such as the Rio Tinto mining corporation, local communities and civil society to scientifically identify areas where mining could take place; areas that should be off-limits for mining because of their ecological or local community values; and areas that if used for mining, would require the impact to be offset. Companies mining in this third category were required to make financial contributions towards “offsets,” which could be utilised to restore degraded sites or develop and implement management plans for the newly established protected areas.

All of this was laid out in an EIA law that the Mongolian government passed. A key component of this law was a national mitigation design tool that equipped companies to both identify areas in which mining was permitted, and not, as well as areas where it was permitted with payment towards “offsets.” The tool also helped the companies calculate the offset price which was based on the impact of their mining activities measured in terms of area, magnitude and duration of impact on the biodiversity values.

While India already has many well-established protected areas, they are insufficient for conserving the country’s wildlife and ensuring the environmental balance for the country. It is indeed important for India to conserve the corridors between the protected areas if the local communities and wild creatures are to thrive into the future. However, the pertinent lesson from Mongolia is not that India needs more protected areas, but that it is possible to find win-win approaches that balance development with the environment and promote ease of doing business without compromising on the environment.

Rather than shying away from doing business in Mongolia because of its EIA law, mining corporations have been happy because the law provides them with businesses certainty around their investments. The chief advisor for biodiversity and ecosystem services for Rio Tinto, for example, has stated that a tool like Development by Design allows companies to assess the pros and cons of individual investments and avoid unnecessary risks.

Mongolia National Day - Greeting by Michael R. Pompeo, Secretary of State (USA) www.mn.usembassy.gov

On behalf of the Government of the United States of America, I extend my best wishes to the people of Mongolia on the opening of the Naadam festival on July 11.

Mongolia to go ahead with Naadam festival, but with no tourists www.intellinews.com

By Milena Mendes in Ulaanbaatar Mongolia July 9, 2020
The coronavirus (COVID-19) pandemic has played hell with the international event calendar everywhere this year. Football tournaments have been nixed. The Munich beer festival called off. And the 32nd Summer Olympics, initially scheduled to take place in Tokyo between July and August of this year, has been cancelled. After much discussion the International Olympic Committee said sports fans will have to wait another year to see its streets flooded by tourists coming from all over the world to participate in the biggest sports event in the world.

But not in Mongolia, which has decided to go ahead with its own mini-Olympics: Naadam, Mongolia’s biggest festival, where the population come together every year to compete in the Three Manly Games: wrestling, archery and horse riding, which starts this weekend.

Naadam brings in tourists from all over the world during the three day-long summer games that celebrate the anniversaries of the Foundation of the First Mongolian Sate, the founding of the Great Mongol Empire, and the Mongolian People’s Revolution of 1921. Despite the current pandemic, the event will neither be postponed, as its date is an official Government calendar holiday, nor cancelled. But there have been some adjustments made for this year’s edition.

Though the biggest events take place in the capital, Ulaanbaatar, including concerts and performances at Sukhbaatar Square, the central square where the Mongolian Parliament House is located, cultural festivals are celebrated throughout the country. Naadam might be a centuries-old tradition in its different forms and editions, but it is still a huge part of modern Mongolian culture. For the approximate 3mn natives, it is also a chance to reconnect with families, friends and old acquaintances as Mongolians ride into the capital on this occasion, which is as much about keeping in touch with extended family as a sports event – a nomad’s version of Thanksgiving.

Naadam starts on July 11 with a months-long planned opening ceremony that involves synchronised performances with hundreds of volunteers telling stories about some events of the Mongolian history, featuring dancers, musicians and monks. Two of the greatest moments involve a speech addressed by the President, and paying respect to the Nine White Banners – a type of flag pole adorned with horse tail hair hanging from a circular base in the superior part, with a sort of fork-looking piece on the top of the pole that represents a flame. A tradition initiated by Genghis Khan, the Mongol khans would place banners outside their yurts as a symbol of times of peace. Currently the Nine White Banners also symbolise eternity and great power, and they are kept in the Parliament house, being taken out only for very special occasions, such as the Naadam’s opening ceremony in a procession followed by many others over about three kilometres to the National Stadium.

The Naadam Organising Committee members have decided to go ahead with the ceremony but with some concessions to the pandemic: the performances will happen simultaneously in different locations and be live-streamed on television and via the internet to keep crowd sizes down. The provision of trade and services has also been forbidden around the Central Stadium, which will hit the traditional food tents and are a big part of the festival.

The main traditional dishes of the country comprise of a sort of noodles with meat and some vegetables, called tsuivan, which is either Mongolian or Chinese in origin (no one can agree), as well as flour and meat based steamed or fried dumplings called buuz and huushuur respectively. The latter is the big star of Naadam, but also eaten throughout the year as a popular cheap and fast food.

However, the competition in all three of the traditional disciplines will still take place as usual, except every participant must first have been tested for the COVID-19. The Committee said that “officials will be assigned to check temperatures and enforce the safety rules during the tournaments,” officials said as cited by local media.

The Three Manly games

It is the colourful traditional costumes that make Nadaam special. The dress-like outfits reflect the ancient and modern countryside styles. Belted by a broad sash called a deel, the upper part works as a big pocket in which horsemen and herders can put their tools, freeing their hands for the work in the field before returning to their yurts, also called gers. Nowadays there are infinite styles of deels, for both genders and all ages and at a vast range of prices. They are mostly used on special occasions, such as for wedding and graduation ceremonies, Tsagaan Sar, as well as for Naadam.

But it is the three manly games that draw the crowds from all over the world. When Genghis Khan united the people of the steppe in the 13th century horse riding became an essential part of Mongolia’s culture. Riding lessons begin at five years old, and children master their skills until they take part in the Naadam race with hundreds of other children – a rite of passage.

Where Mongolian wrestling differs from the international free wrestling is the fact that the competitors weight is not taken into consideration. There are many different titles for the wrestlers, such as Titan, Lion, Elephant and Falcon – all meaning strength. These vary according to the numbers of wins over succeeding fights, especially during Naadam. The Nadaam champions can win cars, apartments, or large amounts of money.

And archery began as a weapon, but the Mongolians soon realised archery was also a way to express their strength allied to precision. For official tournaments, the target is placed at a distance of 75 metres for men and 60 metres for women, who can compete both individually or in teams of eight to 12 people.

Absent tourists

Despite these precautions the biggest change to the event this year will be the absence of foreign tourists. The Naadam week is the biggest week in the country’s tourist season, but this year tourism has dropped to next to nothing.

In the first four months of 2019 the tourism sector achieved $73.3mn in revenue, but this year it only registered $20.9mn, according to the Mongolian National Statistics Office. Out of the total decrease in the exports of services in the first quarter of 2020, almost $24.7mn, tourism services accounted for more than half (54.7%).

In the first quarter of 2020, the total revenue from accommodation services reached MNT35.3bn ($12.5mn), and the revenue of food services attained MNT102.9bn ($36.5mn), respectively 42.9% and 2.6% decreases compared to the same period of last year. In 2019 restaurants and hotels had a combined revenue of MNT766.6bn, equivalent to over $270mn.

According to CEIC Data, Mongolia registered 577,300 foreign visitors in 2019, a increase of 10% compared to the previous year. The Chinese led the charts in the first quarter of 2019, making up 39.6% of the total number of tourists in Mongolia. Secondly came the Russians (36.8%), followed by South Koreans (10.7%). For the same period this year, Russians increased their share to half (51.5%), while China and South Koreans fell to 20% and 14.4% respectively. Visitors from Kazakhstan, the fourth country in the list, have remained roughly the same, accounting for 3% and 3.9% in the reported periods.

China is just across the southern border, so Mongolia was exposed to and aware of the spreading epidemic from the start. The government started taking preventive measures early on, in order to keep the virus from spreading through its very small population, of which half live in the capital of Ulaanbaatar. In January, after children had only been back at school for a week after the winter break, the government shut the schools and switched to online and distance learning via TV.

A few weeks later, the Lunar New Year (Tsagaan Sar) public celebrations were suspended and families were strongly recommended to cancel big family gatherings, when traditionally the younger members travel all around the country to visit their older relatives and pay them their respects.

In February, international flights were suspended and still are. Since then, foreign residents who wanted to go home could only do so in the few chartered flights to locations with a large Mongolian population, who wanted to be repatriated. The land borders with Russia and China were also closed to travellers, but not goods.

The fast action of the government paid off. The first confirmed COVID-19 infection was only announced on March 10, brought into the country by a French citizen. Three months later the country now has had 215 reported cases, though there are no reports of local transmission, and so far, not a single death.

Hoping to keep things this way, the Government intends to maintain the country in lockdown until a vaccine is found, according to an announcement made by Prime Minister Khurelsukh Ukhnaa on May 25. Currently there are no public plans to reopen the borders or restart international commercial flights.

Federation Council approves ratification of Mongolian-Russian Treaty on Comprehensive Strategic Partnership www.montsame.mn

Ulaanbaatar /MONTSAME/ The Federation Council of the Federal Assembly of the Russian Federation at its plenary meeting on July 8 approved the bill on the ratification of the Treaty on Friendly Relations and Comprehensive Strategic Partnership between Mongolia and the Russian Federation, signed by the heads of state of Mongolia and Russia on September 3, 2019, during Russian President Vladimir Putin’s official visit to Mongolia at the invitation of President Kh.Battulga.