1 MONGOLIA MARKS CENTENNIAL WITH A NEW COURSE FOR CHANGE WWW.EASTASIAFORUM.ORG PUBLISHED:2024/12/20      2 E-MART OPENS FIFTH STORE IN ULAANBAATAR, MONGOLIA, TARGETING K-FOOD CRAZE WWW.BIZ.CHOSUN.COM PUBLISHED:2024/12/20      3 JAPAN AND MONGOLIA FORGE HISTORIC DEFENSE PACT UNDER THIRD NEIGHBOR STRATEGY WWW.ARMYRECOGNITION.COM  PUBLISHED:2024/12/20      4 CENTRAL BANK LOWERS ECONOMIC GROWTH FORECAST TO 5.2% WWW.UBPOST.MN PUBLISHED:2024/12/20      5 L. OYUN-ERDENE: EVERY CITIZEN WILL RECEIVE 350,000 MNT IN DIVIDENDS WWW.GOGO.MN PUBLISHED:2024/12/20      6 THE BILL TO ELIMINATE THE QUOTA FOR FOREIGN WORKERS IN MONGOLIA HAS BEEN SUBMITTED WWW.GOGO.MN PUBLISHED:2024/12/20      7 THE SECOND NATIONAL ONCOLOGY CENTER TO BE CONSTRUCTED IN ULAANBAATAR WWW.MONTSAME.MN PUBLISHED:2024/12/20      8 GREEN BOND ISSUED FOR WASTE RECYCLING WWW.MONTSAME.MN PUBLISHED:2024/12/19      9 BAGANUUR 50 MW BATTERY STORAGE POWER STATION SUPPLIES ENERGY TO CENTRAL SYSTEM WWW.MONTSAME.MN PUBLISHED:2024/12/19      10 THE PENSION AMOUNT INCREASED BY SIX PERCENT WWW.GOGO.MN PUBLISHED:2024/12/19      КОКС ХИМИЙН ҮЙЛДВЭРИЙН БҮТЭЭН БАЙГУУЛАЛТЫГ ИРЭХ ОНЫ ХОЁРДУГААР УЛИРАЛД ЭХЛҮҮЛНЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2024/12/20     "ЭРДЭНЭС ТАВАНТОЛГОЙ” ХК-ИЙН ХУВЬЦАА ЭЗЭМШИГЧ ИРГЭН БҮРД 135 МЯНГАН ТӨГРӨГ ӨНӨӨДӨР ОЛГОНО WWW.MONTSAME.MN НИЙТЭЛСЭН:2024/12/20     ХУРИМТЛАЛЫН САНГИЙН ОРЛОГО 2040 ОНД 38 ИХ НАЯДАД ХҮРЭХ ТӨСӨӨЛӨЛ ГАРСАН WWW.NEWS.MN НИЙТЭЛСЭН:2024/12/20     “ЭРДЭНЭС ОЮУ ТОЛГОЙ” ХХК-ИАС ХЭРЛЭН ТООНО ТӨСЛИЙГ ӨМНӨГОВЬ АЙМАГТ ТАНИЛЦУУЛЛАА WWW.EAGLE.MN НИЙТЭЛСЭН:2024/12/20     Л.ОЮУН-ЭРДЭНЭ: ХУРИМТЛАЛЫН САНГААС НЭГ ИРГЭНД 135 МЯНГАН ТӨГРӨГИЙН ХАДГАЛАМЖ ҮҮСЛЭЭ WWW.EAGLE.MN НИЙТЭЛСЭН:2024/12/20     “ENTRÉE RESOURCES” 2 ЖИЛ ГАРУЙ ҮРГЭЛЖИЛСЭН АРБИТРЫН МАРГААНД ЯЛАЛТ БАЙГУУЛАВ WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2024/12/20     “ORANO MINING”-ИЙН ГЭРЭЭ БОЛОН ГАШУУНСУХАЙТ-ГАНЦМОД БООМТЫН ТӨСЛИЙН АСУУДЛААР ЗАСГИЙН ГАЗАР ХУРАЛДАЖ БАЙНА WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2024/12/20     АЖИЛЧДЫН САРЫН ГОЛЧ ЦАЛИН III УЛИРЛЫН БАЙДЛААР ₮2 САЯ ОРЧИМ БАЙНА WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2024/12/19     PROGRESSIVE EQUITY RESEARCH: 2025 ОН “PETRO MATAD” КОМПАНИД ЭЭЛТЭЙ БАЙХААР БАЙНА WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2024/12/19     2026 ОНЫГ ДУУСТАЛ ГАДААД АЖИЛТНЫ ТОО, ХУВЬ ХЭМЖЭЭГ ХЯЗГААРЛАХГҮЙ БАЙХ ХУУЛИЙН ТӨСӨЛ ӨРГӨН МЭДҮҮЛЭВ WWW.EAGLE.MN НИЙТЭЛСЭН:2024/12/19    

Events

Name organizer Where
MBCC “Doing Business with Mongolia seminar and Christmas Receptiom” Dec 10. 2024 London UK MBCCI London UK Goodman LLC

NEWS

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From Mongolia to Iraq, the stories of Liverpool's global love affair www.liverpoolecho.co.uk

There are few football clubs with the global appeal of Liverpool. From Africa to Asia, South America to South Australia, there are vocal supporters, as passionate and faithful as those who live on Anfield Road.

The scale of LFC’s global fanbase has been made more apparent by the many pre-season tours of the last few years. This is now a truly modern club – perhaps the biggest in the world – connected to all corners of the Earth by the internet, by social media and fan forums.

On a Saturday afternoon, it is not just at Anfield where fans gather to watch their team, to sing You’ll Never Walk Alone and feel a part of something. It is in Ulaanbaatar, in Nova Scotia, in Kigali and in Buenos Aires too.

LFC Stories spoke to several fans from around the world on supporting the club from afar, and the inimitable appeal of Liverpool for people of all backgrounds.

Amarsaikhan Orso – Mongolia

I live in Ulaanbaatar – the capital city of Mongolia. I watched the 1982 FIFA World Cup in Spain on a black and white TV as an 11-year old boy, which is probably my earliest recollection of being drawn to football as a sport. Back then Mongolia was under a socialist regime; we had a single national and one other Russian channel. It was a lucky chance that the Russian team was participating that year, so I was able to watch multiple games broadcasted.

My father who worked for a political party read a lot of Russian newspapers, including Soviet Sport (now Sport Express) and Football & Hockey. I found out about Liverpool, which was dominating the fields of England and Europe, from the publications and was instantly a fan of players such as Ian Rush. After watching the FIFA World Cup in 1982, I decided to root for the team of England. Maybe I was drawn to their style since as a kid I liked to play as a winger and do header goals.

At the start of 2000, I started working as a brand manager to import the Carlsberg beer from Copenhagen, Denmark to Mongolia. Now everyone knows that Carlsberg was the main sponsor of our team at the time. I’d like to believe that at this point, I connected with Liverpool on a deeper level and it became a very special part of my life.

After the 2005 Istanbul final, Liverpool fans in Mongolia experienced a spike in numbers. During that time, social media platforms weren’t as prominent as they are now, so we used to gather on sports forums to discuss our opinions, predictions, and commitment to our club. This was a start of great friendships and companionships within the fan club. In 2009, a couple of fans decided to organise a meet up and proposed the idea of creating the fan club, which officially opened on 7 November 2010. I was chosen as the Head of the Fan club and I am still carrying the role to this day with pride.

Within the fan club, we have organised various games and events such as The Reds` League and Reds` Cup. It’s become a habit of ours to gather and watch the games together for the Champions League games. Over 1500 Kopites came together to watch on TV this year`s Champions League Final in Madrid. We have been included in multiple promotional videos of Liverpool FC and we are extremely happy about being a part of this global fan base.

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MBD will represent "Reed Exhibitions International" in Mongolia www.mongolianbusinessdatabase.com

Reed Exhibitions International is a business unit of the RELX Group which is the global conglomerate listed on the London and Amsterdam Stock Exchanges.

The world's leading event organizer just announced that Mongolian Business Database (MBD) will be its part of mission in Mongolia and the project/partnership would target to specifically promote Mongolian manufacturers and exporters intention to global market through its network and events. www.reedexhibitions.com

The first announcement will be "Tokyo Fashion Show" in April 2020 which will gather 1100 international exhibitors and appx 25000 visitors at the center soon.

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Bye-bye Boeing: Russia’s biggest airline cancels 787 Dreamliner order www.rt.com

Russian flagship carrier Aeroflot has formally canceled an order for 22 Boeing 787 Dreamliners valued at about $5.5 billion. This adds to the pressure on Boeing due to the grounding of 737 MAX jets after two recent crashes.
The cancelation was not announced by either side but was buried in Boeing’s monthly order release.

According to Reuters’ sources, the US plane maker faces the growing possibility that it may have to cut production back by 2022 as the grounding of its popular 737 MAX stretches into its eighth month.

One of the sources said Boeing has dozens of unsold or potentially vacant 787 positions on its production line in 2022. The actual number of unfilled production slots depends on assessments about the ability of airlines to take delivery as promised, which plane makers keep confidential.

Statistics showed demand for the narrow-body aircraft that dominate most fleets remains strong. Meanwhile, demand for larger, long-haul aircraft like the 787 and Airbus A330 and A350 has weakened.

Boeing Chief Executive Dennis Muilenburg said last month the company was closely tracking “macro risk areas.” He added Boeing had reserved slots on its 777 and 787 production lines for Chinese orders that have been held back by the trade war.

“There is dependency there on Chinese orders ultimately coming through,” Muilenburg said.

Some suppliers were surprised by his comments as plane makers typically raise output only after selling aircraft rather than opening the taps in hopes of winning orders later.

Company data shows Boeing officially booked a previously announced order from Air New Zealand for eight 787-10s, which is the largest Dreamliner model.

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Conservation policies threaten indigenous reindeer herders in Mongolia www.theconversation.com

Deep in the sub-Arctic boreal forest of far northern Mongolia lives an indigenous tribe who are among the world’s smallest ethnic minorities and last reindeer herding nomads. The Tsaatan, as they’re known, have been buffeted over the last century by political and economic shocks, growing resource and environmental pressures, and significant impacts of climate change. But today they’re also facing another danger which they feel may be just as big a threat as any of these to their survival: the conservation policies of the Mongolian government.

This June, the two of us – environmental historians who work on climate change and conservation – spent five days traveling by air, four-wheel-drive, and finally horseback to reach the Tsaatan camps near Siberia, where the nomads live in teepee-like ortzes, migrating with their reindeer across the boreal forest. Our goal was to witness the summer migration to high elevation pastures, while learning how the Tsaatan’s herding livelihoods are changing.

Climate change is posing perhaps the most widely known threats to Mongolia’s nomadic cultures. In the past seven decades, average temperatures in the country have risen 2.24 degrees C – more than twice the global average. This warming has intensified both summer droughts and extreme winter conditions, contributing to waves of nomadic herders abandoning their herds and moving to the capital city of Ulaanbataar. In recent decades the city has been overwhelmed by more than 600,000 migrants, leading to a sharp increase in the burning of dirty coal and contributing to a spiral of intensifying climate displacement.

Meanwhile, a mining boom has stimulated Mongolia’s economy and offered good jobs to some of the former nomads, but has also worsened carbon pollution, urban migration and pressure on ecosystems.

With all of these stresses, what we found from the Tsaatan surprised us. While they are concerned about climate change and mining, they told us they believe misguided conservation policies have become a more serious threat to their nomadic culture.

Special Protected Areas
The Tsaatan live far from roads, sharing the boreal forest with endangered Siberian ibex, argali sheep, red deer and musk deer. Miners began exploiting the region for gold, jade and uranium in the 1990s, soon after the collapse of the Soviet Union. This contributed to an increase in wildlife poaching and degradation of the high alpine meadows, mountains and streams that the Tsaatan rely on and see as sacred.

In response to a request from the Tsaatan, in 2011 the Mongolian government set up a Special Protected Area and canceled all 44 mining licenses in the region. But the government also went further: concerned by poaching and habitat loss, it eliminated hunting and fishing as well, and excluded reindeer from most of the area.

Reindeer are a domesticated subspecies of caribou (Rangifer tarandus), and the Tsaatan are the southernmost reindeer-herding people in the world. Today, about 250 Tsaatan herd about 2,000 reindeer. But rather than eating their reindeer, as other reindeer herders do, the Tsaatan milk them, ride them and use them as pack animals.

For millennia, Tsaatan nomads moved with their family herds up to 10 times a year, frequently crossing what became the border between Mongolia and Russia. During our visit to the region, Gombo, a Tsaatan elder, told us that when Stalin gained power in what was then the Soviet Union, many Tsaatan on the Soviet side of the border fled to Mongolia, fearing they would be forcibly settled and assimilated. But this also cut them off from much of their traditional land.

As Gombo told us, until 1960 the Tsaatan in Mongolia were people without a state, unrecognized by the government as legal residents. When they eventually were granted citizenship, some began to settle, while others continued to migrate with their reindeer, earning a salary from reindeer collectives. Some of the nomads supplemented their income by working for the Mongolian government, hunting sable whose pelts would be exported to the Soviet Union.

The demise of the Soviet Union in 1990 and the transition from communism in Mongolia to a market-based economy led to even greater disruption across the country. In the boreal forest, the struggle to survive led to an increase in poaching, and as the economy began to recover in the 2000s, the government struggled to craft conservation policies that could protect both natural and human communities.

As an example, government surveys suggest that the move to forbid hunting in the Special Protected Area has helped ibex. But according to the Tsaatan we spoke with, it has also devastated their culture. As a herder named Ganbat told us, “Fathers can’t take their sons hunting anymore, so children don’t learn about hunting, or about the habits of animals anymore. We don’t know how to teach our sons if we can’t take them hunting.”

Ironically, that means place-based knowledge that is essential to conservation is also vanishing.

Humans’ role in conservation
Zaya, another herder, told us that human health is suffering as well, as key nutrients from wild meat such as moose and deer are lost. To fill the gap, some Tsaatan began eating their reindeer, a practice that was anathema to most.

Restrictions on access to pastures have had even greater impacts. Instead of frequent seasonal migrations, the nomads now are allowed only four, leading to overgrazing and poorer reindeer health. Bambag, a reindeer herder who also acted as our guide, told us “the administration now orders us to move to certain places. We don’t get to decide what’s best for our reindeer. So that’s difficult for us.”

Community members also bitterly complained about the ways that local rangers enforced the Special Protected Area regulations – tracking their movements with trail cameras, fining them, forcing them to travel for days to the village to seek permission to move their herds, and imprisoning anyone caught hunting. There is nowhere that they can escape from the eyes of the State, Zaya told us.

The Tsaatan made clear that they understand the need for some protected area regulations. But as a woman named Erdenechimeg told us, they want to be partners in designing conservation policies.

One of the hard lessons of conservation history across the world is that national parks and protected areas were often created at the expense of indigenous peoples. Yosemite National Park, for example, was created by forcing out indigenous tribes, casting them as enemies of wildlife. Today we see the same process happening in Mongolia – funded in part by the Yosemite Parks Association, which has raised money to pay rangers’ salaries.

We’ve come to believe that sustaining nomadic reindeer herders in Mongolia while also protecting endangered wildlife requires the government re-think conservation policies that exclude human communities and livelihoods from protected areas. Reindeer across the north have been central to human cultures for millennia. Today, they also help all of us slow climate change, because their grazing reduces heat-absorbing dark ground cover in the winters.

The Mongolian government is working hard to protect endangered wildlife, but the Tsaatan nomads insist their reindeer culture is equally endangered – and important. If consulted as equals, they and their reindeer can help sustain the boreal forest and the global climate.

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Samurai Blue rout Mongolia 6-0 in 2022 World Cup qualifier www.japantimes.co.jp

SAITAMA – In the sumo ring, wrestlers from Mongolia rule the roost against their Japanese opponents.

On the soccer pitch, Japan is clearly still king.

Takumi Minamino scored in his third straight match, veteran defender Yuto Nagatomo netted his first international goal in 10 years and Junya Ito recorded three first-half assists as the Samurai Blue romped to a 6-0 win over Mongolia on Thursday night.

Japan’s first home game of joint qualifying for the 2022 World Cup and 2023 Asian Cup saw a crowd of 43,122 endure occasional rain and chilly temperatures. Among those in attendance was retired rikishi Asashoryu, the former yokozuna who is one of the most famous Mongolians in Japan.

After 22 minutes of one-way — but scoreless — traffic toward the Mongolian goal, Ito’s pinpoint cross was headed in by fellow midfielder Minamino. It was the Salzburg man’s eighth international goal and second of the qualifying round after he slotted in against Myanmar last month.

“We kept a clean sheet for 20 minutes, and then the goals came like apples from the tree,” Mongolia head coach Michael Weiss reflected. “Still, it needs to be continued, and for us to play on this level in this stadium will never be forgotten in our lives.

“(Mongolia) has good potential, now we must start to play football.”

Maya Yoshida made it 2-0 in the 29th minute with his own header off a rebound, and from then it appeared as though the dam had broken.

Three minutes later the other senior defender of the squad, Galatasaray’s Nagatomo, was all alone at the near post after a one-two combination between Ito and Minamino brought Mongolian goalkeeper Batsaikhan Ariunbold far off his line.

FC Tokyo striker Kensuke Nagai made it 4-0, heading in yet another cross from Ito on the far side for his third international goal and first in competition.

Mongolia enjoyed the respite of halftime, but regular service resumed nearly 11 minutes into the second half, as Wataru Endo headed home off a corner kick.

The Samurai Blue struggled to find a sixth until the 82nd minute when Endo’s shot was blocked by Ariunbold but headed in by substitute Daichi Kamata for his first senior goal.

Weiss, who emphasized the team’s goal of reaching the final group stage of qualifying for the Asian Cup, suggested that his players could have played with more aggression.

“We had a bit too much respect (for Japan) at times. I told them, these are normal players. You must be aggressive against these players,” Weiss said. “Still, it was fantastic to see. (Players) who play in Marseille or Genk, for us it was a fantastic lesson to study. We will draw the right conclusions and we will improve with this experience.”

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Prime Minister Askar Mamin holds a meeting with Prime Minister of Mongolia Ukhnaagiin Khürelsükh www.government.kz

Prime Minister Askar Mamin held talks with the Prime Minister of Mongolia Ukhnaagiin Khürelsükh who arrived in Kazakhstan with an official visit.

The parties discussed issues of further development of cooperation in trade, economic, transit and transport, agricultural, mining, cultural and humanitarian spheres, as well as interaction within regional and international organizations.

“Thanks to the policy of the First President of Kazakhstan Nursultan Nazarbayev, the foundation has been laid for the progressive development of Kazakh-Mongolian relations. President Kassym-Jomart Tokayev, adhering to continuity in foreign policy, pays great attention to the effective development of cooperation with Mongolia,” Mamin said.

In turn, Khürelsükh noted the authority of Kazakhstan in Asia and, in general, in the international arena.

“We are interested in the further development of cooperation between our peoples and states and bringing it to a qualitatively new level,” he said.

The heads of Government noted the significant potential for further building up mutual trade turnover, which amounted to $80 million in 2018. Particular attention was paid to the prospects for cooperation in the mining industry, construction, processing and production of finished products of animal husbandry, cashmere, leather, and deepening cooperation in the transit and transport sector, including the activation of communications between the two countries under the SCO Agreement on the creation of favorable conditions for international road transport.

Mamin suggested developing a draft Roadmap for enhancing trade and economic cooperation between the Republic of Kazakhstan and Mongolia for 2021-2024.

“It is necessary to unleash the full potential of bilateral trade by mutually expanding trade and economic cooperation. The Kazakhstan side has prepared a list of 100 potential goods that can be delivered to the Mongolian market from Kazakhstan,” said the prime minister of Kazakhstan.

Mamin emphasized that the Kazakh diaspora of Mongolia acts as an important connecting factor in relations between Nur-Sultan and Ulan Bator – over 120 thousand Kazakhs, of which 90 thousand live in the Bayan-Ulgiy aimag. The prime minister noted the need for regular joint cultural and sporting events, exchanges of creative teams and academic institutions. The head of Government proposed to hold the Days of Mongolian Culture in Kazakhstan and a similar event in Mongolia over the next two years, as well as consider the possibility of creating the Abay Cultural Center in Ulgy.

Following the results of negotiations in the presence of the Heads of Government of the two countries, the following series of documents was signed:

- Protocol on amending the Agreement between the Republic of Kazakhstan and Mongolia on mutual legal assistance in civil and criminal matters of Oct. 22, 1993;

- Intergovernmental agreement on cooperation in the field of combating terrorism;

- An agreement between the Ministry of Education and Science of the Republic of Kazakhstan and the Ministry of Education, Culture and Science of Mongolia on the mutual recognition of documents on education, academic degrees and titles;

- the protocol on amendments and additions to the Agreement between the Ministry of Education and Science of the Republic of Kazakhstan and the Ministry of Education, Culture and Science of Mongolia on cooperation in the field of education of Aug. 6, 2008;

- a memorandum in the field of veterinary control and supervision between the Committee of Veterinary Control and Supervision of the Ministry of Agriculture of the Republic of Kazakhstan and the Main Veterinary Directorate – Executive Agency of the Government of Mongolia;

- agreement on the establishment of twinning relations between Nur-Sultan and Ulan-Bator;

- An agreement on cooperation between the Institute of Plant Growing and Agriculture of Mongolia and the Scientific and Production Center for Grain Management named after Barayev.

Within the framework of the official visit of the head of the government of Mongolia to Kazakhstan, a Kazakh-Mongolian business forum with the participation of representatives of business circles of the two countries, a visit to the Astana International Financial Center and the International Center for Green Technologies are planned.

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Policy uncertainty, resource nationalism and environmental protection key themes for Asia mining www.mining.com

The Asian mining landscape will continue to benefit from the availability of high-grade resources and low labour costs, but key countries with grapple with Policy uncertainty, resource nationalism and environmental protection, Fitch Solutions analysts warn.

In a recent overview of key mining themes in Asia, Fitch predicts rising geopolitical tensions and pressures to the global economy will continue to evoke volatility in commodity markets, heightening risks to metal demand and prices.

In 2020, Fitch expects risks to the Chinese economy will continue to rise, with no easy resolution to the trade dispute with the US on the horizon, which will prompt further monetary and fiscal stimulus from the government to cushion the downside pressure on growth.

Analysts say this will buoy domestic metals demand and prevent any metal price collapse, which will in turn support mining sectors in the region. But Fitch notes that a slowdown in the automotive industry in China, poor relations with the US, and environmental regulations continue to pose risks.

In Asia as well as globally, Australian miners who benefit from supportive government regulations and advanced infrastructure will spearhead the disruptive technology movement in mining. Indonesia’s policy uncertainty and resource nationalism will rumble on, Fitch says, with the new nickel ore export ban taking effect from January 2020, resulting in more foreign miners selling their operations to local stakeholders while new foreign investment is deterred.

Mongolia will continue to register the fastest mining industry value growth in Asia with high-grade reserves of gold, copper and coal, and a strong pipeline of large projects.

Analysts say China will remain the overarching risk generator in metals markets over the coming quarters, as Chinese macroeconomic policy will continue to attempt to cushion domestic industries from the effects of a serious trade conflict with the US and a general slowing of the economy.

Fitch believes the increased government support to domestic industries since H218, that will likely only intensify as macroeconomic headwinds build, will support demand for base metals in China. The measures aimed at boosting infrastructure are already feeding through with the start of construction works for a number of projects in recent months.

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World Bank’s East Asia and Pacific Economic Update introduced www.montsame.mn

Ulaanbaatar/MONTSAME/. Weathering Growing Risks, the October 2019 edition of the World Bank’s East Asia and Pacific Economic Update, released today, was introduced at the press conference at World Bank Mongolia Office in Ulaanbaatar.

At the press conference, World Bank’s Country Manager for Mongolia Andrei Mikhnev, Senior Economist for Mongolia Jean-Pascal N.Nganou and economist B.Davaadalai gave information and answered to the questions of journalists.

The economic update reads that growth in developing East Asian and Pacific economies is expected to slow from 6.3 percent in 2018 to 5.8 percent in 2019 and to 5.7 and 5.6 percent in 2020 and 2021, respectively, reflecting a broad-based decline in export growth and manufacturing activity.

Weakening global demand, including from China, and heightened uncertainty around ongoing US-China trade tensions has led to a decline in exports and investment growth, testing the resilience of the region, according to Weathering Growing Risks, the October 2019 edition of the World Bank’s East Asia and Pacific Economic Update, released today.

In Mongolia, growth momentum has continued in the first half of 2019, as GDP rose to 7.3 percent from 6.8 percent in 2018. This robust performance has largely been supported by a strong coal sector and increased private investment. In addition, improved market confidence following the continuous support from multilateral banks as part of a $5.5 billion multi-donor support package, skillful management of the macroeconomy, especially on the fiscal side, and steady progress on structural reforms contributed to the strong performance. In the near to medium term, the country’s growth outlook remains positive. However, the report cautions of the risks including political uncertainty, commodity price shocks, cross-border bottlenecks, implementation delay mega projects and slower implementation of banking sector reforms.

In the region excluding China, consumption growth remained steady, though slightly lower than the same period last year, supported by monetary and fiscal policies. Growth in the smaller economies of the region, however, remained robust, reflecting country-specific circumstances including steady growth in the tourism, real estate, and extractive sectors.

“As growth slows, so does the rate of poverty reduction,” said Victoria Kwakwa, World Bank Vice President for East Asia and the Pacific. “We now estimate that almost a quarter of the population of developing East Asia and the Pacific lives below the upper-middle-income poverty line of US$5.50 a day. This includes nearly 7 million more people than we projected in April, when regional growth was looking more robust.”

The report makes clear that increasing trade tensions pose a long-term threat to regional growth. While some countries have hoped to benefit from a reconfiguration of the global trade landscape, the inflexibility of global value chains limits the upside for countries in the region in the near term.

“While companies are searching for ways to avoid tariffs, it will be difficult for countries in developing East Asia and the Pacific to replace China’s role in global value chains in the short-term due to inadequate infrastructure and small scales of production,” said Andrew Mason, World Bank Lead Economist for East Asia and the Pacific.

The report warns that downside risks to the region’s growth prospects have intensified. Prolonged trade tensions between China and the United States would continue to hurt investment growth, given high levels of uncertainty. A faster-than-expected slowdown in China, the Euro Area and the United States, as well as a disorderly Brexit, could further weaken the external demand for the region’s exports.

High and rising debt levels in some countries are also putting limits on their abilities to use fiscal and monetary policies to ease the impacts of the slowdown. In addition, any abrupt changes in global financial conditions could translate into higher borrowing costs for the region, dampening credit growth and further weighing on private investment and economic growth in the region.

To weather growing risks, the report recommends that countries with sufficient policy space use fiscal and/or monetary measures to help stimulate their economies, while guarding fiscal and debt sustainability. Countries in the region will also benefit from staying the course on trade openness and by deepening regional trade integration.

The ongoing US-China trade dispute, along with slowing global growth, also increase the need for countries in the region to undertake reforms to improve their productivity and boost growth. This includes regulatory reforms that improve the trade and investment climate to attract investment and facilitate the movement of goods, technology, and know-how.

Source: World Bank

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Speaker assigns to improve measures against money laundering and terror financing www.montsame.mn

Ulaanbaatar /MONTSAME/. Speaker of the Mongolian Parliament G.Zandanshatar summoned a meeting with corresponding officials concerning the potential risk of Mongolia to come under Grey List of the Financial Action Task Force (FATF), an intergovernmental organization to combat Money laundering and Terror financing and gave order to them.

The participating officials included head of Parliamentary standing committee on security and foreign policy, Deputy Minister of Justice, Director of Intelligence Agency, General Auditor of Mongolia, Heads of Police Department and Tax Authority, First Deputy Governor, Deputy Head of Customs Authority, officials from the Financial Regulatory Commission and central bank and others.

An annual meeting of the FATF and Asia/Pacific Group on Money Laundering (APG), intergovernmental body for the Asia Pacific region, was organized in Bangkok, Thailand on September 12 and 13. Relevant agencies from Mongolia delivered a report on actions taken against money laundering and terror financing for discussion at this meeting. However, while welcoming the steps that Mongolia has taken to improve its technical compliance with the FATF recommendations for anti-money laundering and counter-terrorist financing measures for Mongolia, the APG has officially delivered ratings of Mongolia’s implementations on those recommendations, noting that insufficient progress has been made to justify re-rating of four recommendations, which are as follows:

1. To improve the activities of the investigative authorities on proliferation of weapons of mass destructions and money laundering;

2. To increase the number of cases on money laundering that reached settlements in courts following investigation and prosecution and produce results;

3. To enhance property confiscation measures regarding the terror financing

4. To improve preventive measures on financing of proliferation of weapons of mass destruction.

The implementations are due for assessment by May 2021 or in 18 months of period and on October 15, the FATF is set to hold discussion on the measures being carried out by Mongolia. The meeting headed by the Parliament Speaker concluded that relevant Mongolian authorities, such as Bank of Mongolia and Financial Regulatory Commission other organizations should bear responsibilities for unsatisfactory reports on the country’s measures addressing money laundering and terror financing.

Concerning the possibility of Mongolia being placed on the Grey List, the Speaker assigned relevant officials to make efforts for approval of the bill on combating proliferation of weapons of mass destruction and terror financing, examine the Law on economic transparency, reinforce the works to fight illegal acts of government officials and corrupt civil servants.

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Additional US Government assistance to advance sustainable and inclusive growth in Mongolia www.montsame.mn

Ulaanbaatar /MONTSAME/. On October 10, the U.S. government announced the United States Agency for International Development (USAID) and the Ministry of Finance of Mongolia signed a MNT 17 billion ($6.4 million) expansion of the bilateral agreement to implement new activities in support of good governance; the rule of law; reliable, efficient and affordable energy; and sustainable, private sector-led growth in Mongolia.

“The United States is proud to stand with the government and the people of Mongolia to promote sustainable and inclusive growth,” Ambassador Michael Klecheski said. “As strategic partners that share a commitment to democracy, this enhanced partnership will deepen our cooperation to support peace, prosperity, and stability in the region.”

The new assistance from USAID will help grow and diversify Mongolia’s economy through support to small and medium enterprises (SMEs). USAID will work with government and private sector partners to create an environment conducive to the growth of SMEs, including easier access to business financing, improved corporate governance, and provision of small grants to disadvantaged enterprises.

In partnership with the Ministry of Finance, the U.S. government will also increase the people of Mongolia’s access to economical, clean, and quality energy. USAID assistance will help accelerate deployment of new and advanced technologies, including for energy efficiency; improve the performance of power utilities; and enhance private sector participation.

The U.S. government, through USAID, supports Mongolia’s continued democratic development; sustainable, inclusive economic growth; and sovereignty. Through its Leaders Advancing Democracy (LEAD) Mongolia program, USAID is helping to build the next generation of democracy champions across the country. USAID has also helped SMEs improve their access to credit and has facilitated linkages between financial institutions and 750 borrowers, multiplying their investments 20 times over and creating more than 600 new jobs.

US Embassy in Mongolia

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