E-export project starts to export products at online platforms www.montsame.mn

Ulaanbaatar /MONTSAME/ Aimed at exporting Mongolian products to China and Southeast Asian countries at online trading platforms, ‘Cross-border online trade E-export’ project started from October 4.

Petro Matad Begins Testing Operations At Heron-1 Well In Mongolia www.lse.co.uk

(Alliance News) - Petro Matad Ltd on Thursday said it has started testing operations at the Heron-1 well in the north of block XX, eastern Mongolia.

World Plus digital magazine platform launches in Japan www.news.mn

Ulaanbaatar /MONTSAME/. A soft launch of World Plus (W+), an innovative and truly digital magazine publishing platform produced by a team of Mongolian developers of the World Plus International, Inc, was held in Tokyo, Japan on October 2.

Embassy of the Czech Republic in Mongolia seeking Proposals for Small Scale Development Cooperation Projects 2020 www.fundsforngos.org

The Embassy of the Czech Republic in Mongolia is currently accepting proposals for the Small Scale Projects (SSP) with the realization period between March 2020 and October 2020.

The Small Scale Projects (SSP) is one of the instruments of the development cooperation of the Czech Republic. SSP are identified by the respective Embassies of the Czech Republic (through applications submitted by potential implementers) and approved by headquarters of the Ministry of Foreign Affairs (MFA). SSP aims to contribute to the local subject by small-scale development activities in accordance with the beneficiary country´s national development priorities.

Funding Information

The funding of the Czech side could contribute for a single SSP is 200 000-500 000 CZK (approximately 22,500,000– 56,000,000 MNT).

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Specification

Implementer of the SSP is a local subject with legal personality in the country of the project.
Implementer must be eligible to sign contract with MFA CZ that establishes jurisdiction of Czech laws and Czech courts.
It is desirable that the implementer would cooperate with Czech subjects, e.g. would purchase Czech products, use Czech know-how etc.
Czech financial contribution for the project is 200,000 CZK – 500,000 CZK (co-financing from other sources is arbitrary and desirable) and the total cost of salary/fee, subsistence allowance, accommodation, travel cost and eventual insurance and vaccination of the experts must not exceed 25 % of the project´s total costs.
Funds are allocated to non-political and non-governmental group only.
Submitted proposals can be changed based on the notice from the Embassy until the deadline set by the Embassy.
Implementation

Implementation of the project can be started only after signing the contract.
Project implementation must not exceed 31st October of the relevant year (project billing must also be done by this date).
SSP does not include the payment of the implementer´s administrative costs.
The financial amount approved for the implementation of the SSP in CZK is also binding for the conversion into foreign currency.
One of the crucial condition is a project sustainability (meaning the project would be able to run in a future without further financial support).
Tangible assets of the project should be marked with a logo of the Czech development cooperation. In the case of project´s intangible assets, it is always necessary to mention the financial support of the Czech development cooperation.
The transfer of funds between items in the approved identification form must be justified in writing to Embassy and described in the final report.
How to Apply

The SSP proposal includes an identification form in English (Enclosure: Identification Form), which must be duly completed in all boxes and stamped and signed by the competent person.
The SSP proposals have to be submitted to the Embassy of the Czech Republic in Mongolia in paper and also electronic version via email at the address given on the website.

MBCCI’s “Doing business with Mongolia” seminar and business program. Dec 15- 20 2019. London UK www.mongolianbusinessdatabase.com

Mongolian Business Database with the support of the British Embassy in UB and Mongolian-British Chamber of Commerce is starting to register the participant for “MBCCI’s Doing Business with Mongolia” seminar in London on Dec 16 Monday at House of Commons and business program.

Russia renews interest in Mongolia to counter Chinese influence www.asia.nikkei.com

MOSCOW -- Russia is rebuilding financial and military ties with Mongolia, partly to create new opportunities in Asia but also to counter Beijing's growing influence in the country.

A sign of this came in September, when Moscow announced it would set up a $1.5 billion investment fund to finance infrastructure projects in Mongolia

According to the Mongolian Customs General Administration, trade between Russia and Mongolia reached $1.8 billion in 2018 -- a nearly 40% increase from the preceding year.

Almost three decades on from the collapse of the Soviet Union, Russia is finding particular success in reaffirming its role as Mongolia's primary energy supplier. Following a series of agreements signed in 2014, Russia's share of the Mongolian oil market rose to 80%. At the St. Petersburg Economic Forum last year, Russian state oil company Rosneft signed $2.1 billion worth of contracts with several Mongolian importers.

The impetus for Russia's return gained new momentum in 2014, when Western sanctions over the annexation of Crimea prompted Kremlin's pivot to the east. Some Russian officials began to speak of rebuilding ties with Mongolia as a means of increasing economic access to the rest of Asia, describing the country as a key transit corridor.

Russia and Mongolia are also cooperating more in the security realm, with the latter joining Russia and China last September for Vostok 2018 -- the largest military exercise since the end of the Cold War. In August, Mongolia hosted about 1,000 Russian troops for the annual Selenga joint drills.

During his most recent visit to Mongolia in early September, Russian President Vladimir Putin and Mongolian President Khaltmaagiin Battulga signed the Treaty on Friendship and Strategic Partnership.

Putin later backed Mongolia's offer to build a gas pipeline to China through its territory, after which the president summoned Alexei Miller, CEO of state-controlled energy giant Gazprom, to the Kremlin in September to flesh out plans for the new pipeline.

"Please, look into the resources of Yamal [Peninsula] as well, in order to gather the necessary resources for supplies via the western route to China via Mongolia," Putin told Miller at a meeting, adding that China also favored the route.

China is at the forefront of Russian economic thinking as regards Mongolia. Russian analysts note that Mongolia represented the most attractive route for delivering natural resources to China.

Artyom Lukin, deputy director for research at Far Eastern Federal University, stated that running Russia's Power of Siberia pipeline to China via Mongolia would be easier and cheaper than constructing it across the Altai Mountains as originally planned.

He added that a Mongolian route was also preferable because it would "bring Russian gas straight to the heart of China, instead of its northwestern regions that don't need it all that much."

Alexei Maslov, a professor at the National Research University Higher School of Economics, pointed to Mongolia as "the quickest land transit for the delivery of Russian agricultural products to China." He noted that transporting goods from Russia's Far Eastern regions through Mongolia would only take three to four days to reach China, whereas other routes could take considerably longer.

At the same time, Russian experts interviewed by the Nikkei Asian Review admitted that Moscow had serious concerns about Beijing's growing economic clout in Mongolia, viewing it as a potential long-term threat. They explained that balancing China's influence is a major priority for the Kremlin.

Lukin predicted that if Russia loses too much ground to China, it could find its "Siberian underbelly" vulnerable in several decades. He noted that while Beijing recognizes Mongolia's independence, that could change if Chinese nationalism continues to rise.

"Moscow understands that we cannot exert economic influence in Mongolia that is greater than China's or even on the same level as it -- that is absolutely unrealistic. But we must maintain a minimal presence in Mongolia," Lukin said.

Maslov warned that if China absorbs Mongolia into its economic orbit, Russia could find itself even more economically dependent on Beijing than it already is. "If Mongolia falls under Chinese economic control, then 70% of Russia's border will be with China, making us more economically dependent on them," he said.

Nevertheless, Mongolia is unlikely to derail the burgeoning Sino-Russian partnership anytime soon. As Lukin told Nikkei, Moscow and Beijing have far more pressing geopolitical concerns than dominance in Mongolia.

"Two strategic partners are not interested in butting heads over Mongolia, if for no other reason than that they have a much more important common goal: resisting the United States."

Soviet Russia played a pivotal role in forming modern Mongolia. The Soviet Union helped secure Mongolia's independence from China in 1921 and subsequently took on the role of Ulaanbaatar's patron. Relations between the countries were so tight that Russian elites often referred to Mongolia as "the 16th Soviet Republic" because of its political and cultural deference to Moscow.

Following the collapse of the Soviet Union, however, Russia's influence in Mongolia rapidly diminished. Trade between Russia and Mongolia fell by nearly 80% during the 1990s, as Western and Chinese companies moved to fill the gap once occupied by Moscow. Younger Mongolians increasingly chose English as a second language instead of Russian.

Sergey Radchenko, director of research at Cardiff University School of Law & Politics, explained that Russia's decline in Mongolia could be primarily explained by the decision by former Russian President Boris Yeltsin to spurn former client states like Mongolia in favor of the West.

"It was not that Mongolia lost interest in being part of the Russian orbit, but that Russia no longer had an interest in Mongolia and felt that it was a burden economically. Maintaining a close relationship with it no longer made strategic sense," he said.

Now, with the rise of China as the region's leading economic and military power, Russia is eager to bolster its standing with the country that borders each.

World Bank and Save the Children Japan Launch Grant-funded Project to Open Up Opportunities for Rural Youth www.worldbank.org

Save the Children Japan (SCJ) and the World Bank today announced the launch of a US$2.75 million grant for a project to support vulnerable youth in rural Mongolia. The project—funded by the Government of Japan under the Japan Social Development Fund and managed by the World Bank—will help youth in disadvantaged rural communities gain the skills and competencies needed for success in school and in the labor market.

ADB starts second Eco-Tourism Project for Mongolia's National Parks www.montsame.mn

Ulaanbaatar /MONTSAME/ The Asian Development Bank (ADB) and the Government of Mongolia today wrapped up one successful eco-tourism project and embarked on a second project aimed to help Mongolia benefit from a boom in domestic and overseas tourists while safeguarding the environment.

Sharp decrease in Mongolian gold purchase www.news.mn

The purchase of gold by the Mongolian Central Bank dropped 22 percent from January to September 2019. In total it acquired 11.2 tons of gold from legal entities and individuals.

Mongolia, ADB projects to spur trade, improve hospital services, and upgrade roads www.montsame.mn

Ulaanbaatar/MONTSAME/ On September 2, the Government of Mongolia and the Asian Development Bank (ADB) signed loan agreements totaling $103 million for projects that will upgrade border crossing points, complete a district demonstration hospital, and scale up road rehabilitation efforts in the country.

The agreements were signed by the Minister of Finance Mr. Khurelbaatar Chimed and ADB Country Director for Mongolia Ms. Yolanda Fernandez Lommen at a ceremony in Ulaanbaatar. Representatives from the ministries of finance, health, as well as road and transport development witnessed the event.

“As a landlocked country, a large share of Mongolia’s gross domestic product is linked to foreign trade. Improving the efficiency of trade processes and enhancing physical connectivity is essential to facilitate trade and transport in Mongolia,” said Ms. Fernandez Lommen. “Improving people’s access to social services has always been a priority in ADB’s operations in the country. Strengthening hospital services is key to improve the health of the Mongolian population.”

The newly approved additional financing, worth $27 million, for the ongoing Regional Improvement of Border Services Project will further upgrade border crossing points in Bichigt, bordering the People’s Republic of China in the east; and Borshoo, which borders the Russian Federation in the west. The project will build on the development initiatives of the ongoing project, which is already upgrading facilities and equipment of the crossing points in Altanbulag and Sukhbaatar, located in the northern part of Mongolia.

The $60 million additional financing for the Regional Road Development and Maintenance Project will rehabilitate the 118-kilometer (km) Darkhan–Altanbulag and 58-km Khuiten Valley–Arvaikheer road sections, while further enhancing the condition of the 204-km Ulaanbaatar–Darkhan road section. Road safety in the project areas will also be improved, which includes the construction of an additional overtaking lane as well as the installation of road markings, barriers, and guideposts. The project will also conduct assessments for the proposed new road to the planned Chinggis Khaan Tourism Complex.

The $16 million additional financing for the ongoing Fourth Health Sector Development Project will help the government complete the establishment of Songinokhairkhan district hospital. The multifunctional district hospital will provide quality services to the local population and serve as a demonstration hospital for other districts in the city. The construction of the Songinokhairkhan district hospital is expected to be completed in December this year.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. In 2018, it made commitments of new loans and grants amounting to $21.6 billion. Established in 1966, it is owned by 68 members—49 from the region.

Source: ADB