Over the last year, Mongolia’s foreign exchange reserves have been steadily increasing. The following factors played the key role in the increase of the foreign exchange reserves:

Due to the increase in the price of the main exporting commodities such as copper and coal, the export volume has increased to USD 4,313.1 million in September 2017 which is an increase of 32 percent from the same period of last year (YoY). As a result, the total foreign trade balance has improved, trade surplus reached to USD 201.9 million.
Since the approval of the “Extended Fund Facility” arrangement by the IMF, foreign investor’s confidence in Mongolia has dramatically increased and pressure on the economy alleviated. The first disbursement of the approved USD 5.5 billion IMF-led package has been credited.
The Government of Mongolia has successfully issued USD 800 million Eurobond with the maturity of 5.5 years and the coupon rate of 5.625 percent. With the proceeds the foreign exchange reserves of Mongolia has exceeded USD 2.0 billion in November 2, 2017.
The gold purchase of the Bank of Mongolia has reached to 16.8 tons by October 24th and which is an increase of 8 percent from the same period of last year (YoY).
The bilateral swap arrangement between the Bank of Mongolia and the People’s Bank of China has been extended for the further period of 3 years.

Published Date:2017-11-28