Particularly, the price of oil decreased by USD 9 per barrel last week, which was a multiple-month sharp drop. However, the decline in crude oil prices will not have immediately trigger Mongolia’s fuel price to decrease. The oil price changes takes longer time to have an effect on Mongolia's economy.

The oil price changes take longer time to have an effect on Mongolia’s economy
The joint council on fuel price held a meeting on Tuesday and submitted a suggestion containing four or five articles. “Global price of oil usually rise in April and May. In addition, commodity prices rose in recent months, due to the Iranian ban and Libya and Venezuela crisis. However, prices are likely to decline this month. This will affect fuel prices in Mongolia from the upcoming month. In particular, the A92 petrol price will slump from June 15th. If the companies that increased the price of fuel without basis refuses to accept our conditions, their licenses will be suspended,” said the Deputy Director of Mineral Resources and Petroleum Authority of Mongolia (MRPAM).

Mongolia purchases gasoline and diesel fuel at the price of the Stock Exchange of Singapore (SES). Average prices for Brent crude oil and uranium will be calculated from June 1-25 and import about 10 days from Angarsk, Russia. The price drop of the previous month will make a noticeable change in the economy from the middle of next month as the country accumulates an average rese.