The Fall of Mongolia’s Coalition Government www.thediplomat.com
On June 3, a vote of the State Great Hural – Mongolia’s parliament – led to the resignation of Prime Minister Oyun-Erdene Luvsannamsrai and his government. The Mongolian youth movement, which had protested for 21 days straight, succeeded in toppling the 10-month-old coalition government. The events that unfolded over the past weeks demonstrate the active engagement of Mongolia’s youth, and how disconnected political elites are from the people’s demands. At the same time, recent weeks also shed light on the instability that fuels Mongolia’s political life.
As protestors gathered outside Sukhbaatar Square in Ulaanbaatar for the 21st day, secret ballots decided the fate of Mongolia’s political leadership. Just 82 out of 126 members of parliament participated in the no-confidence vote. Ahead of the final vote, Democratic Party ministers withdrew from the coalition government. The Democratic Party Parliamentary Group, with 42 seats in the State Great Hural, ultimately decided to abstain from the vote. The abstention was arguably a political gambit to secure a unified stance, given concerns that some members might vote to show confidence in Oyun-Erdene.
The withdrawal of the Democratic Party from the coalition government now makes the party the opposition force in the legislature.
Mongolia’s President Khurelsukh Ukhnaa also addressed the parliamentary session on the ongoing protests, national interest, and unity. In his speech, Khurelsukh reminded the members of the parliament that they were elected to represent the people, not a single political figure. Khurelsukh, who served as prime minister of Mongolia from 2017 to 2021, recalled the reasons for his own resignation, a mishandling of the COVID-19 pandemic.
Current Mongolian law requires at least 64 votes for the prime minister to remain in office. Of the 82 lawmakers who voted in the motion, 44 voted to support Oyun-Erdene, while 38 indicated no confidence.
In an effort to pressure parliamentarians to oust Oyun-Erdene, protesters demanded that the 126 MPs – who had just been elected in June 2024 – speak and represent their constituencies. New parliamentary members, such as Japan-educated architect Luvsanjamts Ganzorig; CEO of Ondo Space Anar Chinbaatar; Saranchuluun Otgon, a voice and representative for the disabled and underserved communities; Uyanga Bold, a major advocate for sustainable development; Bum-Ochir Dulam, an Oxford-educated anthropologist; and more members received messages from their constituencies, demanding that they vote no confidence.
In an organized messaging campaign, the protesters told their representatives: “If you trust him [the prime minister], we will not trust you.”
Mongolian youth have been protesting for three weeks straight. While the people demanded transparency and accountability, political elites responded in a way that was disconnected from ordinary Mongolian people’s lives.
The political fiasco was sparked by a social media post showcasing the luxurious lifestyle of Oyun-Erdene’s son. In response, protesters organized on social media. The Instagram account @ogtsrokh_amarakh (meaning “resignation is easy”), launched three weeks ago to communicate protesters’ demands, now has 17,800 followers. To observers, it was clear that the protest was organic, and the youth demanded financial transparency.
From the start, however, there was a disconnect between Oyun-Erdene’s response and the people. The prime minister did not respond in a timely manner, let alone resign or show proof of income. But it wasn’t just that Oyun-Erdene failed to speak directly to the people. Despite the fact that he and his son eventually submitted their financial statements to the anti-corruption authorities, Oyun-Erdene clearly did not recognize (or even disregarded) the people’s distrust in the judicial system.
The second disconnect was even more pronounced. When Oyun-Erdene spoke to several media representatives, his response was deeply political – not what the people wanted and needed to hear from him at that moment. He pointed to specific policy goals and accomplishments to defend his record and ask for a continued tenure. Understandably, as prime minister, Oyun-Erdene had a duty and responsibility to maintain a stable political and economic environment, but that doesn’t mean he can deprioritize the people’s demands – the very thing the stable government exists to serve.
Moreover, because Oyun-Erdene did not meet the protesters at Sukhbaatar Square, the Mongolian people believed his handling of the backlash lacked responsibility, accountability, and transparency. As time passed, the number of protesters only increased and expanded their demands.
The third and the most notable disconnect is that Oyun-Erdene’s actions or lack thereof showed that his priority was defending the coalition government. Because he failed to address the people as a leader of a democratic society, the people began to view him as holding onto his power by refusing to resign, or hiding some major financial scheme with business interests.
While still not addressing nor meeting the protesters, Oyun-Erdene sought a vote of confidence from the parliament. In the end, he not only failed to win the people’s trust, but failed to secure a parliamentary vote to maintain his government intact. While the public outrage was all too real, the political maneuvering behind the scenes – including by Oyun-Erdene’s own Mongolian People’s Party (MPP) – can’t be ignored, either.
“Yes, protests against Oyun-Erdene for the last two weeks over conspicuous consumption were quite effective, but in the end, it was MPP MPs who abandoned Oyun-Erdene in the parliamentary vote and I don’t think that they were particularly swayed by anti-corruption sentiment,” said Julian Dierkes, a long-time Mongolia researcher and the dean of the University of Mannheim School of Social Sciences.
Mongolia, is now looking for a new prime minister. The disbanding of the coalition government will allow the MPP to enjoy sole control over the legislative agenda as well as holding the prime minister post and the presidency.
Before being ousted, Oyun-Erdene’s Press Office released economic predictions in the case of his coalition government being removed from power. According to the Mongolia’s Economic Development Board, Mongolia may see a 22 percent reduction in Gross National Income within six months, 12.2 percent increase in inflation within a year, and an unemployment rate rising 2.5 percent from previous year. As the new government takes shape, these forecasts should be taken seriously and further investigated.
With a new prime minister coming into office, there is always a risk that national projects and priorities will change. Current and potential investors will be even more cautious while political factions and lobbyists employ nepotism to protect their business and political interests.
As with any government transition, especially, moving from a coalition government to single-party executive power, the people of Mongolia will be watching closely for transparency and accountability. Yet the Mongolian youth will celebrate – they successfully toppled Oyun-Erdene’s four-plus-year political career as prime minister. The mobilization of the peaceful protest manifests Mongolia’s democratic process and social and political activism on the younger generation’s part.
On the global scale, however, the issue is a bit more complicated than a domestic celebration. Mongolia’s political instability can have a negative impact on its economy and bilateral partnerships. The coalition government aimed to expedite 14 long-delayed mega-projects and major infrastructure construction, all of which require long-term investments from global partners. These projects will now need to be revisited with a fresh eye and new calculations as current and potential investors fear political and economic instability.
If Mongolia’s governments continue to topple, the development and happiness that the Mongolian people seek, deserve, and hope for will only be postponed and pushed-back.
By Bolor Lkhaajav
Published Date:2025-06-05