According to the preliminary results for 2025, general government revenue and grants reached MNT 32.6 trillion, an increase of 3.8 percent, or MNT 1.2 trillion, compared to the previous year. Balanced revenue and grants amounted to MNT 30.1 trillion, rising by 1.3 percent, or MNT 386.8 billion, year on year.
Meanwhile, total expenditure and net lending amounted to MNT 31.3 trillion last year, resulting in a balanced budget deficit of MNT 1.2 trillion, the National Statistics Office reported.
Tax revenue declined by 1.2 percent, or MNT 331.5 billion, to MNT 27.1 trillion in 2025. This decrease was mainly attributable to a 4.8 percent reduction in income tax revenue, equivalent to MNT 431.5 billion, and a 33.6 percent decline in royalties on mineral resources, amounting to MNT 1.2 trillion.
In contrast, social insurance revenue increased by 18.9 percent, or MNT 892.3 billion; value-added tax (VAT) revenue rose by 6.1 percent, or MNT 357.6 billion; property tax revenue grew by 32.3 percent, or MNT 148.3 billion; and revenue from foreign activities increased by 3.2 percent, or MNT 57.0 billion.
Last year, tax revenue consisted of 31.5 percent income taxes, 23.0 percent VAT, 20.8 percent social insurance contributions, 6.8 percent revenue from foreign activities, 3.5 percent excise taxes, and 14.4 percent other taxes, fees, and charges.
Of total income tax revenue, 66.3 percent was generated from corporate income tax, while 33.7 percent (including refunds) came from personal income tax.
General government expenditure and net lending reached MNT 31.3 trillion in 2025, marking a 2.3 percent increase, or MNT 698.1 billion, compared to the previous year. This was driven by a 5.3 percent rise in goods and services expenditure, equivalent to MNT 510.7 billion, and a 12.8 percent increase in current transfers, amounting to MNT 1.3 trillion. In the overall expenditure structure, current transfers accounted for 37.6 percent, goods and services for 32.2 percent, capital expenditure for 22.7 percent, interest payments for 5.0 percent, and subsidies for 2.6 percent.
Capital expenditure totaled MNT 7.1 trillion last year, down 11.0 percent, or MNT 880.3 billion, from the previous year. This decrease reflected a 26.0 percent reduction in equipment expenditure, or MNT 208.9 billion; a 3.2 percent decline in construction expenditure, or MNT 171.0 billion; and a 37.8 percent drop in other capital expenditures, equivalent to MNT 561.7 billion. In contrast, expenditure on major repairs increased by MNT 67.5 billion, or 21.4 percent.
Local government revenue reached MNT 7.6 trillion in 2025, up 7.2 percent, or MNT 516.1 billion, year on year. Total expenditure and net lending of local governments amounted to MNT 8.2 trillion, an increase of 12.5 percent, or MNT 905.5 billion. As a result, local budgets recorded a deficit of MNT 526.1 billion.

Published Date:2026-01-22