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Mongolia — Daily

Mongolia Daily: SOEs Restructure, Digital Receipts Roll Out, and Crews Battle Northern Forest Fires

,   and  Lexica
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Politics

Government Mandates Public Disclosure of Civil Servant Performance Evaluations

Published: 2025-08-06

The Mongolian government has ordered all ministries, agencies, and local administrations to make civil servant performance evaluations and reports publicly accessible on their official websites by August 20, 2025. This move comes after internal reviews revealed that 98.7% of civil servants received high performance ratings, despite over 60% of citizens expressing dissatisfaction with public services. The government aims to increase transparency, accountability, and public trust by subjecting performance assessments to external scrutiny.

"By introducing independent evaluations and public oversight, we expect productivity to rise, public services to improve, and trust and accountability in leadership to increase," - D. Munkh-Erdene, First Deputy Chief of the Cabinet Secretariat (montsame.mn).

The reform is part of a broader effort to ensure that state employees are rewarded or held accountable based on genuine performance, rather than inflated internal assessments. This initiative signals a shift towards merit-based public administration and greater responsiveness to citizen feedback.

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Cabinet Reviews SME Lending Rules and Hospital Oversight Measures

Published: 2025-08-06

Mongolia's Cabinet convened its regular session to address several key policy areas, including amendments to the rules for concessional lending from the Small and Medium Enterprise Development Fund (SMEDF), oversight measures for the "Erdenet Medical" hospital, and updates to resource exploration licensing. The government is considering changes to the SMEDF's procedures for loan selection, disbursement, and monitoring, aiming to improve transparency and accountability in SME support. Additionally, the Cabinet discussed steps to enhance the performance evaluation of civil servants and to reform state-owned enterprises. Preparations for hosting the 17th Conference of the Parties to the UN Convention to Combat Desertification in 2026 were also reviewed. These developments signal a continued focus on economic diversification, public sector reform, and international engagement, which are likely to impact both local and foreign business interests in the country.

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Economy

State-Owned Enterprises Face Major Restructuring and Push for Public Listings

Published: 2025-08-06

The Mongolian government has announced sweeping reforms for state-owned enterprises (SOEs), aiming to streamline operations, improve governance, and increase transparency. The number of SOEs will be reduced from 109 to 87 through mergers and dissolutions, with 17 companies to be consolidated and 9 dissolved or restructured. Notably, 20 major SOEs—including Erdenet Mining, Erdenes Tavan Tolgoi, and MIAT—are slated to offer 10-66% of their shares on domestic and international stock exchanges, opening the door to public and foreign investment. The government expects these measures to generate up to 3.7 trillion MNT in revenue. Executive compensation at SOEs, a point of public contention, will shift towards performance-based bonuses rather than high base salaries.

"It is appropriate to provide salaries and bonuses to SOE directors based on company performance and profitability. We are developing a new methodology in cooperation with international organizations." - B. Tsengel, Head of the State Property Policy and Regulation Agency (ikon.mn)

Additionally, the government will phase out paper receipts in favor of digital e-receipts, aiming to boost efficiency and environmental sustainability. These reforms signal a significant move towards modernizing Mongolia’s state sector and attracting broader investment.

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World Bank Urges Fiscal Reform as Mining Revenues Boost Economy

Published: 2025-08-06

The World Bank has called on the government to use the current surge in mining revenues to implement structural reforms and avoid repeating past economic cycles of boom and bust. While coal exports have improved fiscal stability, the Bank warns that high government spending—particularly on mortgage subsidies and transfers through state-owned enterprises—poses risks to long-term sustainability. Social programs remain vital for reducing poverty and inequality, but the Bank suggests better targeting to maximize impact and control costs. Investments in health, education, and infrastructure, especially in rural areas, are highlighted as priorities. The Bank emphasizes the need to diversify the economy and reform the tax system to reduce dependence on mining revenues.

"The current economic growth presents a rare opportunity to strengthen fiscal stability, but if reforms are delayed, the cycle of economic expansion and contraction could repeat itself." - Teh Hyun Lee, World Bank Country Manager (itoim.mn, unuudur.mn)

These recommendations are critical as the government considers increasing infrastructure spending and seeks to maintain investor confidence.

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Government Moves to Reduce and Privatize State-Owned Enterprises

Published: 2025-08-06

The Mongolian government has decided to reduce the number of state-owned and state-involved companies from 109 to 87, aiming to streamline operations and improve profitability across key sectors such as energy, transport, mining, and finance. This consolidation is part of a broader strategy to address inefficiencies, cut unnecessary expenses, and reform executive compensation structures. The government has also instructed relevant officials to develop a framework for privatizing state assets, including listing shares of state-owned legal entities on the stock exchange between 2025 and 2028.

"We believe it is possible to gradually reduce the number of state-owned companies and industrial enterprises by 20 percent," - B. Tsengel, Head of the State Property Policy and Coordination Agency (montsame.mn)

The move follows a review of the successes and failures of privatization over the past 35 years, with a renewed focus on aligning state property management with current economic needs and international best practices. Legal reforms to the State and Local Property Law and the Company Law are also planned to support these changes.

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Erdenes Tavan Tolgoi Sells 32,000 Tons of Thermal Coal on Stock Exchange

Published: 2025-08-06

Erdenes Tavan Tolgoi (ETT) JSC sold 32,000 tons of thermal coal in five lots via the Mongolian Stock Exchange on August 6, 2025, with delivery to China’s Gantsmod border crossing. The auction saw two participants and resulted in a 2.6% price increase, reaching $3,510 per ton. This transaction reflects ETT’s adaptation to market volatility, as the company sold 10.2 million tons in the first half of the year amid falling coal prices. Recent regulatory changes now require ETT to conduct all sales through the exchange, increasing transparency and aligning with the Law on the Exchange of Mining Products. In July alone, ETT sold 2.6 million tons, with one million tons traded on the exchange, indicating a shift towards more open and competitive sales processes. These developments are significant for Mongolia’s coal sector, as they may improve pricing power and investor confidence.

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Rental Prices for Urban Apartments Continue Upward Trend as Demand Rises

Published: 2025-08-06

Residential rental prices in Ulaanbaatar have seen consistent year-on-year increases, particularly peaking each August with the start of the academic year. The lack of regulatory price caps allows landlords to set rents freely, while demand for centrally located apartments remains high due to persistent traffic congestion. Over the past six years, the average rent for a two-room apartment has doubled, rising from 648,000 MNT in 2019 to approximately 1.5–2 million MNT in 2024. The minimum wage, now at 792,000 MNT, is insufficient to cover even a one-room apartment's rent, highlighting affordability challenges for many residents. Landlords increasingly require upfront payments of three months' rent plus a security deposit, creating additional barriers for young professionals and new arrivals. The market's unregulated nature has also led to discriminatory rental practices, with some landlords refusing tenants based on family status or gender. Without intervention, rental inflation is likely to persist, raising concerns about long-term housing accessibility and social equity.

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Economic Council Pushes for Social Insurance Reform and Business-Friendly Legislation

Published: 2025-08-06

Mongolia's Economic Development Council, chaired by the Prime Minister, convened to address structural issues in the country's social insurance system and to advance a legislative agenda aimed at improving the business environment. The meeting brought together representatives from major business associations, financial experts, and researchers, who emphasized the need for legal reforms to attract both domestic and foreign investment. Participants highlighted the importance of making the legal framework more sophisticated and tailored to investor needs, as well as correcting distortions in the social insurance system that currently burden enterprises. The government plans to submit new tax and business support bills to parliament, incorporating feedback from the private sector. The Prime Minister instructed the Finance Minister to provide explanations if stakeholder proposals are not included in the final drafts, signaling a commitment to transparency and ongoing dialogue. The Council's activities are set to become permanent, ensuring continued input from the business community into policy decisions.

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Global Women Entrepreneurs to Convene for Investment and Policy Dialogue in Ulaanbaatar

Published: 2025-08-06

Ulaanbaatar will host the World Women Entrepreneurs Summit on June 25-26 under the theme "Inspire, Impact, Invest," with the support of President U. Khurelsukh. The event aims to empower women entrepreneurs, facilitate knowledge exchange, and attract investment. Key topics include gender equality, overcoming barriers for women in business, and advancing the green economy. The summit is organized by the International Women’s Chamber of Commerce and Industry, with strong backing from the Mongolian National Chamber of Commerce and Industry (MNCCI). Delegates from the World Trade Organization, International Trade Centre, and representatives from 21 countries’ SheTrades Hubs will participate, fostering new partnerships and improving access to markets and finance. This marks the second time Mongolia has hosted the summit, following its 2018 experience, signaling the country’s ongoing commitment to supporting women in business and integrating with global networks.

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Gold Deliveries Decline Despite Record Global Prices

Published: 2025-08-06

Gold prices have reached historic highs on the global market, with expectations for sustained strength in the medium to long term. However, domestic gold production and official purchases in Mongolia have continued to fall. As of July 2025, the Bank of Mongolia acquired 7.0 tons of precious metals since the start of the year, a 23.9% decrease compared to the same period last year. Regional branches in Darkhan-Uul and Bayankhongor contributed 396.6 kg and 938.9 kg, respectively. The central bank sets its purchase price based on international rates, averaging 384,712.91 MNT per gram in July. Policy efforts to boost gold deliveries, such as the "Gold-3" campaign, have stalled after President U. Khurelsukh partially vetoed related parliamentary measures. The fate of these initiatives will be determined in the upcoming autumn session of parliament. This ongoing policy uncertainty may further impact official gold flows and sector confidence.

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Diplomacy

Joint Investment Fund Explored with Oman Following High-Level Meetings

Published: 2025-08-06

Mongolia and Oman are advancing economic ties with discussions to establish a joint investment fund, following a series of high-level meetings in Ulaanbaatar. The talks, led by Foreign Minister B. Battsetseg and Oman Investment Authority President Abdulsalam bin Mohammed Al Murshidi, focused on expanding cooperation in trade, mining, agriculture, and renewable energy. Both sides expressed satisfaction with recent progress, including reciprocal official visits and productive discussions with key Mongolian ministries. Al Murshidi highlighted the momentum, stating his confidence that "a model project will be launched in the near future" after gaining detailed information on potential joint initiatives. The proposed fund aims to facilitate mutually beneficial projects and deepen economic collaboration, with both governments pledging institutional support as negotiations continue at the agency level. This development signals growing interest from Gulf investors in Mongolia’s strategic sectors and could pave the way for diversified foreign investment.

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Disaster Preparedness Cooperation Deepens with Italian Partnership

Published: 2025-08-06

Senior officials from Mongolia and Italy have discussed expanding collaboration in emergency management, focusing on capacity building and joint projects to address natural disasters such as drought, floods, wildfires, and earthquakes. The meeting, attended by Deputy Prime Minister S. Amarsaikhan and Italian Ambassador Giovanna Piccarreta, highlighted Mongolia's inclusion in Italy's regional initiative to strengthen disaster-resilient infrastructure. This move comes as both countries mark 55 years of diplomatic relations, signaling a commitment to elevate Mongolia’s disaster response to international standards.

"We are grateful for Mongolia's inclusion in the project to enhance national capacity for disaster-resilient infrastructure," - Deputy Prime Minister S. Amarsaikhan (montsame.mn)

Ambassador Piccarreta emphasized the potential for more joint projects, noting the sector's growing international competence. The partnership is expected to bolster Mongolia’s preparedness for climate-driven emergencies and foster knowledge exchange with European counterparts.

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Infrastructure

Global Competition Intensifies for Hunnu City Urban Planning Project

Published: 2025-08-06

Forty-three professional teams from 21 countries have registered to compete in the international tender to design the master plan for "Hunnu City," a new satellite city intended to alleviate congestion in Ulaanbaatar. The project aims to blend Mongolia’s Hunnu heritage with modern, sustainable urban development, aligning with UN Sustainable Development Goals and emphasizing low-carbon, green solutions. Participating teams represent a broad geographic spread, including Asia, Europe, North America, and Australia. Hunnu City is envisioned as a future administrative, economic, and educational hub, featuring a free economic zone, integrated logistics center, and a technology park. The high level of international interest underscores the project's significance as a model for urban expansion and sustainable city planning in the region. No direct quotes were provided in the source articles.

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Energy Efficiency Project Launches for Ulaanbaatar’s Prefab Housing

Published: 2025-08-06

A major energy efficiency initiative targeting Ulaanbaatar’s prefabricated apartment buildings has commenced, following the finalization of grant agreements with international partners. The project, supported by an €18 million grant from a greenhouse gas reduction organization and additional funding from the Mongolian government and city authorities, aims to retrofit residential blocks with high-density mineral wool insulation and metal cladding. This marks the next phase of a multi-year effort to reduce heat loss and improve living conditions in the capital’s aging housing stock. The project’s tender process is already underway, with a total budget of 9.8 billion MNT allocated for the initial works. The initiative is expected to significantly cut energy consumption and greenhouse gas emissions, aligning with Mongolia’s broader climate commitments and offering long-term savings for residents. The project runs through 2027, reflecting a sustained commitment to urban sustainability.

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District Heating Expansion Progresses with Land Clearance Nearing Completion

Published: 2025-08-06

Ulaanbaatar's ambitious distributed heating project is advancing, with approximately 90% of land clearance completed for the Denjiin Myanga thermal power plant site. This facility is part of a broader initiative to construct ten heating plants—some gas-fired, others coal-fired—across key city districts, aiming to supply 581 Gcal/hour of heat and reduce peak load stress on the city's energy system. The technical and economic feasibility study for the Denjiin Myanga plant is finalized, and 51 out of 58 required land parcels have been cleared. Authorities have also begun geothermal exploration near Selbe and Khunnu districts to diversify energy sources. The phased rollout of these smaller, distributed plants is designed to enhance reliability and prevent system failures, reflecting a strategic shift toward modernizing Ulaanbaatar's heating infrastructure and supporting the city's growing energy demands.

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Private Sector Bidding Advances for Ulaanbaatar’s Fifth Thermal Power Plant

Published: 2025-08-06

Two companies, Mitime International LLC (Cambodia) and Shunkhlai Holding LLC (Mongolia), have submitted proposals to partner on the construction of Ulaanbaatar’s new TPP-5, a 300 MW thermal power plant with a $658 million investment. The project, part of the city’s 24 mega development initiatives, aims to address persistent energy shortages in the capital. The selection process is being conducted under Mongolia’s Public-Private Partnership Law and recent government regulations to ensure transparency and compliance. The majority of financing (80%) will come from the private sector, with the city government covering the remaining 20%. The evaluation committee will now assess the proposals and invite the highest-scoring bidder for partnership negotiations. This project is critical as Ulaanbaatar continues to expand its energy infrastructure, following recent investments in the Buuruljuut and Baganuur power facilities. The outcome will shape the city’s energy security and investment climate for years to come.

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Aged Apartment Blocks Replaced as Urban Renewal Project Advances in Ulaanbaatar

Published: 2025-08-06

Authorities in Ulaanbaatar have begun demolishing and rebuilding aging public apartment buildings in Songinokhairkhan District, specifically blocks 3-20 constructed in 1962, as part of a long-delayed urban renewal initiative. The project, overseen by the Capital City Governor’s Office and the Ulaanbaatar Housing Corporation, had faced repeated delays since 2018 due to unsuccessful tenders. In May 2023, the city administration mandated the Housing Corporation to accelerate the process and select a developer, resulting in Ochir Bumbat Construction LLC being awarded the contract. The company is fully funding the redevelopment, which is seen as a significant step toward addressing the city’s deteriorating Soviet-era housing stock. This move reflects growing pressure to modernize Ulaanbaatar’s residential infrastructure, improve safety, and accommodate urban growth, potentially setting a precedent for similar projects in other districts.

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Tender Law Criticized for Limiting Domestic Construction Firms' Growth

Published: 2025-08-06

The United Association of Builders has raised concerns that current tender regulations are restricting opportunities for local companies to participate in large-scale construction projects. Under the law, foreign firms can bid on projects exceeding certain thresholds—₮30 billion for works, ₮1 billion for goods, and ₮300 million for services—effectively opening the market to international competition even for projects that domestic firms could handle. This has led to a surge in Chinese companies bidding for contracts, with 15 participating in the last round and up to 30 expected in the next. The association argues that the law disadvantages national enterprises and has formally proposed raising the threshold to ₮500 billion.

"Our tender law clearly discriminates against national enterprises. That’s why we have submitted a proposal to raise the threshold to ₮500 billion to the Ministry of Finance and other procurement agencies." - United Association of Builders representative (unuudur.mn)

The debate highlights ongoing tensions between promoting foreign investment and supporting domestic industry development.

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New Acting Director Appointed at Tavantolgoi Railway Company Following Leadership Change

Published: 2025-08-06

The board of directors of Tavantolgoi Railway LLC has appointed Kh. Purevjargal as the acting director, following the dismissal of former CEO B. Dugervjav on July 5, 2025. Purevjargal previously led the state-owned Road Transport Development Center, bringing experience in transport sector management to the new role. This leadership transition comes at a critical time for Tavantolgoi Railway, a key operator in Mongolia’s coal export infrastructure. The appointment signals a potential shift in operational priorities or management style, as the company continues to play a central role in facilitating coal exports to China and supporting the country’s economic growth. The board’s swift decision to fill the vacancy underscores the strategic importance of maintaining stability and continuity in the company’s leadership.

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$13 Million Greenhouse Project to Boost Ulaanbaatar’s Vegetable Supply

Published: 2025-08-06

A $13 million greenhouse complex will be built in Ulaanbaatar’s Khan-Uul district, aiming to secure the capital’s supply of high-quality, locally grown vegetables. The project, a partnership between local authorities and South Korea’s KOICA, will introduce modern greenhouse farming and storage infrastructure. Currently, Ulaanbaatar’s greenhouses cover only 16 hectares, producing far less than the city’s annual demand of 60,000 tons of vegetables. The new facility, spanning 50 hectares, is expected to yield 16,500 tons annually, significantly reducing reliance on imports and enhancing food security.

"The project was initially planned with $4 million in funding, but after joint studies and discussions with international organizations, it was expanded to $13 million to meet the city’s vegetable needs." - A. Amartuvshin, Deputy Mayor for Social Sector, Green Development, and Environmental Issues (ikon.mn)

This initiative reflects growing efforts to modernize Mongolia’s agriculture and ensure year-round supply for urban consumers.

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Boereljuut Power Plant Expands Output to Meet Ulaanbaatar’s Electricity Needs

Published: 2025-08-06

The Boereljuut power plant has delivered 350 million kilowatt-hours of electricity since its first 150 MW unit began operations in October, supplying both Ulaanbaatar and the central grid. This development is significant as the capital has faced a 250 MW electricity shortfall, leading to concerns about winter power rationing. The commissioning of the second 150 MW unit, scheduled for December, is expected to fully address the city’s electricity deficit. Recent investments, including the Baganuur district’s 50 MW battery storage facility, enabled Ulaanbaatar to avoid power restrictions during the 2024-2025 winter. The expansion of local generation capacity reduces reliance on imports and strengthens grid stability, which is critical for the city’s economic growth and for supporting new industrial and residential developments. No direct quotes were provided in the article.

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Public Outcry Grows as Ulaanbaatar Replaces Intact Sidewalks with Costly Upgrades

Published: 2025-08-06

Ulaanbaatar is facing mounting criticism over the replacement of undamaged sidewalks and public spaces, with many residents and civil society groups questioning the rationale and transparency behind these costly projects. Despite public frustration and evidence that many sidewalks did not require repairs, city officials have pressed ahead, citing the need to implement unified standards and improve quality. Deputy Mayor T. Davaadalai defended the initiative, stating:

"This year, we will upgrade 58.2 km of sidewalks in 15 locations with natural stone to meet city planning standards and improve durability and safety." - T. Davaadalai, Deputy Mayor (unuudur.mn)

However, watchdog groups and anti-corruption agencies have raised concerns about inefficient spending, lack of oversight, and possible procurement irregularities. The Mongolian Youth Federation, for example, has documented unnecessary replacements and called for greater accountability. With 32 billion MNT allocated for these projects, the controversy highlights broader issues of governance, fiscal responsibility, and public trust in municipal decision-making.

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Society

Government Moves to Protect Bogd Khan Palace Heritage Site After Land Scandal

Published: 2025-08-06

The Mongolian government has ordered urgent measures to safeguard the Bogd Khan Palace and its surrounding historical grounds following revelations that a portion of the protected area was illegally allocated for private use and construction. The Prime Minister criticized local authorities for failing to uphold their duty to protect national heritage, noting that the 2007 land allocation and subsequent building permits violated cultural preservation laws. The government has now suspended all construction permits in the disputed area and mandated a review of the legality of past land transfers. Plans are underway to elevate the Bogd Khan Palace to the highest level of state protection and to impose strict height limits on new buildings nearby to preserve the site's historical character. These actions underscore the state's renewed commitment to cultural preservation and signal potential legal consequences for officials involved in the unauthorized land deals.

"The fact that construction is ongoing next to the Bogd Khan Palace shows the state has failed to fulfill its duty to protect our historical and cultural heritage" - Prime Minister G. Zandanshatar (unuudur.mn)

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Social Welfare Payments Scheduled for August Disbursement

Published: 2025-08-06

The General Office for Labor and Social Welfare has released the August schedule for key social welfare payments, including pensions, allowances, and child benefits. According to the plan, the monthly child benefit of 100,000 MNT will be distributed on August 20, while other support payments such as food assistance and parental allowances for single or large families are set for August 14 and 20, respectively. The staggered disbursement aims to ensure timely support for vulnerable groups and families with children. For expatriates and foreign professionals, understanding these schedules is essential as they reflect the government's ongoing commitment to social stability and may impact local consumer activity and household spending patterns. The regularity and transparency of these payments are important indicators of the government's administrative capacity and responsiveness to social needs.

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Uvs Province Accelerates Winter Preparations with Local Coordination

Published: 2025-08-06

Authorities in Uvs province are intensifying efforts to prepare for the upcoming winter, focusing on agricultural and livestock resilience. The provincial government, through its Food and Agriculture Department, is working closely with district and local leaders to ensure each herder household develops tailored winter plans. Key measures include balancing crop yields, stockpiling hay and fodder, and encouraging households to bring at least 30% of their livestock to market, thus supporting both local economies and resource management. Additionally, local development funds are being reallocated to bolster feed reserves, and community meetings are formalizing these strategies at the grassroots level. This coordinated approach aims to mitigate risks associated with harsh winters, which can severely impact rural livelihoods and food security. The phased implementation underscores the importance of proactive planning in Mongolia’s climate-vulnerable regions.

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Five-Year Schedule for Camel Festival Sets New Standard for Tourism Planning

Published: 2025-08-06

Organizers in Ömnögovi province have announced the dates for the Tumen Temee (Ten Thousand Camels) Festival through 2030, a move widely seen as a model for improving predictability in Mongolia’s tourism sector. By releasing a five-year schedule, tourism operators and agencies can now plan their winter travel programs and secure early bookings, addressing longstanding complaints about last-minute changes and lack of transparency in event planning. This proactive approach follows recent criticism over abrupt rescheduling of other tourism events, such as the Danshig mini-festival, which was postponed due to weather, sparking calls for more consistent policy. The new scheduling is expected to boost confidence among international tour operators and help position the camel festival as a flagship winter attraction. The initiative marks a shift toward greater professionalism and reliability in Mongolia’s tourism industry, which has often struggled with ad hoc event management.

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Japanese Fire and Ambulance Vehicles Donated to Songinokhairkhan District

Published: 2025-08-06

A ceremony in Ulaanbaatar marked the handover of fire and ambulance vehicles to Songinokhairkhan District's 21st khoroo, donated by Japan's Izunokuni city under the "Grassroots Grant Assistance for Human Security" program. This initiative, ongoing since 1990, aims to directly benefit local communities in developing countries by improving emergency response and healthcare services. The latest project is expected to enhance the district's capacity to respond rapidly to fires and medical emergencies, particularly in remote areas like Jargalant village. The program reflects Japan's long-term commitment to supporting Mongolia's local infrastructure and public safety, with this being the 15th such project in the district. The involvement of local and Japanese officials underscores the importance of international cooperation in addressing community-level needs.

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Environment

Firefighting Teams Mobilize as Forest Blazes Challenge Northern Provinces

Published: 2025-08-06

Six active forest fires are being battled across Selenge, Khuvsgul, Uvs, and Bayan-Ulgii provinces, with 299 personnel, 21 vehicles, and a helicopter deployed. Authorities have managed to contain three of the blazes, while the remaining three are under close surveillance and targeted for containment. The rapid response follows a surge in wildfire incidents, with 216 forest and steppe fires recorded in 15 provinces and three districts of the capital so far this year. Most fires have been detected through citizen reports (54.9%), satellite monitoring (40.9%), and aerial surveillance (4.2%). Officials attribute the majority of outbreaks to human negligence, such as unsafe campfires and ritual burning, compounded by climate change and warming trends. The scale of the response highlights both the ongoing risk to Mongolia’s natural resources and the increasing need for coordinated disaster management as environmental pressures mount.

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Crop Yields Projected to Fall as Drought Risk Rises in Key Agricultural Regions

Published: 2025-08-06

Mongolia's Ministry of Food, Agriculture and Light Industry has announced plans to assess the 2025 harvest reserves later this month, as drought risk intensifies in major crop-producing areas. This year, 58.5% of the nation's sown grain fields—over 182,000 hectares—are located in the central provinces of Tuv, Selenge, and Darkhan-Uul, which face particularly high drought risk. The total area under cultivation has dropped by 6.4% compared to last year, with wheat planting alone declining by 15%. Preliminary estimates indicate that next autumn's harvest will likely fall below the multi-year average, raising concerns about food security and potential price volatility. The situation underscores the vulnerability of Mongolia's agriculture to climate variability and highlights the need for strategic planning and risk mitigation in the sector.

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Authorities Urge Early Winter Preparations as Drought Risks Rise in Key Provinces

Published: 2025-08-06

Mongolia's emergency management officials have called for accelerated winter preparations following a new risk assessment that identifies several provinces—including Övörkhangai, Bayan-Ölgii, Ömnögovi, Khovd, and Dornogovi—as highly vulnerable to drought. The assessment, updated every two weeks, currently lists 25 soums as extremely high risk and 54 as high risk. Pasture growth is below normal in 38% of the country, raising concerns for livestock and rural livelihoods. Authorities are prioritizing the stockpiling of hay and feed, and have instructed local governments to coordinate early livestock migration and improve inter-agency cooperation. These measures aim to mitigate the impact of potential harsh winter conditions on herders and the agricultural sector. The situation underscores the importance of proactive risk management in Mongolia's climate-sensitive rural economy.

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Innovation

Digital Receipts Linked to Bank Cards Set to Replace Paper System

Published: 2025-08-06

Mongolia is moving to fully digitize its E-barimt (e-receipt) system by allowing citizens to link their bank cards directly to the platform, automating receipt registration for purchases. This reform, to be implemented in early September, aims to address inefficiencies where only 45% of the 1.2 billion annual paper receipts are currently registered, often due to poor print quality or low transaction values. The shift is expected to increase tax refund participation, reduce administrative burdens, and significantly benefit the environment by saving an estimated 140,000 trees per year. The initiative is part of a broader government push for digital transformation. As Minister of Digital Development and Communications E. Batshugar stated:

"By digitizing E-barimt and linking it to bank cards, we will save 140,000 trees and make tax refunds more accessible to all citizens." - E. Batshugar, Minister of Digital Development and Communications (itoim.mn)

The move also supports plans to raise the tax refund rate from 2% to 5%, further incentivizing electronic participation and reducing the risk of lost receipts, especially for vulnerable groups.

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Expanded School Meal Program and Major Infrastructure Push Shape Education Budget

Published: 2025-08-06

Mongolia's draft 2026 education budget signals a significant expansion in both student welfare and infrastructure. The Ministry of Education is planning to extend the free school meal program to include 6th graders next academic year, with a phased approach for grades 6-9. This move, along with rising student numbers, is driving up operational costs.

"We plan to include 6th grade students in the school meal program starting next academic year, with a phased approach for grades 6-9." - Ministry of Education spokesperson (ikon.mn)

Meanwhile, Education Minister P. Naranbayar highlighted the urgent need for new facilities, noting that 58 out of 70 subdistricts in Ulaanbaatar lack schools. The government aims to build 108 schools and 95 kindergartens by 2028, with 45 of each planned in the 2026 budget, requiring ₮1.9 trillion in investment. International financing, including a $200 million concessional loan from the Asian Development Bank, is being considered to meet these ambitious targets. These developments reflect a strategic focus on both access and quality in Mongolia's education sector.

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Weather Agency Restructures Workforce as Budget Shrinks and Technology Advances

Published: 2025-08-06

Mongolia's National Agency for Meteorology and Environmental Monitoring has reduced its workforce by 171 positions, including 63 management roles, following a 9% cut in its 2025 budget. The restructuring aims to streamline operations and align all provincial centers with a standardized structure, while preserving frontline technical staff at weather stations and observation posts. The agency is also accelerating its digital transformation, planning to introduce a next-generation supercomputer and AI-driven forecasting tools in September.

"We have not reduced the number of frontline technical staff. The cuts mainly affect management positions, and we are offering opportunities for affected employees to transfer to roles such as environmental rangers, where there is a shortage of skilled personnel." - E. Battulga, Director of the Agency (itoim.mn)

This move reflects a broader trend toward automation and efficiency in public sector services, with implications for workforce adaptation and the future of environmental monitoring in Mongolia.

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Accelerated UK-Australia Degree Program Offers Mongolian Students Fast-Track to International Qualifications

Published: 2025-08-06

A new 1+2 bachelor’s program, launched by GAPE Global Academy in partnership with the UK’s BPP University and Australia’s Torrens University, enables Mongolian students to complete a bachelor’s degree and ACCA Level II certification in just three years. Students spend one year in Mongolia on an intensive curriculum before transferring to their chosen partner university for the remaining two years, saving both time and up to 50% in tuition and living costs. The program is designed to prepare students for international standards in accounting, business, and finance, with additional support for English proficiency and academic adaptation. B.Bayarmaa, founder of GAPE Global Academy, emphasized the program’s mission:

"Our goal has always been to deliver international-standard qualifications and help Mongolian youth become globally recognized professionals wherever they go." - B.Bayarmaa, Founder, GAPE Global Academy (ikon.mn)

The initiative addresses the challenges of direct overseas study by providing academic and psychological preparation, and offers a practical alternative to gap years, with structured support for students and parents throughout the process.

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Digital Innovation and Connectivity Highlighted for Landlocked Nations at UN Conference

Published: 2025-08-06

At the third United Nations conference on the challenges facing landlocked developing countries (LLDCs), held in Avaza, Turkmenistan, over 3,000 delegates—including UN Secretary-General António Guterres—discussed strategies for overcoming geographic constraints. The conference's Avaza Programme of Action outlines 356 measures focused on structural transformation, science and technology, trade facilitation, regional integration, and climate resilience. Mongolia's Deputy Prime Minister and Minister of Economy and Development, N. Uchral, emphasized the importance of leveraging innovation and digital connectivity to mitigate the high costs and logistical barriers of being landlocked.

"Landlocked countries should choose development paths that create value based on their unique characteristics, supporting processing industries and innovation ecosystems to strengthen supply chains." - N. Uchral, Deputy Prime Minister (gogo.mn)

Uchral also highlighted Mongolia's commitment to integrating science, technology, and innovation into national policy, aiming to digitize trade logistics and connect to global networks. The conference signals a shift toward technology-driven solutions for LLDCs seeking greater global integration.

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Drone and AI Livestock Counting Promises Efficiency Gains for Herders

Published: 2025-08-06

A new approach using drones and artificial intelligence for livestock counting is being piloted in Mongolia, aiming to reduce labor and costs for herders. Traditionally, livestock are counted manually, a process that is time-consuming and labor-intensive. The startup Hunu is developing solutions that leverage drones for open pasture counting and surveillance cameras for enclosed areas, with potential for broader farm management applications. The technology also seeks to address challenges posed by climate change, which has led to more frequent extreme weather events and increased desertification, affecting traditional herding livelihoods. Herders are increasingly receptive to these innovations, as highlighted by B. Byambasuren, a herder and veterinarian from Khovd province:

"Counting livestock with drones is the most efficient method in today's technological era. It saves time and costs, and makes it easier to verify numbers." - B. Byambasuren, herder and veterinarian (montsame.mn)

The integration of technology is seen as essential for the sustainability of nomadic culture and the livestock sector, especially as younger herders face growing challenges from environmental changes.

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Public Sector Productivity Initiative Launches with International Collaboration

Published: 2025-08-06

A new project aimed at enhancing competitiveness, productivity, and service culture within key public sector institutions has been launched through a partnership between the Government's Monitoring Agency and the Mongolian Productivity Organization. The initiative will initially target the Capital City Administration, the Second State Central Hospital, and the Social Insurance Departments of Chingeltei and Sukhbaatar districts. These organizations will undergo evidence-based assessments to align their operations with international standards and improve transparency, efficiency, and governance. The project will also involve expert evaluations by certified consultants from the Asian Productivity Organization, which was established in 1961 to foster sustainable development across the Asia-Pacific region. This move signals a commitment to continuous improvement and international benchmarking in Mongolia's public sector, potentially raising the quality of public services and institutional competitiveness on a global scale.

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Education Ministry Prepares Overhaul of Teacher Salary Structure

Published: 2025-08-06

Mongolia's Ministry of Education is preparing a proposal to restructure the salary system for teachers and education sector employees, following public discussions on the 2026 budget. The ministry's State Secretary, Kh. Batjargal, explained that while there is significant demand for salary increases, the complexity of the current system—with numerous bonuses and incentives—makes a straightforward percentage increase impractical. He noted disparities in additional payments, with some teachers receiving substantial bonuses while about half receive none.

"It is not possible to state directly by what percentage salaries will increase. This is not a decision the Minister of Education can make alone; it is determined by the government as a whole. We are working on proposals to change the salary structure and to ensure more equitable distribution of bonuses and incentives." - Kh. Batjargal, State Secretary, Ministry of Education (ikon.mn)

The ministry aims to address these disparities and will submit its recommendations to the government, signaling potential systemic changes rather than across-the-board raises.

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Health

Mental Health Center Leadership Dismissed Following Financial Misconduct Probe

Published: 2025-08-06

Mongolia’s National Center for Mental Health (SЭMҮT) is under scrutiny after the Ministry of Health uncovered significant financial irregularities, leading to the dismissal of Director G. Ankbold. An internal and police investigation found that over 478 million MNT was allegedly diverted to private accounts through manipulated patient billing and improper cash handling, with these practices reportedly ongoing for more than five years. The Ministry cited broader systemic issues, including unqualified staff appointments and poor patient care standards. Ankbold, who was appointed in September 2024, claims he initiated the internal audit that revealed the discrepancies, stating:

"After taking office, I discovered these irregularities and reported them to the authorities. The process of collecting cash at the counter and transferring funds to private accounts was already in place before my tenure." - G. Ankbold, former Director (gogo.mn)

The case highlights persistent governance and transparency challenges in Mongolia’s public health sector, raising questions about oversight and the political motivations behind leadership changes.

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Health Minister Confirms No Adverse Reactions to Measles Vaccine as Immunization Drive Expands

Published: 2025-08-06

Mongolia's Health Minister J. Chinburen has addressed public concerns regarding the safety and efficacy of the measles vaccine amid a significant outbreak. He clarified that the government has not mandated vaccination for school or kindergarten entry, and emphasized the reliability of vaccines sourced from India's Serum Institute through UNICEF.

"There have been no complaints or adverse reactions related to the vaccine. Therefore, there is no reason to doubt its quality." - J. Chinburen, Minister of Health (news.mn)

The minister highlighted that vaccination coverage among children has risen from 23% to 70%, but must reach 90% to effectively curb the outbreak. Experts warn of a potential second wave coinciding with the flu season in October and November. As of August 6, over 13,000 measles cases have been confirmed, with the majority among children aged 10–14. Authorities continue to urge parents to vaccinate their children to prevent further spread.

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