Mongolia Weekly: Mongolia boosts mining revenues, seals EAEU tariff relief, eyes AI overhaul

January 31, 2026 to February 6, 2026

This week's top 10 stories from Mongolia, selected from our daily intelligence briefs.

1. Oyu Tolgoi Accounts for 9% of 2025 Budget Revenues as Output and Local Procurement Surge

Oyu Tolgoi reported robust Q4 and full-year 2025 results, paying MNT 2.34 trillion in taxes and fees in 2025—about 9% of Mongolia’s consolidated budget tax revenue—and MNT 14.4 trillion since 2010. Underground mining hit a daily record 52,000 tonnes (December average 42,000 t), enabling copper output of 103.9 kt (vs. 97.8 kt plan), gold of 158.7 koz (vs. 143.8 koz plan) and 668.2 koz of silver. Year‑on‑year, copper rose 61% and gold 121%, supported by higher ore grades and completion of key infrastructure (Underground Primary Crusher 2, Concentrator Ball Mill 5 and new conveyors); stronger prices doubled planned free cash flow.

Operationally the miner sourced MNT 1.7 trillion in procurement in Q4 from 772 suppliers (571 domestic), with 87.3% procured locally and total 2025 domestic spending, taxes and wages of MNT 8.4 trillion—equating to about MNT 23 billion per day in Mongolia. Management said it is coordinating with the Government on transferring Entrée’s license and is preparing mine plans that could either revive Panel‑1 development or commence extraction in southern Panel‑2, decisions that will determine the next phase of underground growth and fiscal contribution.

Local Coverage: itoim.mn, news.mn

From daily brief: 2026-01-31

2. Parliament Ratifies Temporary Trade Agreement Granting Tariff Relief on 367 Goods with Eurasian Economic Union

Parliament has ratified a temporary three-year trade agreement between Mongolia and the Eurasian Economic Union (EAEU) that grants tariff reductions and exemptions on 367 product categories; the pact is extendable by default. The measure targets exports of value‑added goods based on domestic raw materials with duty relief and non‑tariff preferences to boost manufacturers’ competitiveness in EAEU markets, while imports from EAEU members will be narrowed to industrial inputs—equipment, steel, and heavy machinery—not produced domestically, intended to lower production costs in Mongolia’s industry, food, and agriculture sectors.

Officials frame the deal as a step to expand external market access, attract foreign direct investment, and integrate Mongolian firms, particularly SMEs, into regional supply chains and technology adoption. For a landlocked country with relatively few trade agreements, the agreement’s specificity (367 products, three‑year term) signals a targeted approach to promote value‑added exports and reduce input costs, though its ultimate impact will depend on implementation, SME uptake, and whether the default extension is activated.

Local Coverage: gogo.mn

From daily brief: 2026-02-03

3. Hungary’s OTP Bank Explores Market Entry, Tying Decision to Reforms in Banking Law

Hungary’s OTP Bank—Central and Eastern Europe’s largest listed lender with operations in 11 countries and reported equity of $115.2 billion and a $60 billion loan book as of Q3 2025—has signalled conditional interest in entering Mongolia’s market, contingent on targeted amendments to the country’s Banking Law. In a virtual meeting on Feb. 4 with Mongolian Parliamentary Speaker N. Uchral and Bank of Mongolia Governor S. Narantsogt, OTP said it requires clearer rules on single-shareholder ownership limits, the narrowing of broad regulatory provisions, and stronger protections against policy risk before committing strategic investment.

Parliamentary leadership framed the bank’s approach within a wider reform agenda to limit excessive state intervention and broaden private‑sector participation; banking‑law revisions are scheduled for debate in the spring session. For international investors and policymakers, OTP’s position underscores that legal certainty on ownership caps and political‑risk safeguards will be decisive for attracting large foreign banks and capital into Mongolia’s financial sector.

Local Coverage: isee.mn, gogo.mn, montsame.mn, ikon.mn, unuudur.mn, itoim.mn

From daily briefs: 2026-02-05, 2026-02-06

4. Government Plans AI and Big Data Push with Public-Private Partnerships and Legal Overhaul

Mongolia’s Digital Development and Communications Minister E. Batshugar and Economic Development Minister J. Enkhbayar unveiled a 2026–2027 roadmap to scale AI and big data through public‑private partnerships, regulatory reform and state service digitization, designating 2026 the “Year of AI and Big Data.” The plan proposes monetizing national datasets under market principles, establishing ethical and accountable AI governance, attracting domestic and foreign investment into AI infrastructure (including a national GPU cluster), developing Mongolian‑language AI models, and submitting draft laws on drones, space, data, AI, e‑commerce and startups to parliament to accelerate productivity and trust in e‑government following reported cost savings.

Chinese officials briefed Mongolian counterparts in Ulaanbaatar on China’s 15th Five‑Year Plan (2026–2030), which targets ~4.5% average growth, per‑capita GDP ambitions of USD 27,000–29,000 and priorities of technology self‑reliance, green transition and social protection. Beijing framed near‑term cooperation opportunities for Mongolia in trade, S&T collaboration, renewable energy and desertification/water management, signaling potential for increased cross‑border investment and joint projects that could support Mongolia’s digital and low‑carbon development goals.

Local Coverage: isee.mn, news.mn, gogo.mn, montsame.mn

From daily briefs: 2026-01-31, 2026-02-03

5. SendMN and YeePay Launch 5‑Minute Cross‑Border B2B Payments to China with Fee Waiver Through Feb 2026

Mongolian fintech SendMN and China’s YeePay have launched a rapid B2B cross‑border payment service that settles transfers to Chinese counterparts within five minutes. The offering—announced with fee waivers for business transfers to China through February 28, 2026—accepts SendMN remittance receipts for customs clearance and allows Chinese recipients to claim applicable tax rebates without added steps, positioning the product as faster, more transparent and compliant for trade-related flows.

The service targets Mongolian importers dependent on Chinese goods and services and may improve procurement speed, documentation reliability for customs and tax processes, and regional financial connectivity. SendMN CEO B. Törbold framed the tie-up as addressing speed, transparency and legal compliance, while Jin Chen, GM for Overseas Business at YeePay, emphasized faster, more reliable Mongolia–China business payments.

Local Coverage: ikon.mn

From daily brief: 2026-02-05

6. Parliament Speaker N. Uchral to Visit Russia for Energy and Mining Talks

Mongolia’s Parliament Speaker N. Uchral will undertake his first foreign trip since taking office with an official visit to Russia from February 4–9, leading a delegation that includes energy and mining ministers. The team is scheduled to negotiate fuel supply and electricity arrangements and to discuss broader energy and mining cooperation, reflecting Mongolia’s heavy reliance on Russian imports for refined fuels and electricity.

The agenda emphasizes securing reliable inputs and addressing pricing, volumes, logistics and cross‑border flows, with potential joint projects that could influence power stability in Ulaanbaatar and national fuel market dynamics. No detailed itinerary or named Russian counterparts have been disclosed; however, the presence of sector ministers signals talks aimed at both near‑term operational arrangements and longer‑term strategic ties in critical infrastructure and resource sectors.

Local Coverage: isee.mn

From daily brief: 2026-02-04

7. Legal Review Flags 228 Laws for Restricting Economic Freedom; Government Outlines Deregulation and Energy Measures

Parliament Speaker N. Uchral reported that an AI-driven review of 378 active laws identified 228 provisions that restrict citizens’ economic rights or hinder business activity, prompting a shift toward vetting draft legislation with AI to remove clauses infringing fundamental rights. In the spring session, parliament will prioritize bills on witness and victim protection, family law and related procedural reforms with a focus on child protection, while pursuing a broad deregulation agenda that includes stronger private property safeguards, ending preferential treatment for state-owned enterprises, converting some household-level activities to notification-based licensing, delegating certain permits to professional associations, and consolidating burdensome paperwork.

To reduce energy import dependence the government will enable households to install small-scale renewable systems and sell surplus electricity to the grid under a new legal framework. At the subnational level, Bayan-Ölgii aims to fund 59% of its 2024 operating budget from local revenues as fiscal policy opens the door to local public–private partnerships (PPPs). These measures signal a coordinated push to liberalize the economy, streamline business administration and promote decentralized fiscal and energy resilience.

Local Coverage: gogo.mn

From daily brief: 2026-01-31

8. S. Munkhsukh Assumes CEO Role at Oyu Tolgoi, First Mongolian to Lead the Company

S. Munkhsukh became CEO of Oyu Tolgoi LLC on Feb. 1, 2026, after a board appointment in Nov. 2025, marking the first time a Mongolian has led the copper-gold mine operator. A veteran executive with 25+ years across mining, aviation, finance and investment, Munkhsukh was previously Rio Tinto Copper’s Director for Growth and Development, has overseen shareholder matters for Oyu Tolgoi, and has served on its board since 2022; he holds degrees from Northeastern University and UC Berkeley’s Haas School of Business.

His stated priorities—greater transparency, recognition of the workforce and leveraging global experience locally—signal continuity with international partners while potentially accelerating localization of senior management and decision-making for the project. For stakeholders and investors, the appointment could reduce political and social friction in Mongolia and influence future governance and procurement practices at the mine.

Local Coverage: itoim.mn, isee.mn

From daily brief: 2026-02-03

9. UNCCD Chief Visits as Ulaanbaatar Prepares to Host COP17 on Desertification

UNCCD Executive Secretary Yasmin Fouad visited Ulaanbaatar (3–6 Feb) to assess Mongolia’s preparations to host COP17 of the UN Convention to Combat Desertification, set for 17–28 August 2026, with its High‑Level Segment on 23 August. Mongolian leaders briefed Fouad on logistics and whole‑of‑government coordination; parliament will soon appoint the COP17 President and the government has secured UN backing for 2026 as the International Year of Rangelands and Pastoralists. Fouad urged streamlined visa processing for incoming delegates and pledged continued institutional support.

Practical capacity‑building is already under way: the COP17 National Committee created 12 subcommittees — including one to mobilize scientists — and civil servants are receiving multilateral negotiation training. The Mongolian Academy of Sciences presented tested land‑restoration techniques and plans to translate research into policy, signaling an emphasis on evidence‑based outcomes. Fouad framed Mongolia’s role as potentially “trust‑based” convening that can narrow differences and advance consensus, highlighting implications for inclusivity and science‑driven decision‑making at COP17.

Local Coverage: montsame.mn, isee.mn, unuudur.mn, gogo.mn, itoim.mn, news.mn

From daily briefs: 2026-02-04, 2026-02-05

10. Government Orders Feasibility Review for Small Modular Nuclear Power Plant Options

Mongolia’s Prime Minister G. Zandanshatar announced on his weekly “Tsegtsrekh Khodolgoon” podcast that government agencies have been ordered to conduct science-based public outreach, expert discussions and an economic feasibility study of small modular reactors (SMRs) as part of a broader review of the country’s energy options. The directive tasks the Ministry of Energy specifically to produce an economic efficiency calculation for a “small-capacity” nuclear power plant; Zandanshatar framed the move after attending Davos and cited Kazakhstan’s referendum approach as a model for public decision-making.

The review responds to rising electricity demand, chronic winter shortages and dependence on Russian imports, and is intended to assess SMRs’ potential contributions to baseload supply, grid stability and energy security. The government emphasizes transparent communication and rigorous cost‑benefit analysis before policy changes; outcomes will need to address regulatory frameworks, financing pathways and public acceptance if SMRs are to proceed.

Local Coverage: gogo.mn, ikon.mn

From daily briefs: 2026-02-01, 2026-02-02

About This Weekly Digest

The stories above represent the most significant developments from Mongolia this week, selected through our AI-powered analysis of hundreds of local news articles.

Stories are drawn from our daily intelligence briefs, which synthesize reporting from Mongolia's leading news sources to provide comprehensive situational awareness for international decision-makers.