1. BUSINESS COUNCIL of MONGOLIA
NewsWire
www.bcmongolia.org
info@bcmongolia.org
Issue 384 – July 3, 2015
BCM NewsWire provides short summaries of news collected from around the world. Each article is
kept to a maximum of 150 words for brevity, but click on the link next to “Source” to read the full
article.
NEWS HIGHLIGHTS:
Business:
Rio Tinto to invest in Mongolia gold, copper mine this year: Mongolia PM;
Mongolia to pay Khan Resources $104 mn arbitration award;
Coal buyer files USD 11.5 mn arbitration claim against SouthGobi;
SgurrEnergy takes engineer role for Tsogttsetsii wind farm;
China’s CCCC, Chinggis Land lead construction of trans-Mongolia highway;
TDB opens Turkish lira–tugrug currency exchange;
SouthGobi names two buyers of USD31.6 mn private placement;
Three Mongolian banks tap Microsoft security software;
Cambridge tech opens up Mongolia;
MAK Group plans for Holiday Inn hotel;
First vinyl record shop opens in Mongolian capital, Ulaanbaatar;
Harvard guests logon to Mongolian Business Database;
Mongolian insurance industry report;
‘BCM Football Cup 2015’ kicks off;
The AIIB: China’s way or the highway?
Economy:
Mongol Bank: FX auctions; currency swaps;
Mongolia dines on dim sum;
Mortgage loan deposit lowered to 10 percent;
China to integrate Mongolian, Russian, Indian trade route initiatives with MSR;
Anti-corruption agency releases half-year work report;
Forest fire damages total MNT19.5 mn in H1 2015;
Japan donates USD672,000 in disaster management equipment;
Poverty on downward decline, says report;
'Smart' bus services postponed to 20 July;
The uncertain future of Maidar city;
Asia Foundation releases corruption survey;
Universal child benefits: The curious case of Mongolia;
Expert warns against inbreeding risk among Mongolians;
Debt-indulging money market – EDITORIAL.
Politics:
Saikhanbileg pushes for quick deal on mines to regain investor confidence;
Saikhanbileg talks investment with British premier Cameron;
Saikhanbileg’s U.S. visit is a big score for Mongolia, say observers;
2. Saikhanbileg vows to keep politics out of Mongolia's JVs with Russia;
President revives ‘M2’ talks with Myanmar;
Ministry of Industry partners with Japanese industry group;
U.S. Senate Foreign Relations reports favorably on ambassador nomination;
Russia, Mongolia to march in China parade to mark end of WW2;
PLA art delegation holds first show in Mongolia;
MP calls for corruption investigation into Minister Enkhsaikhan;
Dornod governor blasts PetroChina;
Authorities say phony rice allegations were fake;
Where will the new Chinggis statue ride? Not at Chinggis Square, says official;
Majority of the poll participants vote to end license-plate restrictions.
*Click on titles above to link to articles.
SPONSORS
Khan Bank International SOS
Wagner Asia Automotive Invest Mongolia Agency
BUSINESS
RIO TINTO TO INVEST IN MONGOLIA GOLD, COPPER MINE THIS YEAR: MONGOLIA PM
Rio Tinto Group has pledged to invest at least USD250 million to USD300 million in the construction
of the underground section of the massive Oyu Tolgoi copper and gold mine this year, said Prime
Minister Chimed Saikhanbileg while in the United States. The second phase of construction at the
mine is expected to begin this year, he said.
Saikhanbileg met with Vice President Joe Biden, held an event at the U.S. Chamber of Commerce
that attracted more than 160 attendees, visited the New York Stock Exchange and held individual
meetings with investment companies. He added that he expects a resolution with Parliament over
the fate of Mongolia's giant Tavan Tolgoi coal mine before a legislative recess on 11 July. In
addition, Saikhanbileg said plans were underway to set up a public investment entity modeled after
Singapore's Temasek Holdings, providing few details but saying he hoped to establish it "as soon as
possible."
Source: Reuters
MONGOLIA TO PAY KHAN RESOURCES $104 MN ARBITRATION AWARD
Mongolia will pay the more than USD100 million to Canadian explorer Khan Resources Inc. awarded
by a Paris tribunal. "We're not ignoring, we're respecting. We will comply," said Saikhanbileg, which
3. is an about face from Mongolia's previous position that it would fight the verdict. The Prime
Minister's statement was in response to a Bloomberg News question during an exclusive interview in
New York this week.
At the current time, the award aggregates to approximately USD104 million. Khan confirms that has
not yet received any direct communication from Mongolia on this matter.
Source: Junior Mining Network
COAL BUYER FILES USD 11.5 MN ARBITRATION CLAIM AGAINST SOUTHGOBI
SouthGobi Resources Ltd. will defend itself in an arbitration court against a demand for the
repayment of a USD 11.5 million prepayment for a coal supply agreement that a buyer says was
never fulfilled. SouthGobi in a 30 June statement said that it believes that the coal purchaser, First
Concept Logistics Ltd., deliberately failed to collect its coal shipments with the intention of filing
the suit. It questioned the timing of the court filing, which occurred just as it was set to gain
USD31.6 million from a funding plan. “The Company sees the notice as an attempt by First Concept
to back out from a binding contract by deliberately failing to take any reasonable efforts to comply
with its obligations,” reads the Source.
First Concept's parent company, Hong Kong-National United Resources Holdings Ltd., allowed an
option from June 2014 to buy shares of SouthGobi to expire last May, without ever being exercised.
Source: SouthGobi Resources Ltd.
SGURRENERGY TAKES ENGINEER ROLE FOR TSOGTTSETSII WIND FARM
Clean Energy Asia LLC has hired renewable energy consultancy SgurrEnergy to take on the
engineering role for the pre-construction and construction of the 50 megawatt wind farm in
Tsogttsetsii Soum, Umnugobi Aimag. Pre-construction began in May 2015 with commencement of
the site works projected to take place in 2016. SgurrEnergy participated in the construction of
Mongolia’s first wind farm, Salkhit, which saw the first new power source connected to Mongolia’s
grid in over 30 years. It began working on the Tsogttsetsii project in 2014, conducting feasibility
studies and environmental and social impact assessments which included visits to the remote site
location.
“Together, with SgurrEnergy, we are confident that we would successfully complete this
cornerstone project in the South Gobi,” said Clean Energy, a joint venture between Mongolia’s
Newcom Group and Japanese Softbank Energy.
Source: Sun & Wind Energy
CHINA’S CCCC, CHINGGIS LAND LEAD CONSTRUCTION OF TRANS-MONGOLIA HIGHWAY
Chinese civil engineering firm CCCC has partnered with Chinggis Land Development Group for
construction of the 1000-kilometer trans-Mongolia. CCCC advised on quality and loading capacity of
road surfaces. The environmental and technical studies for the bridges are already complete, while
a division within Chinggis Land Development continues to draw up designs. They expect
construction to finish in 2018.
CCCC, which was responsible for the construction of the Peace Bridge in Ulaanbaatar in 1963, will
lead construction of the combined two kilometers of bridge for crossing the Orkhon and Tuul Rivers.
Source: News.mn
TDB OPENS TURKISH LIRA–TUGRUG CURRENCY EXCHANGE
Trade and Development Bank of Mongolia LLC (TDB) is now offering accounts for the Turkish
currency, the lira. The launch of lira-denominated accounts in May allows for TDB to exchange the
lira for tugrug.
Source: News.mn
SOUTHGOBI NAMES TWO BUYERS OF USD31.6 MN PRIVATE PLACEMENT
Two investors have agreed to purchase USD31.6 million in shares of Mongolia-focused coal miner
SouthGobi Resources Ltd. CITIC Merchant Co. Ltd., a merchant banking arm of CITIC Group, has
4. agreed to purchase 91 percent of the total 55 million new common shares of the Ovoot Tolgoi coal
mine license holder in a private placement launched last month, said SouthGobi on 1 July, while the
privately owned European bank, Swiss Life Gestion Privée, agreed to buy the remaining five million
shares. The shares issued now represent 19 percent of SouthGobi, which also has shares listed in
Hong Kong and Toronto.
The proceeds will be used as working capital and to fund its operations in the coming months.
Source: SouthGobi Resources Ltd.
THREE MONGOLIAN BANKS TAP MICROSOFT SECURITY SOFTWARE
U.S. software developer Microsoft Corp. has granted three of Mongolia's banks the rights to software
for security. The American Chamber of Commerce and Industry (AmCham) on 30 June facilitated
the agreement with Golomt Bank LLC, XacBank LLC, and Trade and Development Bank of Mongolia.
The software will provide the banks greater security walls and encrypt clients' financial
information.
Source: Undesnii Shuudan
CAMBRIDGE TECH OPENS UP MONGOLIA
Digital radio technology from Cambridge-based Sepura is being utilized in Ulaanbaatar. The
municipality has chosen Sepura DMR technology for its public safety organizations. The contract was
achieved in conjunction with Global Telecom, Sepura's channel partner in Mongolia, and is the
Cambridge company’s first contract in the municipality.
Sepura’s digital solution will replace the municipality’s legacy analogue system whilst running
alongside an existing TETRA infrastructure that was supplied by Teltronic—now a Sepura group
company—five years ago. The new system meets the important objective of the municipality’s
major initiative to address and improve risk prevention and disaster management in the Mongolian
capital. Sepura’s channel partner, Global Telecom, will oversee the migration from analogue to
digital communications for the entire municipality; it will be responsible for the complete
installation and deployment of the new system and deliver training to the public safety user teams
operating in the city.
Source: Business Weekly
MAK GROUP PLANS FOR HOLIDAY INN HOTEL
MAK Group has inked an agreement to open Mongolia's first Holiday Inn hotel in Ulaanbaatar.
Intercontinental Hotels Group, which owns the Holiday Inn hotel chain, is planning for a 4-star, 20-
story hotel, with 170 rooms and three halls for hosting events.
Source: Udriin Sonin
FIRST VINYL RECORD SHOP OPENS IN MONGOLIAN CAPITAL, ULAANBAATAR
Mongolia's first vinyl record shop has opened in Ulaanbaatar. Dund Gol Records opened at the
Children’s Book Palace of Mongolia in March, 2015, according to a report on The Vinyl Factory
website. It is the brainchild of B. Batbold, who has stocked the store with over 1,000 vinyl records
from his own collection. “I don’t want to keep all my vinyl records. I want to spread vinyl records to
people who collect vinyl records,” said Batbold. “That’s why I opened the store.”
The store holds a wide selection of Western pop and classical music, as well as local groups. The
most expensive item currently at the store was a rare recording from the band Soyol-Erdene,
costing MNT50,000, said Batbold.
Source: Uncut
HARVARD GUESTS LOGON TO MONGOLIAN BUSINESS DATABASE
A group of graduate students from Harvard University this week received an introduction to the
Mongolian Business Database while in Ulaanbaatar organizing the Asian Leadership Forum. Students
of the Harvard Business School, the John F. Kennedy School of Government and the Harvard
Graduate School of Education accessed the database from the Executive Excellence International
5. Business Center where Mongolia Business Database Director Ichinkhorloo Ser-Od presented on the
current state of the Mongolian economy and the investment climate here.
Source: News.mn
MONGOLIAN INSURANCE INDUSTRY REPORT
A Mongolian Insurance Industry' report has been released that provide detailed analyses of the
insurance regulations for life, property, motor, liability, personal accident, health, marine, aviation
and transit insurance. It brings together research, modeling and analysis expertise, giving insurers
access to information on insurance regulations, recent and upcoming changes in regulatory
framework, taxation and the legal system in the country. The report also includes the scope of non-
admitted insurance in the country.
By the end of 2015 the Financial Regulatory Committee is planning to fully comply with
international standards by adjusting its insurance regulations in accordance with the principles
issued by the International Association of Insurance Supervisors.
Read the full report here.
Source: Research and Markets
‘BCM FOOTBALL CUP 2015’ KICKS OFF
Twelve teams will hit the field at the National Garden Park on 4 and 5 July for the Business Council
of Mongolia (BCM) fourth annual BCM Football Cup. This year, 12 teams representing 15 member
companies, with competitors from 8 different countries, namely Mongolia, France, Mexico, Cape
Verde, United Kingdom, Australia, India and Japan are making this football tournament truly an
International Cup among non-professional football players. Sponsors include ARD Financial Group,
Golomt Bank and Ernst &Young Mongolia, with support coming from the Mongolian Business
Database.
Last year's 2014 champion was Khan Bank.
Source: BCM
THE AIIB: CHINA’S WAY OR THE HIGHWAY?
Documents signed in Beijing on 29 June have established the Asian Infrastructure Investment Bank
(AIIB), and Mongolia is a founding member. It is a triumph for Chinese financial diplomacy. America
had lobbied against the AIIB, fearing it would be a tool of Chinese policy and threaten standards
upheld by the World Bank and the Asian Development Bank. Those fears have eased as 56 countries,
including close American allies, have joined China as founder members.
To court them, China has accepted a loosening of its control of the AIIB and agreed that it will
adhere to international standards. It invited Mongolia to join in March last year. But the AIIB is just
one of several new institutions in which China plays a leading role and America none at all. Its
founding makes America even keener to complete the Trans-Pacific Partnership, a 12-member free-
trade area that so far excludes China.
Source: Economist, News.mn
ECONOMY
MONGOL BANK: FX AUCTIONS; CURRENCY SWAPS
The Bank of Mongolia on 30 June sold at auction USD14 million for U.S. dollars and Chinese renminbi
to commercial banks for closing exchange rates of MNT1,967.00 and MNT315.50, respectively. Also
that day, the central bank accepted bids for an equivalent of USD40.3 million for a Mongolian
tugrug swap and USD20 million for a U.S. dollar swap.
Source: Bank of Mongolia
MONGOLIA DINES ON DIM SUM
The Government of Mongolia made its dim sum bond market debut last week. The CNY1 billion
6. (USD161 million) transaction, which priced on Wednesday, is likely to be but an appetizer before a
much larger dollar-denominated deal of up to USD1 billion, according to local press reports.
Mongolia’s dim sum deal, which will list in Singapore, has rarity value since it represents only the
second non-Chinese sovereign issuer following Britain’s debut last October. It also provides greater
diversity among high-yield offshore renminbi credits, the majority of which are Chinese property
names. However, some thought it had little value. “Investors are reluctant because it’s Mongolia
issuing the bond, not the U.K.,” said one Hong Kong-based bond analyst. “Just look at the country’s
rating,” he added. “Even the 7.5% yield doesn’t look very appealing.”
Source: Finance Asia
MORTGAGE LOAN DEPOSIT LOWERED TO 10 PERCENT
The Saikhanbileg government is reviving industry related to the construction and sales of new
housing by lowering down-payment costs for a state-backed mortgage to 10 percent. The decision
to reduce the cost for 8 percent mortgages will allow the Saikhanbileg government to entice greater
demand for the homes from buyers unable to pony up 30 percent of the cost of an apartment in the
city. In addition to the state covering the 20 percent in costs, mortgages will also be made
available for homes up to 80 square meters. "This is not a gift from the government. It is an
opportunity for the residents,” said Construction and Urban Development Minister D. Tsogtbaatar.
The number of the residents to be included in the program is limited as the state is only providing
guarantees for MNT 200 billion through the Development Bank of Mongolia.
Source: Mongolia.GoGo.mn
CHINA TO INTEGRATE MONGOLIAN, RUSSIAN, INDIAN TRADE ROUTE INITIATIVES WITH MSR
The “Mongolia Steppe Road” (MSR) aims to boost Mongolia's economy through trans-border
transportation. The project includes a 997-kilometer highway connecting China and Russia and a
1,100-kilometer electrified railway stretch. It also includes expansion of the existing Mongolian rail
system and construction of natural gas and oil pipelines. China is taking initiatives to create lateral
cooperation for regional rail interconnectivity.
MSR is an ambitious framework for China's future geo-political strategy in the eastern hemisphere.
The country will merge above-mentioned economic corridors, partner countries and their potential
to create a giant infrastructure that will shift the future economy and diplomacy in the region.
Source: PaGalGuY
ANTI-CORRUPTION AGENCY RELEASES HALF-YEAR WORK REPORT.
Mongolia saw MNT30 billion in bribes and other white collar crime in the first half of this year,
according to a report from the Independent Agency Against Corruption (IAAC). The agency said half
of the 210 complaints it received this year were related to administration offices or officials
abusing their posts. Eleven of the cases filed against government officials were settled in court,
including former Health Minister N. Tumendembrel and the former head of the fire-fighting
department of the National Emergency Management Agency (NEMA), D. Togoonyam.
Source: Udriin Sonin
FOREST FIRE DAMAGES TOTAL MNT19.5 MN IN H1 2015
Fires broke out in Khuder, Yoruu, and Mandal Soums in Selenge Aimag; Tsagaannuur and Ulaan-Uul
Soums in Khuvsgul Aimag; and Selenge Soum in Bulgan Aimag. Strong winds and the dry climate
have been the cause of the 193 fires that have spread on the steppe and forests throughout the
country this year. Damages have totaled MNT 19.5 million for the first half of this year.
The same period last year saw 100 fires causing MNT12.6 billion in damages.
Source: Zuunii Medee
JAPAN DONATES USD672,000 IN DISASTER MANAGEMENT EQUIPMENT
Japan has delivered about 8,000 pieces of equipment worth USD 672,000 for disaster-risk
management to the Ulaanbaatar administration as part of a program from last year to provide
7. assistance in this area. The National Emergency Management Agency (NEMA) has received 8,253
items of 15 types for use during disasters at a ceremony. That includes floating bridges, temporary
shelters, clothing for victims rescued from bodies of water, and helmets with cameras fastened to
them.
Source: Unuudur
POVERTY ON DOWNWARD DECLINE, SAYS REPORT
Poverty has fallen 5.8 percentage points in Mongolia, to 21.6 percent in 2014, from two years prior.
“The poverty rate declined fastest in rural areas and was driven by continued growth in livestock
income,” said S. Mendsaikhan, the chairman of the National Statistical Office. A considerable
number of the poor in Mongolia were below but very close to the poverty line in 2012. This meant
that even moderate growth could push them out of poverty. But moderate gains also mean that
most of those who escaped poverty are not too far above the poverty line and, therefore, remain
vulnerable.
The estimates are obtained from the Household Socio-Economic Survey (HSES) 2014 using an
international standard poverty methodology which has been validated by the World Bank, including
a peer review by international poverty experts.
Source: World Bank
'SMART' BUS SERVICES POSTPONED TO 20 JULY
The launch date for a fleet of so-called ‘smart’ buses has been postponed 12 days to 20 July.
Authorities ordered the delay after finding some of the 360 buses equipped with card-reading
equipment failed to meet standards.
Meanwhile, the city is negotiating with merchants throughout the city to sell the “U money” cards
that passengers will swipe at card readers upon entering and exiting the buses. A card cost
MNT3,600 and can be charged with MNT1,500 to MNT90,000 worth of credit.
Source: Undesnii Shuudan
THE UNCERTAIN FUTURE OF MAIDAR CITY
The Maidar, or “future,” city planned to encircle the Great Maitreya statue outside of Ulaanbaatar
is being labeled an “eco city” by developers as it will focus on sustainability. But the great cost
needed to build has some questioning whether it is a project that will make sense to investors.
Developers plan to complete construction of enough homes for 300,000 people by 2024, if they can
attract the investment on time. Developers have planned for this location based upon the
expectation that it will be a magnet for families seeking relief from the crowded and polluted
capital, as well as tourists. Standing at 54 meters high—taller than the Chinggis Khan statue owned
by Genco Tour Bureau JSC and the Statue of Liberty—the Great Maitreya statue will be the largest
in the world depicting the Buddha.
Ulaanbaatar has a population of 1.3 million, compared with the widely-shared idea that it was
originally planned for just 600,000 people. Migrants have relocated to Ulaanbaatar seeking job
opportunities, as well as better education and health care for their families. But others would argue
that the population density in Ulaanbaatar is not so great compared with other cities, such as
Washington, D.C. or London.
Source: UB Post
ASIA FOUNDATION RELEASES CORRUPTION SURVEY
The Asia Foundation has released its 2015 survey on perceived corruption in Mongolia. In April 2015,
The Asia Foundation, in collaboration with Sant Maral Foundation, conducted its sixteenth Survey on
Perceptions and Knowledge of Corruption (SPEAK) in Mongolia, a nationwide survey of citizens in
rural communities and Ulaanbaatar. Known from 2006 to 2011 as the Mongolia Corruption
Benchmarking Survey, it was renamed SPEAK in 2012. SPEAK is one of just a few regular,
nationwide surveys in Mongolia, and its results are widely cited and used by civil society and
government organizations.
8. Read the full report here.
Source: Asia Foundation
UNIVERSAL CHILD BENEFITS: THE CURIOUS CASE OF MONGOLIA
In addition to Chinggis Khan, Mongolia can now add to its list of fame the developing world’s only
universal child grant. After a rocky start, Mongolia's Child Money Program (CMP) now offers
unconditional cash transfers to all children under18 years. There was considerable debate over
whether Mongolia should target the poor or not, but United Nations organizations such as UNICEF
have argued strongly in favor of the universal child benefit. They argue universality resolves most of
the exclusion errors inherent to the proxy means test, and strongly reduces child poverty.
The International Labor Organization has calculated that a universal child benefit would cost, as a
weighted average, 0.9 per cent of the aggregated gross domestic product (GDP) of 57 low-income
and lower middle-income countries. To put it in perspective, the total estimated cost is equal to
0.5 percent of what G20 countries used to bail out the financial sector in 2009.
Source: Development Pathways
EXPERT WARNS AGAINST INBREEDING RISK AMONG MONGOLIANS
A Mongolian geneticist has warned that his country should be aware of the risk of inbreeding among
the population, local media reported Wednesday. Enkhmaa Enkhee, a scientist with the Social
Health Institute of Mongolia, said that the effects of inbreeding are being seen in the country as
many children are born with health issues such as cleft lips and palate defects, cardiac disease and
many other birth defects. Enkhmaa said that his team has estimated the coefficiency of inbreeding
among the Mongolian population, and then determined that 97.24 percent of this coefficient was
direct inbreeding, and the remaining 2.76 percent were remote inbreeding.
The researcher blamed the division of the Mongolian population into small administrative units that
restrict the free movement of people. It is common for Mongolians in rural areas to marry within
their community. Mongolia only has a population of three million and half of the population is
concentrated in Ulaanbaatar.
Source: Global Post
DEBT-INDULGING MONEY MARKET - EDITORIAL
When the new century began, Mongolia was unable to borrow from international capital markets. It
did not hold any currency on hand, but had natural wealth buried underground. The economy has
since grown, along with the deficit to well over 10 percent of GDP. That is despite legislation
passed to maintain a deficit of no more than 6 percent, raised last year from 2 percent. The
interest rates of our government securities are too high, with six month securities have an annual
interest rate of 16.4 percent standing nearly 3 points about the 13 percent policy rate of the
central bank.
The government has used domestic bonds to cover shortfalls from revenue projected in the budget.
If the deficit is not taken care of, the portion of the budget to pay off debt will likely rise from 12
percent to a quarter of all spending.
Dambadarjaa “DeFacto” Jargalsaikhan is an independent economist and media correspondent in
Mongolia.
Source: UB Post
POLITICS
SAIKHANBILEG PUSHES FOR QUICK DEAL ON MINES TO REGAIN INVESTOR CONFIDENCE
Mongolia's prime minister sees signs of progress in developing the country's biggest coal mine and a
gold project, hoping to win back much needed foreign investment after resolving a dispute with
miner Rio Tinto Group. "After unlocking Oyu Tolgoi and also solving the Tavan Tolgoi project this is
giving good signals to the investment community," Prime Minister Chimed Saikhanbileg said, adding
9. he was targeting a growth in foreign direct investment to USD4.5 billion a year in two to three
years.
Saikhanbileg said he was "quite confident" that his latest proposal for USD4 billion of investment for
Tavan Tolgoi would be approved by parliament next week, and that government would soon find an
agreement with Centerra Gold Inc.’s Gatsuurt gold mine. Parliament has indicated the country
should not keep an equity stake in the project, but should instead raise the mining royalty, he said.
This would more directly benefit the country helping relieve debt pressures.
Source: Reuters
SAIKHANBILEG TALKS INVESTMENT WITH BRITISH PREMIER CAMERON
Prime Minister Chimed Saikhanbileg met with British Prime Minister David Cameron during a working
visit to London this week, according to a government statement. Saikhanbileg opened the talks
emphasizing that the main purpose of the visit was to attract investment, to which Cameron
promised that the British government would expand its economic cooperation with Mongolia. They
also discussed improving of regional cooperation, trade, economic relations, tourism, and student
exchange programs.
Source: Mongolia.GoGo.mn
SAIKHANBILEG’S U.S. VISIT IS A BIG SCORE FOR MONGOLIA, SAY OBSERVORS
All sides reckon that Prime Minister Chimed Saikhanbileg’s visit to Washington D.C. and New York
City from 23 to 27 June was a resounding success. At a meeting with Vice President Joe Biden at the
White House, Saikhanbileg emphasized Mongolia’s desire to attract the interest of American
business. The prime minister also held discussions with Commerce Secretary Penny Pritzger and U.S.
Trade Representative Michael Froman that focused on the Trans Pacific Partnership (TPP) as well as
promoting U.S. trade and investment from the United States.
On the business side, Saikhanbileg met with officials from JP Morgan Bank to discuss the possibility
of a joint-investment fund, as well as unspecified talks with officials from the New York Stock
Exchange. Additional meetings were held with senior officers from Microsoft Corp.'s Innovation and
Policy Center and senior officials from the Stanford University Medical School to discuss
development of biotechnology and pharmaceutical manufacturing in Mongolia, with particularity
interest in medicines for treating hepatitis.
Source: NAMBC
SAIKHANBILEG VOWS TO KEEP POLITICS OUT OF MONGOLIA'S JVS WITH RUSSIA
Mongolia will leave its joint ventures with Russia up to their respective heads rather than risk
setting up stumbling blocks with government interference, Prime Minister Chimed Saikhanbileg
promised at a press conference while in Russia for the Saint Petersburg International Economic
Forum last Friday. Saikhanbileg and President Tsakhia Elbegdorj have agreed to stay out of the
business affairs, said Saikhanbileg, saying that government should concentrate less on small issues
that have in the past kept their joint projects from moving forward.
Source: Mongolia.GoGo.mn
PRESIDENT REVIVES ‘M2’ TALKS WITH MYANMAR
The visit by Myanmar President U Thein Sein has revived talks on a possible economic and
diplomatic partnership. President Tsakhia Elbegdorj announced an opportunity for the so-called
“M2” partnership following Sein's visit on 29 June. “Mongolia plus Myanmar can create the ‘M2’
partnership for unique relations and cooperation that has been discussed by two sides for several
years,” he said.
Representatives of the two governments signed deals for tourism and the development of
infrastructure. Also signed was a memorandum of understanding between each country's chambers
of commerce to encourage greater cooperation between their respective businesses.
Source: Montsame, 2
10. MINISTRY OF INDUSTRY PARTNERS WITH JAPANESE INDUSTRY GROUP
Mongolia and Japan have partnered for greater cooperation between their private businesses with
the signing of a memorandum of cooperation. Representatives of Mongolia's Industry Ministry and
the Japan External Trade Organization (JETRO) inked the document while a Mongolian delegation
was in Tokyo for the 7th Japan-Mongolia Joint Consultation.
Source: Mongolia.GoGo.mn
U.S. SENATE FOREIGN RELATIONS REPORTS FAVORABLY ON AMBASSADOR NOMINATION
The U.S. Senate Foreign Relations Committee has given a favorable report on the nomination of
Jennifer Galt as the next ambassador to Mongolia, succeeding Piper Campbell. A career foreign
service officer, Galt will next see her appointment go before the full Senate for a final vote, which
is likely to happen shortly after legislators return from the Independence Day recess.
“The Galt appointment is non-controversial and if all goes well, she should arrive in UB in August or
September,” said the Source.
Source: NAMBC
RUSSIA, MONGOLIA TO MARCH IN CHINA PARADE TO MARK END OF WW2
Troops from Russia and Mongolia will march together with Chinese forces in a parade in Beijing in
September to commemorate the end of World War II, the government and state media said on
Thursday, confirming the first two foreign participants. But President Xi Jinping could be left
standing on the stage with few top Western officials, however, diplomats said, due to Western
governments concerns over a range of issues, including the expected presence of Russian President
Vladimir Putin. Xi attended a parade in Moscow in May to mark 70 years since the end of the war in
Europe. Western leaders boycotted the Moscow parade over Russia’s role in the Ukraine crisis.
This week, a senior Chinese official complained about what he said was a lack of appreciation in the
West about China’s sacrifices and contributions during the war.
Source: Reuters
PLA ART DELEGATION HOLDS FIRST SHOW IN MONGOLIA
The art delegation of China's People’s Liberation Army (PLA) held its first show at the Ulaanbaatar
Central Palace of Culture during a visit to Mongolia on 28 June. The PLA art delegation of 106
people flew to Mongolia on 26 June for a 10-day trip to visit and perform. The delegation consists of
people from the Song and Dance Troupe of the PLA General Political Department, the PLA Academy
of Arts and the Acrobatic Troupe of the PLA Guangzhou Military Area Command (MAC). The PLA art
delegation will have three performances in Ulaanbaatar and Darkhan, including a special show for
the Mongolian troops. During their visit, the delegation will also carry out artistic exchanges with
the song and dance troupe of the Mongolian military.
Source: China Military Online
MP CALLS FOR CORRUPTION INVESTIGATION INTO MINISTER ENKHSAIKHAN
MP O. Baasankhuu has announced his proposal for an official inquiry into the minister who led
negotiations for a strategic investment plan for the Tavan Tolgoi mines. Baasankhuu said he
planned to collect signatures from Parliament for a petition calling for an investigation over
whether Minister M. Enkhsaikhan had abused his powers while leading negotiations to hand over
management of state-owned license holder Erdenes Tavan Tolgoi to a private consortium.
Enkhsaikhan led a working group for the deal as his duties are to oversee Mongolia's largest
development projects.
Following a tour of the East and West Tsankhi mines, Baasankhuu said he learned that operations
had been on suspension since April. Also residents of the nearby towns Tsogttsetsii and Khanbogd
had complained to him that Erdenes Tavan Tolgoi had failed to hold up to its responsibility of
employing social and infrastructure development projects in the communities, he said.
Source: Mongolia.GoGo.mn
11. DORNOD GOVERNOR BLASTS PETROCHINA
Dornod Aimag Governor M. Badamsuren has warned PetroChina Daqing Tamsag Mongolia against
ignoring its social-license responsibilities of leading social and infrastructural development in
nearby communities. Badamsuren strongly criticized the company for failing to deliver on its
responsibilities at an annual meeting to review activity in the oil sector on 24 June at Kherlen
Soum, Dornod Aimag. He pointed out that Dornod only receives MNT1 billion of the MNT280 billion
in taxes and fees collected by the state. “This is unfair and the province is not being developed,”
he said.
PetroChina has failed to build a promised 8 megawatt power plant, he said, because fuel reserves
have been tied up to meet national petroleum demand. The governor said he would push
PetroChina to open up staff positions to more province residents and to support local businesses.
“Local companies should be selected to supply goods and services to PetroChina, with preferential
rights,” he said.
Source: Unuudur
AUTHORITIES SAY PHONY RICE ALLEGATIONS WERE FAKE
Authorities have debunked rumors spreading on social media that stores were selling illegitimate
rice to consumers. The Special Inspection Authority said authorities failed in their attempts to
contact the online poster who originally spread the rumor on Facebook. Authorities have asked that
consumers first contact government bodies before spreading unverified rumors.
Source: News.mn
WHERE WILL THE NEW CHINGGIS STATUE RIDE? NOT AT CHINGGIS SQUARE, SAYS OFFICIAL
Government officials have rebuffed rumors that a statue of Chinggis Khaan made by a foreign artist
will replace Sukhbaatar, who rides at the center of Chinggis Square. Created by the Russian artist
Dashi Namdakov for the 2012 Olympic Games in London, MP D. Bat-Erdene donated the sculpture to
the state using EUR3 million of his private funds. "I have clearly stated before that this sculpture
will not be installed on Chinggis Square,” said S. Bayartsogt, adding that two statues of the 13th
Century khaan were not needed there.
Chinggis Square used to be eponymous with the revolutionary figure credited with freeing Mongolia
from the tyranny of the Manchu Dynasty, but was renamed in 2013. The decision followed others
recently made ridding the city of some remnants of Mongolia's socialist past. One example from
2013 was replacing a statue of Soviet leader Vladimir Lenin with another of Italian explorer Marco
Polo.
Source: Mongolia.GoGo.mn
MAJORITY OF THE POLL PARTICIPANTS VOTE TO STOP THE LICENSE PLATE RESTRICTION
Ulaanbaatar may drop its traffic restrictions that keep cars off the road one day a week, according
to city authorities who said they've received numerous requests for their removal. According to a
poll from the Source, 85 percent of the 12,000 respondents voted in favor of dropping the
restrictions.
The traffic restrictions assign two numbers to each day, from Monday to Friday. Cars with license
plates ending in either of those numbers are banned from the road for the day. The traffic
restriction was the first action taken by Ulaanbaatar Mayor Erdene Bat-Uul after taking office in
2012.
Source: Mongolia.GoGo.mn
ANNOUNCEMENTS
2015 BCM FOOTBALL CUP
The 4th annual BCM Football Cup will be organized at the National Garden Park’s football field on 4
and 5 July. This year will see 12 teams entered, with registration officially closed on 25 June.
12. Following the requests of members last year, BCM has registered one mixed team of employees
from BCM member companies for this year's tournament.
Since 2012, BCM has had the tradition of organizing an annual football tournament among members.
The champions of previous Cups were Khan Bank in 2014, Wagner Asia in 2013 and Oyu Tolgoi in
2012.
This year the BCM Football Cup is sponsored by Ard Financial Group, Golomt Bank and Ernst &
Young. It is also organized with support from the Mongolian Business Database.
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BCM'S "MEMBER-GET-A-MEMBER" CAMPAIGN
BCM’s first “Member-Get-a-Member” Campaign is underway. The campaign to encourage businesses
to join BCM at a 50 percent discount runs from 1 May to 1 October, with prizes to be awarded to
those recruiting businesses. To be eligible for the prizes, including a MNT 1 million tugrug platinum
award, the recruiter should recruit at least three local-small companies.
Please click here to download a BCM membership packet in English or In Mongolian. Have interested
candidates contact the Project Manager, Saruul, at saruul@bcmongolia.org under your name. Need
assistance recruiting new BCM members? Contact Saruul at saruul@bcmongolia.org or call 317027.
__________________________________________
BCM KNOWLEDGE SHARING SESSION
A ‘BCM Knowledge Sharing Session’ was organized on 10 June. The guest lecturer was Mr. U.
Ganzorig, the President of Golomt Bank and Chairman of Mandal Insurance, presenting on the topic
“Mastering the Mind”. A total of 25 people attended the session held in the American Corner at the
Natsagdorj Library.
‘BCM IN THE UNIVERSITY CLASSROOM’ NEWS
Business Council of Mongolia (BCM) has been progressing with its ‘BCM in the University Classroom’
series since March 2012. Led by BCM’s Education Working Group, the program provides lectures at
universities to help inspire students and give them direction for their future careers. The series has
grown to include 18 lectures in this academic year of 2014-2015. Moreover, we are now cooperating
with Mongolian University of Science and Technology (MUST) in addition to Mongolian National
University, National University of Mongolia, Institute of Finance and Economics and University of the
Humanities. To date approximately 2,500 students and teachers have participated in the ‘BCM in
the University Classroom project.’
If you or your company has interest in participating during the next school year of 2015-2016,
please contact BCM WG Coordinator T. Erdenetsetseg (erka@bcmongolia.org).
BCM WORKING GROUP MEETINGS
BCM Risk Working Group
The BCM Risk Working Group meeting was held on 1 July at Mandal Insurance meeting room with 9
members attending.
Mark Bailey, Executive Director of Leighton and BCM co-chair of Risk WG, and Zaya, Vice President
of Mandal Insurance and co-chair of Risk WG moderated the session.
Meeting Agenda:
Each member of the working group noted major risks their business deals with. Group discussion
will take place on the cross-sections of the various risks.
Speaker: Aart Jongejans, Chief Risk Officer, Xac Bank - “Banking sector risk management”
13. Next meeting will be held the middle of September 2015 at Mandal Insurance meeting room.
__________________________________________
BCM Energy & Environmental Working Group
The BCM Environmental Working Group met on 26 June, with 22 members attending.
Bulganmurun Ts, Senior Officer at GGGI, Chair of BCM`s Environmental Working Group moderated
the session.
New member: Chinges T- Sopoca LLC
Guests: Robert Preston, Delgermaa Bayartsogt, Yoomin Lee-Handog Global University, Dergermaa
Khishigdelger-Tumnii Guur LLC, Odonchimeg Ihkhbayar- EPCRC, Ulziimyadag G-University of
Humanities, Bilegsaikhan T-EPCRC, G Uyanga and B Uyangaa-National Garden Park.
Speakers and topics were:
- Ms. Enkhtuya Oidov, Country Program Director, The Nature Conservancy (TNC) - "Introduction
about TNC and its contributions in conserving Mongolia's wild nature"
- Mr. Benoit Ribesse, CEO, Engie Mongolia (global expert company in power generation) -
"Introduction of the company's current project in Mongolia and potential business opportunities in
power sector.
- Mr. Itgel Munkhbatar and Ms. Uyanga B, Manager of the National Garden Park.- "Mongolia's first
and biggest National Garden Park, learning by doing"
Chair proposed a tentative plan for future meetings and potential activities and will seek for
members’ suggestions.
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BCM Legislative Working Group
The BCM Legislative Working Group met on Wednesday, 17 June, with 21 members attending.
James Liotta, Partner, MahoneyLiotta, Co-chair of LWG, moderated the session.
New members: Narantsatsral Sa-Sumitomo Corporation, Taishir T-Xac Bank
New participants: Saha Meyanathan- chair of BCM`s Education WG, Nandia Sodnom-OT, Davaabileg
A-Energy Resource, Zulkhuu P-OT
Meeting discussion was on the following topic:
1. Discussion on key issues
2. Outline our strategy for addressing the draft Labor Law
If you have any comments on the Draft Labor Law Amendments, please contact WG co-chair, James
Liotta -jay.liotta@mlmongolia.org. We will be pleased to share the most recent draft Labor Law
English and Mongolian version with BCM members. Contact T.Erdenetsetseg (Working Group
Coordinator) at: E-mail: erka@bcmongolia.org.
__________________________________________
Energy and Environment Working Group - Study Visit
The BCM’s first study visit, facilitated by the Energy and Environment Working Group, was
successfully organized on 11 June at Sopoco LLC, one of BCM newest members specializing in
renewable energy products and solutions.
The Study Visit was organized to enable the exchange of experience and know-how in the field of
renewable energy among BCM members.
A total of 20 people participated from XacBank, Arig Bank, PwC, Wagner Asia, Schneider Electric,
GGGI, Minter Ellison, Standard Investment, National Life, MIH, JICA, NUM, Mongolian Economy, and
BCM.
Mr. Chingis, Director of Sopoco, warmly welcomed and made a presentation about the Solar Panel
market.
After the presentation, participants visited the Solar Panel, Window and Glass Processing plants.
14. Sopoco Solar plant produces 150W-250W capacity solar panels and all kinds of household appliances
operated by solar power. The Glass Processing plant produces 1,320 tons of glass per year and
provides 40-50% of total consumption in the domestic market.
For the Mongolian Economy Journal media coverage of this event, please follow the link:
http://mongolianeconomy.mn/mn/e/8165.
If your company would like to share its know-how, please contact BCM’s working group coordinator,
T. Erdenetsetseg, at erka@bcmongolia.org.
__________________________________________
BCM Tax Working Group
The Tax Working Group met on 29 April with 20 members attending.
Tsendmaa Ch –PwC and BCM`s Tax WG co-chair moderated the session.
New members: Tuya B-IFE, Mendsaikhan L-Deloitte Onch, Khishignemekh R-Ernst & Young.
New participants: Tumendelger G –Kempinski Hotel Khan Palace, Tuya G-IFE, Munkhtuya J and
Munkhtuya T-Energy Resources, Nyamchimeg B-MahoneyLiotta.
Guests: Enkhjavkhlan Ts, Khushigzul G-Mongolian Association of Certified Tax Consulting
Meeting agenda:
1. Legal grounds and general tax position on issues related to imposing VAT on sales of goods, work
execution and service provision by non-residents in the territory outside of Mongolia.
2. Joining business entities on voluntary basis, their duties and obligations
3. Setting up a working group for having the Supreme Court make clarification
4. Provide a working group with working conditions
WG members and established a Working Group for Supreme Court clarification on VAT non-residents
in the territory outside of Mongolia. The working group members established a Task Force to work
on developing and delivering the Supreme Court clarification and other tax-related issues.
For more details of outcome of this meeting, please contact BCM WG Coordinator T. Erdenetsetseg
(erka@bcmongolia.org).
__________________________________________
BCM Education Working Group
The BCM Education Working Group met on Thursday, 23 April, with 19 members attending.
Moderator of session: Saha Meyanathan-/DAS/ and chair of BCM Education WG.
New member: Sara G-World Vision Mongolia
New Participants: Uyanga G, Ai Nhi Nguyen, Mark Dvorak -Save the Children and Gunter C.Stehr-
GMIT were welcomed.
Speakers and topics:
•Enkhtsetseg Ganbold, Executive Director, AUM "American University of Mongolia School of
Engineering" and "English Language Institute Program"
•Telmen Erdenebileg, Program Coordinator, Save the Children, "Business & Entrepreneurship Skills
Training"
•Pascal Houben, VETP, "Vocational Education Training Partnership”
•Bill Fairbairn, KE1 Team Leader, "STVET-1 Project”
•Dr. Dorjderem, “GMIT update”
__________________________________________
BCM Capital Markets Working Group
The BCM Capital Markets Working Group met on Wednesday, 22 April, with 20 members attending.
15. Moderator of session: Nick Cousyn, Co-chair of Capital Markets WG and COO, BDSec
New member: Robert Mark Hargreaves, SEC.
New participants: Munkhjin B, Ernst & Young, William Cotter and John Barton, U.S. Treasury
advising the Ministry of Finance, Bilgee Kh from Wagner Asia, Oyu Enkhbayasgalan, MICC
Guest: Nick Narantuguldur, Khan Investment Management Limited.
Speakers and topics:
•Andrew Stewart, CEO, Xanadu Mines, "Mongolia's leading Copper-Gold Explorer”
•Oliver Thirlwall, Managing Director, Asian Real Estate Capital, "USD lending in Mongolia"
__________________________________________
BCM Logistics Working Group
The BCM Logistics Working Group met on Tuesday, 7 April, with 20 members attending.
Tengis G, Executive Director of Monroad and BCM co-chair of Logistics WG, moderated the session.
New members: Jess Oyunchimeg-Santa Fe, Battsetseg B–Wagner Asia Equipment, Mungunshagai E-
General Electric, Robert Mark Hargreaves-MOP.
Participants: Enkhsaikhan Yu and Galtbor B-APU, Tumurbaatar B–MCS Coca-Cola
Speakers and topics:
•Ms. Otgonjargal Yu, Teacher, Mongolian National University - “Logistics academic standards in the
higher education sector”
•Enkhbat D, CEO, Mon Ex and co-chair of BCM`s Logistics WG - “Mongolian standardization policies
of logistics”
Mongolian big companies’ logistics experience and problems:
•Ms. Enkhsaikhan Yu, Head of Logistics Department, APU and Galtbolor B, Supply Manager
Procurement, APU - “APU’s logistic development”
•Tumurbaatar B, Head of Procurement and Logistics, MCS Coca-Cola - “MCS Coca-Cola’s logistics
activities”
Next meeting will be held on 4 June. This meeting will be open to the public and can include any
entity facing logistical issues.
Proposed agenda of the meeting:
Mongolian standardization policy for logistics
Update from Ministry of Road and Transport
Mongolian big companies’ logistics experience and problems including Mongolian Milk, Nomin,
Tsakhiur.
If you have interest in joining the Logistics WG or attending the June meeting, please contact
Erdenetsetseg at erka@bcmongolia.org.
BCM ENGLISH WEBSITE: 'PRESENTATIONS', 'MONGOLIA REPORTS', ‘INTERVIEWS
Presentations at BCM Monthly Meeting on 22 June:
- Dr. Andrew Stewart, Chief Executive Officer, Xanadu Mines Ltd., "Xanadu Mines: Driving Ahead in
a Copper Hotspot"
- Suvdmaa Munkhzaya, Managing Director, PRECOM Co., Ltd., "Meat export: Mongolian pipe dream"
- Michael Marshall, Executive Director – Mongolia, Applus Velosi, "Applus Velosi – Engineering for a
Safer World"
______________________________________________
Presentations at BCM Monthly Meeting on 25 May:
16. - Jay Liotta, Partner, MahoneyLiotta, "Mongolia's Draft Legislation and its Upcoming Impact on Your
Business - with a primary focus on the consequences of the Draft Labor Law"
- Robert Stearns, Director, International School of Ulaanbaatar, "ISU - Keeping Pace with Changes in
International School Accreditation"
- Anthony Woolley, Senior Associate, Hogan Lovells, "Revised Law on the State Registration of Legal
Entities"
- Vince Edwards, National Director, World Vision Mongolia, "World Vision Mongolia Today"
______________________________________________
Presentations at BCM Monthly Meeting on 27 April:
- Gary Biondo, General Manager, Shangri-La Hotel, "Introduction to Shangri-La Hotel, Ulaanbaatar"
- L. Sumati, Director, Sant Maral Foundation, "Trends in public attitudes in 2015"
- Ed Jager, Ambassador, Embassy of Canada, “A Re-introduction to the Canadian Embassy to
Mongolia"
- Benoit Ribesse, Country Representative, GDF Suez Mongolia, "CHP5, a response to Energy
challenges faced by Ulaanbaatar"
______________________________________________
- U.S. Ambassador Piper Campbell, “Remarks on Mongolia's Investment Climate” at NAMBC Annual
General Meeting in Washington, DC, April 2015
______________________________________________
Presentations at BCM Monthly Meeting on 30 March:
- Ser-Od Ichinkhorloo, Founder & CEO, B2B Mongolia – "Mongolian Business Database is in a progress"
- Bolormaa Tumendemberel, President, United Family Intermed Hospital – "Brief introduction of
Intermed Hospital"
- Matthew Pottle, Managing Partner, PwC - "Measuring human capital/workforce efficiency"
______________________________________________
Presentation at BCM Monthly Meeting on 2 March:
- Raymond Babb, Dappolonia, the lead consortium partner for the MonSEFF project, supported by
Sustainability East Asia and Icon, " Why is Sustainable Energy so important?"
______________________________________________
Presentations at BCM Monthly Meeting on 26 January:
- Bayarmaa B., Executive Director, Young Researcher Foundation, "Online Public Consultation
Platform"
- Narantsogt B., Marketing Manager and Enkhtsetseg.B, Website Editor, “Mongolian Economy
Magazine, “Challenges and Opportunities for Print Media in Mongolia;
-Ganzorig U., Chairman, Mandal Insurance and Founder & President, ACI Mongolia Financial Markets
Association (FMA), "An Underdeveloped Stock Market Poses Big Risk"
Mongolia Reports:
Jim Dwyer, Executive Director, BCM, Rumsfeld Foundation’s, CAMCA Regional Forum, UB, June 20,
2015, “FDI Environment in Mongolia”
- Hogan Lovells, “Law on State Registration of Legal Entities”
- Mongolian Properties, “Real Estate Report 2015”
- ADB report for Mongolia, "Asian Development Outlook 2015"
______________________________________________
Interview Section: http://bcmongolia.org/en/interviews
- L. Sumati, Director, Sant Maral Foundation, by VIP 76, “Findings, Politbarometer, April 2015
- Jim Dwyer, Executive Director, BCM, Interview by Allyson Seaborn on Star TV, “Talk with Me” Jim
17. Dwyer;
- B.Byambasaikhan, Managing Partner, NovaTerra and Chairman, Business Council of Mongolia,
Smart Investments – Growth, Standards and Technology;
- B.Byambasaikhan, Chairman, Business Council of Mongolia, and Jim Dwyer, Executive Director,
Business Council of Mongolia, Interview to Mongolia Global Investor's Guide 2014;
- B.Byambasaikhan, Managing Partner, NovaTerra, and Chairman, Business Council of Mongolia,
“Growth, standards and technology - Smart investments”;
- OBG talks to Jim Dwyer, Executive Director, BCM, “Bringing back lost investors”;
- Jim Dwyer, Executive Director, BCM – “Reforming the Legal Environment, by itself, is not enough
to revive Investment”;
- Jim Dwyer, Executive Director, BCM – “Business need more business”.
The “Photo Gallery” contains photos from the 7th Anniversary BCM Renewal dinner on 10
November, 2014.
SOCIAL NETWORK WITH BCM
The Business Council of Mongolia (BCM) has expanded its reach to your favorite social networks.
Keep up to date on the latest business deals in Mongolia and how the climate for investment is
improving each day with BCM.
Add BCM on Facebook at https://www.facebook.com/TheBusinessCouncilOfMongolia to read the
latest announcements and comment on events carried in the NewsWire with the community.
Hear breaking news and announcements as they happen when you follow BCM on Twitter at
https://twitter.com/bcmongolia.
The bulk of the content on BCM’s new LinkedIn page is Mongolian language to better cater to BCM's
Mongolian-speaking audience and members. Please click on the below link to follow us on our new
LinkedIn page.
http://www.linkedin.com/company/business-council-of-mongolia?trk=company_logo.
Social stats: BCM now has 7,750 fans on our Facebook fans page, 1,896 connections on LinkedIn
network, and 1,650 followers on Twitter.
BCM’s Column in the Mongolian Economy Magazine started in Edition 12, May 2015. The first
column featured an interview with Mr. I. Ser-Od: "Times like these demand that we be more
creative and proactive."
Second column article to be published in July 2015 edition (Study tour by BCM Energy &
Environmental WG).
______________________________________________
The BCM Weekly NewsWire is used as source for the "MM Today" News program in English aired by
Mongolia National Broadcasting (MNB) on Fridays at 19:00.
______________________________________________
BCM now has a profile page at VIP76, one of the major online information networks in Mongolia.
From January 2013 to May 2015 we have posted a total of 87 news items related to BCM activities,
economic and business related updates.
______________________________________________
Of course for news information, interviews, event photos, videos and announcements regarding our
organization, visit the official BCM website at http://bcmongolia.org/
19. INFLATION
Year 2006 6.0% [source: National Statistical Office of Mongolia (NSOM)]
Year 2007 *15.1% [source: NSOM]
Year 2008 *22.1% [source: NSOM]
Year 2009 *4.2% [source: NSOM]
Year 2010 *13.0% [source: NSOM]
Year 2011 *10.2% [source: NSOM]
Year 2012 *14.0% [source: NSOM]
Year 2013 *12.5% [source: NSOM]
Year 2014 *11.0% [source: NSOM]
May 31, 2015 *8.0% [source: NSOM]
*Year-over-year (y-o-y), nationwide
Note: 7.5% y-o-y, Ulaanbaatar City, May 31, 2015
CENTRAL BANK POLICY LOAN RATE
December 31, 2008 9.75% [source: IMF]
March 11, 2009 14.00% [source: IMF]
May 12, 2009 12.75% [source: IMF]
June 12, 2009 11.50% [source: IMF]
September 30, 2009 10.00% [source: IMF]
May 12, 2010 11.00% [source: IMF]
April 28, 2011 11.50% [source: IMF]
August 25, 2011 11.75% [source: IMF]
October 25, 2011 12.25% [source: IMF]
March 19, 2012 12.75% [source: Mongol Bank]
April 18, 2012 13.25% [source: Mongol Bank]
January 25, 2013 12.50% [source: Mongol Bank]
April 8, 2013 11.50% [source: Mongol Bank]
June 25, 2013 10.50% [source: Mongol Bank]
July 30, 2014 12.00% {source: Mongol Bank}
January 14, 2015 13.00% {source: Mongol Bank}
CURRENCY RATES – 2 July 2015
Currency Name Rate
US dollar USD 1,977.48
Euro EUR 2,186.70
Japanese yen JPY 16.01
British pound GBP 3,082.20
Hong Kong dollar HKD 255.10
Chinese Yuan CNY 318.70
Russian Ruble RUB 35.56
South Korean won KRW 1.76
