1. BUSINESS COUNCIL of MONGOLIA
NewsWire
www.bcmongolia.org
info@bcmongolia.org
Issue 328 – June 6, 2014
NEWS HIGHLIGHTS:
Business
Centerra applies to add Gatsuurt to list of Strategic Deposits;
Parliament removes Khushuut from Strategic Deposits list;
Mongolia signs contract for British rail fasteners;
Hunnu Air to add Airbus A330-200 to fleet;
Mongolia's first Porsche dealership;
Premier attends opening of winter greenhouse;
Erdene announces Q2 exploration results at Altan Nar;
Xanadu commences drilling at Kharmagtai;
Newera begins coal magnetic survey at Ulaan Tolgoi;
POSCO sets up subsidiary to include a SNG plant in Mongolia;
APIP to fund Olympic Residence from $12.6 million raised;
Chinggis Tower to stand as largest building in Mongolia's east;
English Language Institute announces summer English program;
Turquoise Hill appoints new CFO;
MGG relocates Canadian corporate headquarters;
Mongolia-Latvia business meeting to be held;
AREVA launches local initiatives;
Khan Bank awards scholarships to 111 students;
Russia and China plan joint rating agency to rival western players.
Economy
Mongol Bank: FX auction, swap agreements, 1-week bills, treasury bills;
ADB loans $125mn for road construction in the west;
EBRD and EU to support Mongolian SME Leasing Policy Initiative;
Mongolian-made trolleybuses ready for 'eco-friendly' service;
Mining Ministry assures fuel prices will not increase in near future;
Mongolia's first space center opens;
Kyrgyzstan to consider Mongolia's proposal for joint sugar production;
Brokerage chief sees Erdenes TT IPO as launch pad for local bourse;
Mongolia carves tourism niche;
Railway fence hems in Mongolia’s migratory wild asses;
China's coal demand could fall soon;
Australia: End of the mining boom?;
China-neighbor Uzbekistan to increase copper production in 2014.
Politics
Mining Ministry names 10 objectives for 2014;
Government withdraws railway construction plan;
New members of IAAC's public council announced;
Economic Council works with banks to restore Mongolian economy;
Independent MPs form unofficial coalition;
President vetoes nominee for Minister of Industry and Agriculture;
Mongolia ranks 89th on 2014 Social Progress Index;
2. Delegates at U.N. forum back LLDCs’ boosting trade;
Belarus parliament to ratify package of agreements with Mongolia;
International groups work to professionalize 'ninja' miners;
Paleontologist gets three months in prison for dinosaur bone smuggling;
Chinese-style reform and opening, not for North Korea, report says;
Parliament receives dismissal request for economy minister Batbayar;
Fake democracy - editorial.
Others
Announcements;
BCM Updates - Working Groups; Websites; Social Networks; Photo Gallery.
ECONOMIC INDICATORS
MSE Top 20 Index by Market Capitalization;
Foreign-listed Companies with Mongolian Assets;
Supermarket Price Comparison – May 2014;
Inflation;
Central bank Policy Rate;
Currency Rates.
*Click on titles above to link to articles.
SPONSORS
Khan Bank International SOS
Wagner Asia Automotive
Invest Mongolia Agency Mongolian Economy Magazine
3. Oxford Business Group Milestone GRP
BUSINESS
CENTERRA APPLIES TO ADD GATSUURT TO LIST OF STRATEGIC DEPOSITS
Tsesten Mining and Energy LLC and Centerra Gold Inc. have each submitted to the Mining Ministry
requests to have the Tsaidam coal deposit and Gatsuurt gold deposit added to the list of deposits
strategically important to the Mongolian economy.
Parliament has received proposed legalization for the inclusion of the Tsaidam and Gatsuurt
deposits onto the list. Tsetsen Mining and Energy plans to open a coal gasification and liquefaction
plant at Tsaidam. The Gatsuurt gold deposit has a reserve of between 50 and 60 tons of gold that
would net the government USD 300 million, said Mining Deputy Minister O. Erdenebulgan.
Source: Montsame
PARLIAMENT REMOVES KHUSHUUT FROM STRATEGIC DEPOSITS LIST
Mongolia Energy Corporation Ltd. announced that its Khushuut coal mine had been removed from
the proposed list of strategic deposits for consideration by Parliament.
It was reported in an earlier announcement by the Source that the Mongolian government had
proposed to add the Khushuut Coal Mine onto the list of Strategic Deposits for consideration by the
Parliament.
Separately, the Source said it planned to dispose of its iron-ore deposit in Bayan-Ugi to concentrate
our resources for development of our Khushuut Project. ―Due to the current market condition, we
anticipate an impairment of value may arise on the valuation of this exploration license. In
addition, upon expiry of our non-Khushuut related mineral licenses, we will not apply for renewal if
they have no development potential in order to save unnecessary expenses.‖
A valuation on the recoverable amount on the relevant exploration license will be carried out by an
independent entity. The Source warned that it anticipated ―an impairment of value may arise,‖ but
that such an event would not affect liquidity or cash flow.
Source: Mongolian Energy Corp. Ltd.
MONGOLIA SIGNS CONTRACT FOR BRITISH RAIL FASTENERS
The Mongolian government and Britain's Railway Moulds and Systems (RMS) have signed an
agreement for the construction of Chinese-gauge rail in Mongolia.
Maritime Policy Department Director Yo. Manlaibayar and RMS Chief Executive officer Mr. Jonathan
Layfield signed the agreement during a ceremony was held in Ulaanbaatar on 27 May. The
government is using Vosloh and Pandrol rail fasteners, which are used to fasten rails to concrete
railway sleepers. RMS has agreed to use the designs of Vosloh and Pandrol for the installation of
China's narrow-gauge standard of rail.
Source: Info Mongolia
HUNNU AIR TO ADD AIRBUS A330-200 TO FLEET
Hunnu Air is in negotiations for the purchase of an Airbus A330-200, said Hunnu Air Deputy Director
B. Margad.
―We are interested in buying new planes in order to meet safety requirements for flight and to
improve our service quality. Competition has also influenced us to make this decision,‖ said Margad.
Hunnu plans to put the 278-seat plane into operation beginning June 2015. Margad said the
purchase was made to better compete with state-owned airline MIAT Mongolian Airlines. He said the
plane would be able to make the direct flight to Paris, a route the company will begin offering 9
July, as well as to the United States.
Source: Unuudur
4. MONGOLIA'S FIRST PORSCHE DEALERSHIP
Starchase Motorsports Mongolia LLC plans to open Mongolia's first Porsche dealership by the end of
this year.
Starchase Motorsports will lead sales and service for Porsche vehicles and establish local
distribution centers. Construction of the 7,500 square meters Porsche Ulaanbaatar office began on
19 May and is expected to open by December 2014.
Starchase Group, which established its local brand in Mongolia in December last year, is a leading
partner of Porsche in Asia.
Source: Unuudur
PREMIER ATTENDS OPENING OF WINTER GREENHOUSE
Prime Minister Norov Altankhuyag on 31 May attended an opening ceremony for the government-
financed winter greenhouse owned by Tumen Suikh LLC's.
Tumen Suikh received a MNT 940 million long-term, low-interest loan from the government using
proceeds from the 2012 Chinggis bond. The greenhouse, located at the Songino Khairkhan District of
Ulaanbaatar utilizes Dutch technology and this year is expected to harvest 65 tons of cucumber.
The government plans to allot MNT 27 million from bond proceeds for the construction of winter
greenhouses to help fulfill demand for vegetables. The government has granted funding to 16
companies for the construction of winter greenhouses, out of some 80 companies that have applied.
Annual production of garden vegetables today stands at some 4,600 tons compared with demand of
40,000 tons, said Agriculture Deputy Minister Ts. Tuvaan.
Source: News.mn
ERDENE ANNOUNCES Q2 EXPLORATION RESULTS AT ALTAN NAR
Erdene Resource Development Corp. has announced final drilling results for its second quarter
exploration program at the Altan Nar gold-polymetallic project in southwest Mongolia.
The 2014 second-quarter exploration program at Altan Nar commenced in early April and included
an induced polarization geophysical survey, close-spaced infill geochemical soil sampling, rock chip
sampling, detailed geological mapping, and drilling. The Source said results support the continued
expansion of the gold-polymetallic mineralization within the 5.6-kilometers-by 1.5-kilometers
target area at Altan Nar.
The combination of detailed surface mapping, geochemical analysis of soil and rock samples, along
with induced polarization and magnetic geophysical surveys has resulted in the improved definition
of 12 highly prospective targets. Two of these targets, the Discovery Zone and Union North, have
been shown to host significant near-surface mineralization while the remainder is still relatively
untested by trenching and drilling. These zones have the potential to significantly expand the areas
of known gold-polymetallic mineralization at Altan Nar with further exploration, said the Source.
Highlights included the highest grade gold interval at Altan Nar of 17.7 grams of gold per ton over
five meters; within 19 meters of 5.8 grams of gold per ton, 37 grams of silver per ton and 2.62
percent combined lead and zinc intersected in Discovery Zone. Erdene uncovered 44 meters of 1.1
grams of gold per ton and 11 meters of three grams of gold per ton from high-grade intersection
projects. Discover Zone strike length extended to 450 meters and is open to the northeast and at
depth where drilling returned 6 meters of 4.8 grams of gold per ton gold at 235 meters. Exploration
at Union North found multiple gold-silver-base metal zones, including 24 meters of 2.1 grams of
gold per ton.
Source: Erdene Resource Development Ltd.
XANADU COMMENCES DRILLING AT KHARMAGTAI
Xanadu Mines Ltd. has commenced diamond drilling at the Kharmagtai copper-gold project.
The drilling will test high-grade extensions of the mineralization delineated by previous exploration
and new areas of mineralization adjacent to these prospects. An initial 45 drill holes have been
planned, comprising over 10,000 meters of drilling typically to a true depth of around 300 meters
5. from the surface.
Kharmagtai is located approximately 120 kilometers north of the world‐class Oyu Tolgoi copper
mine and 420 kilometers south‐southeast of Ulaanbaatar in Mongolia‘s south Gobi region.
Source: Xanadu Mines Ltd.
NEWERA BEGINS COAL MAGNETIC SURVEY AT ULAAN TOLGOI
Newera Resources Ltd. has commenced a ground magnetic survey at the Ulaan Tolgoi project in the
South Gobi basin in southern Mongolia.
The ground magnetic survey will comprise 700 line kilometers covering the northern sector of the
Ulaan Tolgoi license area and is expected to be completed within two weeks. Newera has noted
that the recent discovery of a black coal bearing sub-basin immediately adjacent to the northern
boundary of the Ulaan Tolgoi license, and the testing has produced shallow, mineable intersections
of high quality black coal. Newera is utilizing the services of the same geophysical survey
contractors who conducted the ground magnetic survey immediately to the north of Newera‘s Ulaan
Tolgoi license, and were also the group that outlined the nearby black coal bearing sub-basin.
Source: Proactive Investors
POSCO SETS UP SUBSIDIARY TO INCLUDE SNG PLANT IN MONGOLIA
South Korea‘s top steelmaker POSCO has established a subsidiary to operate a synthetic natural gas
(SNG) business that is planning to extend operations to Mongolia.
The subsidiary, named POSCO Green Gas Technology, was established in POSCO‘s Gwangyang
complex on the country‘s southern coast, where it is building an SNG plant with a capacity of
500,000 metric tons a year. POSCO has an agreement with MCS Group to establish a 50-50 joint
venture to build an SNG plant in Mongolia. The two companies are aiming to complete financing by
the end of this year and start work on the plant with a target date for bringing it online of the end
of 2018.
Source: Mongolian Mining Journal
APIP TO FUND OLYMPIC RESIDENCE FROM $12.6 MILLION RAISED
Asia Pacific Investment Partners (APIP) on 3 June announced that it had raised some USD 12.6
million from an equity placement and debt financing that will partially be used to fund construction
of its Olympic Residence.
APIP closed a placement of convertible notes to investors across Asia, Europe and the United States,
raising USD 4.2 million, as well as a USD 8.4 million debt financing from Trade and Development
Bank. APIP's Series C Convertible Notes mature in 2016 but automatically convert into shares in the
event of a public offering.
―We are extremely pleased with our ability to raise significant levels of capital, from both inside
and outside Mongolia, during a challenging economic time in the Mongolian economy,‖ said Lee
Cashell, chief executive of APIP.
APIP intends to use the funds to complete the construction of the Olympic Residence project, a
35,000 square meter luxury residential and commercial development in the heart of Ulaanbaatar.
Funds will also be provided to APIP‘s subsidiary companies, Central Asia Cement and Diamond
Finance, supporting their continued expansion.
Source: Asia Pacific Investment Partners LLC
CHINGGIS TOWER TO STAND AS LARGEST BUILDING IN MONGOLIA'S EAST
The 18-story Chinggis Tower planned for Chinggis Soum, Khentii Aimag will be a first for the eastern
region.
Khenti's Citizens' Council on 29 May approved the motion to support construction of the tower, to be
carried out by Khos Bar LLC, and held a ground-breaking ceremony on the same day. The building
will feature a stupa design and cost about MNT 7 billion. Plans include construction for an
underground parking garage, shops, offices, hotels and a reception hall, as well as luxury
apartments.
6. ―After the capital city of Ulaanbaatar, Erdenet and Darkhan cities are considered to be leading
urbanized centers. As a part of the eastern region of Mongolia, Chinggis City will be a leading
center for development.‖
Construction is scheduled to finish by the end of 2015. Previously regulations prohibited
construction of a building above 4 stories.
Source: Info Mongolia
ENGLISH LANGUAGE INSTITUTE ANNOUNCES SUMMER ENGLISH PROGRAM
American University of Mongolia's (AUM) has announced its summer courses for English language
education.
The English Learning Institute (ELI) will offer classes in two five-week terms this summer, to meet
in mornings, early afternoons and evenings. The courses will feature ―low-intensity, relaxed‖
courses that will not include homework or grades, said the Source, for people looking to keep up
their general English skills during the summer break.
Also offered is TOEFL iBT preparation at the TOEFL Academic Skills courses. The first course will
focuses on reading and writing while the second will be for listening and speaking. For
professionals, the Institute is offering both day and evening courses. A four-week course for either
professional writing or presenting to be held during the lunch hour, and workplace English will be
offered in the evening.
Source: American University of Mongolia
TURQUOISE HILL APPOINTS NEW CFO
Turquoise Hill Resources Ltd. has announced the appointment of Steeve Thibeault as chief financial
officer, effective 1 June.
Thibeault will replace Chris Bateman, who will be leaving the company to pursue other
opportunities. Bateman and Thibeault are working together to ensure a smooth transition.
Thibeault was most recently chief financial officer of Australian Stock Exchange-listed Energy
Resources of Australia Ltd. Prior to that role, Thibeault held various mining and manufacturing roles
with Rio Tinto Alcan and Alcan Aluminum Ltd.
"Steeve is an accomplished financial leader in the mining sector and he brings a wealth of
experience to Turquoise Hill. He will make a strong addition to our management team and I look
forward to his contribution," said Kay Priestly, Turquoise Hill's chief executive officer.
Source: Turquoise Hill Resources Ltd.
MGG RELOCATES CANADIAN CORPORATE HEADQUARTERS
Real estate investment company, Mongolia Growth Group Ltd. (MGG), on 2 June announced that it
had moved its corporate headquarters to Toronto from Thunder Bay, in order to be closer to the
financial markets and investors.
Jordan Calonego, a co-founder of MGG, has informed the company that he has decided to remain in
Thunder Bay and step-down from his managerial duties as MGG's chief operating officering and
corporate secretary. Genevieve Walkden, who has been with MGG since 2011, will succeed
Calonego as corporate secretary while remaining an active board member.
"I want to sincerely thank Jordan for his efforts on behalf of our company over the past three years
and the many months of work before the Company was founded," said Harris Kupperman, executive
chairman of MGG. "We have accomplished much of what we set out to do over the past three years
and I am most appreciative that Jordan will remain engaged as an active board member."
Source: Mongolia Growth Group Ltd.
MONGOLIA-LATVIA BUSINESS MEETING TO BE HELD
A Mongolia-Latvia business meeting will be held on 12 June at the Ministry of Foreign Affairs, said
the Mongolian National Chamber of Commerce and Industry Wednesday.
The meeting comes along with an official visit to Mongolia by the Latvian President and is expected
to gather representatives of 37 Latvian companies engaged in international transportation, marine
7. transport, cargo, banking, financing and construction materials. The coming visitors have an
expressed interest in Mongolia‘s large projects for food production, education, construction,
medicine, real estate and IT.
Source: Montsame
AREVA LAUNCHES LOCAL INITIATIVES
AREVA Corporate Foundation is launching an initiative to focus on migrants resettling in
Ulaanbaatar's ger districts as part of its commitment to improve education levels among the
disadvantaged in Mongolia, according to its website on May 28.
The Foundation is assisting formerly nomadic families who have recently arrived in the ger districts
of Hujirbulan in eastern Ulaanbaatar. The program will see the enrollment in school of 30 children,
aged between three and five years old, along with three meals a day. The foundation will also assist
in registering families with local administrative authorities and supply 200 water storage drums
fitted with faucets to families.
Source: Montsame
KHAN BANK AWARDS SCHOLARSHIPS TO 111 STUDENTS
Khan Bank Foundation has awarded 111 students scholarships for the 2014-2015 academic year, the
bank‘s website said Monday.
The foundation said it chose students from across Mongolia that have demonstrated outstanding
academic performance, active engagement in their communities, and strong commitment to
pursuing further education. The scholarship selection committees included representatives of Khan
Bank LLC and locally elected officials.
Source: Montsame
RUSSIA AND CHINA PLAN JOINT RATING AGENCY TO RIVAL WESTERN PLAYERS
Russia and China have agreed to set up a joint rating agency as Moscow‘s stand-off with the west
over Ukraine has made it more eager to establish institutions that would reduce its dependence on
the United States and Europe.
―In the beginning, the agency will assess Russian-Chinese investment projects with a view to
attracting of [investors from] a number of Asian countries,‖ Anton Siluanov, Russia‘s finance
minister, said in Beijing, according to his ministry. ―Gradually, based on the progress and authority
of such an agency, we believe it will rise to a level where its opinions will attract other countries.‖
The BRICS group of large developing countries—Brazil, Russia, India, China and South Africa—has
long discussed plans to set up its own rating agency, along with a BRICS bank. Member countries
complain that globally dominant agencies such as Standard and Poor's Financial Services, Moody‘s
Investors Service and Fitch Ratings focus on developed countries and fail to assess developing
economies fairly. While earlier attempts at challenging the dominant western players have been
slow to get off the ground, observers in Russia said they were optimistic the planned Russian-
Chinese rating agency could win backing and be broadened into a BRICS project at the group‘s
summit in Brazil next month.
―The recent events around Russia and Ukraine have had an acceleration effect, as sanctions have
encouraged plans in Russia to make itself less dependent on the west,‖ said Chris Weafer, a partner
at Moscow-based MacroAdvisory.
In a signal of the political will to strengthen ties with China, Putin last month presided over the
signing of a USD 400 billion 30-year gas supply contract over which Russia‘s state gas firm Gazprom
and China‘s CNPC had haggled for more than a decade. During his visit to China, the two sides also
signed about 50 other accords, although many are mere declarations of intent or repackaged old
deals.
Source: Financial Times
8. ECONOMY
MONGOL BANK: FX AUCTION, SWAP AGREEMENTS, 1-WEEK BILLS, TREASURY BILLS;
The Bank of Mongolia on 5 June reported that it sold USD 16.75 million and CNY 29 million to
commercial banks for closing rates of MNT 1,826.10 and MNT 292, respectively. The central bank
also reported that it had received an equivalent of USD 40.8 million from swap agreements with
commercial banks.
The central bank reported on 4 June the issue of one-week bills worth MNT 156.4 billion at a
weighted interest of 10.5 percent a year.
The central bank reported on 4 June MNT 15 billion in bids for the issue of five-year treasury bills
with a face value of MNT 10 billion. Each unit was sold at a premium price with a weighted average
yield of 13.87 percent. Also on 4 June, the bank reported MNT 30 billion in bids for 28-week
treasury bills with a face value of MNT 20 billion. Each unit was sold at a discounted price and with
a weighted average yield of 9.53 percent.
Source: Bank of Mongolia
ADB LOANS $125MN FOR ROAD CONSTRUCTION IN THE WEST
Economic Development Minister Nyamjav Batbayar and Asian Development Bank Country Director
Robert Schoellhammer signed Monday a loan agreement for the second phase of the development of
roads in Mongolia's western region.
ADB will provide a 15-year USD 125 million loan to the project to build 189.7 kilometers of road to
connect northwestern Khovd Aimag to the Ulaanbaishint port. Mongolia and ADB are promoting local
and regional connectivity to provide economic opportunities and social services, to reduce the high
costs of imports, and to improve the competitiveness of the region's export products. Work is
expected to finish by 2016, and will include construction of a highway and two bridges in Khovd
Soum as well as a highway and bridge in Olgii Soum.
Repayment of ADB's loan begins five years after it is issued.
Source: Montsame
EBRD AND EU TO SUPPORT MONGOLIAN SME LEASING POLICY INITIATIVE
The European Bank for Reconstruction and Development (EBRD) on May 30 announced a Small and
Medium Enterprises (SME) leasing policy initiative that is expected to start this September.
The European Union has engaged with EBRD in a partnership to implement the five-year, EUR 3.8
million support to SME Development in Mongolia project. The project has designed the SME Leasing
Policy Initiative which seeks to improve the performance of the financial sector in serving the SMEs.
The EBRD's Small Business Initiative will integrate cross-cutting activities to boost impact.
The assignment will take a similar integrated approach to improve the legal environment, the
performance of financial institutions, and SME financial literacy. Phase one will focus on increasing
SME usage of leasing, with a focus on rural penetration. Phase two, a potential follow-on
assignment, will feature an integrated approach to developing new financial products.
Source: Montsame
MONGOLIAN-MADE TROLLEYBUSES READY FOR 'ECO-FRIENDLY' SERVICE
Ten Mongolian- manufactured ―eco-friendly‖ trolleybuses ordered by the Ministry of Roads and
Transportation have been commissioned for public transport.
The double-engine trolleybuses, which cost USD 150,000 each, were officially presented on
Thursday by Mongolian Electric Transportation Company. The cars run on electric lines, but also
come stocked with diesel engines to allow buses to continue operating in the event of power
failures. The trolleybuses are reportedly 10 times more efficient in fuel and energy consumption
than ordinary buses. Official said the ―eco-trolleybuses‖ offer more convenience throughout the
four seasons.
―Our eco-trolleybuses will be sold for a minimum of USD 240,000 on the international market.
Mongolia produced its first trolleybus domestically in 2006,‖ said Deputy President of the National
9. Union of Metallurgy and Machine Production D. Jargalsaikhan, at an unveiling ceremony. ―Since
then, 5 types of buses and trolleybuses have been made in Mongolia, but the eco-trolleybus has
been proven to be the most suitable for city service according to the experience of the past eight
years.‖
The new trolleybuses will operate on standard fare on routes from the Officers‘ Palace to the third
and fourth micro-districts; from the third and fourth micro-districts to Uildver Combinat; and from
Khaniin Material back to the Officers‘ Palace.
The ministry originally submitted an order for 12 trolleybuses, but only 10 were manufactured
because of added costs brought on by the depreciation of the tugrug. Officials have taken older
trolleybuses out of service because of poor maintenance and the tendency for their poles to slip out
of the overhead wires. They will be completely eliminated from service by next year, said officials.
Source: UB Post
MINING MINISTRY ASSURES FUEL PRICES WILL NOT INCREASE IN NEAR FUTURE
Negotiations with Russia would prevent price growth from fuels, said officials at the monthly
Transparent Mining meeting.
―The fuel prices will not change in near future under any circumstances,‖ said Director of Fuel
Policy L. Radnaasuren, because of agreements over how fuels imported to Mongolia will be priced.
Mongolia's largest importer of fuels, Rosneft, has agreed to a new pricing scheme that is based on
prices on the Singapore Stock Market. Imports will begin this month, said officials, after Rosneft
signed a five-year contract for oil products supplies with fuel importers NIC, Magnai Trade and
Shunkhlai. A Protocol of Cooperation between Rosneft and the Mongolian Petroleum Authority was
also inked during the Saint Petersburg International Economic Forum held from 22 to 24 May. The
deals follow a year's worth of negotiation for a new tariff agreement.
―It is true that the 5-year contracts between Rosneft and Mongolia's oil importers were made on
easy terms and Mongolia enables the import of fuel at lower unit prices compared with previous
contracts,‖ said Radnaasuren. ―But it does not mean the gasoline prices will decrease or increase,
because it all depends on currency rate changes.‖
The Ministry of Finance has requested that the government end exemptions introduced in 2011 on
customs and excise taxes for gasoline and diesel—although the taxes on diesel were reintroduced in
2011—to help stabilize domestic prices because of the new price scheme. However, officials are
weighing the new prices over the possibility that the tugrug will depreciate further, making those
imports more expensive.
The prices for A-92 and MGL-93 fuels were 1,660 MNT per liter, in Ulaanbaatar as of 30 May. A-95
was MNT 1,890 and Diesel was MNT 1,790 MNT. Fuel prices were most recently raised last February.
Source: Info Mongolia
MONGOLIA'S FIRST SPACE CENTER OPENS
President Tsakhia Elbegdorj on 1 June attended an opening ceremony of Mongolia's first space
center during celebrations for International Children‘s Day.
The president observed the facility's ―Space‖ chamber, the ―Sun and Moon‖ movie room, and the
―Stars‖ chamber. He also visited exhibits that presented photos about origins of the sun, moon,
planets and stars. Also on display was the landing capsule of the Soyuz-39 spacecraft, which was
used by Mongolia's first astronaut, J. Gurragchaa.
Source: News.mn
KYRGYZSTAN TO CONSIDER MONGOLIA'S PROPOSAL FOR JOINT SUGAR PRODUCTION
Kyrgyzstan reached agreement with Mongolia to consider its proposal for joint production of sugar
in Kyrgyzstan for export to Mongolia, during the second Kyrgyz-Mongolian intergovernmental
meeting.
The meeting where the proposal was made was held from 29 to 30 May in Ulaanbaatar for discussion
on scientific, technical, cultural and humanitarian cooperation. The commission discussed the
possibility of cooperation between Kyrgyz and Mongolian entrepreneurs in the sphere of agricultural
10. production and tasked each side with spreading information among interested enterprises.
The countries agreed to exchange information on ways to expand cooperation in cattle breeding
and export of animal husbandry products.
Source: AKIpress
BROKERAGE CHIEF SEES ERDENES TT IPO AS LAUNCHPAD FOR LOCAL BOURSE
Nick Cousyn, co-chair of the Business Council of Mongolia's Capital Markets Working Group, has sent
his sights on focusing government and investors' attention to the Mongolian Stock Exchange (MSE)
for state privatizations. But although there is strong support for state privatizations—both
domestically and internationally—argues Cousyn, others are left to wonder if Mongolia can raise the
capital necessary to launch tremendous operations such as development of Erdenes Tavan Tolgoi
LLC's coal mines.
But Erdenes TT (ETT) is exactly the catalyst Mongolia needs, says Cousyn. Privatization of the state-
owned miner could provide the example of success investors need for future transactions to take
place. When weighing the benefits of listing on the exchange in Ulaanbaatar against markets such
as London or Hong Kong, the MSE wins in cost savings. It costs at least USD 10 million to list abroad,
said Cousyn, which makes an IPO on the local exchange look far less risky in a decidedly risk-averse
market. It also would allow the government to finally fulfill promises made by the now government-
leading Democratic Party and the now-opposition Mongolian People's Party.
―Listing ETT on the MSE is both the fastest and least expensive way for Mongolian citizens to finally
obtain the shares in the company they were promised,‖ said Cousyn.
Market capitalization on the MSE could skyrocket to USD 5 billion with a listing of Erdenes TT, said
Cousyn, which would entice other companies to follow suit. That would be a smart move for
Mongolia in its quest to support business.
Source: Mongolian Economy
MONGOLIA CARVES TOURISM NICHE
Efforts to highlight Mongolia‘s broad range of attractions are paying off, with the tourism industry
looking to achieve a decade of sustained growth, a recently published report has concluded.
In its overview of the Mongolian tourism industry for 2014, the World Travel and Tourism Council
(WTTC) said arrivals, earnings and employment were all on track to rise over the next 10 years, on
the back of significant investment. However, officials are aware that improved coordination
between the public and private sectors in key areas, such as infrastructural development and
marketing, will also play a part in supporting the industry‘s development.
Mongolia‘s tourism sector generated USD 238 million in 2013, according to the WTTC‘s report,
directly contributing 2.5 percent of GDP to the country‘s economy. The council expects overseas
arrivals to be a key driver of growth, with numbers forecast to edge towards 700,000 by 2024, up 50
percent from an anticipated 456,000 this year. Tourism‘s overall input into Mongolia‘s economy is
forecast to ease over the coming decade on the back of high growth levels anticipated in other
sectors. However, direct revenue should increase by 6.3 percent annually over the next 10 years to
reach USD 462 million, while the number of jobs available in the industry looks set to rise from
26,500 in 2013 to 31,000 by 2024.
Tourism Minister Ts.Oyungerel said new legislation, which is currently being drafted, would help
protect sites of interest, while also setting the scene for the government to invest in the sector.
She also acknowledged that other challenges which mark the industry, such as seasonality, will
need addressing. Mongolia‘s long and extreme winter has traditionally restricted the tourism
season, making it difficult for operators to retain a qualified workforce.
―Workers need to know that their job is reliable year-around and not seasonal,‖ said Oyungerel.
―This is why investment in winter tourism is essential to help us build capacity and develop
attractive employment options for future leaders in the sector.‖
Source: Oxford Business Group
11. RAILWAY FENCE HEMS IN MONGOLIA‟S MIGRATORY WILD ASSES
A railway fence now marks the de facto eastern border of the range for the Asiatic wild ass, say
conservationists, who warn that migratory habits are under threat from burgeoning human
development.
Conservations are warning of the dangers posed by rapid infrastructure growth in Mongolia on the
migratory habits of ungulates in the region. They say rapid changes on the Gobi-Steppe ecosystem
are posing serious challenges for the likes of wild asses, which can range over 70,000 square
kilometers every year, and Mongolian gazelles.
―Wild asses and gazelles have to be permanently on the move and travel very long distances to find
enough food,‖ explains Petra Kaczensky, one of the authors of a research report published online
for Conservation Biology. ―Rainfall is highly variable in this region. As a consequence, pastures are
patchy and unpredictable in space and time.‖ Kazensky and his fellow authors are from the
Research Institute of Wildlife Ecology at the Vienna University of Veterinary Medicine, also known
as Vetmeduni Vienna.
Although vast stretches of land remain largely unaltered, migratory species face a number of
obstacles that disrupt their journey and affect their ability to survive and reproduce in this highly
variable environment. The main obstacles of the recent past are fences erected along the
international borders with Russia and China and the Trans Mongolian Railroad.
The conservationists say structural modifications could be made to fences and unnecessary fences
removed in areas where there are no livestock. Planned railway lines could be re-routed to avoid
sensitive areas. Research into the movement and habitat requirements of the species roaming
Mongolia's Gobi-Steppe ecosystem is ongoing, but needs to continue to identify potential conflicts
between development efforts and biodiversity conservation requirements, the researchers say.
Science can and should play a role in planning processes, according to Chris Walzer of the
Vetmeduni Vienna, another author of the paper.
Source: Horse Talk
CHINA'S COAL DEMAND COULD FALL SOON
Coal has few friends left. Even its best buddy China is conspiring against it, as marked by Beijing's
deal last month to buy a rival source of energy, natural gas, from Moscow for 30 years.
China is on a mission to develop natural gas and renewables to clear its skies. In the process, the
world's largest consumer of coal will reduce the black stuff's share in its energy mix to below 65
percent this year from 69 percent in 2011, partly by tightening the rules for coal-fired power
plants, according to a recent government document. The government expects just a 1.6 percent
increase in coal consumption this year, half the rate of the last two years. In contrast, the natural
gas market should grow 14.5 percent this year and may double by 2020, by which time Russian
supplies will kick in. Another blow to the commodity comes from China's breakneck infrastructure
expansion. Bottlenecks in rail make coal in coastal provinces where it is burned more expensive
than at the mouth of mines in the interior. This amounts to an USD 11 difference per ton even after
accounting for freight charges, says Sanford C. Bernstein's Michael Parker, equivalent to about 13
percent of the current coastal price.
Now Beijing is fast building new rail lines, boosting capacity by 800 million tons by 2018, or roughly
35 percent of the coal transported last year by rail, says IHS. That could squeeze the USD 11
spread, bad news for firms such as China Shenhua Energy that profit from it.
China's boom gave the international coal market a new hope. Miners expanded thermal-coal
capacity to 10 percent more than what is needed this year, according to Wood Mackenzie. A
changing China now means coal will remain unloved.
Source: Wall Street Journal
AUSTRALIA: END OF THE MINING BOOM?
If in Britain people obsess over house prices and the weather, in Australia there are heated dinner-
party debates over iron ore and the health of the Chinese economy—two important elements of
12. influence for the Mongolian economy as well. Last year exports of the reddish-brown mineral—the
key ingredient for steel—from the Pilbara region in Western Australia surged to AUD 57 billion (USD
52.86 billion), making it the most valuable commodity in the country. Resources are the largest
contributor to trade with China, which reached a record AUD 127 billion last year.
A cooling Chinese economy and a surge in iron ore supply have caused prices to slump by a quarter
to USD 92 per metric ton since January. Goldman Sachs estimates it could fall to USD 80 in 2015.
―For every USD 1 drop in the iron ore price there is roughly a AUD 800 million hit to national income
and AUD 300 million hit to the tax take,‖ warns Chris Richardson at Deloitte Access Economics. ―If
China goes bad and the price of iron ore drops sharply, it is possible Australia could have a
recession.‖
The drop in prices coincides with the end of a decade-long boom in mining that has boosted
employment and national income, leading some observers to fear a mining bust.
Optimists say a surge in supply from Australia‘s big miners—BHP Billiton Ltd., Rio Tinto PLC, and
Fortescue Metals Group Ltd. — will support the economy regardless of a dip in prices. Robert
Rennie, Westpac Bank‘s global head of commodity strategy, predicts production will increase from
460 million tons to 680 million tons in the next fiscal year.
Most economists agree on the vital importance of China to Australia‘s fortunes, and stress the need
to insulate its economy against a downturn by diversifying and fixing its budget deficit. ―China‘s
economy is becoming more of a market economy and will become more volatile in five years or so
when further reforms are introduced,‖ says Marco Annunziata, chief economist with General
Electric.
Source: Financial Times
CHINA-NEIGHBOR UZBEKISTAN TO INCREASE COPPER PRODUCTION IN 2014
Almalyk Mining and Metallurgical Complex, an exclusive copper producer in Uzbekistan, plans to
increase copper production by 2 percent—up to 100,000 tons in 2014, the plant said on May 29. Its
close proximity to China would make it a direct competitor with the Oyu Tolgoi copper-gold mine.
It was previously reported that Almalyk MMC increased refined copper production by almost 3
percent—up to 98,000 tons in 2013. Almalyk MMC is the only copper producer in Uzbekistan. The
AMMC accounts for nearly 90 percent of silver production and 20 percent of gold production in the
country. AMMC is currently implementing a number of investment projects on modernization and
reconstruction of existing production, expansion of the resource base and the construction of new
facilities with a total project cost of about USD 670 million.
The total volume of production is estimated at more than USD 300 million a year. The plant
produces refined copper (cathode), zinc metal, lead concentrate and other products. The plant
exports about 60 percent of its output, of which 5 percent goes to Commonwealth of Independent
States (CIS) countries.
Source: Trend.az
POLITICS
MINING MINISTRY NAMES 10 OBJECTIVES FOR 2014
The Ministry of Mining announced 10 objectives for 2014 at its monthly ―Transparent Mining' press
conference on 28 May.
Resolving issues for Mongolia's two largest mines tops the list. The ministry hopes to launch
development of the underground mine at Oyu Tolgoi and increase profitability of state-owned
Erdenes Tavan Tolgoi LLC to increase profitability. It also hopes to move forward plans to bring
investment to the company from at home or abroad—most likely with initial public offerings on
exchanges in London, Hong Kong, and Ulaanbaatar. Fifth on the list was the objective to ramp up
production at Erdenes Tavan Tolgoi's licensed deposits, as well as launch production at the Tsagaan
Suvraga, Gachuurt and Asgat mines.
Other aims includes the completion of study on rare earth elements, fluorspar, coal, zinc, gold and
13. other mixed metals and to set in motion plans to build a copper smelter and steel plants. The
ministry also hopes to bring resolution to the license holders of the 106 special licenses that were
suspended late last year.
The ministry is also moving forward with petroleum and alternative fuels production, including a
joint venture for a coal-to-gas plant estimated to cost some USD 30 billion. It also must determine a
location for an oil refinery, according to the list. The ministry wants to see the Petroleum Authority
become more active as well.
Finally, the ministry hopes to bolster the industry as a whole with more extensive geological
mapping and greater participation of mining firms on the stock exchange for fund raising.
Source: Info Mongolia
GOVERNMENT WITHDRAWS RAILWAY CONSTRUCTION PLAN
The government has withdrawn a draft resolution it submitted to Parliament for the construction of
new railways, Parliament Speaker Z. Enkhbold told Parliament 29 May.
The draft resolution, which was submitted to Parliament in April, outlined plans for the
construction of Chinese-standard narrow-gauge rail from Tavan Tolgoi to Gashuun Sukhait,
Sainshand to Zamiin Uud, and Khuut to Bichigt. Russia's wider-gauge standard would be used for rail
links between Mogoin Gol and Erdenet; Tavantolgoi, Sainshand, Baruun-Urt, Khuut and Choibalsan;
and Khuut and Numrug.
No statement has been made as to why the government withdrew the resolution.
Source: News.mn
NEW MEMBERS OF IAAC'S PUBLIC COUNCIL ANNOUNCED
The Independent Authority Against Corruption (IAAC) has released the names of those appointed to
its public council.
The president is responsible for appointing members every four years, with this year marking
President Tsakhia Elbegdorj's second round of appointments. ―To be a member of the council is
responsible work. Members should control the IAAC on behalf of citizens,‖ said P. Tsagaan, a top
advisor to the president. ―In reality, the operations of the IAAC have received criticism from public‖
said N. Urantogtokh, a new member to the council, ―This time, the public council has been created
with different structure than the previous council. The council included several press media
officials and authorities of research institutions. First, we will monitor whether the operation of the
IAAC complies with laws. I think we will have that opportunity.‖
The members of the public council are:
1. B. Amar, Project Development Manager at Zorig Foundation
2. R. Batsaikhan, Director of ―Nirun‖ Film Studio
3. N. Dorjdari, Revenue Watch Institute
4. M. Munkhbat, School of Law, National University of Mongolia
5. Kh. Naranjargal, Globe International NGO
6. S. Nasanjargal, ―Channel 25‖ Television
7. B. Nyamdorj, ―Udriin Medee‖ LLC
8. M. Oyunchimeg, Mongolian National Chamber of Commerce and Industry
9. L. Sumati, Sant Maral Foundation
10. L. Tur-Od, Transparency International Mongolia
11. N. Urantogtoh, Mongolin Academy of Political Education
12. M. Ulambadrakh, NTV Television
13. T. Khasbaatar, Association of National Environment Cooperation
14. D. Tserenjav, Transparency Fund
15. P. Erdenejargal, Open Society Forum
16. N. Urantogtoh, Mongolin Academy of Political Education
Sources: Udriin Sonin, Info Mongolia
14. ECONOMIC COUNCIL WORKS WITH BANKS TO RESTORE MONGOLIAN ECONOMY
The prime minister's newly formed Economic Council has worked closely with banks to help identify
challenges for investment, said the council's secretary during a informative session on activities for
the ―100 days Revitalization‖ program.
The 20 percent tax on capital raised abroad has posed a significant challenge for banks, said the
council's secretary, Bayanjargal Byambasaikhan, who also serves as chairman of the Business Council
of Mongolia (BCM). The council has suggested that Mongolia introduce a temporary exemption on
this tax to lighten the burden, he said.
The council has also held discussions with the Bank of Mongolia on revising loan and loan repayment
conditions to ease burdens on borrowers. Additionally, the group held talks on the proposed
amendment for the laws on Mongolia's minerals and debt restrictions. Byambasaikhan said the
winter greenhouse commissioned this week by Tumen Suikh LLC was an example of how assisting
Mongolian business could help the country replace imported goods with locally produced
alternatives.
Prime Minister Norov Altankhuyag formed the council to receive feedback from the private sector
on the government's policies, specifically for the 100-day economic stimulus plan he saw passed by
Parliament last month.
Source: Udriin Sonin
INDEPENDENT MPS FORM UNOFFICIAL COALITION
Independent MPs [Source does not specify who-ed] have announced their intention to create an
informal coalition that would include members of various parties in Parliament.
The group will work towards defending the rights of Mongolian citizens, regarding mining and
health. It would also allow members to express their opinions outside the influence of the parties
they officially belong to.
The group would include four parliamentarians from the Justice Coalition and several from the
Democratic Party. Ten parliamentarians have expressed an intention to join the groups, said those
making the announcement. Those who join the group would continue to serve as members of their
respective parties while cooperating within this second group—similar to how the unofficial
coalition of female MPs operates.
Source: Udriin Sonin
PRESIDENT VETOES NOMINEE FOR MINISTER OF INDUSTRY AND AGRICULTURE
President Tsakhia Elbegdorj has rejected the proposed appointment of Sh. Tuvdendorj as Minister of
Industry and Agriculture.
Elbegdorj said in response to a letter from Prime Minister Norov Altankhuyag suggesting
Tuvdendorj's appointment that the minister chosen should not be an active member of Parliament.
Instead, the choice should be made in line with reforms to be introduced that would prohibit
parliamentarians from serving on the Cabinet Secretariat.
Source: News.mn
PARLIAMENT RECEIVES DISMISSAL REQUEST FOR ECONOMY MINISTER BATBAYAR
Members of the Mongolian People‘s Party‘s Thursday submitted to Speaker Z. Enkhbold a draft
resolution for the dismissal of Economic Development Minister N. Batbayar.
"He should be dismissed because he breached the law when realizing the general policy on
investment, the policy and regulation over foreign investment, the policy and planning of loans and
assistance, which are reflected in the law on economy," said the proposal, which was submitted by
MPP members M. Enkhbold and S. Byambatsogt.
The resolution noted that Mongolia's foreign debt has risen sharply in the two years he's held office
and that loans from the budget have increased up to four times. ―The size of current debt has
reached USD 3 billion, exceeding by USD 800 million the total debt accumulated during the previous
cabinets of 22 years," said the resolution.
Source: Montsame
15. MONGOLIA RANKS 89TH ON 2014 SOCIAL PROGRESS INDEX
Mongolia ranked 89th out of 132 countries on Social Progress Imperatives' Social Progress Index,
which attempts to measure countries' successes in their societies.
Of issues covered by the Basic Human Needs Dimension, Mongolia does best in areas including
―Nutrition and Basic Medical Care‖ and has the greatest opportunity to improve human wellbeing by
focusing more on ―Water and Sanitation.‖ Of issues covered by the ―Foundations of Wellbeing
Dimension,‖ Mongolia excels at providing building blocks for people's lives such as ―Access to Basic
Knowledge‖, but would benefit from greater investment in ―Ecosystem Sustainability.‖ Of issues
covered by the ―Opportunity Dimension,‖ Mongolia outperforms in providing opportunities for
people to improve their position in society and scores highly in ―Personal Rights,‖ yet falls short in
―Access to Advanced Education.‖
The Social Progress Index offers a framework for measuring the multiple dimensions of social
progress, benchmarking success, and catalyzing greater human wellbeing. The Social Progress Index
is the result of a two-year process guided by a team of scholars and policy experts. It synthesizes a
huge body of research to identify the dimensions of social and environmental performance of
societies. The Social Progress Index framework focuses on three distinct questions: Does a country
provide for its people‘s most essential needs? Are the building blocks in place for individuals and
communities to enhance and sustain wellbeing? Is there opportunity for all individuals to reach their
full potential?
―To truly advance social progress, we must learn to measure it, comprehensively and rigorously,‖
reads the Source.
Source: Social Progress Imperative
DELEGATES AT U.N. FORUM BACK LLDCS‟ BOOSTING TRADE
Ahead of a major U.N. conference on landlocked development countries (LLDCs) set for later this
year, delegates at a high-level meeting in Mongolia have called for the immediate ratification of an
agreement which will help boost trade and make it easier for these countries to participate
competitively in global markets.
―Trade facilitation measures are of critical importance for LLDCs and their coastal neighbors in
order to ensure quicker, easier and less costly transactions,‖ said Gyan Chandra Acharya, high
representative for the Least Developed Countries, Landlocked Developing Countries and Small Island
Developing States and secretary-general of the Second U.N. Conference on Landlocked Developing
Countries to be held in November in Vienna.
―As we prepare for the Vienna conference, it is clear that we need to identify a development
framework for LLDCs that can truly help them achieve rapid, inclusive and sustainable economic
growth,‖ he added.
The two-day meeting in Mongolia‘s capital of Ulaanbaatar assessed how LLDCs can benefit from the
World Trade Organization‘s (WTO's) new agreement on trade facilitation, a mechanism which
simplifies and streamlines the procedures and controls that govern the movement of goods across
borders. High trading costs are a critical challenge for LLDCs striving to improve their participation
in international trade. Compared to countries with access to sea ports, LLDCs currently pay more
than double in transport costs and incur significant time delays in sending and receiving
merchandise overseas.
The Trade Facilitation Agreement, which will enter into force once it is ratified by two-thirds of
WTO‘s members, seeks to drive customs efficiency, lower trade costs, and reduce delays at border
crossings. Enhanced trade facilitation is also likely to increase the flow of foreign direct investment
and enhance economic development. In addition to trade facilitation, other issues of crucial
importance to LLDCs include infrastructure financing, the impact of climate change,
desertification, and information and communication development.
There are 32 countries classified as landlocked developing, 16 of which are located in Africa, 10 in
Asia, four in Europe and two in Latin America.
Source: United Nations
16. BELARUS PARLIAMENT TO RATIFY PACKAGE OF AGREEMENTS WITH MONGOLIA
Belarusian MPs plan to ratify a package of agreements concerning transportation with Mongolia, the
press service of the House of Representatives of the National Assembly of Belarus said.
Speaking about the need to ratify the Belarusian-Mongolian intergovernmental agreement on
transportation by air, the press service noted that the document was signed in Ulaanbaatar on 4
August 2013 and regulates a number of matters, which are a prerogative of every sovereign state.
The agreement determines the number of air carriers from each party and the number of landing
locations in each state, determines the volume of liquids allowed for transportation, approves a
schedule of flights and transportation rates, acknowledges certificates and licenses, regulates the
collection of customs fees, airport fees and other fees and taxes, as well as other matters.
In the near future the Belarusian parliament will have to consider another ratification with regard
to the Belarusian-Mongolian intergovernmental agreement on international automobile
transportation. The document was signed in Moscow on 10 December 2013. The document is meant
to regulate matters concerning international automobile transportation of passengers and cargoes
between the two countries and also in transit.
Source: Belarusian Telegraph Agency
INTERNATIONAL GROUPS WORK TO PROFESSIONALIZE 'NINJA' MINERS
The Asia Foundation and Swiss Agency for Development and Cooperation (SDC) are cooperating to
empower local communities against the degradation of land from mining activities and
professionalize the so-called ‗ninja‘ miners independently mining Mongolia's minerals.
As of 2013, the project has facilitated the establishment of 31 Local Multi-stakeholder Councils
(LMCs) consisting of local governments, large and small-scale mining representatives, civil society,
and local communities. Through the LMCs, stakeholders are able to make informed decisions and
strive for positive social, economic, and environmental change at the local level. As a result, 17
LMCs have had county-level environmental action plans approved by their Citizens‘ Representative
Council, while 8 have drafted plans that are awaiting approval.
Artisanal and small-scale mining is a poverty-driven activity that significantly contributes to rural
job creation, income-generation, and poverty reduction. However, its contribution to sustainable
local development is limited by its past and present mining practices which have led to extensive
environmental degradation. But Mongolia‘s artisanal miners are gradually becoming more
formalized and are being recognized as contributors to the economy due to their demonstrated
readiness to change their practices and to organize themselves into self-governing institutions for
greater responsibility and economic opportunities.
SDC partnered with the Asia Foundation for the implementation of the first phase of ESEC (ESEC I)
through its Sustainable Artisanal Mining (SAM) Project. Among its key interventions, ESEC I used a
multi-stakeholder approach to address environmental issues in the ASM sector while incorporating
the varying interests of all stakeholders. For this, two activities that directly benefited artisanal
miners were implemented: a land-reclamation project and an income-diversification project for
single mothers working as artisanal miners.
The Asia Foundation's second phase of Engaging Stakeholders in Environmental Conservation Project
(ESEC II) is aimed at enhancing artisanal mining‘s contribution to local development by making it an
environmentally responsible activity benefiting 230,000 rural citizens with a healthier and improved
environment. SDC has committed to continued support for addressing environmental rehabilitation
in ASM by contributing to ESEC II.
Read the full report here.
Source: The Asia Foundation
PALEONTOLOGIST GETS THREE MONTHS IN PRISON FOR DINOSAUR BONE SMUGGLING
A paleontologist who prosecutors called "a one-man black market in prehistoric fossils" was
sentenced on Tuesday to 3 months in prison after he admitted to having schemed to smuggle
dinosaur remains out of Mongolia.
Eric Prokopi, 39, plead guilty to three felony counts in December 2012. The case stemmed from
17. U.S. efforts to seize and return to Mongolia a Tyrannosaurus bataar skeleton that was auctioned in
New York the previous May for USD 1.05 million.
"What I did was wrong, and I failed to appreciate the gravity of what I have done," Prokopi told U.S.
District Judge Alvin Hellerstein in Manhattan at a court hearing.
Lederman said Prokopi will begin serving the 3-month sentence in September, followed by another
15 months of supervised release that begins with 3 months in a community facility. Prosecutors said
that from 2010 to 2012, Prokopi, who sold coral, fossils and other natural treasures out of his home,
misrepresented the contents of dinosaur fossil shipments to the United States from Mongolia. The
defendant also illegally procured a second nearly complete Tyrannosaurus bataar skeleton, two
Saurolophus skeletons and two Oviraptor skeletons, and in 2010 used bogus paperwork to import
from China the remains of a small, flying dinosaur, prosecutors said.
The nearly complete 70-million-year-old skeleton was repatriated to Mongolia in May 2013. Lawyers
in Manhattan U.S. Attorney Preet Bharara's office said it had been exported from the Gobi Desert in
violation of laws declaring dinosaur fossils to be state property. Prokopi was arrested in October
2012, and plead guilty to charges of conspiracy, entry of goods by means of false statements and
interstate and foreign transportation of goods converted and taken by fraud.
Martin Bell, an assistant U.S. attorney, said Prokopi shed light on a black market for dinosaur fossils
that was "ignored by the government and hiding in plain sight." Other investigations by the U.S.
Department of Justice into possibly illegally imported fossils have since been opened in Wyoming,
California and New York, Bell said.
Source: Reuters
CHINESE-STYLE REFORM AND OPENING, NOT FOR NORTH KOREA, REPORT SAYS
Chinese leader Deng Xiaoping‘s late-1970s rise to power spurred a period of ―reform and opening‖
that set the country on a path of integration with the outside world. North Korea, who Mongolia has
engaged as an intermediary for relations between it and the rest of the world, is unlikely to pursue
a similar model any time soon, according to a report by New Focus International, a defector-run
online news source in South Korea that relies on a network of informants in the North.
The Central Party Committee of the Korean Worker‘s Party told its highest-ranking directors to
―abandon the Chinese dream,‖ according to the report, published Monday. Citing unidentified
sources, the report undermines the notion that Chinese economic cooperation with North Korea—
seen most recently in the sale of fishing rights in North Korea‘s waters to the Chinese—serves as a
harbinger for Chinese-style reforms. Instead, the New Focus report, based on lecture materials
issued during the ruling Workers‘ Party meetings in late April, portray China as an ideological fellow
traveler that lost its way and which is now ―taking sides with the United States.‖
In late March, the Chosun Ilbo, South Korea‘s largest daily, reported that a top North Korean
military academy displayed signs describing China as a ―turncoat and our enemy.‖ Despite the
rhetoric, North Korea isn‘t necessary closed for business with China. On Monday, the North‘s official
news agency published a story trumpeting the growing number of Chinese tourists visiting the
North. Even so, the New Focus report says the state‘s companies have been ordered to emphasize
their trading relationships with Russia, and deemphasize commerce with China.
But the news, even if accurate, may not mark a lasting break with Beijing. Pyongyang has shifted its
allegiance between Moscow and Beijing since the 1950s, as political winds have turned.
Source: Wall Street Journal
FAKE DEMOCRACY - EDITORIAL
Winston Churchill once said, ―Democracy is the worst form of government, except all the others
that have been tried.‖ Mongolia adopted a representative democracy where it chose to appoint
delegates and give them the power to make decisions on behalf of the population. Although
Mongolia has had relatively peaceful elections over the last two decades, the sense of responsibility
and professional discipline has been lost among law makers.
One crucial element to democracy that has too long been ignored is political party funding. The
laws to regulate how political parties finance themselves are not enforced. It has become an
18. accepted norm that individuals offer huge, secret monetary donations to political parties to become
a member of Parliament or other governing body. There is no independent institution to review the
funding of political parties or force political parties to release their financial reports to the public.
The law states that political parties, as well as independent candidates, must have independent
audits on their campaign finances for submission to the General Election Committee within a month
after an election concludes. But there is no way of knowing whether or not parties comply. And
although Mongolia has set limits on the value of monetary donations, again there is no mechanism
to verify compliance with the law.
In order to stop corruption and improve the efficiency of governance, Mongolia needs to establish a
system that reviews political party funding and campaign finance, improves the understanding of
democracy, and enhances public trust in democracy. One possible option is to replace the General
Election Committee with a Commission of Voters to represent the voting public rather than have
top officials make the appointments. Such a group could be responsible for organizing elections,
accepting parties' financial reports, and investigating the sources of funding. They could also review
expenditures made by the government for members of Parliament.
In addition to fair democratic elections, Mongolia needs transparent governance. Shining a light on
how parties are funded could help Mongolia cobble today's distorted mirror's reflection of
democracy into a genuine reflection of its ideals.
Dambadarjaa “Defacto” Jargalsaikhan is an independent media representative of Mongolia. He is a
host of Interview DeFacto on NTV Mongolia and a host of Radio program Defacto.
Source: UB Post
ANNOUNCEMENTS
“MM TODAY” ON MNB-TV, FRIDAY, 19:00 TO 19:10
BCM is pleased to announce that Mongolian National Broadcasting continues its cooperation with
BCM on ―MM Today‖. This English news program is aired every Friday for 10 minutes and is
scheduled from 19:00 to 19:10 tonight. Tune in to watch this program that reports stories from
today‘s BCM NewsWire.
BCM WORKING GROUP NEWS
We would like to announce BCM`s Tax Working Group new co-chair -- Tsendmaa Choijamts,
Executive Director at PwC. Congratulations to Tsendmaa!
Tsendmaa joined PwC Mongolia in 2012 as Tax Director. Prior to joining the firm she had worked at
the General Department of National Taxation Authority Office in Mongolia as a Director of Mineral
Resources taxation division.
Tsendmaa has over 18 years of experience in Mongolian taxation. Before joining the profession,
Tsendmaa had worked in the National Taxation Authority Office; she was mostly involved in tax
collection, tax training, tax information processing, tax delinquency and personal tax income.
Tsendmaa‘s major was accounting and economics and graduated from the Faculty of Economics,
Tumen State University, Russia; the Public Administration, University of Colorado, USA; and the
Taxation, National Graduate Institute for Policy Studies, Japan with a bachelor in accounting,
masters and doctorate in public administration.
___________________________________________
BCM Logistics Working Group‘s second meeting is scheduled on 10 June 2014. If you like to join
BCM`s Logistics Working Group, please contact: erka@bcmongolia.org
___________________________________________
The BCM Capital Markets Working Group met on Thursday 29 May, with 11 members attending.
19. Howard Lambert /ING Bank/ and Nick Cousyn /BDSec/, Co-chairmen, moderated the session.
Guest: Michael O`Malley-Executive Director at ISG MineElect.
Speakers and topics were:
Facilitating foreign direct investment (FDI) and Capital Markets update - by Byambaa Losolsuren,
Leader of FDI Capital Markets group of 100 Day Revitalization Council, and Partner of Mandal
Capital LLC.
If you have any recommendations on Capital Markets for the Revitalization Council, please contact:
erka@bcmongolia.org
___________________________________________
The BCM Tax Working Group met Thursday, May 22, with 12 members attending.
Onch D. - Co-chair, BCM‘s Tax WG and Deloitte Onch a moderated the session.
Attending were representatives from the following BCM member entities - Deloitte Onch, PwC,
Ernst & Young, KPMG Tax, OT, Terra Energy, Petro Matad, MahoneyLiotta, TMZ and BCM.
New members: Amarbayasgalan and Tuvshinbayar from Terra Energy.
Meeting agenda:
• Overview - B. Byambasaikhan, Secretariat, 100 Day Revitalization Program; Chairman, BCM
• Initial new tax policy thoughts from WG members.
On May 29 BCM‘s Tax Working Group sent a detailed study of the current value added tax (VAT)
deficiencies and recommendations for efficiencies to result in greater tax revenue to the 100 Days
Revitalization Council.
Please contact T.Erdenetsetseg, BCM Working Group Coordinator, erka@bcmongolia.org .
___________________________________________
The BCM ‗expanded‘ Legislative Working Group (LWG) met on Tuesday May 20, with 42 members
attending at Corporate Hotel meeting room.
This was the third expanded WG meeting on the draft Amendments to the Minerals Law. The 2 ½
hour session included BCM members from mining companies, embassies and the MNMA. Special
guests were 5 members of Parliament and others from the Mining Ministry, Geological Society and
Export Society.
LWG Co-chair, James Liotta, Mahoney Liotta, moderated the session.
The following 11 presentations were made:
- A healthy Private Sector Driven Industry (1997 and 2006 Minerals Law / Amendments / what to
look for. By Doug McGay – longtime resident in the Minerals and petroleum industry;
- Investor views and concerns about making investments in Mongolia and its mining sector. By
Randolph Koppa – Vice Chairman, BCM and President, TDB;
- A view from the Mining Majors by Sunjidmaa Jamba from Peabody Energy;
- A supply side view by Stephen Potter, Wagner Asia;
- Tax Issues impacting the Minerals Industry by D. Onchinsuren – Co-chair BCM Tax Working Group
and Deloitte Onch Audit;
- Use of MSE for State Privatizations by Nick Cousyn – Co-chair, BCM Capital Markets Working Group
and BDSec;
- Views from within the Industry by N. Algaa – Executive Director, MNMA;
- Transparency and Public Comment by David Wyche – Economic/Commercial Section Chief,
Embassy of the United States of America
- International Agreements that attract bi-lateral investment, and views on the State ownership of
assets by Maxim Berdichevsky – Counselor & Senior Trade Commissioner, Embassy of Canada
- Some specific thoughts on the Amendments by James Liotta – Co-chair, BCM LWG and
MahoneyLiotta Law Firm; Bayar Budragchaa - Co-chair, BCM LWG and ELC Law Firm.
As MP Garamgaibaatar, Chair of the Standing Committee on Economic Affairs and Head of the
Parliamentary Working Group on the Draft Amendments to the Minerals Law, commented at the
meeting's conclusion - "We should not really change general structure and core contents of the draft
20. Amendments."
Also MP Garamgaibaatar welcomed BCM sending any additional comments directly to his Working
Group.
„BCM IN THE UNIVERSITY CLASSROOM‟ NEWS
Business Council of Mongolia (BCM) has progressed 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 an average of 10 lectures per academic year. Now 1,544 students and teachers
have participated to BCM in the University Classroom Project.
Thanks to all who have participated in BCM in the University classroom project. We are now
collecting specific lecture topics for the next year academic year until 1 June 2015.
University of the Humanities joined our BCM in the University Classroom project in May. So BCM‘s
project has expanded to 4 of Mongolia‘s largest universities -- National University of Mongolia,
Institute of Finance and Economics, Mongolian National University and University of the Humanities
-- with over 40,000 students collectively.
If you like to share your experience on some specific topic, you can discuss with us for the next
school term. Please contact: erka@bcmongolia.org
BCM WEBSITES
PRESENTATIONS (in Mongolian):
The following statistics and reports posted on Presentations section in Mongolian:
http://bcmongolia.org/mn/илтгэлүүд
• Монгол улсын нийгэм эдийн засгийн байдал, 2014 оны 4 сарын байдлаар, Үндэсний
статистикийн хороо
• Мандал Женерал Даатгал тайлан, 2014 оны 5 сар
• Сант марал сангаас гаргасан УЛС ТӨРИЙН БАРОМЕТР №13(47), 2014 ОН 3 САР
• Монгол улсын нийгэм эдийн засгийн байдал, 2014 оны 3 сарын байдлаар, Үндэсний
статистикийн хороо
• ―Anti-Corruption legislation and State Policy‖ (Mongolian) by D. Munkhjargal, Prevention and
Public Awareness Department, Senior Commissioner, Independent Authority Against Corruption
(IAAC) Mongolia at the ―ANTI-CORRUPTION LEGISLATION/POLICY, INTERNATIONAL BEST PRACTICE
ON TRANSPARENCY‖ Training seminar, Mar 06, 2014
The presentation below was made at Mongolian National University as part of the ―BCM in the
University Classroom series‖ on February 27, 2014:
• Ser-Od Inchinkhorloo, Vice Director, BCM, ―Investment environment: Past, Present, Future‖
(Mongolian)
The presentation below is from the February 24 BCM monthly meeting:
• О. Зоригт, Гүйцэтгэх захирал, Майн Инфо "Майн Инфо ХХК-ний товч танилцуулга", МБЗ-ийн 2
сарын 24-ний сарын хурал
Dr. Khashchuluun, Executive Director, National Council of Private Sector Support, ―Taxation Impact
Research‖ to BCM Tax Working Group, February 19, 2014
• ТАТВАРЫН БАГЦ ХУУЛИЙН ӨӨРЧЛӨЛТ: ХУВИЙН ХЭВШИЛД, Ч. Хашчулуун, Хувийн хэвшлийг
дэмжих үндэсний зөвлөлийн гүйцэтгэх захирал 2014.02.19
20 Presentations from Coal Mongolia, 20-21 February, 2014:
• Уул уурхайн сайд Д. Ганхуяг, Төрөөс Эрдэс Баялгийн Салбарт Баримтлах Бодлого, Нүүрсний
22. • B. Lakshmi, Director, Mongolia Economic Forum – ―Why Mongolia Business Summit?‖ at the BCM
Monthly meeting May 26, 2014
• Nick Cousyn, Co-chair, BCM Capital Markets Working Group – ―Use of MSE for State Privatizations‖
at the BCM Monthly meeting May 26, 2014
• Peter Benson, VicRoads Team Leader, ADB Capacity Building Project – ―Mongolia Roads –
Achievements and Challenges‖at the BCM Monthly meeting May 26, 2014
• China Metals & Mining Thermal Coal, Coking Coal, Copper, Gold, Steel by Macquarie Capital
Securities Limited
4 presentations from 3rd Mongolia Trade and Commodity Finance Conference, May 13, Blue Sky-UB:
• Mongolia – New Investment Laws, Stephen Tricks, Consultant, Clyde & Co;
• Mongolia Investment Law: select issues, B. Enkhbat, Partner, MDS & KhanLex Law Firm;
• Mongolia‘s promise of mineral wealth, Arnout van Heukelem, Head of Metals & Mining Asia ING;
• Utilising international partnerships to extend access to trade finance, Marco Nindl, Trade Finance
Banker, EBRD.
16 Presentations at 2014 Mongolia Investment Summit London, April 30-May 1:
• Assessing developments in current economic policy and how the government will manage and
improve existing regulations, Ochirbat Chuluunbat, Vice Minister for Economic Development,
Ministry of Economic Development, Mongolia
• How should investors interpret the shift in government policy and the introduction of the new
investment law?, Andrew Danenza, Founder and Managing Partner, Melbury Capital, UK
• Examining legal developments and what this means for the stimulation of FDI, Chris Melville,
Partner, Hogan Lovells, Mongolia
• Examining Mongolian mining policy and how it could benefit the production and export of mineral
resources, Rentsendoo Jigjid, State Secretary, Ministry of Mining, Mongolia
• Analyzing the Mongolian coal market: how could mining companies best respond to the operating
environment and fluctuations in demand?, Battsengel Gotov, Executive Director and CEO, Mongolian
Mining Corporation, Mongolia
• Examining how Mongolian banks and financial institutions are dealing with the challenges and
opportunities of a fast growing economy, Norihiko Kato, CEO, Khan Bank, Mongolia
• Spotlight presentations: a chance to showcase your services and projects to a wide investor
audience, Leading bank of Mongolia: Golomt Bank - Munkhbat Davaatseren CEO, Golomt Securities
LLC, Mongolia
• To what extent has Mongolia retained its previously high levels of investment appeal? Alisher Ali
Chairman, Eurasia Capital, Mongolia
• How can Mongolia attract private investment in power development? Philip Lam, Senior Banker,
Power and Energy Utilities, EBRD, UK
• Examining the potential for successful renewable energy projects in Mongolia and the benefits
cleaner energy will bring for foreign investors, Bolor J. Artan, Deputy CEO, Newcom Group,
Mongolia
• Spotlight presentations: a chance to showcase your services and projects to a wide investor
audience, Michael Jonas Director, Genie Mongolia and Executive Vice President, Genie Oil and Gas,
Mongolia
• Assessing the Mongolian Stocks Exchange‘s cooperation with the London Stock Exchange and how
this can benefit investors, Jon Edwards Deputy Head of Primary Markets- Emerging Markets, London
Stock Exchange, UK
• Spotlight presentations: a chance to showcase your services and projects to a wide investor
audience, Boldbaatar Lamjav, Board Member, Nuudelchin, Mongolia
• Mining infrastructure case study: examining the development of infrastructure to support Erdenes
Tavan Tolgoi and how a continuation will bring, Badarch Enkhbat, CFO, Erdenes Tavan Tolgoi,
Mongolia
23. • Developing strategic mineral assets and infrastructure in Mongolia: Examining the timescales and
how obstacles can be overcome, Sainbuyan Odon CEO, Erdenes MGL LLC, Mongolia
• How could you ensure an effective IPO and the raising of the necessary capital for your business?,
Ayuna Nechaeva, Business Development Manager – Russia, CIS and Mongolia, London Stock
Exchange, UK.
_________________________________________________________________________-
•―BCM‘s Green Office Initiative: Starting from waste management and recycling‖, A. Bayarmaa,
Head of BCM Environmental Working Group/Senior Carbon Finance Specialist, Clean Energy LLC, at
the BCM monthly meeting April 28, 2014
•―Socio-Political Situation in Spring 2014‖, L. Sumati, Director, Sant Maral Foundation, at the BCM
monthly meeting April 28, 2014
• ―Public-Private Partnership in Mongolia: Now and Future Prospects‖, E. Enerelt, Investment
Officer, ADB and Ts. Batbayar, Director of Concession Division, Ministry of Economic Development
at BCM monthly meeting, March 24, 2014;
• ―Areva in Mongolia: 15 years of presence – New perspectives in uranium mining‖, Thierry Plaisant,
General Director, Areva Mongol at BCM monthly meeting, March 24, 2014;
• ―Impact of Corruption in Mongolia‖ by L. Sumati, Director of Sant Maral Foundation at the ―ANTI-
CORRUPTION LEGISLATION/POLICY, INTERNATIONAL BEST PRACTICE ON TRANSPARENCY‖ Training
seminar, Mar 06, 2014;
• ―Anglo American Business Integrity policy and its application within the Business Globally‖ , Dr.
Graeme Hancock, President and Chief Representative Mongolia of Anglo American at the ―ANTI-
CORRUPTION LEGISLATION/POLICY, INTERNATIONAL BEST PRACTICE ON TRANSPARENCY‖ Training
seminar, Mar 06, 2014;
• Change of the package of taxation laws: private sector, Dr. Ch. Khashchuluun, Executive Director,
National Council for Private Sector Support, at the BCM`s Tax working group's meeting Feb 19,
2014;
• Economic and Capital Markets Update, Nick Cousyn, Chief Operating Officer, BDSec at the BCM
Monthly Meeting, Feb 24, 2014
Mongolia reports: http://bcmongolia.org/en/mongolia-reports
• ASIA Reaching for the Top by International Monetary Fund, June 2014
• ASIA Achieving Its Potential by International Monetary Fund, June 2014
• Social and economic situation of Mongolia, as of April 2014, by National Statistical Office
• Mongolia: Economy outlook 2014, by Asian Development Bank;
• Selected Macroeconomic Indicators as of Jan 2014, by International Monetary Fund;
• Monthly statistical bulletin, March, 2014 , by Mongol Bank;
• Social and economic situation of Mongolia as of March 2014 by National Statistical Office of
Mongolia (available in Mongolian language - Монгол улсын нийгэм эдийн засгийн байдал 2014
оны 3 сарын байдлаар, Үндэсний статистикийн хороо)
• Polit Barometer, March 2014, by Sant Maral Foundation.
Interview Section: http://bcmongolia.org/en/interviews
• Talking to United World, the Executive Director of the Mongolian Drilling Association (MDA)
Professor J. Tseveenjav. Source: http://www.worldfolio.co.uk/
• Jim Dwyer, Executive Director, BCM – ―Business need more business‖;
• Damshnamjil Tsogtbaatar, Chairman of the SPC: ―Privatizing Mongolia‖;
• Jan Hansen, Economist, ADB: ―The depreciation should help to increase the competitiveness and
to develop the non-mining industrial sector‖;
• Jim Dwyer, Executive Director, BCM: ―Minerals Policy‖;
• D. Bayasgalan, Director of Golomt Bank: ―Golomt has no problem‖;
• From the Oxford Business Group, Mongolia Reports 2013 book;
• B. Byambasaikhan, Chairman, BCM: ―Talk is cheap‖;
24. • President Ts. Elbegdorj: ―Diversifying for growth‖;
• Jim Dwyer, Executive Director, BCM: ―Non-mining sectors budding‖;
• Peter Morrow, Chairman, American University of Mongolia: ―Filling in the blanks‖;
• N. Zoljargal, Governor, Bank of Mongolia: ―Sustainable vision‖;
• Gansukh, Minister of Roads and Transportation: ―Accessing new markets‖;
• J. Od, President, MCS Group: ―Building interest‖.
BCM's English website includes the ―Mongolia Business News‖ section.
• 2014 Article IV staff report for Mongolia by International Monetary Fund;
• BCM comments on draft Amendments to the Minerals Law made to Mr. D.Gankhuyag, the Minister
of Mining, February, 2014;
• BCM Open Letter to Parliament and Government is available for download.
BCM continuously posts news stories and analysis of relevance to Mongolia at ‗Mongolian Business
News‖ before they are all put together each week for Friday's weekly NewsWire.
The ―Photo Gallery‖ contains photos from the 6th Anniversary BCM Renewal dinner on November
11, 2013.
BCM Football Cup 2013 pictures are posted to the website - http://bcmongolia.org/en/photos/350-
en/album?albumid=200
The BCM NewsWire will continue to be issued each Friday, incorporating items already on the home
page for a consolidated account of the week‘s events.
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 5,555 fans on our Facebook fans page, 600 connections on LinkedIn
network, and 1,089 followers on Twitter.
Of course for news information, interviews, event photos, VIDEOS and announcements regarding our
organization, visit the official BCM website at http://bcmongolia.org/en/
________________________________________________
26. 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]
April 30, 2014 *12.3% [source: NSOM]
*Year-over-year (y-o-y), nationwide
Note: 12.0% y-o-y, Ulaanbaatar city, April 30, 2014
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]
CURRENCY RATES – 5 JUNE 2014
Currency Name Currency Rate
US Dollar USD 1,826.30
Euro EUR 2,485.59
Japanese yen JPY 17.81
British pound GBP 3,060.79
Hong Kong dollar HKD 235.56
Chinese Yuan CNY 52.35
Russian Ruble RUB 292.16
South Korean won KRW 1.79
Disclaimer: Except for reporting on BCM‘s activities, all information in the BCM NewsWire is
selected from various news sources. Opinions are those of the respective news sources.
