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Mongolia Daily: Govt wins 60% mining profits, EAEU trade pact moves forward, and VAT refunds expand

MongoliaDaily

Politics

High-Profile Abuse-of-Office Case Returns to First Instance After Appeals Void Prior Rulings

Published: 2026-02-10

A long-running corruption and abuse-of-office case involving former Transport Minister B. Enkh-Amgalan and former Presidential Chief of Staff Z. Enkhbold has been sent back to first-instance court for a third time, with hearings now underway at the Capital City District Criminal Court (Bayanzurkh–Sukhbaatar–Chingeltei). Prosecutors allege the pair used political influence in 2019 to benefit Strato LLC and Ikh Delgemel Inguun LLC by temporarily assigning control over a 407 km state highway segment linking Tsogtsetsii (Umnugovi) to Sumber (Govisumber), facilitating coal haulage to a washing plant. Earlier rulings oscillated—initial fines and five-year public office bans were annulled on appeal; a later trial acquitted Enkhbold and sentenced Enkh-Amgalan to two years’ imprisonment, which was again overturned. Defense attempts to delay proceedings were rejected. A witness questioned the economics of a private firm financing a state road:

“I don’t understand why a private company would request to build a state road with its own substantial funds; this suggests another motive, likely related to transport.” - Witness O. (gogo.mn)

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Appeals Court Postpones High-Profile Development Bank Case to March 2 After Defense Motions

Published: 2026-02-10

Ulaanbaatar’s Criminal Court of Appeals delayed hearings in the long-running “Development Bank” case to March 2, citing defense counsels’ schedule conflicts and health reasons. The appeal had been set for Feb. 10 to review complaints from 25 participants and a prosecutorial protest challenging a September first-instance ruling that convicted 19 individuals and three legal entities while acquitting 23. The Supreme Court previously found earlier lower-court decisions inconsistent with facts, ordering retrial for charges involving 26 defendants. Since prosecutors filed indictments in December 2022 against 80 individuals and four entities, portions of the case have concluded for 38 people and one entity, while proceedings continue for 42 individuals and three entities, including current MPs N. Altankhuyag and B. Naidalaa. The postponement extends a third year of litigation, prolonging uncertainty for defendants and the financial sector’s governance narrative.

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Anti-Corruption Agency Probes School for Routing Revenues to Cashier’s Personal Account

Published: 2026-02-10

Mongolia’s Independent Authority Against Corruption (IAAC) is investigating a school after finding that all school revenues were funneled into the cashier’s personal bank account and spent without oversight. The case has been transferred to the investigative division for potential criminal proceedings. The IAAC’s inspections unit reviewed 996 pre-appointment conflict-of-interest disclosures between February 2–6, resolving 495 and continuing work on 501. It notified appointing authorities about five nominees whose roles would present clear conflicts of interest. The agency received 109 corruption- and conflict-related complaints last week, resolving 12. Separately, it examined the asset and interest disclosures of 12 officials and referred one official for disciplinary action after failing to substantiate the lawful source of funds used to buy real estate. The probe underscores the IAAC’s stepped-up scrutiny of public-sector financial controls and integrity checks.

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Prosecutors Close Xinjiang Xinfa Fraud Complaint as Civil Contract Dispute

Published: 2026-02-10

Ulaanbaatar prosecutors have closed a high-profile complaint by Xinjiang Xinfa LLC’s executive director alleging a $62 million fraud tied to a road construction agreement, determining the matter is a contractual property dispute suitable for civil court. The case began in December 2023, with the Criminal Police opening proceedings on December 12. Investigators sent three closure recommendations to prosecutors; each time, prosecutors ordered additional inquiries until a final closure recommendation reached them last September. After reviewing the compiled evidence, the supervising prosecutor exercised discretion to terminate the case in September 2025 as a civil dispute over contract performance. Media reports linked political figures to the allegations, but prosecutors emphasized the parties may still seek redress through civil litigation. The decision removes immediate criminal exposure while keeping commercial remedies open, signaling a high bar for elevating business conflicts to criminal fraud in Mongolia.

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Published: 2026-02-10

Mongolian media reported that law enforcement has begun examining alleged fraud against China-backed Xinjiang Xinfа, with financial records purportedly showing six transfers totaling MNT 6.8 billion from R. Batbayar—husband of MP B. Punsalmaa—to BAT Development Partners, a firm linked to the wife of Minister E. Bat-Amgalan’s brother. The documents suggest a financial nexus among M-Oil, Khos Möngön Zam, and BAT Development Partners in the dispute, which stems from claims that unauthorized persons opened company accounts and funneled large sums, possibly to fund election activities. Both politicians deny business ties.

“Our company helped build 840 km of roads in Mongolia… It is inappropriate to pin only the negatives on me. Relevant parties will explain.” - MP B. Punsalmaa (news.mn)

“Allegations that my brother had business ties with a certain MP and defrauded a foreign company are baseless and false.” - E. Bat-Amgalan, Minister of Construction and Urban Development (news.mn)

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State Orders Three-Year Audit and Governance Overhaul at Erdenes Tavan Tolgoi as Conveyor System Launches

Published: 2026-02-10

Prime Minister G. Zandanshatar inspected Erdenes Tavan Tolgoi JSC and directed a comprehensive international audit of the company’s last three years of operations and financials by the end of Q2, alongside open, public selections for executives, independent board members, and a new Public Oversight Council. He instructed the resolution of remaining stalled coal contracts—after 37 were cleared and 4.2 million tons sold via the Mongolian Stock Exchange—and pushed diversification toward buyers in Japan, South Korea, and India to reduce reliance on a few customers. A 12.6 km conveyor linked to the coal washing plant has been commissioned, expected to cut dust by 90%, eliminate truck-related accident risk, and reduce logistics costs by 78%, saving an estimated MNT 267.5 billion annually. The government also ordered finalization of the feasibility study and long-term plan to bring the Borteeg deposit into production.

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Central Bank to Cut 120+ Positions Following Parliamentary Push for Efficiency

Published: 2026-02-10

The Bank of Mongolia will reduce headcount by more than 120 from about 600 positions after parliamentary leadership pressed the institution to eliminate redundancies and enforce cost-saving measures. Roles affected reportedly include over 30 department and division heads, more than 30 specialists, and around 30 drivers and cleaners, with cleaning and transport services to be outsourced via contracts. The move follows a meeting where the Speaker of Parliament, N. Uchral, urged tighter fiscal discipline and an audit of alleged disorderly money issuance.

“Implement the Savings Law, cut unnecessary positions, and eliminate functional overlap. If disorderly money printing is confirmed, refer the case to law enforcement.” - Speaker of Parliament N. Uchral (isee.mn)

Employees leaving are expected to receive unemployment benefits scaled to prior salaries. Local media also report that Financial Markets Department head A. Enkhjin may receive a severance of around MNT 200 million and has moved to the Development Bank, with similar transfers by several others.

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Cabinet Weighs Food Prices, Kharkhorum Land Clearances, and Airport Concession Amendment

Published: 2026-02-10

Mongolia’s Cabinet is convening to review a wide-ranging agenda affecting infrastructure, consumer prices, governance transparency, and trade. Key items include an amendment to the concession agreement for the new Ulaanbaatar International Airport’s management project, updated thresholds for insurance regulation, and new rules to monitor the quality and safety of imported and exported alcoholic beverages. The government plans to approve procedures for clearing land with compensation to support Kharkhorum city development and adopt refreshed standards for public disclosure and website transparency. Ministers will also assess progress on the 300‑day plan to share economic growth benefits with citizens and evaluate the Tavantolgoi–Gashuunsukhait 250 km heavy‑haul road project, outlining next steps. Importantly for households and retailers, the Cabinet will examine the supply and pricing outlook for meat and essential goods. Preparations for COP17 on combating desertification will also be reviewed.

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Prosecutors Send Bribery Case on Local Road Tender to District Court

Published: 2026-02-10

Prosecutors have filed charges and transferred to the Bayanzürkh–Sükhbaatar–Chingeltei District Criminal Court a case alleging bribery tied to a local road expansion and renovation tender. According to the indictment, an individual identified as Z.B. selected a specific company as the main contractor and arranged for a firm he owns to be engaged as a subcontractor. In return, Z.B. allegedly provided a cash bribe of MNT 3 million to the public official who chaired the evaluation committee and transferred a vehicle worth MNT 60 million to an affiliated person. The case also involves alleged bribery related to a request to temporarily lift a travel ban. Charges were brought under Article 22.5.1 of the Criminal Code (Giving Bribe). No trial date was announced.

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Economy

Government Secures 60% Resource-Profit Share for Citizens from Four Major Mining Operations

Published: 2026-02-10

The government signed preliminary memoranda with Achit Ikht, Energy Resource (MCS), Hangad Exploration, and Usukh Zoos to allocate no less than 60% of economic returns from Uhaa Khudag, Nariinsukhait, Tavantolgoi’s Baruun Naran, and Erdenet’s copper waste dump to the public via the National Wealth Fund. The deal blends two mechanisms under discussion in Parliament: state ownership stakes of at least 34% or replacement by a dedicated mineral royalty (special AMNAT). A balancing “top-up” payment will apply if annual public take falls below 60%. Officials target visible balances in individual accounts and potential withdrawals from 2030. Corporate leaders publicly endorsed the framework, signaling a détente in long-running mining-policy disputes.

“We agreed that 60% of the companies’ returns will flow to citizens through taxes, fees, and charges.” - P. Tsagaan, Founder of Achit Ikht (eagle.mn)

“We accept the 60% proposal so the Wealth Fund can grow and benefits become tangible for citizens.” - J. Odjargal, Chairman, MCS Group Board of Directors (ikon.mn)

“By 2030, our aim is for each citizen to have MNT 10 million in their account.” - S. Byambatsogt, Cabinet Secretariat Chief (eagle.mn)

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VAT Refunds Expanded with 2027 Shift to 100% Rebate on First ₮500,000 in Monthly Purchases

Published: 2026-02-10

Parliament approved amendments to the VAT law tied to the 2026 budget package, phasing in larger consumer VAT refunds and aiming to curb informality. From Oct 1–Dec 31, 2026, individuals will receive a 50% VAT refund on monthly purchases up to ₮1 million and 20% above that. Starting Jan 1, 2027, the policy deepens: a 100% refund applies to the first ₮500,000 in monthly purchases, 50% for ₮500,000–1,000,000, and 20% beyond. Officials say this will raise disposable incomes and improve compliance. However, local analysis warns broader tax reform may leave wage earners’ burdens largely unchanged and risks shifting costs to end consumers through pricing, even as SME VAT thresholds rise. The government frames the VAT design as targeting household relief and formalization through e-invoicing and higher participation.

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Consumer Prices Rise 7.5% Year-on-Year in January as Food Costs Lead Gains

Published: 2026-02-10

Mongolia’s consumer prices increased 7.5% year-on-year in January 2026 and 1.1% from December, according to the National Statistics Office. Food inflation drove the headline, with the food, beverages and water category up 12.6% y/y; meat and meat products rose 18.4%, led by beef (+25.8%) and mutton/goat (+17.5%). Services rose 8.9% and non-food goods 5.6%. Regionally, the Central region saw the sharpest goods price gains (+9.4%), Ulaanbaatar led in services (+10%), and food prices were strongest in the Central region (+13.8%). The headline rate eased from 8.7% a year earlier, indicating slower inflation momentum. Imported goods excluding fuel contributed 1.6 percentage points to inflation, while domestic goods excluding meat and solid fuel contributed 3.8 points. Clothing and footwear (+6.6%), education services (+12.8%), and hotels/restaurants (+8.5%) also added upward pressure, reflecting broad-based cost increases across household budgets and service sectors.

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Record Monthly Trade Surplus Reached as Coal and Copper Exports Surge

Published: 2026-02-10

Customs data show a record monthly trade surplus of $906.5 million in January 2026, with total trade at $2.59–2.6 billion. Exports rose sharply to about $1.7 billion, up 71.6% year over year, outpacing imports. Coal shipments reached 9.7 million tonnes—an 86.4% increase—bringing in $625.2 million and accounting for 35.7% of export revenue. Copper concentrate exports remained elevated at roughly 221,000–220,000 tonnes worth $725.9 million. Together, coal and copper made up 77.2% of export earnings, underscoring commodity dependence. A spike in global gold prices also contributed, with 1.06 tonnes exported for $166.5 million, the highest value since 2017. The figures reverse early-2025 pressures from weaker coal prices and signal strong external demand, improved border flows, and favorable commodity pricing into 2026.

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National Wealth Fund Growth Plan Spurs Debate on Use vs. Savings to 2030

Published: 2026-02-10

Mongolia’s Economic Development Council, chaired by the Prime Minister, revisited how strategic mineral revenues will feed the National Wealth Fund and who ultimately benefits. Government projections anticipate MNT 6.7 trillion in the fund by 2025 and MNT 9.6 trillion by end-2026. Current law defers spending until 2030, raising pressure to balance long‑term savings with urgent needs in health, education, and housing. The article highlights a policy choice on strategic and derived deposits: direct state equity—especially where public funds financed exploration—versus taxation, with the core test being which yields greater public returns over time. Business stakeholders stress predictable, stable regulation as the government submits economic freedom, SME support, and tax package bills to parliament. The piece also flags public concern over potential coercive state actions toward deposits and calls for transparent, rules‑based governance to ensure benefits reach citizens via the fund.

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Coal Exports Jump 86% Year-on-Year in January, China Takes Over 80% of Shipments

Published: 2026-02-10

Mongolia exported 9.7 million tonnes of coal in January 2026, up 86.4% from a year earlier, according to the General Customs Administration. China remained the dominant buyer: 100% of lead ore, iron ore, copper, molybdenum, zinc concentrates, crude oil, and both hard and brown coal were shipped to China in the first month of the year. Combed cashmere exports were also China-heavy at 63.5%. These commodities together accounted for 81.3% of total export value, underscoring continued concentration in mineral and energy trade flows to a single market. The surge signals strong cross-border logistics throughput and demand from China’s industrial sector, while highlighting Mongolia’s exposure to commodity price cycles and buyer concentration risk at the outset of 2026.

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Economist Urges Tight Criteria as Lawmakers Weigh Opening Door to Foreign Banks

Published: 2026-02-10

Parliament is expected to debate amendments to the Banking Law that could enable foreign banks to operate locally, following repeated interest conveyed to Speaker N. Uchral by ambassadors and overseas representatives. Economist R. Davaadorj argues foreign lenders could boost Mongolia’s financial system if policy direction is strict and targeted toward exports, manufacturing, and infrastructure, cautioning against unfettered entry into consumer and real-estate lending due to macroeconomic risks. He notes potential benefits such as lower-cost, long-term funding, stronger competition, and a more stable tugrug via increased foreign-currency inflows, while warning of threats to smaller domestic banks and profit outflows. He also stresses that weak regulation, volatile macro conditions, and governance concerns may deter major entrants even after legal changes.

“With the right policy and strict criteria, foreign banks can positively impact Mongolia’s financial system; opened without policy, they risk weakening domestic banks and increasing economic dependency.” - Economist R. Davaadorj (itoim.mn)

“A foreign bank is not a savior. With the right direction and regulation, it becomes a growth lever; with poor policy, it becomes a source of financial dependency.” - Economist R. Davaadorj (itoim.mn)

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Government Orders Acceleration of PPP Pipeline and Investor Outreach

Published: 2026-02-10

Deputy Prime Minister and Minister of Economy and Development J. Enkhbayar inspected the Public-Private Partnership Center and directed officials to fast-track PPP project selection and investor engagement. The center is studying a broad pipeline, including a pumped-storage hydropower plant at Erdenet, hazardous waste processing, airport runway upgrades in four provinces, road expansions such as the 113 km Darkhan–Altanbulag corridor, the 1250 km Artsuur–Nariinsukhait–Shiveekhuren railway, a 261 km Murun–Uliastai highway, and multiple hydropower projects (30 MW in Bayankhongor and 100 MW in Khentii). Emphasizing fiscal constraints, Enkhbayar called for mobilizing private capital and converting studies and feasibility assessments into bankable projects while improving inter-agency coordination.

“With limited budget resources, we must consistently expand private sector participation, attract investment, and promptly launch project implementation through transparent selection and proactive outreach via embassies and domestic invitations.” - J. Enkhbayar, Deputy Prime Minister and Minister of Economy and Development (isee.mn)

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Rail Freight Dominance at Khangi Chokes Coal Exports as Trucking Collapses

Published: 2026-02-10

Coal transfers at Khangi’s rail-to-truck facility reportedly halted on February 9, triggering long queues and constricting a key export outlet. Most coal loading yards (NABT) serving trucked coking coal have closed, with only three operating at 20–30% capacity; roughly half of about 80 road transport firms have gone bankrupt as drivers shift to Gashuunsukhait and Shivee Khuren. Industry sources blame control of Khangi’s railway and connected yards by entities tied to Transport Minister B. Delgersaikhan—via Bold Tumur Yeruu Gol and Gobi Mining and Transport Group—for crowding out coal in favor of iron ore. Coal exports via Khangi fell about 29% in 2025 while Mongolia’s iron ore exports rose 17.2% to 8.8 million tons, much of it routed through this network. The article alleges policy and concession arrangements have created a de facto monopoly, undermining Erdenes Tavantolgoi’s coal revenue and exacerbating fiscal strain.

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Diplomacy

EAEU Trade Pact Advances as Mongolian Speaker Ushers Business Dialogue in Moscow; Accreditation MoU Signed to Cut Technical Barriers

Published: 2026-02-10

Parliament Speaker N. Uchral met Eurasian Economic Commission (EEC) Council Chair Bakytzhan Sagintayev in Moscow, handing over Mongolia’s instrument confirming parliamentary ratification of the temporary trade agreement with the Eurasian Economic Union (EAEU). Russia, Belarus, and Kazakhstan have also ratified, positioning the pact for entry into force once remaining procedures finish. Uchral opened an EAEU-led technical seminar for over 70 Mongolian business representatives focused on rules of origin, customs, SPS, and conformity assessment aimed at easing market access. He underscored the need to rapidly reduce non-tariff barriers, especially for cashmere exports, with projections that Mongolian exports to the bloc could rise by 24.2%. Mongolia’s National Accreditation Center and Russia’s Federal Accreditation Service signed an MoU to recognize conformity assessment and coordinate joint evaluations—steps expected to cut costs and delays for exporters.

“To fully implement the agreement, we must promptly reduce non-tariff barriers facing Mongolian products in the Eurasian market, notably cashmere.” - N. Uchral, Speaker of Parliament (montsame.mn)

“Correct conformity assessment is fundamental for smooth market entry across EAEU member states.” - Dmitry Volvach, Head of Russia’s Federal Accreditation Service (montsame.mn)

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Embassy in Seoul Reports No Rights Complaints from Mongolian Travelers on Feb 8; Urges Formal Submissions

Published: 2026-02-10

Mongolia’s Embassy in Seoul said it received no complaints on February 8 alleging human rights violations or improper treatment of Mongolian nationals denied entry at South Korea’s border, countering claims circulating on social media. The embassy emphasized its established channels—a hotline (+82 10-9595-3464) and email ([email protected])—for receiving and processing requests, petitions, and grievances. It advised that travelers who believe their rights were infringed during secondary checks by South Korean immigration can file evidence-backed complaints through the embassy for referral to the National Human Rights Commission of Korea or immigration’s internal oversight. The statement criticized the spread of unverified claims online and reiterated that Mongolia’s diplomatic missions are committed to protecting citizens’ lawful interests in all circumstances. The guidance underscores the need for documented submissions to trigger official review mechanisms in South Korea.

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USTDA Grants Back Technical Assistance to Advance Direct U.S.–Mongolia Flights

Published: 2026-02-10

The U.S. Trade and Development Agency (USTDA) signed a grant agreement with Mongolia to fund technical assistance for launching direct flights between the two countries. The pact, inked on February 5, 2026, by Deputy Minister of Road and Transport Development G. Ganbold and USTDA Acting Director Thomas Hardy, will support aviation safety standards work valued at $2.6 million, with $2.2 million from USTDA and $390,000 from Vix Group. The initiative is intended to help meet U.S. Federal Aviation Administration and international requirements ahead of proposed nonstop services. Foreign Minister B. Battsetseg highlighted the broader strategic impact, citing benefits for political and economic cooperation, trade, tourism, and people-to-people ties under the Third Neighbor partnership framework.

“This agreement not only deepens our countries’ aviation ties, it strengthens political and economic cooperation while boosting trade, tourism, and people-to-people exchanges—a strategic milestone in our Third Neighbor partnership.” - Foreign Minister B. Battsetseg (eagle.mn)

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Parliament Speaker, South Korean Ambassador Discuss Strategic Ties, Finance Reforms, and Infrastructure Projects

Published: 2026-02-10

Parliament Speaker N. Uchral met South Korean Ambassador Choi Jin-won to reinforce the countries’ Strategic Partnership, emphasizing regular high-level contacts and expanding cooperation in politics, trade, investment, and technology. Uchral highlighted domestic reforms to improve the business environment and competition, including a planned banking sector reform to deepen bilateral financial cooperation.

“We are preparing banking reform, which we expect will create opportunities to expand and develop cooperation in the financial sector between our two countries.” - N. Uchral, Speaker of Parliament (eagle.mn)

The sides discussed strengthening legal frameworks for foreign investment, advancing rare metals collaboration, and exploring joint work in finance, IT, and AI. Mongolia requested South Korea’s experience and senior-level participation as it readies to host the UN Convention to Combat Desertification COP17 in 2026. They also reviewed progress on concessional loans and grants, including accelerating the “10 provincial capitals’ heating plants” project. Choi noted momentum in high-level exchanges marking 35 years of diplomatic relations.

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Infrastructure

Tuun Highway Construction Set to Begin March 15 with Designs Nearing Completion

Published: 2026-02-10

Ulaanbaatar will launch groundworks for the 32 km, six‑lane Tuun Highway on March 15, advancing a key project to improve the capital’s traffic capacity and connectivity. Preparatory works are underway with 59 engineers and technicians and 48 machines on site, including temporary facilities, a testing lab, concrete plant base, and access roads. Geodetic surveys are complete and 40 boreholes drilled, underpinning engineering calculations; overall site investigation stands at 65%. Detailed designs for road, bridges, culverts, and flood protection levees are 94.5% finished. The plan foresees seven grade-separated interchanges, 12 bridges, and five underpasses, with bridge and culvert construction slated to start in April 2026. Links to Thermal Power Plant No. 4, Naadam Bridge, the First Ring Road, Songinokhairkhan Road, the Auto Trade Complex, and integration with Yarmag Bridge are expected to balance central traffic flows and raise average speeds by 14% once operational.

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Ulaanbaatar Metro Clears International Environmental and Social Standards, Sets Plan for Fair Resettlement

Published: 2026-02-10

Ulaanbaatar’s planned 19.4 km metro line beneath Peace Avenue has completed an Environmental and Social Impact Assessment (ESIA) and Environmental and Social Management Plan aligned with IFC Performance Standards and Equator Principles IV, enabling access to foreign financing. Prepared by South Korea’s Duhwa Engineering with Inogen Alliance, the ESIA covers impacts across planning, construction, operations, and closure, and maps gaps between Mongolian laws and international benchmarks. Authorities say the project now meets environmental and social risk management requirements, establishing the legal and institutional basis for transparent, responsible delivery. A dedicated Resettlement Action Plan outlines protections and fair compensation for residents and businesses affected by land acquisition along the alignment, with livelihood restoration measures. Public consultations were held in June and November 2024 with stakeholders, including government agencies and NGOs. The city has also launched tendering for Phase 2 “Package 1” construction works.

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Government Shortlists Five Firms for Copper Smelter at Erdenet, Eyes Decision This Quarter

Published: 2026-02-10

The Cabinet’s Secretariat says Mongolia has advanced its long-delayed plan to build a copper concentrate smelter at Erdenet, shortlisting five companies—China’s NFC, Jiangxi Copper, Liantou New Energy Technology, China ENFI Engineering, and Switzerland’s Glencore—for a final selection this quarter. The project is estimated at about US$0.8 billion. Authorities report 13 companies from seven countries expressed interest after outreach to 55 companies in over 20 countries. Building a domestic smelter could lift export value significantly: while concentrate sells around US$3,000/tonne, refined copper can fetch US$10,000–12,000/tonne. However, high capital costs, power and water constraints, and environmental risks—especially sulfuric acid handling—remain critical hurdles. The article notes earlier ambitions linked to Oyu Tolgoi stalled amid operating costs, tax disputes, and infrastructure gaps. Global copper demand is tightening, with S&P Global forecasting a growing supply shortfall in 2025, potentially supporting higher prices.

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Ulaanbaatar Expands Household LPG Program, Targets 50,000 Homes Next Year

Published: 2026-02-10

Ulaanbaatar’s mayor, Kh. Nyambaatar, said the city will insulate 5,000 homes and shift them to liquefied petroleum gas (LPG) this year, building 33 refill points; 905 households and 15 stations are already operational, with 90–100 homes converting daily. The plan scales sharply in 2025 to reach 50,000 households, alongside free installation of LPG equipment for residents who complete insulation themselves and a MNT 900,000 seasonal subsidy for users. Initial rollout is focused on Chingeltei and Bayangol districts, extending to Songinokhairkhan and Sukhbaatar next year. Local feedback highlights usability and cleaner indoor conditions, while authorities frame LPG as a transitional measure ahead of long-term ger-area land clearance and apartment redevelopment.

“This year we will transition 5,000 households to gas and next year plan for 50,000; households that insulate themselves will get gas equipment installed free of charge, and during heating season we will provide a MNT 900,000 subsidy.” - Kh. Nyambaatar, Ulaanbaatar Mayor (gogo.mn)

“Since switching to gas, there’s no smoke or soot, it’s easy to use, and home temperatures are stable; two cylinders a week is enough for us.” - D. Tsolmon, resident of Chingeltei’s 13th khoroo (gogo.mn)

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Waste-to-Energy Tender Dispute Alleges Bias Toward Chinese Standards, Stalling 34 MW Project

Published: 2026-02-10

Ulaanbaatar’s planned 34 MW waste-to-energy plant at Morin Davaa remains tied up in court after Naannovo Green Energy Mongolia challenged the city’s public–private partnership tender. CEO Ts. Erdenbileg says the company was disqualified within two days on grounds he disputes—tariff and undefined investment—arguing tariff-setting rests with the Energy Regulatory Commission and investment depends on finalized technology and waste calorific values. He claims city officials effectively barred non-Chinese bidders by endorsing Chinese standards, prompting international firms to withdraw. He also says the cited Chinese partner had no valid contract. The firm’s studies since 2018 suggest a realistic capacity of 14–15 MW absent updated waste data, contradicting a 35 MW target. The case complicates broader energy plans as the government pursues a separate 300 MW Fifth Power Plant for 2028.

“We did not stall the project; we are demanding the rule of law.” - CEO Ts. Erdenbileg (isee.mn)

“By approving Chinese standards, city leaders made it impossible for international companies to participate.” - CEO Ts. Erdenbileg (isee.mn)

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Ulaanbaatar to Tender 200 City Projects Worth MNT 1.1 Trillion, Prioritizing Early Awards

Published: 2026-02-10

Ulaanbaatar plans to launch tenders for 200 municipal projects totaling MNT 1.1 trillion in 2024, with 102 open tenders already announced. Contractors for these projects are slated to be selected by February 30, while remaining tenders will be issued by March 15 to enable timely construction starts. Authorities indicated domestic firms will receive preference points in evaluations. In 2023, the city intended 567 projects and issued tenders for 519 (92%), awarding 505 to local companies and 14 to foreign firms. Sectorally, winning bids covered 48 road projects, 44 building constructions, and 110 building repairs. The city is also organizing a training and information day for prospective bidders, signaling a push for broader participation and faster mobilization across infrastructure segments.

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Society

Police Warn of Facebook Scam Imitating e-Mongolia Services After Two Lose ₮1.25 Million

Published: 2026-02-10

Mongolian police reported new phishing scams impersonating the government’s e‑Mongolia digital services platform on Facebook. On February 8, two individuals clicked links in posts promising to check eligibility for state assistance and compensation, resulting in losses totaling ₮1.25 million. Authorities stressed that genuine e‑Mongolia services do not send unsolicited social media links, nor request banking or personal data via such channels. The incidents reflect broader regional trends of fraudsters using official logos and branding to harvest credentials from mobile users. Businesses and residents should verify URLs and access services only through official portals and apps. The police urged immediate reporting of suspicious links to help curb financial losses and protect personal data, highlighting the importance of heightened vigilance as more public services move online.

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Targeted Online Scams Rise: Seniors, Young Adults, and Teens Face Tailored Tactics

Published: 2026-02-10

Mongolia is seeing a sharp increase in online fraud exploiting age-specific vulnerabilities across platforms such as mobile messaging, social media, and internet banking. Seniors are frequently targeted with urgent or “official” messages masquerading as banks or state bodies, prompting them to click fake links or share verification codes. Recent schemes include false pension bonus offers used to access bank apps and take out loans in victims’ names. Young adults, the most active online cohort, face recruitment into fake investment groups, training-fee job scams, and livestream lottery fraud; some have lost tens of millions of tugriks, with cases linked to online gambling apps. Teens are lured through gaming and social media with promises of free in-game currency or account upgrades, leading to account takeovers and misuse of parents’ financial data. Authorities emphasize basic safeguards: never share one-time passwords, verify messages via official channels, avoid transferring funds to unsolicited offers, and report suspicious accounts promptly.

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Teachers Report Limited Pay Rise After Strike Deal, Citing Cuts to Allowances and Miscalculation of Increments

Published: 2026-02-10

Teachers at Ulaanbaatar’s School No. 31 say January pay slips show far smaller gains than expected from last year’s wage negotiations following strikes, alleging key allowances were recalculated on the old base salary. Staff report core salary moved from MNT 1.484 million to MNT 2.226 million, but cabinet, class leadership, seniority, and performance add-ons were computed off the previous base, resulting in net increases of roughly MNT 200,000–300,000 (about 10%). Rising living costs and rent are compounding pressure. One music teacher described relying on app-based loans to cover expenses, while a veteran literature teacher said full allowances still leave take-home pay inadequate despite heavy workloads.

“They promised a 50% raise, but in reality my pay rose only about MNT 105,000 to 300,000, and some allowances were removed from January wages.” - S. Purevdorj, Music Teacher, School No. 31 (itoim.mn)

“If the base salary increases by 50%, then all related allowances should rise accordingly; otherwise, our struggle brings no real outcome.” - P. Purev-Yondon, Math Teacher, School No. 31 (itoim.mn)

“The main allowances are being calculated from the old MNT 1.484 million base, so the effective increase is only around 10%.” - B. Altantsetseg, Mongolian Language and Literature Teacher, School No. 31 (itoim.mn)

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Environment

Satellite SOS Devices Deployed to Deliver Weather Alerts to Off‑Grid Herders

Published: 2026-02-10

The National Agency for Meteorology and Environmental Monitoring, in partnership with UNDP’s Adapt project and ONDO Space, has developed SOS devices that transmit weather information via satellite to herders in areas without mobile coverage. The first batch was delivered to eight households in remote parts of Sukhbaatar province. Users will receive three-day local forecasts and early warnings of hazardous events, as well as an emergency distress function—addressing a key vulnerability for herders who previously lacked timely alerts. Authorities plan phased distribution to other remote soums and aim to integrate the system into broader risk reduction efforts. Separately, the agency is working with the Asian Development Bank on a “Pastureland Carbon Sequestration Project,” linking satellite data with national climate datasets to improve pasture management, increase soil organic carbon, and bolster ecosystem resilience through monitoring, reporting, and verification frameworks.

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Ulaanbaatar Conducts On‑Road Exhaust Testing as Air Quality Varies by District

Published: 2026-02-10

Mongolia’s environmental and transport agencies conducted on-road measurements of vehicle tailpipe emissions in Ulaanbaatar within the designated air quality improvement zone from February 2–8, 2026. The campaign—run jointly by the State Environmental Inspection Agency, Air and Environmental Pollution Control Agency, Meteorology and Environmental Monitoring Agency, National Police Agency’s Traffic Police Department, and the National Road Transport Center—targets mobile pollution sources to inform further action. Air quality readings showed generally low pollution in areas such as Nisekh, Misheel Expo, Zaisan, Zuuragt, and Nalaikh, while Bayankhoshuu exceeded national standards. The Traffic Management Center reported an average of around 500,000 vehicles participating in daily traffic over five days. Findings from sampled exhaust tests will be compiled into policy recommendations for the National Committee on Air Pollution Reduction. Preventive inspections are ongoing, according to the Ministry of Environment and Climate Change.

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Digital Certificates Launched for Timber Origin and Transport Compliance

Published: 2026-02-10

Mongolia’s Forest Agency and the General Police Department’s Environmental Police have launched an electronic certification system for timber origin and transport via erp.forest.gov.mn. The platform digitizes the issuance and verification of certificates for wood and wood products, enabling on-the-spot legality checks and strengthening oversight of forest resource use. Authorities aim to curb illegal logging and transport by improving traceability and accelerating service delivery to citizens and businesses. The system is expected to enhance enforcement efficiency, reduce paperwork and processing times, and provide a unified data trail for monitoring. For operators in forestry, construction, and logistics, the shift to e-certificates should streamline compliance while increasing the likelihood of inspections detecting irregularities. The rollout reflects broader government efforts to modernize public services and tighten environmental governance through digital tools.

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Flood Risk Flags in Songinokhairkhan as Officials Urge Urgent Repairs and New Retention Works

Published: 2026-02-10

Ulaanbaatar’s Geodesy and Water Construction Authority warned that spring and summer flooding similar to the 2023 Dar-Ekh event could hit Songinokhairkhan District, citing damaged flood dikes and blocked outlets in the 20th khoroo. Field assessments found that protective embankments near Orbit, Tahilt, Nairamdal, and Tolgoit were pushed and degraded by land-seeking residents and firms, severing natural drainage to the Tuul River and heightening risk of surface runoff flooding for households and businesses. Authorities say 770 meters of priority structures require immediate repair, alongside accelerated construction of additional dikes. They also propose a five-stage, 1.3 million m³ reservoir to capture Selbe River peak flows, artificial lakes on Tolgoit and Uliastai streams, and rapid commissioning of the Tuul River water complex.

“We have determined a high probability that households in Songinokhairkhan’s 20th khoroo will be affected by spring meltwater floods if action is not taken promptly.” - B. Byambasaikhan, head of the Geodesy and Water Construction Authority (unuudur.mn)

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Innovation

School Year Start Proposed for September 15 in 2026 as Mongolia Hosts UN Desertification COP17

Published: 2026-02-10

Mongolia will host the UN Convention to Combat Desertification’s COP17 from August 17–28, 2026, drawing over 10,000 delegates from 197 parties, academia, civil society, and business. The government has asked to delay the 2026–27 school year start to September 15 to ease traffic and enhance security during the summit, aligning with obligations to maintain high safety standards for UN-protected zones. Preparations include a COP complex in the National Amusement Park covering about 27 hectares, with a “Blue Zone” for official negotiations and a public “Green Zone.” Budget allocations include roughly $4 million already spent to secure hosting rights, plus MNT 50 billion in 2025 and MNT 200 billion in 2026 for infrastructure and operations. The event supports the Mongolia-initiated “International Year of Rangelands and Pastoralists (IYRP 2026),” spotlighting sustainable rangeland management and drought resilience.

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Parliament Deploys AI Review Tool; 110 Laws Flagged for Infringing Economic Liberties

Published: 2026-02-10

Parliament’s website has launched an AI-based feature to review draft and existing legislation for compliance with the Constitution and protection of human and economic rights. Lawmakers and the government can now submit bills for automated assessment of potential rights infringements before formal introduction. The system also analyzes current statutes: of 378 laws reviewed, 110 were identified as directly violating citizens’ economic freedom, and 228 were flagged as creating burdens for the public. The Speaker signaled a stricter gatekeeping approach, indicating bills conflicting with constitutional rights will not be received going forward.

“We will no longer accept any draft that conflicts with the Constitution or violates constitutional human rights and freedoms. Proponents should get into the habit of using the AI analysis in Parliament’s e-system,” - Speaker N. Uchral (eagle.mn)

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Health

Insured Patients Can Claim Reimbursement for Out-of-Pocket Medicines During Inpatient Care

Published: 2026-02-10

Patients hospitalized at facilities contracted with the Health Insurance General Office can be reimbursed for medicines and injections they purchased themselves during treatment. To claim, patients must file a request with the hospital’s Quality Department and attach the e-receipt (E-Barimt) for the medicine expenses. If the hospital does not process the claim, patients are advised to contact the Health Insurance General Office via its hotline 1800-1363 or the Procurement and Contracting Department at 70101153, 70101699. Mongolia’s Health Insurance Fund currently finances 77 public and 118 private hospitals. This mechanism clarifies the pathway for recovering eligible inpatient medication costs and underscores the role of hospital quality units as the first point of resolution, with escalation channels available through national insurance authorities.

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