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Mongolia Daily: PM Zandanshatar resigns, $1B Borteeg bids, and Russia halts gasoline exports

MongoliaDaily

Correction: An earlier version of this newsletter and several recent editions contained translation errors — most notably, “MPRP” where it should have read “MPP” (Mongolian People’s Party), and “Entrée Resources” in stories that were actually about Oyu Tolgoi. These errors were caused by a recent change to our translation model, which has now been reverted. We apologize for the inaccuracies. Today’s edition has been re-generated with the corrected system.

Politics

Prime Minister G. Zandanshatar Resigns at Own Request After 287 Days

Published: 2026-03-28

Parliament approved Prime Minister G. Zandanshatar’s request to step down on March 27, ending a 287‑day tenure. Appointed on June 13, 2025 as Mongolia’s 34th prime minister, he was voted out by a parliamentary majority on October 17 after 126 days, then reinstated when the Constitutional Court invalidated that vote. He has now resigned under a party principle that the Mongolian People’s Party chair should serve as prime minister. The Democratic Party caucus did not attend the vote; 73 MPs from the MPP, HUN Party, IZZN, and the National Coalition participated. Zandanshatar becomes the fourth shortest‑serving prime minister in modern history. A prior flashpoint came during his 2025 ouster, when Deputy Speaker Kh. Bulgantuya apologized on the floor:

“Sorry. This is so ugly… For me, it’s just ugly.” - Deputy Speaker Kh. Bulgantuya (ikon.mn)

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MPP Council to Name New Prime Minister as Zandanshatar Steps Down; Uchral Seen as Frontrunner

Published: 2026-03-28

Parliament released Prime Minister G. Zandanshatar from office at his request on March 27, ending a 287-day tenure. The Mongolian People’s Party (MPP) General Council will convene on March 29 to select a nominee for prime minister, with Speaker N. Uchral expected to be put forward following support from the party’s Steering Board, according to local media. The MPP will decide next week whom to nominate as Speaker, separate reports note. Timelines circulating in party and parliamentary channels suggest MPP and Democratic Party (DP) caucuses could review the prime minister nomination on March 30 before a full parliamentary vote the same day. Local coverage also highlights heightened intra-party maneuvering within the MPP, with D. Amarbayasgalan’s role and ongoing legal scrutiny drawing attention, though formal personnel decisions for the incoming cabinet remain pending.

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Rights Commission Monitoring Protests Against Tuul Expressway as Demonstrators Call for Ulaanbaatar Mayor’s Resignation

Published: 2026-03-28

Residents staged a peaceful protest against the proposed Tuul Expressway, arguing the project would harm environmental balance along the Tuul River corridor, and demanded the resignation of Ulaanbaatar Mayor Khishgee Nyambaatar. The National Human Rights Commission of Mongolia announced it is actively overseeing the situation surrounding recent assemblies to ensure rights are respected. The Commission’s public statement signals official scrutiny of how authorities manage freedom of assembly during urban development disputes. No incidents were reported in the article, and no government response beyond the Commission’s notice was detailed. The protest underscores persistent tensions between infrastructure expansion and environmental protection in the capital’s planning agenda.

“We are carefully observing recent peaceful assemblies and monitoring the situation.” - National Human Rights Commission of Mongolia (isee.mn)

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Prime Minister G. Zandanshatar Resigns Following Parliament Address, Highlights Economic Gains and Resource Reforms

Published: 2026-03-28

Prime Minister G. Zandanshatar tendered his resignation after an evening address to Parliament, framing the move as necessary to avoid political paralysis and ensure policy continuity. He claimed a turnaround since taking office nine months ago: GDP growth rising to 6.8%, inflation easing to 6.5%, foreign reserves at $7 billion, and the balance of payments shifting to a $1 billion surplus, alongside a MNT 2.2 trillion spending cut. He cited stronger coal exports via Erdenes Tavan Tolgoi, improved state-owned enterprise performance under Erdenes Mongol, and a competitive approach to the Borteeg deposit with proposed $0.5–1 billion upfront payments. Zandanshatar said talks aim to lift Mongolia’s economic take from Oyu Tolgoi to at least 60% and start dividends in 2026.

“I am stepping down as prime minister of my own accord.” - Prime Minister G. Zandanshatar (isee.mn)

“The state must not stop, policy must not be interrupted; the country must keep moving forward.” - Prime Minister G. Zandanshatar (isee.mn)

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Prosecutors Consolidate Cases Involving Producer B. Baatar, Assign Unified Probe to General Intelligence Agency

Published: 2026-03-28

Prosecutors have consolidated multiple investigations involving B. Baatar, executive director of Hero Entertainment Group and brother of former Prime Minister L. Oyun-Erdene, and reassigned them to the General Intelligence Agency (GIA). Previously, the Anti-Corruption Agency, GIA, and National Police pursued separate cases tied to alleged project financing, undermining national unity (Criminal Code 19.9.1), and money laundering. The move follows revelations that Baatar was named a suspect in February 2026. Deputy Justice Minister D. Munkh-Erdene alleged funds linked to Oyu Tolgoi and Oyu Tolgoi LLC were routed via newly formed UK entities to promote the “Mongol Khaan” production.

“Our project has had no financial relationship with Atticus Partners Ltd or Atticus Communications Ltd,” - B. Baatar, CEO, Hero Entertainment Group (isee.mn)

“Former PM L. Oyun-Erdene and B. Baatar implicated me, detained me for 19 days, and seized the 14th floor of ‘Gerege’ Tower,” - P. Khishigbayar, alleged victim (isee.mn)

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Economy

Borteeg Deposit Attracts Up to $1 Billion Upfront Offers as Government Sets 51% National Take

Published: 2026-03-28

Seven domestic and international bidders have submitted proposals to develop the Borteeg deposit, including upfront payments ranging from $500 million to $1 billion. Proposals were opened publicly on March 23 at Erdenes Tavan Tolgoi’s headquarters. A government working group led by First Deputy Prime Minister and Minister of Economy and Development J. Enkhbayar will evaluate submissions on financial returns, execution track record, and integrated development plans, with participants scoring 700+ points (out of a stated scale) advancing—up to three—to final negotiations. The government has set a principle that Mongolia’s cumulative benefit will not fall below 51% over the project term. The tender signals a push to mobilize large-scale FDI under transparent, competitive rules and could accelerate associated infrastructure and export capacity if negotiations conclude successfully.

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Russia to Suspend Gasoline Exports from April 1; Mongolia Excluded Under 2024 Supply Agreement

Published: 2026-03-28

Russia will impose a full ban on gasoline exports from April 1 to stabilize domestic prices, following sharp March increases on Russian exchanges, according to government-confirmed reports. Some outlets report the ban could run through July 31, though others say it will last until a special order is issued. Deputy Prime Minister Alexander Novak linked the move to global market disruption tied to the Middle East and strong demand for Russian products. Bloomberg estimates Russia exports about 100,000 barrels per day of gasoline. Ukraine’s drone strikes on Russian refineries and constraints around the Strait of Hormuz have further tightened supply. Mongolia is not affected: its 2024 bilateral petroleum products cooperation agreement with Russia exempts it from the ban, the industry and minerals ministry said.

“The Middle East crisis has destabilized global supplies of crude and refined products, creating price volatility. With strong global demand for Russian petroleum products, this volatility has emerged.” - Alexander Novak, Deputy Prime Minister of Russia (news.mn)

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Selenge to Randomly Select 50 Residents for National Wealth Fund Deliberative Survey

Published: 2026-03-28

A nationwide deliberative survey under the “Mongol Person—Owner of the Wealth” initiative is underway to guide how National Wealth Fund revenues are increased, fairly allocated, and used. In total, 1,570 citizens—740 from Ulaanbaatar and 830 from the provinces—will be randomly selected for Phase 1. In Selenge aimag, 50 residents from Baruunburen, Bayangol, Mandal, Saikhan, and Sukhbaatar soums will participate. Selection is based on the voter registry from the 2024 parliamentary elections, in line with the Law on Deliberative Polling. The Phase 1 survey runs for one week through April 3, with officials administering questionnaires locally. A second-stage deliberation will convene at the State Palace on April 11–12, with at least 50% of Phase 1 participants reselected.

“Fifty Selenge residents will be randomly drawn from five soums using the 2024 parliamentary voter list, and at least half will be reselected for the April 11–12 deliberation at the State Palace.” - D. Gundegmaa, Head of Selenge Statistics Department (montsame.mn)

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Infrastructure

City Pays Over MNT 400 Billion in Advances for Tuul Expressway as Protests and Tender Allegations Grow

Published: 2026-03-28

Ulaanbaatar’s planned six‑lane, 32 km Tuul Expressway faces mounting pushback over risks to the capital’s primary drinking‑water source. A citizens’ movement submitted a demand on March 27 to Prime Minister G. Zandanshatar to dismiss Mayor H. Nyambaatar, citing alleged nighttime vegetation clearance along the Tuul River. City official B. Odbayar said an environmental assessment was approved last June, noting a 19 km flood levee and bridge structures in the river’s protection zone.

“The Tuul Expressway will not disrupt the river’s ecosystem or involve cutting willows.” - B. Odbayar, head of the Capital City Road Development Agency (isee.mn) Critics counter that feasibility and environmental studies remain unapproved, alleging forged expert signatures. Further controversy centers on the Chinese‑invested Haoyuan General Construction LLC—reportedly established on August 21, 2025—receiving over MNT 400 billion in advances despite questions over its bid documentation and capabilities.

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Ulaanbaatar to connect 4,600 new households to power with upgrades for 70,000 more

Published: 2026-03-28

Ulaanbaatar authorities plan to newly connect 4,600 households to the electricity grid in 2024 and improve voltage for 70,000 households, prioritizing ger areas, summer-house zones, and newly settled districts. Budget has been allocated and work has begun at 29 sites, including in Bayanzurkh District’s 33rd subdistrict near Gachuurt, where the City Engineering Infrastructure Department led field checks. Bayanzurkh District will connect over 1,000 households across 11 locations, targeting long-underserved peripheries and fast-growing areas facing low-voltage issues. The initiative underscores pressure from rapid peri-urban expansion and the need to stabilize distribution networks in older outskirts that have lacked reliable access since the 1960s.

“Some remote subdistricts have not been connected since the 1960s, and settlement is expanding in Shar Khooloi, causing voltage drops,” - Ts. Gombosuren, Bayanzurkh District Manager (news.mn)

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Environment

April Forecast Warns of Frequent Dust Storms and Sharp Temperature Swings; Snow and Wind Alerts in Effect

Published: 2026-03-28

Mongolia’s meteorological agency forecasts unsettled conditions through early April, with immediate advisories for March 28 indicating wet snow and blizzards across northern and eastern provinces and dusty winds in the south. Ulaanbaatar will see light precipitation and 2–4°C with gusts up to 13–15 m/s. From March 29 to April 2, intermittent rain and wet snow will affect multiple regions, with widespread strengthening winds (peaking at 16–18 m/s) and a marked nationwide cooldown on March 31. The April outlook signals frequent weather deteriorations—particularly mid- and late-month—bringing elevated wind and dust-storm risk in Gobi areas. Temperatures will oscillate around to above long-term averages overall but dip below average during several mid-periods; precipitation will be near to above normal in parts of the west and south. Authorities urge ongoing preparedness and wildfire vigilance.

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Authorities Warn of Extreme Wildfire Risk in Southern and Central Aimags as Temperatures Rise

Published: 2026-03-28

Mongolia’s emergency services warn of heightened wildfire risk as temperatures climb and vegetation dries. The National Emergency Management Agency advises residents and herders to strictly observe fire safety and avoid open flames in forest and steppe zones. Conditions are most severe in parts of Umnugovi and southwestern Dornogovi (extreme dryness), with high dryness across much of Bayankhongor, southern Sukhbaatar, Uvurkhangai, Dundgovi, Umnugovi, and Dornogovi. Moderate dryness is reported in northern Bayan-Ulgii, southwestern Uvs, western Zavkhan, Khovd, Govi-Altai, and in forest/steppe areas of Khuvsgul, Arkhangai, Bulgan, Darkhan-Uul, Selenge, Tuv, Khentii, and Dornod. Authorities typically increase patrols and impose strict fire-use rules during these periods, and non-compliance can trigger penalties. Travelers, rural households, and operations near grasslands and forests should review contingency plans and minimize activities that could spark fires until conditions ease.

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UNCCD Team Reviews COP17 Venue Works; Site Civil Construction at 65% with Structural Assembly Due by June

Published: 2026-03-28

A delegation from the United Nations Convention to Combat Desertification (UNCCD), led by Secretariat Chief of Staff Rajeb Bulharuf, conducted its third visit to Mongolia to inspect preparations for COP17. The team reviewed technical solutions, room layouts, and planning at the project site, issuing recommendations to align facilities with international standards. According to project updates, connections to site infrastructure are complete, while roads, open areas, and parking reached 65% completion as of March 15, 2026. Structural assembly is scheduled to finish by June. During the site visit, Deputy Minister of Environment and Climate Change B. Munkhtamir and State Protocol Department Head E. Odmonkh instructed the National Committee’s Working Office to refine high-level access arrangements, the “Green Zone” entry, overall site organization, and work plans. The contractor emphasized the urgent need to select fit-out and equipment installers to begin parallel execution.

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Health

Measles Update: 12 New Cases Reported as Total Hits 14,464

Published: 2026-03-28

The National Center for Communicable Diseases reported 12 new measles cases on March 28, bringing the national total to 14,464. Two new cases were identified in the capital and 10 in the provinces. Cumulatively, 11,704 cases have been recorded in the capital and 2,755 in rural areas. Fifty patients are currently under care—49 hospitalized and one receiving home treatment—with 18 in the capital and 31 in the provinces; most present mild to moderate symptoms. Children aged 10–14 remain the most affected group, accounting for 5,252 cases. Authorities underscored that measles is highly transmissible yet vaccine-preventable, urging residents to confirm their immunization status at local family or soum health centers for entry into the electronic registry and to receive catch-up doses if missed. Continued vaccination compliance is central to curbing transmission.

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