|Planes, helicopters & space crafts|
|Large construction vehicles|
Mongolia is a landlocked sovereign state in East Asia. It is bordered by China to the south and Russia to the north. While it does not share a border with Kazakhstan, Mongolia is separated from Kazakhstan by only 36.76 kilometers (22.84 mi). Ulaanbaatar, the capital and largest city, is home to about 45% of the country's population. The area of what is now Mongolia has been ruled by various nomadic empires, including the Xiongnu, the Xianbei, the Rouran, the Turkic Khaganate, and others.
In the 1990s the Government adopted a strategy that included macroeconomic stabilization to address immediate problems, sustainable economic growth, and implementation of reforms considered necessary for a successful transition to a market economy, as well as a central role for commercial banks. The main objective of the reform program was to promote establishment of a competitive, autonomous, market-based, and sound financial system that could regain public confidence and efficiently mobilize and allocate resources for economic growth. The financial sector reform program was therefore expected to: (i) strengthen financial intermediaries, (ii) strengthen the legal and regulatory framework for the financial sector, and (iii) establish a market-based financial inter-mediation process. In 2000, the Government formulated a Medium-Term Strategy for Financial Sector Development (covering the period 2000–2005), based on lessons from efforts to reform the financial sector during the previous decade. It also addressed the liquidity and solvency problems faced by commercial banks as a result of the 1999 financial crisis, which was caused by a severe drop in the prices of major commodity exports. In 2003, the Government prepared the National Action Plan for 2004–2008. That plan highlighted the importance of continued financial sector reforms to achieve a GDP growth rate of about 6% over the medium term. Accordingly, the plan set out to (i) consolidate financial sector stabilization, (ii) strengthen the stock exchange to mobilize savings for productive investments, and (iii) develop a broader range of financial services and instruments.
|Agriculture||Wheat, barley, vegetables, forage crops & milk.|
|Manufacture||Construction and construction materials, mining, oil, food and beverages, processing of animal products, cashmere wool and natural fiber manufacturing.|
|Services (Including financial)||50.9% (2013 estimate)|
|Bank of Mongolia||Banking|
|Planes, helicopters & space crafts|
|Large construction vehicles|
The Mongolian Stock Exchange (MSE) is located in Ulaanbaatar, is Mongolia's sole stock exchange. It was established in January 1991 by the decree of the Mongolian Government to privatize state-owned assets. MSE was the world's best-performing stock market after an increase of 121 percent in 2010. In 2011, MSE ranked the second best performing stock exchange in the world with 57.8 percent increase after Venezuela Caracas Stock Exchange, which increased by 80.8 percent. The Mongolian Stock Exchange was established in 1991 as a vehicle to implement the government's plan for privatization of large state-owned enterprises. In an attempt to ensure an equitable distribution of assets, the Mongolian government chose to instantiate a voucher-based scheme; one blue voucher worth MNT7,000 was issued to every citizen born before 31 May 1991 for the purchase of shares in large enterprises, and a nationwide network of 29 brokerage houses was established to take their orders. Red vouchers worth MNT3, 000 were also issued for the purchase of the assets of small enterprises which would not be listed on the exchange; unlike the blue vouchers, these could be traded in secondary markets. Initially, stock exchange officials hoped to privatize 80% of state assets, but, on 7 June 1991, Government Resolution No. 170 announced that the state would retain a stake of 50% in some large enterprises; mining, energy, transportation, communications, and water supply companies were excluded from the privatization scheme entirely.
Auctions officially began on 7 February 1992; shares in three companies were auctioned off. The first day's turnover was 16,000 shares, valued at US$15,000; that grew by over twelve times to 200,000 shares in March. Auctions continued to be held weekly; regional brokers collected vouchers and share orders from individuals, and submitted bids through their floor traders in Ulaanbaatar. Communication was often accomplished by modem. Trading hours were restricted to two hours on one day per week, expanding to two five-hour days per week in July; the thirty exchange officials used the remainder of their working time to prepare infrastructure and legal recommendations for trading in the secondary market. By October, 121 enterprises had been floated on the exchange. Mongolia soon boasted the world's highest rate of share ownership, as more and more people redeemed their vouchers for shares. Family members were permitted to transfer their vouchers to each other, so not everyone became a stockholder, but the peak number of shareholders was estimated at one million, or 43% of the population at the time. In the end, a total of 475 companies worth MNT17.33 billion were privatized by auctions and listed on the Mongolian Stock Exchange, including MNT5.04 billion worth of manufacturing companies, MNT4.09 billion of agricultural companies, MNT1.27 billion of construction companies, MNT1.25 billion of state farms, MNT580 millions of trading companies, MNT520 millions of transport companies, and MNT280 millions of companies in other sectors. Some sources suggest that illegal trading in vouchers occurred in advance of the privatizations; however, statistics from the exchange itself show that, the number of shareholders each enterprise initially emerged with corresponded roughly to the number of shareholders, one would expect, if each shareholder had spent all his vouchers to purchase shares in a single enterprise. This initially led to a very equitable distribution of shares; individuals found themselves unable to buy more shares, or sell the ones they already had, until the government passed a new securities law.
The financial crisis of 2008-09 has considerably slowed the pace of economic growth in Mongolia. When combined with the Dzud (severe winter storm) of 2009-10, which occurred just as the economy was beginning to recover and killed over 1 million heads of livestock, the slowdown is likely to have significant impacts on poverty as well as the distribution of income and consumption among the poor and non-poor. The primary impact of the crisis in Mongolia has occurred through its effects on the export sector, remittances, and a fall in global demand for commodities. The Dzud created more problems, with an estimated 8,500 households losing their entire stocks of animals, and hence their largest source of income (FAO, 2010). Furthermore, high meat prices induced by the Dzud, along with rising commodity prices and exports in 2010, have led to recent spikes in the inflation rate, which is leading to declines in real wages despite increases in nominal real wages. Such high inflation has the largest impact on the poor (the number of workers who claim that their earnings do not meet their basic needs increased by 15 percent during the first half of 2010) and creates concerns about a possible relapse into an economic crisis (World Bank, 2010).
In 1206, Genghis Khan founded the Mongol Empire, and his grandson Kublai Khan conquered China to establish the Yuan dynasty. After the collapse of the Yuan, the Mongols retreated to Mongolia and resumed their earlier pattern of factional conflict, except during the era of Dayan Khan and Tumen Zasagt Khan. In the 16th century, Tibetan Buddhism began to spread in Mongolia, being further led by the Manchu-founded Qing dynasty, which absorbed the country in the 17th century. By the early 1900's, almost one-third of the adult male population were Buddhist monks. During the collapse of the Qing dynasty in 1911, Mongols established the Temporary Government of Khalkha on November 30, 1911. This was before the abdication of the last Qing emperor and the establishment of the Republic of China. On December 29, 1911, Mongolia declared independence from the Qing dynasty; the National Revolution of 1911 ended over 200 years of Qing rule, though it was not until the Revolution of 1921 that de facto independence from the Republic of China was firmly established.
Shortly thereafter, the country came under the control of the Soviet Union, which had aided its independence from China. In 1924, the Mongolian People's Republic was declared as a Soviet satellite state. After the anti-Communist revolutions of 1989, Mongolia conducted its own peaceful democratic revolution in early 1990. This led to a multi-party system, a new constitution of 1992, and transition to a market economy. At 1,564,116 square kilometers (603,909 sq. mi), Mongolia is the 19th largest and one of the most sparsely populated independent countries in the world, with a population of around 3 million people. It is also the world's second largest landlocked country. The country contains very little arable land, as much of its area is covered by grassy steppe, with mountains to the north and west and the Gobi Desert to the south. Approximately 30% of the population is nomadic or semi-nomadic; horse culture is still integral. The majority of its population are Buddhists. The non-religious population is the second largest group. Islam is the dominant religion among ethnic Kazakhs. The majority of the state's citizens are of Mongol ethnicity, although Kazakhs, Tuvans, and other minorities also live in the country, especially in the west. Mongolia joined the World Trade Organization in 1997 and seeks to expand its participation in regional economic and trade groups.
The tögrög or tugrik (MNT) is the official currency of Mongolia. It was historically subdivided into 100 möngö . Currently, the lowest denomination in regular use is the 10-tögrög note and the highest is the 20,000-tögrög note. In Unicode, the currency sign is U+20AE TUGRIK SIGN. In 2010, the tögrög rose 15% against the dollar, due to the growth of the mining industry in Mongolia. However, its exchange rate eroded by 24% from early 2013 to June 2014 due to falling foreign investment and mining revenue. The word tögrög refers to "circle", or a "circular object" (i.e. a coin), but now is rarely used outside of referring to the currency, with the exception of the phrase tögrög sar, meaning "full moon". The tögrög was introduced on December 9, 1925 at a value equal to one Soviet ruble, where one ruble or tögrög was equal to 18 grams (0.58 ozt) of silver. During socialism, the tögrög coin denominations were 1, 2, 5, 10, 15, 20, 50 möngö, and 1 tögrög. On April 1, 1928 the Tugrik replaced the Mongolian Dollar and other currencies and became the only legal currency in Mongolia. Before other currencies were used in Mongolia, the mongo was also part of the currency history. It is no longer in the circulation because of its very low value. They became collectibles and novelties for tourists on the country. After the Mongolian People's Republic came to an end in 1990 and inflation surged, the möngö coins were abandoned and larger tögrög values introduced.
Like coins the tögrög banknotes were very similar to the Soviet ruble during the Mongolian People's Republic era. The similarities included color theme, overall design, and the lineup of the denominations, which were 1, 3, 5, 10, 25, 50, 100 tögrög unless stated otherwise. Mongolia’s economy has relied on the agricultural and herding sectors. The country has extensive mineral deposits. The economy improved in 2002–2003 as a result of increased copper and gold production. The Mongolian economy is highly sensitive to activity in neighboring countries. For instance, Mongolia relies on Russia for >90% of its petroleum product imports as well as a high proportion of its electric power, making the country very susceptible to price increases.
Mongolia’s main export trading partner is China, which is also considered Mongolia’s “shadow” economy. In 1997 Mongolia joined the World Trade Organization and intends to join Asian regional economic and trade organizations.
|National Song||"Mongol ulsiin töriin duulal"|
|Currency||Mongolian tögrög (MNT)|
|GDP||36.996 Billion USD|
|GDP Growth Rate||2.3 Percent|
|GDP Per Capita||$12274.891 (PPP)|
UTC+07:00 — the provinces of Khovd, Uvs and Bayan-Ölgii
UTC+08:00 — most of the country
< 1.0% Hindus
< 1.0% Jews
< 1.0% Other Religions
Mongol (Mostly Khalkha) 94.9%
Turkic (Mostly Kazakh) 5%
Other (Including Chinese And Russian) 0.1%
President – Khaltmaagiin Battulga
Prime Minister – Ukhnaagiin Khürelsükh
|Website||Go to the web|
|Public Debt||90 Percent|
|Unemployment Rate||6.693 Percent|
|Labor Force (Occupation)||-|