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Analysis

Local petroleum refining capacity becoming increasingly attractive in Mongolia
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With the lion’s share of current coal exports unprocessed, the government is eager to build a domestic coal value chain that could jump-start Mongolia’s mid-stream segment. By 2014 the government had approved feasibility studies for two coal-to-liquid (CTL) projects and signed a memorandum of understanding (MoU) with Sinopec for synthetic natural gas plants. Looking to Diesel In total, four CTL…

Analysis

Increasing electricity capacity key to meeting growing demand in Mongolia's energy sector
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Despite abundant reserves of fossil fuels and potential renewable energy resources, Mongolia has lagged in developing new power supply to match surging demand. Domestic electricity demand has grown by 30% to 5.5m KWh between 2008 and early 2014, but supply has grown by only 6.8%, with the balance imported from Russia. A key explanation is the long gestation period for privately financed power projects. While…

Analysis

New and updated legislation provides clearer guidelines for investors in Mongolia's energy sector
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Eager to expand exploration in both traditional hydrocarbons and unconventional fossil fuels like oil shale and coal bed methane (CBM), Mongolia’s parliament overhauled the existing 1991 framework with a new Petroleum Law in July 2014. Significantly easing terms for exploration, the new rules have created much-needed clarity in applying for production-sharing contracts (PSCs) and established competitive…

Analysis

Major rail projects in Mongolia showing significant progress
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While the construction of roads has been progressing apace, rail has been stalled as a result of political and economic problems plaguing the country and the sector. However, towards the end of 2014 many of the issues were being resolved, and it is possible that significant and crucial headway will be made in 2015. Decisions have been reached on the gauge for some key connections and it now seems the…

Analysis

A series of new logistics projects under construction in Mongolia
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The need for transportation improvements in Mongolia is well recognised, and the government has focused resources and expended considerable political will on building roads and rail links, and in developing the new international airport. Where the authorities and Mongolia’s private sector have been lagging, however, is in the area of logistics. Connections are not efficient, warehousing is not sufficient,…

Analysis

The prices of building inputs on the rise in Mongolia's construction sector, driven by fast-growing demand for materials
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In 2014 Mongolia’s construction industry saw a major uptick in output. Driven in large part by the government’s ongoing residential housing development programmes, the sector grew by 16.3% over the course of the year, according to data from the National Statistical Office. One key challenge during this period of rapid expansion has been sourcing construction materials. Only a handful of domestic…

Analysis

Efforts to support local entreprenurs in Mongolia's IT sector facilitating domestic content production
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While the overall number of internet users in Mongolia grew eight-fold from 2009 to mid-2014 – from just over 100,000 to more than 1m, according to the Communications Regulatory Commission of Mongolia (CRC), the nation’s telecommunications regulatory organisation – most locals spend their time online at foreign websites. As of mid-2014 Mongolian internet content was rare. According to recent…

Analysis

Boosting telecoms usage and rural connectivity outside Mongolia's capital city a government priority
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Mongolia’s status as the single least populous country in the world – according to recent census data the nation has a population density of 1.76 people per sq km – has presented a wide variety of challenges for the development of telecommunications systems. The cost of extending a fixed-line network into the nation’s vast rural areas – many of which are covered in mountains or empty desert…

Analysis

Ensuring long-term food security from Mongolia's agriculture sector a national priority
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Over the past five years Mongolia’s food security situation has improved dramatically. Current estimates put the country’s overall food self-sufficiency – a measure of the extent to which the nation can meet domestic demand for food – at 50-60%, which is up considerably on previous years. The steadily improving food security situation since the mid-2000s, in particular, can be attributed in…

Analysis

Outdoor activities in Mongolia have the potential to serve as a cornerstone of its tourism industry
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In February 2014 Mongolia’s Ministry of Culture, Sports and Tourism – now the Ministry of Environment, Green Development and Tourism (MEGDT) – introduced a new tourism slogan: “Mongolia, Nomadic by Nature”. The tourism tagline was commissioned by the government and developed by CNN’s Tourism Advertising Solutions and Knowledge Group in preparation for Mongolia’s turn as the official partner…