Mongolia

Mongolia faces significant challenges in manufacturing, as neighbouring China has a prominent edge in production of many goods. The northern country can also be an expensive country for manufacturers, with high transportation and labour costs. In May 2013, the minimum wage was raised from $87.75 per month to $120 per month. Government investment in textiles manufacturing in 2012 saw $68.8m...

Although the construction sector faces a number of challenges, such as the lack of a well-trained local workforce and low levels of domestic materials production, the sector is expected to benefit from increasing government investment in housing and infrastructure. Mongolia has a severe lack of affordable housing, and addressing this shortage is expected to be a major driver of construction...

As roads are being built, and as related infrastructure is developed, Mongolia’s connectivity and logistics are greatly improving. Significant investments in transportation have been made in recent years, especially in 2013, and more are expected. The government is spending $200m to revamp 33 intersections in Ulaanbaatar, and it has set the goal of connecting all of Mongolia’s 21 provinces to the...

Despite abundant reserves of coal and rich potential for wind, solar and hydroelectric power, Mongolia has lagged in exploiting its natural resources. From generation to transmission to distribution, the country’s power infrastructure is outdated, and reliance on foreign imports is growing. Aware of this, the government has been pushing to fast-track a range of projects that, if successful,...

The mining sector is a major contributor to the local economy, accounting for 22% of GDP, 61% of industrial value-added, 94% of exports by value and 85% of foreign direct investment in 2012, according to figures from the National Statistics Office. Mongolia’s main proven reserves include coal, copper, hard-rock and placer gold, silver, iron ore, molybdenum, fluorspar, zinc, tungsten, lead, tin,...

Mongolia’s insurance industry is expected to grow rapidly over the next few years as the economy expands and more firms and individuals become familiar with insurance products and the need to be covered. The market is open – a rarity in Asia – and international investors and strategic partners are taking a close look at potential acquisition targets and partners. With the state controlling the...