Asia Economy

At the far end of Ulaanbaatar’s Peace Avenue, a 10-minute walk east from Sukhbaatar Square, stands a site of major national importance to Mongolia: the rotunda of Bokhiin Orgoo, the “Wrestling Palace”. On the carpeted wooden floor of its main hall, thousands of Mongolian wrestlers have fought for the coveted supreme title of “undefeated giant...

Derelict factories, a small and muddy market and scattered concrete blocks amid gers (traditional tents), log cabins and rickety wooden stockades surround tiny residential districts. Today’s Kharkhorin isn’t a great deal to look at, though the surrounding snow-flecked hills and the unique, bright Mongolian light do invest it with some beauty. However, this was once...

Largely trade-oriented, the Mongolian economy is powered by growing mineral exports and oiled by imports of capital and consumer goods. Volumes have risen over the past two years as the mining sector has geared up, while external demand and prices both remain strong.

While Mongolia’s double-digit GDP growth is helping transform the country and makes it an emerging market star, it also contributes to double-digit inflation. High inflation is probably the single-biggest macroeconomic concern for the country since the end of the global economic crisis. While this is a sign of the economy’s success, rising prices...

From a closed Communist system two decades ago, Mongolia has become one of Asia’s most open economies. Hand-in-hand with the rise of democracy, economic reform has led to radical changes in the business climate. Growth is now led by the private sector and investors from around the world are welcomed.

Forecast to be one of the world’s fastest-growing marketplaces over the next two decades, Mongolia’s economy is developing rapidly. The country’s resource wealth and open, liberalised market are attracting increasing interest from international investors and putting it in the global spotlight.