Mongolia Articles & Analysis

Given the significant foreign direct investment needed to achieve its development goals, Mongolia has strong motivation to improve its attractiveness to investors. The government is therefore adjusting its policies, while new laws are expected to gradually reinvigorate foreign investment flows.

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Rising debt levels and a cooling economy are among the challenges facing Mongolia’s new government; however, signs of modest recovery are apparent in some sectors of the resource-rich nation. 

Cheaper credit and signs of long-awaited movement in Mongolia’s mining industry are fuelling hopes of a rebound in the country’s banking sector.

With a combination of extreme summer drought and severe winter chill taking its toll on Mongolia’s livestock industry, the country is looking to financial incentives and targeted investment to bolster regional exports. 


Like many of its emerging market peers, Mongolia felt the weight of falling commodities prices and weaker global demand in 2015. However, progress made in moving major mining and transport infrastructure projects forward is expected to pave the way for recovery in the near to medium term.

With renewed backing from international lenders, Mongolia is moving ahead with plans to broaden its logistics base and improve access to export markets, with a raft of transport infrastructure projects shifting into gear.

The cashmere industry in Mongolia is making its mark on the global fibres market, with an abundance of quality raw materials and continuing investment in downstream processing capacity.