Everyone’s friend: How Mongolia stays on good terms with Russia, China and western powers www.irishtimes.com

The first luxury hotel to be built in Mongolia and once the only one with a constant supply of hot running water, the Ulaanbaatar Hotel is now something of a curiosity of Soviet-era architecture. But for a couple of decades after it opened in 1961, this monumental building with its broad, 17-bay facade, was a rare, cosmopolitan venue in a remote, landlocked country under communism.
“The world was divided, uncertain, and even on the brink of war. During this time, the Ulaanbaatar Hotel was a home for many foreign diplomats and curious international journalists,” said Mendee Jargalsaikhan, director of Mongolia’s Institute for Strategic Studies.
He was speaking in the hotel at the start of the 10th Ulaanbaatar Dialogue on Northeast Asian Security, an annual conference that brings together diplomats, security experts and academics from across the region and around the world. Last week’s conference featured speakers from China, Russia, Japan and South Korea, along with the United States, Canada, Australia and a number of central Asian republics.
North Korea sent representatives every year until the coronavirus pandemic and they have yet to return. But Mongolia, which was among the first countries to recognise the Democratic People’s Republic of Korea (DPRK), has good relations with Pyongyang and the organisers hope the North Koreans will return.
After 70 years as a communist state with close economic, diplomatic and military ties to the Soviet Union, Mongolia became a liberal, parliamentary democracy after 1990. It normalised relations with China, established links with the US and the European Union and joined the Non-Aligned Movement.
David Curtis Wright, a history professor at the University of Calgary, said Mongolia succeeded where Canada failed in the 1980s and 1990s in its aspiration to become everyone’s friend. It has good relations with all of the six other states with stakes in northeast Asian security.
“Mongolia understands continental northeast Asian security concerns better than Japan, South Korea or the United States, and Mongolia also understands Japanese, South Korean and American security concerns better than Russia, China and the DPRK,” he said.
“Mongolia understands that war in northeast Asia would involve four nuclear states – the United States, Russia, China and the DPRK – and two other heavily armed states, Japan and South Korea, and the possible results are unthinkable. In addition, embroiling the world’s three largest economies, the United States, China and Japan in a war in northeast Asia would be utterly catastrophic for the world’s economy.”
Mongolia’s constitution prohibits foreign militaries from transiting through its territory or basing forces there and the country has declared itself a nuclear weapons-free zone. This has not stopped its troops from serving in support of the US in Iraq, Kosovo and Afghanistan but Mongolia’s forces are better known for their service on United Nations peacekeeping missions.
Northeast Asia has no military alliance similar to Nato and Mongolia faces a formidable challenge as it tries to manoeuvre between Russia, China and the western powers without compromising its sovereignty or democratic governance. Without the financial resources to build defence capabilities like Singapore or Switzerland, Mongolia has to engage in “soft balancing” using diplomatic means.
Its policy is modelled on that of Finland during the cold war, so that it avoids joining security alliances with the great powers and abstains from taking a stance on controversial matters. Like Finland in the late 20th century, Mongolia today presents itself as a neutral place for the great powers to negotiate.
Yoko Iwama, a professor of international relations at Japan’s National Graduate Institute for Policy Studies, told the Ulaanbaatar Dialogue that the waning of American hard and soft power presented challenges for northeast Asia. The advanced, affluent societies across the region had to think about how to avoid a war that would be too destructive for any of them to accept.
“This is somewhat similar to the 1970s in cold war Europe. Both the US and the USSR were facing multiple difficulties, and therefore wanted a relaxation of tensions. They also needed mechanisms and institutions to run this process, since the build-up of nuclear weapons had made war simply suicidal for both sides, a series of dialogues between East and West,” she said.
“We need a similar process in Asia. We need management of nuclear weapons between the nuclear powers, which are actually much more diverse today than in Europe in those days. Although the total number of warheads is a lower today than during the cold war, that does not make these weapons less destructive.”
The shift in US foreign policy since Donald Trump’s return to the White House has unnerved some of Washington’s allies, particularly in Europe. But for Kirill Babaev from the Russian Academy of Sciences, it is one of a number of positive changes in the international environment.
He said there were signs that the lowest point in opposition between the great powers had passed and de-escalation was now under way, with the US and Russia talking on the phone at least once a week and Washington and Beijing sitting down to discuss their trade relationship. He noted that Japan and South Korea’s trade ministers had met their Chinese counterpart to find common ground and both Seoul and Tokyo were considering easing sanctions against Russia.
“The second trend is definitely that the Global South is raising its voice because it also needs a place at this table of negotiations,” he said.
“I think for the first time in centuries, we see the situation where the Asian countries, the regional players, are becoming strong enough to become part of global policy, and that countries like China, India, the Middle Eastern countries, countries of Africa and Latin America would like to play a more vital part in global politics and the global economy. This, I think, creates a totally new world for us, a world that we have never known before, a world which will be free of so-called European, or if we call it white, domination in world politics or economics.”
Babaev said that the three major nuclear powers – the United States, Russia and China – now recognised these major trends in global affairs and that western domination was coming to an end. They would have to compromise to achieve a more stable system of global governance and he suggested that Washington, Moscow and Beijing could become the cornerstones of the new system.
“These will not be the only participants of the process, but without any of the three largest nuclear powers ... it will not be possible. We should definitely include also the regional powers, those who are now increasing their role in the world economy, including countries of south Asia, southeast Asia, Middle East and Latin America,” he said.
“I think probably it will be a good idea to revive the Security Council of the United Nations, which is actually a stalemate at the moment, just because the great powers cannot agree. But in case a compromise will be found between the three key players, United States, Russia, and China, then I think the regional partners will also follow, and we will revive the system of international governance, which will last for another five decades or something like that.
“I think we need an overall security guarantee agreement, which will look like probably something between Yalta 1945 or Helsinki 1975, or probably something new, but in any case will guarantee that the national interests will be secured and respected for all countries, either big or small.”
Babaev’s proposal outraged some European participants, who noticed that Europe was the only region he did not mention as having any role in shaping the new global system. He later criticised the EU for failing to offer any constructive proposals for peace in Ukraine and wanting to prolong the war there.
Zhuo Zihan from China’s Fudan University struck a more cautious note, asserting Beijing’s opposition to the idea of spheres of influence or a carve-up between the great powers. And he was more pessimistic about the prospects of an early improvement in relations between the US and China.
“Let’s be candid. We recognise the structural nature of this rivalry. But we are concerned by a tendency in some American political circles to treat China not as a peer to be engaged, but as a threat to be contained. This really has profound implications for our region.
“US strategy documents increasingly define China not as a strategic partner to manage peacefully, but as a systemic rival. This kind of thinking presses regional actors to choose sides. It stokes arms races, and undermines the co-operative spirit,” he said.
“China does not seek hegemony, either in Asia or anywhere else. We are not believers in exclusive spheres of influence. We believe each country, including Mongolia, the Koreas and Japan has a right to chart its own course in peace on an equal footing with sovereignty and dignity.”
Jenny Town, a senior fellow at the Stimson Centre in Washington, said that intensifying big power competition, the hardening of adversarial security alignments and rapidly growing defence budgets in northeast Asia reflected attempts to mitigate security dilemmas but also exacerbated them. A northern triangle of Russia, China and North Korea appeared to be pitted against the southern triangle of Japan, South Korea and the United States.
But she suggested that Trump’s return to the White House and the election in South Korea of Lee Jae-myung, a foreign policy pragmatist, could make a difference.
“The changes in leadership, especially in the United States and South Korea, pose an international opportunity,” she said.
“Each country has ample agency to redefine both the extent and the limits of co-operation in the region, both within the alliance structure as well as across adversarial ideological alliances. So while both Washington and the newly elected government in Seoul have pledged the continuous strengthening of alliance co-operation, both bilateral and multilateral, and to bolster readiness against the threats, there’s a degree of uncertainty about the sustainability of such co-operation.”
Over two days, participants in the Ulaanbaatar Dialogue discussed security challenges and multilateral co-operation in northeast Asia, co-operation with central Asia, climate change and energy resilience. Mongolia will host the Cop17 climate talks in 2026 and the country has suffered an increasing number of severe weather events linked to climate change.
Khishigjargal Enkhbayar, co-founder of the United Nations Association of Mongolia, said that young people across northeast Asia understood the need to work together to address climate change and energy resilience. This was true of all the region’s challenges.
“Consensus in our region will not come very easily, especially as we lack a multilateral mechanism for co-operation,” she said.
“And yet this region, home to two nuclear states and a quarter of the world’s GDP, cannot afford continued fragmentation. I think this was very much echoed throughout the Ulaanbaatar Dialogue conference. Our futures are very deeply intertwined, and whether we acknowledge it or not.”
BY Denis Staunton

Reconstruction of Kharkhorin City Begins www.montsame.mn

The reconstruction of Kharkhorin City has been launched on June 15, 2025, with a ceremonial hoisting of the Mongolian State Flag at “The Great Khaans’ Garden by the Decree of President of Mongolia Khurelsukh Ukhnaa.  
In 2022, on the 860th anniversary of the birth of the Great Chinggis Khaan, President of Mongolia Khurelsukh issued a Decree to rebuild Kharkhorin in the Orkhon Valley, a World Heritage site. Accordingly, the construction of the city has officially begun.
President of Mongolia Khurelsukh emphasized in his opening speech that in rebuilding Kharkhorin in the vast valley of the Orkhon River, its image from more than 800 years ago and the power of the Great Khaans should be embodied in it, based on written sources, archaeological finds, and evident. Moreover, the President noted the need to carry out major construction projects, including roads, railways, airports, heat and electricity sources, waste processing plants, treatment facilities, urban green parks, agricultural clusters, and river and lake restoration as a priority.
The President of Mongolia called upon the government, private sector and the people to actively participate and work together the rebuild of Kharkhorin, which require time, budget, labor, and dedication.
Green parks are planned to be established throughout the city, planting and nurturing over 1 million coniferous and leafy trees and shrubs across 1,500 hectares.
More than 800 people from 40 public and private entities, including mining and tree planting companies planted over 550,000 trees in the last month and a half. In the “Great Khaans’ Garden alone, the government and the private sector have jointly planted 11,000 trees. In addition 13,000 square meter of parking lots and 11,000 square meter of sidewalks have been built, as well as lighting, wells, and irrigation works have been completed.
It is estimated that 500,000 people will live in the new city of Kharkhorin, creating 285,000 jobs, and the city is anticipated to support regional development. Moreover, it is planned to be a smart city with government, administrative, international organizations, and diplomatic missions of foreign countries, and developed social, health, infrastructure, high-tech industries, housing, culture, art, tourism, green spaces, and other services. For instance, 50 percent of the city’s total area will be green spaces, 30 percent will be buildings and 20 percent will be roads. The city of Kharkhorin will make a significant contribution to breaking up population concentrations that negatively affect society, the economy, citizens' livelihoods, and health, including congestion, air, water, and soil pollution, creating conditions for living in a healthy and safe environment, providing basic social services, and creating new residential areas.
The State Great Khural of Mongolia approved the Law on Supporting the Planning, Construction, and Development of Kharkhorin City, and the Government established the Governor’s Office of Kharkhorin City, the City Council, and the Council of Scholars.
Currently, construction is underway for “The Great Khaans’ Garden,” the “Information and Promotion Complex.” Efforts are also being made to restore the Khugshin Orkhon River, Kheltgii White Lake, and the ruins of the ancient capital, alongside the launch of the city’s master plan.
In connection with the establishment of the city, 189 thousand hectares of land in the Orkhon Valley in the territories of Uvurkhangai and Arkhangai aimags have been acquired for special state needs.

Mongolia picks reformer to lead cabinet after former PM exits in scandal www.msn.com

A former foreign minister considered a reformer will head up the new government in Mongolia following the ouster of his predecessor, who resigned earlier this month.
Zandanshatar Gombojav, a career politician, was approved on June 12 by the Great Hural (Parliament) after a full day of hearings. His predecessor, Oyun-Erdene Luvsannamsrai, left office after failing a vote of confidence.
Zandanshatar, 55, received 108 votes out of 117 cast in Parliament to become Mongolia’s 34th prime minister. This represents a turn of events from a year ago, when he even failed to win a seat in Parliament.
Julian Dierkes, a Mongolia expert at the University of Mannheim, describes Zandanshatar as a “compromise candidate” between different factions of the ruling Mongolian People’s Party (MPP). Dierkes adds that there may be questions over his mandate due to his loss in Parliament last year.
But while his recent political fortunes were less than stellar, his background offers varied experience. In addition to serving as a foreign minister, Zandanshaatar has been a speaker of parliament. A decade ago, he attended Stanford as a visiting scholar.
He takes over a government left in tatters after the breakup of the last coalition government. Last month, the MPP voted to remove the Democratic Party (DP) from the coalition after DP members called for Oyun-Erdene to step down.
Oyun-Erdene’s exit was sparked by social media posts that raised questions over the source of his family’s wealth. Posted photos led to street protests and calls for his resignation.
Zandanshatar, a former banker, takes the reins of a government that has seen significant economic improvements since the pandemic. The economy grew 6% last year, largely on the back of strong coal and copper sales to China. The World Bank is forecasting 6.3% growth this year.
But challenges lie in wait. Speaker of Parliament Amarbayasgalan Dashzegve said in an address to Parliament early on June 13 that Mongolia faces uncertainty due to unstable geopolitics and soft commodity prices.
He urged Zandanshatar to “find ways to implement mega projects without putting pressure on the economy.”
Zandanshaatar’s economic past includes some nationalist tendencies but most experts agree he has moved to the centre on his economic views.
“Today he presents himself as a reform-minded stabiliser, not a threat to foreign capital,” said Amar Adiya, a political commentator and the editor of Mongolia Weekly, a market intelligence newsletter.
“Investors should watch who he appoints to the finance, economic development and mining ministries. That will say more about his direction than his decade-old positions. His past may raise questions but his recent tone suggests continuity, not confrontation,” Amar adds.
Those sentiments could ease concerns held by Western mining companies and others doing business in Mongolia. Foreign investment has long kept a cautious eye where Mongolia is concerned amid its frequent changes in leadership and shifting rules and regulations.
Chief among those investors is Anglo-Australian mining giant Rio Tinto, which controls the giant Oyu Tolgoi copper and gold mine, the anchor of Mongolia’s economy for over a decade.
Rio, currently negotiating with the government over mining licences, will be keen to engage with the Zandanshatar to move its project forward. One likely scenario is that Zandanshatar stays the course set down by the previous administration, which favoured the development of so-called megaprojects in energy, mining and other sectors.
“I don’t expect any radical turns in policy from the Oyun-Erdene government,” said Dierkes.
By Michael Kohn

Mongolia's central bank keeps benchmark interest rate unchanged at 12 pct www.xinhuanet.com

The Mongolian central bank's monetary policy council has decided to keep the benchmark interest rate unchanged at 12 percent, the Bank of Mongolia said Saturday.
"The decision was made due to the current state of the Mongolian economy and the prospects of the external and internal environments," the central bank said in a statement.
In March, Mongolia's central bank raised its benchmark interest rate by 2 percentage points to 12 percent amid rising inflation.

Khaan Quest 2025 int'l peacekeeping exercise kicks off in Mongolia www.xinhuanet.com

The annual multinational peacekeeping exercise Khaan Quest 2025 kicked off at the Five Hills training center near the Mongolian capital on Saturday.
"At the time when the international security environment is becoming increasingly complex, uncertain, and unstable, the solidarity, collective responsibility, and peace-loving spirit of countries are more important than ever," Purevdorj Bukhchuluun, deputy chairman of the State Great Khural of Mongolia, said at the opening ceremony.
Over 1,200 military personnel from 24 countries, including Mongolia, China, Australia, Canada, Egypt, France, Germany, India, Japan and the United States, are participating in the 22nd edition of the peacekeeping exercise hosted by the Mongolian Armed Forces.
The exercise, which will last until June 28, consists of a command post exercise and a field training exercise.

Mongolia and Russia Jointly Develop E-Commerce and Logistics As Free Trade Agreement Nears www.russiaspivottoasia.com

Zandanshatar Gombojav Appointed as Prime Minister of Mongolia www.montsame.mn

At its plenary session on June 12, 2025, the State Great Khural (Parliament) of Mongolia discussed and approved the appointment of Zandanshatar Gombojav as the Prime Minister of Mongolia.
As the Mongolian People's Party, which won the majority of seats in the State Great Khural as a result of the 2024 regular parliamentary elections, nominated Zandanshatar Gombojav as the Prime Minister of Mongolia, President Khurelsukh Ukhnaa submitted the proposal to the State Great Khural according to Article 39.2 of the Constitution.
Zandanshatar Gombojav, who has worked in the fields of academic research, economics, and foreign affairs, and at the state legislative and executive levels since 1992, is considered to be capable of ensuring public trust, political leadership, and policy stability.
A total of 68 members of the State Great Khural asked questions from the nominee and received answers and 28 members expressed their positions regarding the appointment. When a vote was held, 108 MPs out of the 117 members present at the plenary session, or 92.3 percent supported the appointment of Zandanshatar Gombojav as the Prime Minister of Mongolia.
Subsequently, the Resolution on the Appointment of the Prime Minister of Mongolia was approved. The 34th newly appointed Prime Minister of Mongolia Zandanshatar Gombojav addressed the State Great Khural.
Noting the urgent need to stabilize the economy, improve the income and livelihood of the people, and address pressing issues such as sudden energy failures, Prime Minister Zandanshatar stated the main goal of the new Government will be to overcome risks and challenges and enhance national resilience at all levels.
The newly appointed Prime Minister of Mongolia stated, “Human development will be the biggest mega project of our government. The new Government will work to be a Government that places the development of Mongolians at the core of its policies and the rights of its citizens at the center of its solutions. The Government will focus on the development of competent, productive, healthy, and globally competitive Mongolians, and will intensify comprehensive reforms in health, education, and social security. It will introduce a performance-based pay policy in every sector. The Government will reform the welfare system and pursue the principle that the best welfare is employment. The Government will intensify pension reform, reduce social insurance fund losses, and transfer the management to a fair, transparent, and professional asset management system."
Zandanshatar Gombojav was born in 1970 in Baatsagaan soum, Bayankhongor aimag, and has a wife and four children. In 1987, he graduated from Secondary School No. 77 in Ulaanbaatar and studied at the Irkutsk Institute of National Economy in the Russian Federation from 1987 to 1992, earning a degree in finance and economics. He has a Master’s degree in Economics. He began his professional career as a lecturer at the University of Commerce and Industry. From 1995 to 1998, he served as an economist, department head, and division director at the Agricultural Bank. Between 1998 and 2000, he worked as the manager of the training center at the Bank of Mongolia and as the bank’s representative at the Agricultural Bank. From 2000 to 2003, he was the Deputy Director at Khan Bank, and worked as Deputy Minister of Food and Agriculture from 2003 to 2004. From 2005 to 2010, he was a member, Vice President, and later President of the Board of the Socialist Democratic Youth Union under the Mongolian People’s Party (MPP). He served as a Member of Parliament from 2004 to 2012, as Minister of Foreign Affairs from 2009 to 2012, and between 2012 and 2013, he was the Secretary General of the MPP. From 2013 to 2015, he conducted research at the Center on Democracy, Development, and the Rule of Law at Stanford University in the United States. He was re-elected to Parliament in 2016 and served until 2024. From 2017 to 2019, he was a Member of the Government and the Chief of Cabinet Secretariat of the Government of Mongolia. From 2019 to 2024, he served as Chairman of the State Great Khural. Since 2024, he has worked as the Chief of Staff of the Office of the President of Mongolia.

What Mongolia’s New Prime Minister Means for Its Democracy www.time.com

It’s either a triumph for people power or a worrying lurch towards authoritarianism, depending on whom you ask, but Mongolia has a new Prime Minister: Zandanshatar Gombojav, a Russian-educated former banker who previously served as Foreign Minister, Chief of the Cabinet Secretariat, and speaker of the State Great Khural parliament.

“I will work forward, not backward,” Zandanshatar told the State Great Khural, whose lawmakers overwhelmingly approved his elevation to the premiership by 108 out of the 117 members present. “By respecting unity, we will overcome this difficult economic situation.”

They’re economic woes that contributed to the downfall of outgoing Prime Minister Luvsannamsrain Oyun-Erdene, who belongs to the same Mongolian People’s Party (MPP) but quit after failing to receive sufficient backing in a June 3 confidence vote he called to quell popular protests demanding his ouster.

For several weeks, thousands of predominantly young demonstrators have thronged central Ulaanbaatar’s Sukhbaatar Square in outrage at the lavish displays of wealth that Oyun-Erdene’s son and fiancée posted on social media, including helicopter rides, an expensive engagement ring, a luxury car, and designer handbags.

The crowds called for Oyun-Erdene to disclose his personal finances, but he declined saying that they had already been provided to the nation’s Anti-Corruption Agency, as required by law. However, public trust in that body and the wider judiciary is scant following a slew of high-profile graft scandals coupled with a conspicuous lack of prosecutions or accountability.

“Oyun-Erdene was the one who was talking about morals, transparency, and corruption,” protest leader Unumunkh Jargalsaikhan, 27, tells TIME. “But Mongolia is actually degrading when it comes to the economy and freedoms. The corruption scandal was just the spark.”

Unumunkh blames rising living costs and torpid wages for driving public anger, especially among young people. Mongolia is facing an economic crunch with government spending rising 20% year-on-year for the first four months of 2025 but goods exports falling by 13% over the same period, owed not least to a 39% decline in coal exports. Still, Oyun-Erdene was dismissive of the protesters and in a statement instead blamed “a web of interests, tangled like a spider’s web” for toppling him.

Oyun-Erdene’s supporters say his ouster had three drivers: Firstly, and with a dash of irony, his relentless pursuit of official graft, including a draft law his cabinet just submitted that would compel all public officials to justify their income.

Secondly, last year’s updated Minerals Law, which puts 34% of the equity of “strategic” mines—defined as producing over 5% of GDP—into a Sovereign Wealth Fund. Today, nine of Mongolia’s 16 strategic deposits are privately owned by influential industrialist families. “Those private companies are very unhappy and completely opposed to 34% belonging to the state,” says Jargalsaikhan Dambadarjaa, a Mongolian broadcaster and political commentator.

The third alleged driver is more contentious: that Mongolian President Ukhnaagiin Khurelsukh deviously undermined Oyun-Erdene in order to change the constitution to boost presidential powers and extend term limits from the single, six-year stint currently permitted.

True, incoming Prime Minister Zandanshatar’s most recent posting was as chief-of-staff to Khurelsukh, who chose to give a midnight speech to the State Great Khural on the eve of Oyun-Erdene’s no-confidence vote that urged lawmakers to represent their constituents rather than a single political leader. Despite the MPP having enough lawmakers to reach the 64-vote threshold required to save Oyun-Erdene, his own party deserted him, with the secret ballot totaling just 44 votes for, 38 against.

Oyun-Erdene’s camp paints Khurelsukh as an aspiring autocrat intent on aligning Mongolia with authoritarian neighbors China and Russia, noting how he hosted Vladimir Putin in Ulaanbaatar in September, flouting an International Criminal Court arrest warrant, and also attended Moscow’s Victory Day Parade in May. A doctored photo depicting Khurelsukh as having commissioned a giant golden statue of himself in the manner resembling a Central Asian despot is doing the rounds on social media.

However, this narrative has some problems. Gladhanding Putin is a political necessity for landlocked Mongolia, whose 3.5 million population relies on Moscow for 90% of imported gas and petroleum and is completely beholden to Russia for security. “Turning up in September was Putin showing the rest of the world his middle finger,” says Prof. Julian Dierkes, a Mongolia expert at the University of Mannheim in Germany. “There was no option for Mongolia to say no.”

Moreover, Khurelsukh has proven an internationalist, first addressing the U.N. General Assembly soon after his inauguration in 2021 and returning every year since. (His predecessor, Khaltmaagiin Battulga, rarely showed up.) While not outright condemning Russia’s aggression in Ukraine, Khurelsukh’s latest UNGA address in September did pointedly voice opposition to “using force against the territorial integrity and political independence of any state.”

Khurelsukh has also repeatedly gone on record to oppose amending the constitution, which was just updated in 2019 to strengthen the legislative branch. “Honestly, there isn’t a lot of worry about the President trying to stay in power,” says Bolor Lkhaajav, a Mongolian political analyst and commentator. Dierkes agrees: “I call baloney on the ‘evil President thesis.’”

It’s also a thesis that completely ignores the concerns of the Sukhbaatar Square protesters while presuming that things in Mongolia were otherwise rosy and improving under Oyun-Erdene. However, Mongolia’s score on the Transparency International Corruption Perceptions Index had fallen from 35 out of 100 when he came to power in 2021 to just 33 last year. Meanwhile, human-rights groups have condemned the prosecution of peaceful protesters and prominent journalists under his watch. Mongolia’s press freedom ranking dropped to 109 out of 180 countries last year, down from 88 in 2023, according to Reporters Without Borders.

“On corruption, he’s taken rhetorical actions,” Dierkes says of Oyun-Erdene. “And on democracy promotion, he’s taken negative actions. He is no democracy warrior.”

Moreover, while Zandanshatar is clearly close to the President, he is by no means a lacky, being a highly educated career politician—a former visiting scholar at Stanford—with his own power base. Still, what Zandanshatar’s rise to the premiership means for Mongolia going forward is a big question.

A married father-of-four, Zandanshatar, 55, developed a reputation as a thoughtful, steady speaker of parliament. Following his posting at Stanford, he returned enthused about deliberative polling, which was subsequently employed to gauge public opinion prior to the 2019 constitutional amendment. Zandanshatar does, however, have a democratic deficit given he’s one of the few senior MPP figures not to have won a seat in the 2024 election, though he had been elected three times previously. 

Although choosing a non-lawmaker as Prime Minister is not unprecedented, Dierkes fears this may serve as a “legitimacy achilles heel” should the winds turn against him. Jargalsaikhan also notes Zandanshatar was one of the proponents of Mongolia’s 2006 “windfall tax” on copper and gold mining profits. (The 68% levy—the world’s highest—was repealed in 2009 after decimating investor confidence.)

Oyun-Erdene had earmarked 14 new mega projects to boost economic growth, including a major expansion of renewable energy and cross-border railway connections with China, which receives 90% of Mongolian exports. He also promised to diversify the country’s economy, which is heavily dependent on a mining industry that accounts for a quarter of GDP. But policy continuity is key to attracting the foreign investment necessary to realize these goals.

“Until investment laws are consistent here, investors are going to be wary,” says Steve Potter, an honorary member and former chairman of the American Chamber of Commerce in Ulaanbaatar. “Constant changes in rules and regulations have long been a problem. Consequently, foreign investment has been very lackluster.”

Investor uncertainty isn’t the only worry. Having lasted in power four-and-a-half years, Oyun-Erdene was the longest-serving of Mongolia’s 18 Prime Ministers since its 1990 democratic revolution. The revolving door of governments and leaders has augmented the idea that parliamentarian democracy is flawed or inherently unsuited to Mongolian society, while rendering a centralized political system more appealing for some—an idea that is being amplified by shadowy actors on social media and galvanized by Oyun-Erdene’s tone deaf response to protesters’ demands.

“The protests were organic, but instead of showing his financial papers the Prime Minister’s response was so political,” says Bolor. “His reaction showed just how disconnected he was from the people, who only care about how his policies are impacting their daily lives, such as air pollution, unemployment, and corruption.”

So while Oyun-Erdene’s demise was likely rooted in factional bickering rather than a nefarious power grab, the debacle contains a stark warning that Mongolia’s political class needs to start pulling in the same direction for cherished freedoms to be secured. “Democracy itself is very fragile,” says Jargalsaikhan. “But it’s so important and can only be protected by a thriving parliamentarian system. And we must not lose democracy in Mongolia.”

by
Charlie Campbell

Ulaanbaatar Dialogue Shows Mongolia’s Foreign Policy Continuity Amid Political Unrest www.thediplomat.com

No prime minister, no problem: Mongolia’s 10th International Conference on Northeast Asian Security proceeded as planned.
Mongolia hosted the Ulaanbaatar Dialogue (UBD) on Northeast Asian Security in Ulaanbaatar from June 5-6. This year’s dialogue was surrounded by domestic political turmoil – the ousting of Prime Minister Oyun-Erdene Luvsannamsrai last week and the search for a replacement, with Zandanshatar Gombojav just nominated. Yet despite the circumstances, the UBD demonstrated continuity in Mongolia’s foreign policy and its broader aim to be engaged in matters of global affairs. 
On June 5, Foreign Minister Battsetseg Batmunkh opened the 10th Ulaanbaatar Dialogue, also known as the International Conference on Northeast Asian Security. In her opening remarks, Battsetseg highlighted Mongolia’s presence in regional and global affairs, and said that its peaceful foreign policy and diplomatic approaches aim to establish confidence-building and peacekeeping between conflicting parties. 
Battsetseg expanded on the purpose of the the UBD. As one of Northeast Asia’s important international conferences, she said, scholars, academics, and researchers can openly discuss and engage in fruitful dialogue on challenging topics, while seeking a peaceful resolution to these challenges. 
This year’s UBD gathered over 230 scholars and experts from 40 countries. In comparison to the previous year’s UBD, this year saw participation of some new partners, such as the United Arab Emirates, Oman, the Philippines, and Iceland. 
The Philippines ambassador to China, James FlorCruz, who is also the country’s non-resident ambassador to Mongolia, spoke at the UBD. “We are committed to deepening these bilateral relationships while upholding our core principles of sovereignty, independence, and the peaceful settlement of disputes,” he said. As Mongolia and the Philippines have been strengthening bilateral ties, the participation of FlorCruz in the UBD was a boost to the two countries’ bilateral relations.
FlorCruz highlighted, “For the Philippines, fostering peaceful and stable relations with all nations in Northeast Asia – including China, Japan, Mongolia, and the two Koreas – is a matter of strategic interest.”  
In addition to round table discussions the UBD offers platforms and opportunities for sideline engagements. For instance, the director of Institute of Strategic Studies under the National Security Council of Mongolia, Mendee Jargalsaikhan, signed a Memorandum of Understanding with the Uzbekistan-based International Institute for Central Asia, headed by Javlon Vakhabov, to expand their partnership. 
Mongolia’s hosting of the UBD amid political unrest shed light on the importance of the country’s foreign policy – and the need for continuity. Sandwiched between two large powers, Russia and China, Mongolian diplomacy must always be active and engaged with its neighbors, but also beyond. Simply put, Mongolia cannot afford to have its foreign policy derailed by political instability at home.
Since Mongolia’s democratization in 1991, its governments, especially the prime minister’s office, has been extremely unstable, yet Mongolia’s foreign policy direction has not wavered. Other than disruption caused by the COVID-19 pandemic, the UBD has become an annual strategic platform for Ulaanbaatar to gather experts representing multiple and diverse perspectives.  
The 2025 Ulaabaatar Dialogue centered on five main themes: 1) security challenges and opportunities in Northeast Asia, 2) multilateral cooperation in Northeast Asia, 3) climate change and security challenges, 4) regional cooperation between Northeast Asia and Central Asia, and 5) energy challenges and climate change in Northeast Asia.
As Mongolia will be hosting COP17 for the United Nations Convention to Combat Desertification in 2026, the UBD put a special focus on climate issues. 
Despite the United States withdrawing from many climate agreements and multilateral agreements that would have guaranteed both financial and moral support for Mongolia’s commitment to address climate change, Ulaanbaatar’s other partners – in Asia, Europe, and now the Middle East – remain optimistic about such global outreach and partnerships. 
The UBD serves as a mechanism for Mongolia to strengthen bilateral and multilateral relations. In this year’s context, the dialogue created space for countries to seek cooperation mechanisms to tackle climate change.
Mongolia’s third neighbor partnerships, particularly with South Korea and Japan, can be augmented in the area of climate change. South Korea’s commitment to invest $1.9 billion in green technology aims to support the country’s ambitious goal to become carbon neutral by 2050. South Korea’s commitment to renewable energy and technological advancement is a major incentive for Ulaanbaatar to incorporate those advantages in its own fight against climate change.
Similarly, in Japan, according to the Asia Investor Group on Climate Change, “investors are increasingly committed to setting 2030 or 2035 emissions reduction targets.” China, too, has set a goal to reach carbon neutrality by 2060. Combining Japan, China, and South Korea’s investment potential in climate change and green funds, Mongolia certainly has the opportunity to attract investments from Asian partners even as the U.S. withdraws from this space. 
As Mongolia continues its international commitment to combating climate change, domestically, it is already experiencing the impact. The need to tackle climate change has become a multilevel challenge, which requires policymakers to understand the full complexity of the problem. At a policy level, the legislative branch as well as the executive branch will need to implement policies and allocate financial resources to climate change issues. In these efforts, the UBD serves as a platform to learn from others, and hopefully inspire and attract investment in sectors that are prone to climate change impact.
By
Bolor Lkhaajav is a researcher specializing in Mongolia, China, Russia, Japan, East Asia, and the Americas. She holds an M.A. in Asia-Pacific Studies from the University of San Francisco.

The United Nations Children’s Fund (UNICEF) in Mongolia, the National Foundation for Supporting the Billion Trees Movement, and Creditech STM NBFI LLC have jointly launched the “One Child – One Tree” initiative www.billiontree.mn

The UNICEF Mongolia, the Mongolian Billion Tree Foundation, and Creditech STM NBFI LLC signed a Memorandum of Understanding on June 9, 2025 to jointly collaborate on the “One Child – One Tree” initiative.
The initiative aims to ensure that the rights and wellbeing of children are respected and fulfilled by providing opportunities to learn in a healthy, eco-friendly environment, enhancing their knowledge and awareness of nature and ecology, encouraging them to actively participate in creating green spaces with their own hand and promoting their engagement within the broader community. 
The initiative aims to support the education of children in Mongolia and promotee environmental sustainability through implementing school-based forestry and gardening programs.
1.  The Parties aim to achieve the following results through this cooperation:
• Establish up to 500 school-based tree nurseries and food gardens.
• Enable up to 280,000 students to receive education on forestry and gardening.
• Engage up to 15,000 teachers and students in tree planting and forest conservation activities. 
• Develop and implement at least five innovative mechanisms to sustain tree growth and environmental stewardship.