UNDP and KOICA launch second phase of partnership to advance women’s and youth leadership in Mongolia www.undp.org

Ulaanbaatar, 22 July 2026. The United Nations Development Programme (UNDP) and the Korea International Cooperation Agency (KOICA) today signed a Grant Arrangement to launch the second phase of their partnership to promote gender equality and inclusive governance in Mongolia. The four-year initiative, “Promotion of Gender Equality in Public Decision-Making and the Empowerment of Women and Youth in Mongolia – Phase II,” will run from 2026 to 2029 and will be implemented by UNDP in partnership with the Secretariat of the State Great Khural, government institutions, political parties, civil society, academia, and media stakeholders. 

While Mongolia has made progress in advancing gender equality and democratic governance, women and young people remain underrepresented in public decision-making and leadership. Building on the first phase, the project will help address the institutional, structural and social barriers that continue to limit their equal participation and representation.

“The achievements of the first phase were recognized at the highest level through the Joint Declaration on Strengthening the Strategic Partnership between Korea and Mongolia, signed during President Lee Jae Myung's recent state visit — a testament to how far this cooperation has come," said Jo Haeng-Lan, Country Director of KOICA Mongolia Office. "Building on this momentum, we hope the second phase will generate even greater impact by extending support to local governments and empowering more young people, while serving as a bridge that further strengthens the strategic partnership between the Republic of Korea and Mongolia through the sharing of Korea's democratic governance experience." 

The project will strengthen leadership capacities, support legal and policy reforms, promote gender-responsive practices in political parties, and increase public awareness of equal participation and representation. Particularly, the project will focus on strengthening women’s and youth leadership through training, mentorship, fellowships, grants and networks; supporting institutional and legal reforms that promote equal participation and representation; and building public support for women’s and youth leadership through campaigns, media partnerships, research and engagement with universities and civil society.

“Inclusive governance is strongest when women and young people are not only represented, but able to influence the decisions that shape their lives and communities,” said Matilda Dimovska, UNDP Resident Representative in Mongolia. “Through this continued partnership with KOICA, UNDP will support Mongolia in removing barriers to equal participation and building public institutions and political processes that are more representative, responsive and accountable.” 

By 2029, the project is expected to contribute to Mongolia’s commitments under the Sustainable Development Goals, particularly SDG 5 on Gender Equality and SDG 16 on Peace, Justice and Strong Institutions, as well as Vision 2050.

About KOICA 

The Korea International Cooperation Agency (KOICA) is the Republic of Korea's official development cooperation agency, supporting sustainable development and strengthening partnerships around the world through development assistance, technical cooperation, and capacity-building initiatives. 

About UNDP 

The United Nations Development Programme (UNDP) is the United Nations' lead agency on international development. UNDP works in more than 170 countries and territories to help eradicate poverty, reduce inequalities, build resilience, and support sustainable development for people and the planet.

Mongolia PM N.Uchral orders advance notice by August 1 for COP17-related road closures www.asianews.network

"The foreigners who come to this conference should leave with a positive impression of our country and of Mongolians. They should leave seeing that it is a country with a hardworking, young population," said the Prime Minister.

Prime Minister N.Uchral has instructed city and national officials related to the upcoming UNCCD COP17 International Conference, which will be held on August 17-28, 2026, in Ulaanbaatar, Mongolia.

He said, “Before August 1st, we must officially inform the public about all information related to their daily lives during the COP17 conference. This includes traffic regulations, temporary closures, changes in public transport routes, and updates regarding schools, kindergartens, markets, and shopping centers.

The Mayor should inform the citizens as early as possible. Let them know exactly which roads will be closed and for how long. We should not cause a lot of trouble for our people. Also, the Minister of Education must inform the public by August 1st which district schools will postpone classes for a week or switch to online learning. When Mobicom’s network is going to be disrupted, they send a text message and warn people in advance. We should work in the exact same way.

The Mayor must also clean the public areas of the 26th khoroo of the Bayanzurkh district very well before this meeting. We are not trying to build a completely new city, but rather to clean up the existing one and add color.

Minister of Environment and Climate Change Ts.Sandag-Ochir is leading the National Committee very well. Congratulations. He will lead the entire team. Our ministers should not say different things just because they did a certain task, and there should not be many heads. Only one person will lead. Minister Ts.Sandag-Ochir will be responsible for all this work.

Give the work to those who can actually do it. Let’s just get it done. We have very little time left. The foreigners who come to this conference should leave with a positive impression of our country and of Mongolians. They should leave seeing that it is a country with a hardworking, young population”.

By E. Oyun-Erdene

China to support supply of AI-92 gasoline and aviation fuel to Mongolia www.gogo.mn

On July 21, 2026, Prime Minister N.Uchral received Shen Minjuan, Ambassador of the People's Republic of China to Mongolia, as the ambassador concluded her diplomatic mission and prepared to return to China.

Prime Minister N.Uchral congratulated Ambassador Shen on receiving Mongolia's Order of the Polar Star (Altan Gadas), one of the country's highest state honors, by decree of the President of Mongolia.

He noted that the Government of Mongolia highly values Ambassador Shen's active efforts to strengthen bilateral relations and cooperation during her tenure and praised her significant contribution to deepening the friendship between the peoples of Mongolia and China.

Ambassador Shen expressed her commitment to the continued development of bilateral cooperation and said that the Chinese side is paying close attention to ensuring the supply of AI-92 gasoline and aviation fuel to Mongolia in response to the request of the Mongolian Government.

N,Uchral also expressed confidence that key bilateral projects would continue to move forward, including the railway connections at the Shiveekhuren–Sekhe, Bichigt–Zuun Khatavch, and Khangi–Mandal border ports, as well as efforts to strengthen the legal framework through amendments to relevant bilateral agreements.

Ambassador Shen Minjuan is concluding her two-year and 10-month diplomatic assignment in Mongolia.

Mongolia, Tajikistan Deepen Strategic Partnership with 11 New Agreements www.caspianpost.com

Mongolia and Tajikistan have taken a major step toward strengthening bilateral ties, signing a Joint Statement on Expanding and Developing Friendly Relations and Cooperation along with 11 new agreements during Tajik President Emomali Rahmon’s state visit to Mongolia.

The documents were signed during President Rahmon’s visit to Ulaanbaatar at the invitation of Mongolian President Khurelsukh Ukhnaa, reaffirming both countries’ commitment to expanding cooperation across a broad range of sectors, The Caspian Post reports via Kazinform.

The newly signed agreements cover transport, agriculture, trade, education, mining, environmental protection, youth and sports, geology, and investment, creating a framework for closer political and economic collaboration.

One of the key outcomes of the visit is a visa-free travel agreement for holders of diplomatic and official passports, allowing stays of up to 30 days and making official exchanges between the two countries easier.

The two sides also signed an international road transport agreement, a memorandum on plant protection and quarantine, and a 2026-2028 agricultural cooperation roadmap aimed at boosting agricultural trade and strengthening food sector cooperation.

Additional agreements focus on climate action, environmental protection, vocational education, mining safety, geological research, and investment and export promotion. The initiatives are expected to support joint projects, technology sharing, and stronger business and investment ties.

President Emomali Rahmon is paying a state visit to Mongolia from July 20 to 22, 2026, at the invitation of President Khurelsukh Ukhnaa, with the visit marking a new chapter in relations between the two countries.

Copper is central to Mongolia's growth but requires policy shifts www.mongolianminingjournal.com

Mongolia’s coal exports have reached historic highs in recent years and have become the main driver of GDP growth. However, this is highly dependent on China’s steel production and coking coal demand, making it inherently high-risk.

Within the framework of its “Dual Carbon Goals” to reduce greenhouse gas emissions, China is pursuing one of the world’s most aggressive transitions towards green energy. As a result, it is only a matter of time before the country gradually reduces its longer-term coal imports and consumption.

It is getting clear that the main growth driver in coming years will not be coal, but copper and other strategically important minerals.

According to estimates by the International Energy Agency (IEA), in order for the world to reach net-zero carbon emissions by 2050, annual global copper demand will need to double from current levels, reaching 50 million tonnes.

Electric vehicle production alone is expected to require around four times more copper than today, averaging approximately 83 kg per vehicle. Meanwhile, renewable energy power plants require 5–12 times more copper than conventional thermal power plants.

In addition, when factoring in the rapidly expanding energy infrastructure needs of data centers in recent years, a copper shortage is already emerging in global markets.

Commodity analysts predict that by 2030, the world could face an annual copper supply deficit of approximately 4.7 million tonnes. This is expected to act as a structural driver keeping copper prices in a long-term range of around $12,000–$15,000 per tonnes.

Therefore, the strategic pillar for sustaining Mongolia’s economy over the next 20–30 years and ensuring long-term stable growth will be large-scale copper projects.

HIGH EXPECTATIONS: TSAGAAN SUVARGA DEPOSIT

One of the strategic large-scale projects being implemented by “Mongolyn Alt” (MAK) LLC is the Tsagaan Suvarga copper–molybdenum deposit, in Mandakh soum of Umnugobi aimag. This long-anticipated project has attracted significant expectations over many years, and, within its framework, construction of the mine, beneficiation plant, and associated infrastructure has been progressing in phases.

At present, several hundred workers are operating at the project site, carrying out the construction of the open pit mine and the foundational infrastructure for the ore beneficiation plant and mining complex.

According to the approved Feasibility Study (FS), the Tsagaan Suvarga project has an ore processing capacity of 14.6 million tonnes per year, producing approximately 310,000–320,000 tonnes of copper concentrate and 4,000–5,000 tonnes of molybdenum concentrate.

Looking back at its history, in 1999 MAK LLC obtained the exploration license for the Tsagaan Suvarga deposit and subsequently carried out detailed exploration work in accordance with the international JORC standard over the following years. Later, in 2009, the mineral reserves of the deposit were recorded in Mongolia’s national mineral resource database.

Tsagaan Suvarga was included in the list of strategically important mineral deposits in 2007 and, in 2014, following a decision by the Parliament of Mongolia, an Investment Agreement was signed with the Government, thereby establishing the legal framework for the project.

Once this is fully operational, it is expected to create around 1,300 direct permanent jobs, along with an additional 5,000–7,500 indirect jobs in the supply and service sectors. Furthermore, it is projected to generate an average of $150 million in annual tax and fee revenues for national and local budgets, while significantly boosting mining export revenues.

ONE OF THE LOWEST-COST PROJECTS: “KHARMAGTAI”

The Kharmagtai copper–gold deposit, located near Tsogttsetsii soum in Umnugobi aimag, is the next major project attracting strong interest from international investors. Exploration and evaluation work on the project is progressing successfully under a partnership between Australia-listed Xanadu Mines and China’s state-owned Zijin Mining Group.

In particular, Zijin Mining has already provided $35 million in funding dedicated to exploration, feasibility studies, and other early-stage development activities.

According to the results of the Preliminary Feasibility Study (PFS), the Kharmagtai deposit has been confirmed as a low-cost, long-life, world-class megaproject.

Based on the key project parameters, the mine life is expected to be at least 29 years, with planned average annual production of 60,000–80,000 tonnes of copper and 165,000–170,000 ounces of gold during the expansion phases.

Most importantly, excluding revenue from the gold by-product, the copper net cash cost is estimated at just 70 cents per pound during the first eight years, placing Kharmagtai among the world’s lowest-cost copper mines.

The initial capital expenditure required for project implementation is estimated at $890 million, while the current project valuation stands at approximately $930 million.

From a strategic perspective, Kharmagtai is not merely a single mine project, but rather a cornerstone for the future growth of Mongolia’s copper industry.

BREAKING THE BOTTLENECK: A PRACTICAL WAY FORWARD

Despite copper prices remaining at high levels in the global market, why have projects such as Tsagaan Suvarga, Kharmagtai, and around 20 other mid-sized copper deposits—many of which already have completed feasibility studies and partially developed infrastructure—still not entered production to this day?

Minister of Industry and Mineral Resources G. Damdinnyam has directly linked the central bottleneck to distortions in the current legal framework governing mineral royalties.

While presenting the draft revised version of the Minerals Law, he strongly warned that Mongolia’s steeply progressive and inflexible royalty structure is a key factor reducing the economic viability of new megaprojects and delaying investment decisions at the early stage.

According to the Minister’s position, under the current law, as copper prices increase on international markets, an additional progressive (stepped) royalty is applied on top of the base

5% mineral royalty, causing the total payment burden to rise to 15–20% of gross sales revenue. The mineral royalty, which has become one of the biggest constraints on mining project financing, is levied directly on revenue rather than net profit. In other words, regardless of whether a mine is profitable or operating at a loss, when commodity prices are high, it may be required to pay up to one-fifth of its revenue as mineral royalty.

Therefore, the ministry is advancing a long-term policy aimed at aligning the base rate and progressive royalty structure with international standards and making it more flexible. This approach is intended to unlock more than 20 stalled projects simultaneously and to support the National Sovereign Wealth Fund not through one-off high taxation, but through stable, long-term export revenues.

WILL LOWERING THE MINERAL ROYALTY IMMEDIATELY UNLOCK PROJECTS?

Industry stakeholders and lawmakers hold sharply differing views on this question.

On the one hand, proponents argue that if the base mineral royalty rate is made more flexible in line with international standards and the burden of the progressive royalty structure is reduced, more than 20 copper projects could be released from financing bottlenecks and move directly into active construction.

They believe it is far more beneficial for the state to optimize the tax regime and enable mines to operate, rather than impose high taxes on paper while leaving projects idle. In this case, the indirect economic benefits generated through new jobs, domestic supply chains, corporate income tax, and value-added tax would deliver significantly greater overall returns and broader economic growth.

However, there are also a significant number of opposing views within Parliament and among economists. They argue that when copper prices in global markets reach historic highs and a super-cycle is underway, reducing taxes would effectively mean that Mongolia is voluntarily foregoing a portion of the mineral wealth it is entitled to and allowing its strategic resources to be utilized at an unduly low return for foreign entities.

In addition, the delays in these megaprojects are not solely related to the mineral royalty regime but also to Mongolia’s fundamental infrastructure constraints. For instance, energy shortages in the Southern Gobi region, limited industrial water resources, transportation and logistics bottlenecks, and policy instability represent risks that are no less significant than taxation.

If tax rates are reduced without addressing these critical infrastructure challenges in a comprehensive manner, the projects may remain in a prolonged state of delay and fail to move into implementation.

Mongolia’s mining sector is now standing at a crossroads in its development. The current historic surge in coal exports provides financial resources and a narrow window of opportunity to implement structural reforms and prepare for the next phase of transition.

If Mongolia fails to utilize this golden opportunity to advance its copper and strategic mineral projects, there is a real risk that over the next decade the country’s economy could be left behind in the global green transition.

In the mining sector, the choice between prioritizing short-term gains through the current high revenue-based taxation system, or attracting long-term investment through more flexible tax conditions, will soon be reflected in the fate of the revised Minerals Law, which is set to be discussed by Parliament.

By O. Dulguun

Eurasian Economic Union-Mongolia interim trade deal set to take effect www.aa.com.tr

Customs duties to be eliminated or reduced on 367 product categories for each side from July 22

The Eurasian Economic Union (EAEU) said Tuesday that its interim trade agreement with Mongolia will enter into force on July 22, lowering or eliminating tariffs on hundreds of goods to boost bilateral trade.

Under the deal, customs duties will be eliminated or reduced on 367 product categories for each side, covering about 90% of bilateral trade, the union said.

The agreement will remain in effect for three years and will be automatically renewed for another three-year term unless either side objects, it said.

"Unique conditions have been created for suppliers from countries of the Eurasian Economic Union; Mongolia has no other such agreements in the region," said Andrey Slepnev, Eurasian Economic Commission trade minister.

He said exporters from EAEU member states would gain improved access to the Mongolian market for products including dairy goods, beverages, confectionery, chocolate, passenger and commercial vehicles, cosmetics and perfumes.

In return, Mongolian exports, including meat products, cashmere and other agricultural and industrial goods, will receive preferential access to the EAEU market.

Slepnev said businesses had already strengthened commercial ties ahead of the agreement's implementation, with bilateral trade rising by one-third in the first months of this year compared with the same period in 2025.

The interim trade agreement was signed on the sidelines of the Supreme Eurasian Economic Council meeting in Minsk on June 27, 2025.

By Kanyshai Butun

Scaling AI in Education Systems: Lessons from Mongolia (A Three-Layer Architecture for Scaling AI from Tools to Systems) www.blogs.worldbank.org

Mongolia is introducing the Teacher Virtual Assistant through Medle, its national learning platform, in a phased manner. The tool will help teachers generate lesson plans and differentiated practice questions for Grades 1–5 mathematics. The larger lesson from Mongolia is not about one AI application, but about the system being built around it: stronger education data systems, government-owned, curriculum-linked digital content, school quality standards, and early work on sustainable financing.

Governments around the world are rapidly piloting AI-enabled education tools, ranging from lesson-generation models and adaptive tutoring systems to teacher-facing assistants. Yet many promising pilots do not progress to system-wide adoption. The bottleneck is often not the technology itself, but whether education systems are ready to absorb, govern, and sustain AI at scale. Student records, attendance data, learning platforms, teacher systems, and curriculum repositories are often developed separately. Financing is often project-based, while responsibility for digital systems is spread across multiple agencies.

Drawing on operational work across education systems, the World Bank Education and Digital teams developed a three-layer architecture for moving AI in education from pilots to scale. This post introduces the framework and shows how Mongolia is putting it into practice.

A Three-Layer Architecture for Scaling AI

The architecture consists of three connected layers: Layer 1 establishes trusted data and institutional foundations; Layer 2 uses those foundations to deploy reusable AI applications; and Layer 3 supports scale through financing, operations, and partnerships.

Layer 1: Digital Public Infrastructure for Education

The first layer is the foundation. AI tools can only provide reliable personalization if education systems can identify learners consistently, link them to curriculum and assessment data, and update records across platforms. This requires unique student and teacher identifiers, interoperable education information systems, school connectivity, assessment and attendance systems, and clear governance arrangements.

Under the Global Partnership for Education-financed System Capacity Grant, Mongolia has strengthened the foundations of its education data systems. This includes introducing cross-system student identifiers, improving interoperability across education databases, and strengthening data quality and validation rules. In parallel, the country developed its first Education Quality Standards Framework, covering digital readiness, infrastructure, learning materials, and teacher capacity. These reforms may appear technical, but together they create the conditions for AI-enabled education systems to be built.

Layer 2: Modular AI Architecture and Platforms

The second layer is where AI applications are deployed. Rather than building separate systems for each new tool, governments can use modular AI platforms built around reusable components, such as curriculum repositories, learner profiles, assessment tools, analytics, and data exchange services. This reduces duplication, limits vendor lock-in, keeps systems aligned with the national curriculum, and allows technology to evolve without rebuilding the underlying platform.

The Teacher Virtual Assistant is Mongolia’s first application of this modular layer. Delivered through Medle, it helps teachers generate lesson plans and differentiated practice questions for Grades 1–5 mathematics, drawing on a government-owned curriculum dataset comprising more than 700 lesson plans and 4,900 practice questions.

The significance of the TVA extends beyond the tool itself. It demonstrates how AI applications can be integrated into a government-owned platform rather than operating as stand-alone products. Because it is built on national systems and curriculum content, it provides a pathway for introducing additional tools in the future, including adaptive assessment, content recommendation, and teacher feedback. The phased rollout is expected to generate evidence on teacher adoption and how AI-enabled lesson planning may support classroom practice and learning over time.

Layer 3: Financing and Private Sector Mobilization

The third layer focuses on scale. Many AI pilots are funded through short-term projects and are never integrated into regular government systems. Sustained deployment requires financing models that can support infrastructure, maintenance, teacher support, and future upgrades. It also requires clear roles for governments, development partners, and the private sector.

In Mongolia, this layer is being explored through education PPP discussions supported by the World Bank Group, including IFC and MIGA. The immediate focus is on whether private participation can help address infrastructure constraints, including classroom shortages in overcrowded urban schools, while keeping public oversight over quality and equity. This matters for the AI-readiness agenda because digital and AI reforms cannot scale in isolation. They require schools with adequate space, connectivity, basic infrastructure, and sustainable financing arrangements.

An important lesson from Mongolia’s experience is that the financing discussion was strengthened because the first two layers were already underway. The data systems strengthened under the System Capacity Grant, the quality benchmarks established through the Education Quality Standards Framework, and the modular logic demonstrated through the Teacher Virtual Assistant provided a concrete foundation on which longer-term financing options could be explored.

For other countries, Mongolia’s experience shows that the lesson is not to wait for perfect systems before using AI, but to ensure that each AI application strengthens the systems needed for the next one. AI will not scale through tools alone. It will scale where countries build the data systems, platforms, institutions, and financing arrangements needed to absorb and sustain innovation over time.

By Salman Asim, Hayeon Kim & Alex Twinomugisha

UNCCD Executive Secretary Yasmine Fouad on Mongolia, Desertification, and COP17 www.thediplomat.com

COP17, which will be hosted by Mongolia in August, “comes at a pivotal moment for global action on land.”

This year, Mongolia will host the 17th Session of the Conference of the Parties (COP17) to the United Nations Convention to Combat Desertification (UNCCD) from August 17-28. COP17 includes segments on finance, water, land and people, and food systems, which are all crucial elements for Mongolia’s fight against desertification – and also issues that intertwine with the country’s economic goals and policies.

In an exclusive interview, The Diplomat’s Bolor Lkhaajav spoke with UNCCD Executive Secretary Dr. Yasmine Fouad on range of issues facing Mongolia, the significance of Mongolia hosting COP17, and what policy recommendations UNCCD has for the country’s policymakers. 

What do countries, leaders, and participants hope to get out of COP17? What outcomes Mongolia should expect? 

COP17 comes at a pivotal moment for global action on land. Across the world, countries increasingly recognize that desertification, land degradation, and drought are no longer solely environmental concerns. They affect economies, food production, water security, biodiversity, and the resilience of communities.

I believe countries will come to Mongolia with a shared understanding that the challenge is no longer understanding the problem – we know what is at stake. The priority now is implementation. Countries have already committed to ambitious goals, including restoring around one billion hectares of degraded land by 2030. The focus now is on translating those commitments into action through stronger partnerships, increased investment and practical solutions. COP17 represents an opportunity to move from ambition to implementation by scaling finance, innovation and partnerships that deliver measurable results on the ground.

One of the key expectations for COP17 is progress in mobilizing finance for land restoration and drought resilience. Addressing land degradation and drought requires around $355 billion annually, yet current investment is only about $77 billion each year. Closing this gap will require stronger engagement from governments, development banks, the private sector and new financing partners.

Another important outcome will be advancing cooperation on drought resilience, sustainable rangeland management and more resilient food systems. COP17 also coincides with the International Year of Rangelands and Pastoralists, creating a unique opportunity to place rangelands and pastoral communities higher on the global policy agenda.

For Mongolia, hosting COP17 is an opportunity to place the challenges and opportunities facing drylands and pastoral communities higher on the global agenda, while strengthening international cooperation on land restoration and drought resilience. I hope the Conference will reinforce a simple but increasingly important message: investing in healthy land is investing in people, economies and a more sustainable future for generations to come.

In 2024, Mongolia committed to spending at least 1 percent of its GDP annually to combat climate change and desertification. What are some of the policies UNCCD recommends for addressing Mongolia’s desertification situation?

Land restoration should be viewed not as an environmental cost, but as an investment in economic resilience, food security, water security, and sustainable development. Countries that invest in healthy landscapes today reduce the far greater economic and social costs associated with land degradation, drought, and ecosystem decline in the future. Healthy land is the foundation of healthy food systems, water security, and resilient economies. Investing in restoration today reduces future costs while creating long-term opportunities for sustainable growth. 

One of UNCCD’s key recommendations is to integrate sustainable land management and restoration into national development planning so that investments in agriculture, water, infrastructure, and climate action reinforce one another rather than operate in isolation. 

Another priority is creating policy and regulatory frameworks that encourage long-term investment in sustainable land use and reward measurable restoration outcomes. Countries should also strengthen policy coherence by integrating land restoration across agriculture, water, infrastructure, climate and food systems policies, ensuring that public investment delivers multiple development benefits.

Public finance remains essential, but it cannot meet the scale of the challenge on its own. It should be used strategically to mobilize additional investment from development banks, the private sector and other financing partners. Innovative financing approaches and stronger public-private partnerships will be critical to scaling up action. Public finance should increasingly be used to reduce investment risks and unlock larger flows of private capital, making restoration more attractive as a long-term investment opportunity.

Globally, implementing countries’ plans to address land degradation and drought requires around $355 billion annually, while current investment is estimated at only $77 billion each year. Yet the cost of inaction is even greater – estimated at nearly $900 billion every year. Investing in restoration is therefore not simply an environmental imperative; it is also a sound economic decision.

Ultimately, every country will determine the financing approaches that best reflect its national priorities and circumstances. UNCCD’s role is to support countries by sharing knowledge, strengthening partnerships, and helping mobilize the investment needed to restore land and build resilience to drought.

In the last decade, Mongolia witnessed hundreds of little lakes and rivers disappear. What are some of the direct and indirect impacts of these catastrophic events? What UNCCD policy recommendations and global knowledge can be shared with Mongolia to solve this crisis?

The disappearance of lakes and rivers is one of the clearest signs that climate change, land degradation, and water scarcity are becoming increasingly interconnected. While changing rainfall patterns and rising temperatures are major drivers, the condition of the land largely determines how landscapes respond to these pressures.

Healthy soils regulate the water cycle by absorbing and storing water, replenishing groundwater, and reducing runoff. As land degrades, soils lose this capacity, making landscapes increasingly vulnerable to drought and water scarcity. In turn, prolonged drought further accelerates land degradation, creating a cycle that becomes increasingly difficult to reverse. Healthy land and healthy water systems are inseparable. Restoring landscapes is one of the most effective ways to improve water security while reducing the impacts of drought.

Mongolia is experiencing these pressures very directly. Nearly 77 percent of its territory is affected by land degradation, while average temperatures have risen by more than 2 degrees Celsius since the 1940s – more than twice the global average. Rainfall has declined, droughts have become more frequent, and the number of sand and dust storm days has more than tripled over the past six decades. These changes reduce pasture productivity, place increasing pressure on water resources and threaten the livelihoods of pastoral communities.

The devastating combination of summer drought followed by the 2023–2024 dzud, which resulted in the loss of more than 7 million livestock, illustrates how climate extremes can cascade through ecosystems, livelihoods, and the wider economy.

From the UNCCD perspective, one of the most important recommendations is to manage land and water together rather than as separate issues. Restoring degraded landscapes improves water retention, strengthens drought resilience, and helps sustain agriculture, biodiversity, and rural livelihoods.

Experience from dryland regions around the world also shows the value of shifting from crisis response to prevention. Sustainable land management, drought preparedness, early warning systems, and science-based decision-making help reduce risks before they become disasters. Solutions are most effective when they combine scientific knowledge with the experience of local communities and pastoralists, who have managed drylands sustainably for generations. Also, artificial intelligence, Earth observation, and digital technologies are also creating new opportunities to strengthen drought forecasting, monitor land conditions, and support evidence-based decision-making.

The implications extend far beyond Mongolia. For countries like Mongolia, protecting water resources begins with restoring the landscapes that sustain them.

Given Mongolia’s vast landscape and its over-dependence on mining resources, what has been the main struggle to balance economic development and environmental protection? What steps should Mongolia take in the next five to ten years to make a major impact?

Finding the right balance between economic development and environmental sustainability is one of the defining policy challenges of the 21st century. It is certainly not unique to Mongolia. 

Many countries rely on natural resources to generate jobs, growth, and public revenues while facing increasing pressures from land degradation, drought, and climate change. Countries rich in mineral resources face the additional challenge of ensuring that economic growth today does not undermine the natural capital on which future prosperity depends. The question is therefore not whether countries should pursue development, but how development can be achieved in ways that sustain the land, water and ecosystems on which economies ultimately depend.

Healthy land underpins food production, water security, biodiversity, and resilient livelihoods. When land degrades, the costs extend well beyond the environment. Globally, land degradation already costs the world nearly $900 billion every year, while drought causes at least another $300 billion in annual losses. By contrast, investing in sustainable land management and restoration generates long-term economic, environmental and social returns. Land should therefore be viewed as productive natural capital that supports long-term economic competitiveness rather than simply an environmental asset.

Prevention is not only more environmentally effective – it is also far more cost-effective than responding once degradation has become entrenched. Mongolia illustrates both the opportunities and the complexity of this challenge. As a resource-rich country, it is also confronting the growing impacts of land degradation, drought, and water stress. Ensuring that natural resource development goes hand in hand with sustainable land management, healthy rangelands and resilient landscapes will be essential to building lasting economic resilience.

Over the next decade, one of the greatest opportunities lies in adopting integrated approaches that bring together sustainable land use, responsible resource management, restoration, water management and investment in resilient rural livelihoods. Economic development and environmental protection should not be seen as competing objectives. The greatest opportunities will come from aligning responsible mining, sustainable agriculture, restoration, water management and private investment within one integrated development vision.

Restored landscapes support productive economies, thriving communities and long-term prosperity. Countries that invest in land restoration today will be better placed to strengthen resilience, support sustainable growth and reduce future risks.

In 2021, Mongolian incumbent President Khurelsukh Ukhnaa initiated the “One Billion Tree” national movement to restore and reforest the country. Do projects like these actually have an impact on reducing desertification and related issues? How is Mongolia’s initiative progressing?

Large-scale tree-planting initiatives can make an important contribution to reducing land degradation, provided they form part of a broader landscape restoration strategy. The key point is that land restoration is about much more than planting trees. Successful restoration means improving soil health, increasing water retention, protecting biodiversity, and supporting the people whose livelihoods depend on healthy ecosystems. It is about restoring the ecological functions of landscapes rather than simply increasing tree numbers. The right tree must be planted in the right place. Successful restoration always begins with understanding local ecosystems rather than applying one solution everywhere.

In dryland countries such as Mongolia, this is particularly important. Trees have an important role where ecological conditions are suitable, but healthy rangelands, well-managed grasslands, and sustainable grazing systems are equally essential. Restoration therefore needs to reflect local ecosystems and combine scientific knowledge with the experience of local communities and pastoralists.

Mongolia has shown a clear commitment through initiatives such as the Billion Trees campaign and broader efforts to strengthen rangeland management and sustainable livestock systems. These initiatives reflect an important understanding that restoring degraded landscapes contributes not only to environmental protection, but also to water security, food production, resilient livelihoods and climate resilience. As with any large-scale restoration effort, the long-term impact will depend on sustained implementation, effective monitoring and ensuring that the right restoration approaches are applied in the right places.

Success should not be measured simply by the number of trees planted. It should be measured by healthier landscapes, restored soils, improved water security, more resilient rural communities and ecosystems that continue to provide livelihoods for future generations. That is the true measure of successful land restoration.

Based on your experience serving as Egypt’s minister of environment and the current extreme water scarcity and air pollution challenges facing Egypt – similar to Mongolia – what can Mongolia learn from Egypt about how to overcome these challenges? 

Although Egypt and Mongolia have very different geographies and ecosystems, countries facing water scarcity and land degradation often confront similar policy choices: how to manage natural resources sustainably while supporting economic development and people’s livelihoods.

One of the most important lessons from my time as Egypt’s minister of environment is that water scarcity cannot be addressed through water policy alone. Water, land, agriculture, and climate are deeply interconnected, and policies are far more effective when they reflect those connections rather than treating each challenge separately. Healthy food systems ultimately depend on healthy land and reliable water resources. Integrated policies therefore deliver stronger environmental, economic and social outcomes than sectoral approaches.

It is equally important to shift from crisis response to prevention. Droughts and land degradation are slow-onset disasters whose impacts accumulate over time, affecting food production, livelihoods and economic stability. Globally, droughts have increased by nearly one-third since 2000, while water demand is projected to exceed available resources by up to 40 percent by 2030. Investing early in sustainable land management, healthy soils, ecosystem restoration, efficient water use and early warning systems is therefore far more effective – and far less costly – than responding once crises unfold.

This is particularly relevant for Mongolia, where pastoralism supports around one-third of the population. Protecting rangelands is therefore not only an environmental priority; it is fundamental to food security, water management and rural livelihoods as climate pressures continue to intensify. For Mongolia, investing in healthy rangelands is also an investment in preserving cultural heritage, strengthening pastoral livelihoods and enhancing long-term national resilience.

No country has all the answers. That is why international cooperation is so important. UNCCD provides a platform for countries to exchange experiences, strengthen partnerships, and translate science into practical action. By learning from one another and investing in restoration, countries can build more sustainable and resilient futures.

By Guest Author: Bolor Lkhaajav
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.

Mongolia's foreign trade turnover rises over 36 pct in H1 www.xinhuanet.com

Mongolia's foreign trade turnover increased by 36.3 percent year-on-year to 16.5 billion U.S. dollars in the first half of 2026, according to data released by the National Statistics Office (NSO) on Monday.

During the January-June period, the country posted a trade surplus of approximately 4.3 billion U.S. dollars, the NSO said.

The strong growth was largely driven by a surge in mining exports, which accounted for nearly 90 percent of Mongolia's total exports during the six-month period.

Mongolia traded with 150 economies worldwide in the first half of the year.

Among the countries, China remained the country's largest trading partner, accounting for 94.1 percent of Mongolia's exports and 39.7 percent of its imports, according to the NSO.

Jade Gas secures A$1bn funding for coal bed methane gas, LNG development in Mongolia www.miningweekly.com

ASX-listed Jade Gas has executed a non-binding collaboration agreement with a consortium comprising PT Beijing Energy Linking (PTBEL), its lead contractor, and subcontractors PetroChina and Hunan Geology & Mining Technology, which paves the way for Phase 1 drilling of the Red Lake coal bed methane area, in Mongolia.

The collaboration agreement considers the funding of 100% of Jade Gas's planned Phase 1 capital expenditure (capex), which is estimated at $762-million, or A$1.1-billion.

Phase 1 of the Red Lake development will comprise 175 wells, which covers only 30% of the total drilling currently being advanced across the 60 km2 Red Lake development area, which is, in turn, part of the company's broader 665 km2 permit area.

Jade Gas operates the Tavan Tolgoi coal bed methane project in the South Gobi region of Mongolia.

PTBEL has agreed to make up to ten drill rigs available for short-term deployment, with initial mobilisation targeted for February or March next year. PTBEL has also agreed to fund 100% of the capital expenditure required for Phase 1 drilling - as an approved contract cost in a field services contract that will be negotiated by the parties.

Jade Gas will retain ownership of Red Lake, with PTBEL to be repaid through a future gas sales revenue sharing agreement.

The funding contemplates associated infrastructure including an expanded camp facility, roads, communications, water handling and battery energy storage systems to support an accelerated drill programme.

Separately, Jade Gas has agreed with the consortium to fund a $150-million, or A$215-million, scalable liquefied natural gas (LNG) liquefaction facility, which forms part of the total Phase 1 capex estimate. The facility will enable the initial monetisation of about 40 wells, with modular additions to follow as production from Red Lake grows.

The Red Lake coal bed methane project has the potential to become a major new energy development, not only in Mongolia but within the Asia Pacific region, Jade Gas explains.

The company is pleased to partner with seasoned companies such as PTBEL, PetroChina and Hunan, given their proven coal bed methane drilling and large-scale project execution expertise from the Qinshui and Ordos Basin coal bed methane developments in northern China. These projects are the closest operating analogue to Jade Gas's Red Lake project.

For Jade Gas executive director Joe Burke, the need to secure reliable, proximate gas resources has never been more urgent and with the backing of PTBEL, PetroChina and Hunan, the company can develop Red Lake at a scale and speed that would not have been possible alone.

"This collaboration provides a clear pathway to bring significant volumes of Mongolian gas to market, displacing diesel, supplying LNG and contributing to the energy security of an entire region," Burke states.

He concludes that the agreement marks the beginning of developing one of Asia Pacific's most strategically located gas projects.

Meanwhile, Jade Gas has received commitments for a A$11-million placement at a price of $0.12 apiece, which can support field operations, working capital and a proposed listing in Hong Kong.