Umnugobi to Become the First Aimag to Issue Bonds of Up to MNT 500 Billion www.montsame.mn

The Government of Mongolia issued approval to the Governor of Umnugobi aimag, Enkhbat Nasanbuyan, for the phased issuance of provincial securities worth up to MNT 500 billion in the domestic market to finance the construction of a 50-megawatt (MW) thermal power plant in Dalanzadgad soum.
Minister of Finance Javkhlan Bold and Governor of Umnugobi aimag Enkhbat Nasanbuyan were instructed to include the issuance of provincial securities in the annual budget draft. Additionally, Governor Enkhbat was directed to allocate the funds raised through the securities strictly for the purposes outlined in the Cabinet resolution, ensure the inclusion of repayment obligations in the aimag’s budget, and guarantee that repayments are made within the scheduled timeframe.
Energy consumption in Dalanzadgad soum, the capital of Umnugobi aimag, which has been steadily increasing in recent years, is expected to reach 105.8 million kilowatt-hours (kWh) in 2033, from 59.2 million kWh in 2023. The peak load of the centralized energy system reaching 1,636 MW in 2023 marks an 11.3 percent increase from 2022, highlighting the urgent need for a reliable energy source to support and sustain basic consumption.
The current 9-MW power plant in Dalanzadgad is outdated and can only handle an annual consumption of 30.6 million kWh. The supply of the remaining demand by the centralized energy system is considered unreliable. As a result, there is a pressing need to construct a 50-MW combined heat and power plant to accommodate the aimag’s growing energy consumption and ensure a stable supply.
The proposed plant is considered crucial not only for meeting the energy needs of Dalanzadgad soum but also for reducing the energy load in the region, establishing an independent power supply, and supporting essential infrastructure for mining operations, tourism, and local economic growth. According to the Media and Public Relations of the Government, Umnugovi aimag will be the first aimag in Mongolia to issue a bond.

Hundred years of pit latrines and 76 years of coal-burned trains www.ubpost.mn

It is almost beyond belief that Mongolia’s railway sector, after all these decades, has failed to find the resources to repair, upgrade, and properly maintain its handful of passenger train—or, at the very least, to install basic air-conditioning. Yet, as the Criminal Police have revealed, the public is well aware that the so-called “little bosses” of the sector have billions of tugrugs quietly stashed away in their own homes. The long-repeated refrain from Ulaanbaatar Railway’s leadership—that the railways have operated like a loss-making charitable organization—has worn thin, and passengers no longer buy into it.
For years, the demands of the public have been neither ambitious nor unreasonable: renew the passenger train, improve the quality of service, and replace the beds, bedding, and fixtures that have been faded and frayed for 60 or 70 years.
Just days ago, Mongolia marked the 87th anniversary of the birth of its railway system and the 76th anniversary of the Mongolia–Russia joint venture Ulaanbaatar Railway (UBTZ). As tradition dictates, railway employees celebrated in grand style at Khuliin Gol and Khonkhor Station, complete with wrestling tournaments—an event still vivid in the minds of readers. Over the years, this celebration has become a “kingdom within the state”, holding its own separate national-style festival.
Each year, renowned wrestlers with national and provincial titles are invited to compete, lavish prizes are distributed, and Khonkhor Station becomes a hub of exuberant revelry. This year, for example, Ulsiin Arslan (runner-up in the final round of the Naadam Festival) B.Orkhonbayar claimed victory, while Ulsiin Avarga (winner of the final round of the Naadam Festival) O.Khangai took second place. Adding to the spectacle, famous singers, dancers, musical groups, and high-priced celebrity hosts were brought in to entertain. Yet, while hundreds of millions—and in some cases, billions—of tugrugs are poured into these festivities, the company has gone all these years without installing even an electric fan in its passenger coaches, let alone replacing broken utensils or torn curtains. This contradiction did not escape the public’s notice, and in recent anniversary celebrations, criticism was sharp.
UBTZ operates a 1,520 mm-gauge line stretching 1,815 kilometers, which as of 2024 makes up over 90 percent of Mongolia’s entire rail network. With around 17,000 employees and more than 330 passenger trains, the company completed 2,625 trips last year and plans to increase that to 3,125 this year. According to the Ministry of Road and Transportation, 37.5 million passengers traveled by train in just the first quarter of 2025. Yet dissatisfaction among passengers has reached new heights. Many say they only reach their destinations after enduring great frustration, discomfort, and, at times, outright misery.
Citizen A stated that “The leadership of Ulaanbaatar Railway must take immediate action to equip passenger trains with modern air-conditioning systems. Every single day, thousands of foreign and domestic travelers, including tourists, use Mongolia’s railways. Recently, I traveled on the Ulaanbaatar–Erlian–Ulaanbaatar international carriage, paying nearly 600,000 MNT each way—more expensive than flying to Erlian, Hohhot, or even Beijing—yet the service was appalling. The ticket price did not even include a single cup of tea or coffee. Instant noodles cost 6,000 MNT, and even a tiny packet of instant coffee came at a ridiculous price.”
“Worst of all, passengers are forced to travel in conditions so stifling that they are practically marinating in their own sweat and odors. These ancient, crumbling trains are endured not only by travelers but also by small traders and the railway staff themselves—conductors, attendants, and other workers—under shockingly harsh conditions. In winter, passengers risk carbon monoxide poisoning from coal stoves; in summer, they suffer unbearable, suffocating heat. If this is the reality in a private compartment, one can only imagine the ordeal faced by those packed into open-plan or general-seating coaches,” said the citizen. 
Moreover, Citizen B also said “In the past 80 years, it seems the only things that have grown in the railway sector are the egos of its leaders and the bulge of their wallets. The few white-colored ‘international’ trains have air-conditioning systems, but the green passenger trains used by ordinary citizens don’t even have fans. I remember traveling in these exact same trains back in the 1990s when I was doing small-scale cross-border trade. The stale, damp stench of the toilets is still the same, and the bedding and mattresses are as filthy and outdated as ever. It’s a complete disaster—what century are we living in? If the leadership had even the slightest sense of shame, now would be the time to put it to use.”
According to Citizen V, “In Russia, even their regular regional trains—not international, not VIP—are equipped with air-conditioning, showers, fully functional toilets, and automatic doors. They’re genuinely comfortable. Meanwhile, our trains are unbearably hot, and before long, both children and adults are flushed red from the heat. For passengers with high blood pressure or heart conditions, the situation is extremely dangerous. At stations, people resort to leaning their heads out of the carriage doors just to get a breath of fresh air. Even traveling in a private compartment feels like a punishment. And yet, they claim ticket prices have barely changed. In reality, in 2019, a ticket from Ulaanbaatar to Irkutsk on the Ulaanbaatar–Moscow train cost 125,000 MNT; by 2022 it was 203,000 MNT, and now it’s 435,000 MNT. Compare the service and environment on that route with the Russian side—it’s day and night.”
Citizen G said, “Trains that have reached the end of their service life and are beyond repair should be retired and replaced in phases. Instead, these worn-out, dilapidated wagons have been kept running until they’re practically falling apart. It’s exhausting dealing with leaders whose greed knows no bounds. Inside, children cry from the lack of air, and even the tea and coffee sold are of the lowest quality imaginable. We may be the only country left in the world whose trains still dump human waste directly onto the tracks. Even regional passenger buses in Mongolia now have Starlink internet, but on our trains, charging your phone, using Wi-Fi, or watching television is still a far-off dream. No wonder the saying has emerged, If you ever feel like ending your life, try traveling by train in the summer”.
Passengers are forced to endure these punishing conditions, while railway employees carry the full weight of the system on their shoulders under equally harsh circumstances. Recently, social media was abuzz with a post claiming, “The train is on fire while moving.” In reality, no carriage or train had caught fire—the train simply looked that way, as railway officials later explained.  
The truth is that Ulaanbaatar Railway—jointly owned in equal shares by Mongolia and Russia—has gone decades without modernization, pays not a single tugrug in taxes to the Mongolian state, and continues to operate with locomotives so old they could be displayed in a museum. It’s even said that South Korean filmmakers, when producing a movie about North Korea, came to Mongolia to shoot footage of our outdated carriages for authenticity.  
For a landlocked country, railways are a vital sector. After the collapse of socialism and the breakup of the Soviet Union, most countries took ownership of their rail networks—yet Mongolia remains dependent to this day. Industry experts stress the need to amend the joint venture agreement so that UBTZ pays taxes to the state. But our government shows no sign of even considering it.  
On the occasion of UBTZ’s 75th anniversary, the company was even awarded the title of Hero of Labour of Mongolia. When it comes to receiving awards, bonuses, and celebrating with lavish feasts, the executives move as swiftly as a lasso horse at full gallop; but when it comes to repairs or modernization, they remain as immovable as a stone cliff.  
While the rest of the world races to produce faster trains—competing in kilometers per hour—we seem content with a service that takes 15 hours to cover 700 kilometers, and our executives appear equally satisfied. Take China, for example: its high-speed rail network is expanding at a staggering pace. As of today, it has built the world’s longest high-speed rail system, stretching 48,000 kilometers—two-thirds of the global total—and has put into service the most advanced, fastest passenger trains in the world. This network carries 16 million passengers daily and sells an average of 26 million tickets per day. By the end of last year, China’s entire railway network had reached 162,000 kilometers in length.  
In February, Mongolia’s Minister of Road and Transportation B.Delgersaikhan announced plans to work with China and Russia to modernize passenger carriages. Yet industry insiders admit this is currently impossible. When asked about recent repairs, upgrades, and planned projects for passenger trains, UBTZ representatives responded, “We have no funds to renew the passenger fleet. For decades, UBTZ has been transporting passengers and cargo at a loss as part of its social responsibility. The government has also kept transport tariffs artificially low for many years. This is the main reason for the sector’s stagnation. However, after increasing passenger fares by 50 percent in 2023, we’ve been able to reduce losses. Where we used to face an average annual deficit of 60 billion MNT, we’ve now managed to cut that by half.”

Engineers to be trained for Ulaanbaatar Metro Project www.ubpost.mn

In preparation for the implementation of the long-awaited Ulaanbaatar Metro project, the Capital City Governor’s Office, the Mongolian University of Science and Technology (MUST), South Korea’s Halla University, and Dohwa Engineering Co. have officially announced a collaborative academic initiative designed to train local engineering and technical professionals.
Beginning in the 2025–2026 academic year, the partners will launch a “2+2” joint degree program, which will allow Mongolian students to study two years at MUST’s School of Mechanical and Transportation Engineering, followed by two years at Halla University in South Korea. The goal is to cultivate a new generation of engineers specialized in metro mechanics, rolling stock, civil infrastructure, electrical signaling, and control systems—all critical fields for metro system development.
Enrollment for the program is already nearing capacity, currently at 80 to 90 percent full, according to university officials. MUST has set a quota of 200 students for the first academic year, with a maximum of 50 students per specialization. Due to unexpectedly high demand, the admissions team has announced plans to implement a competitive selection process.
A key concern for prospective students has been access to funding. While the Government of Mongolia recently revised the regulations of its Education Loan Fund to include scholarships and loans for “2+2” programs at the undergraduate level, the new metro-focused program will follow a specific funding model. According to officials, students are required to cover their own tuition for the first two years at MUST, after which they may qualify for full scholarships from the Capital City Governor’s Office to complete their final two years in South Korea.
While the Education Loan Fund includes engineering disciplines such as mechanical, civil, and electrical engineering in its priority list for international scholarships, no specific category exists for metro-related training. Nevertheless, graduates of the “2+2” program are expected to gain versatile skills that can be applied not only in metro development but also in the broader fields of automotive transportation and railway infrastructure.
As Mongolia moves closer to making urban rail transport a reality, this program represents a significant step toward building a skilled domestic workforce capable of sustaining the country’s future infrastructure needs.

Stronger budget support called for people with developmental challenges www.ubpost.mn

Stronger budget support called for people with developmental challenges
Prime Minister G.Zandanshatar delivered a keynote address at the “Implementation of the Rights of Persons with Developmental Challenges and the State Budget” Forum. In his remarks, the prime minister urged a shift from outdated, one-size-fits-all standards to a more inclusive, capability-based approach that better reflects the needs and strengths of individuals with developmental challenges.
Highlighting the disconnect between policies on paper and realities on the ground, the prime minister called for a comprehensive response involving three key levers: budgetary allocations, legal reforms, and effective governance. He emphasized that the government’s policy efforts will focus on creating an inclusive living environment, boosting employment opportunities, and enhancing accessibility and participation in society.
As part of this commitment, the government plans to upgrade living environments to meet inclusive standards, provide financial support for employer training, workplace adaptation, and guidance services as bundled packages, and integrate inclusive procurement criteria, encouraging the purchase of goods produced by persons with developmental challenges.
Organizations that actively support inclusive employment and provide adapted workplaces will receive tangible government incentives. Furthermore, infrastructure accessibility will also be prioritized, with investments in roads, public spaces, transportation systems, and digital platforms aligned to meet the needs of persons with developmental challenges. Norms and standards for publicly funded buildings and services will be revised, and state procurement rules will include provisions for accessibility compliance. Additionally, tax policies will be adjusted to offer targeted support and address systemic barriers.
As Chair of the National Council for Children, G.Zandanshatar also reaffirmed his commitment to strengthening early intervention. He announced that the Children’s Fund will be equipped with modern tools for early detection, diagnosis, and treatment of developmental delays, including visual, auditory, and motor impairments.
The premier concluded his speech by advocating for a human-centered, minimally interventionist government approach that prioritizes individual rights in the national budget framework. “We must recognize and support the diverse abilities of every citizen,” he said, calling for policies that empower rather than limit. The forum brought together policymakers, advocacy groups, and civil society representatives committed to shaping a more inclusive Mongolia.
There has some notable progress been made over the past two decades in promoting the rights and inclusion of persons with disabilities. However, significant gaps remain between legislation, policy intentions, and on-the-ground implementation. Persons with disabilities face high unemployment rates and often lack access to meaningful work opportunities. While employers are encouraged through policy and now, under Prime Minister G.Zandanshatar’s recent announcements, through financial incentives to hire and accommodate workers with disabilities, stigma and practical barriers persist. As of 2024, Mongolia has approximately 115,000 individuals living with various degrees of disability, representing about 3.2 to 3.3 percent of the total population. Only 16  percent of working-age persons with disabilities are employed, compared with 56.7  percent of the general population, according to the United Nations Development Programme, calling for absolute need to promote employment. Households with at least one person with a disability face significantly greater poverty. As of 2019, poverty incidence in such households was more than double that of households without disabilities.

Business owners and investors submit proposals for tax reform bill www.gogo.mn

The Economic Development Council held a meeting on August 12 to discuss Mongolia’s upcoming tax reform bill. The Council, which works to coordinate economic policy and foster public-private cooperation, heard updates from Minister of Finance B.Javkhlan on the nationwide consultation process.
A total of 176,000 proposals were received from 13,000 participants, including citizens, businesses, the Mongolian Chamber of Commerce and Industry, the Mongolian Business Council, tax consultants, and professional associations. More than half of these proposals have been incorporated into the draft bill, in line with the principle of maintaining economic stability.
The Council itself submitted 21 sets of proposals on tax cuts, improving law enforcement, and combating tax evasion, with an estimated budget impact of MNT 1.8 trillion. 60% of these were included in the draft. B.Telmuun, Head of Tax Policy at the Ministry of Finance, detailed which proposals were accepted and which were not. 
G.Zandanshatar, Prime Minister of Mongolia, instructed the Ministry of Finance to prioritize measures that support wealth creators, producers, and employers, including gradually increasing VAT refunds and eliminating systems that disadvantage compliant taxpayers. He stressed the need for predictable policy discussions to avoid surprises for investors and business owners, noting that the Council should serve as a genuine platform for public-private consultation.
The Prime Minister also suggested drafting “Law on freedom of business operation” to safeguard and encourage private enterprise.
The government plans for the 2026 budget to focus on human development and education. Public consultations are ongoing, with over 167,000 citizens participating so far. Officials believe a transparent budget process will reduce corruption, cut bureaucracy, and boost public trust. A legislative package is also being prepared to strengthen tax reform, promote exports, improve customs procedures, and support the private sector.

45,000 households to receive gas detectors under 2026 budget www.gogo.mn

Currently, gas detectors in 84,829 households in Ulaanbaatar are functioning normally. An additional 61,031 detectors are scheduled to be distributed before the upcoming fire season, according to B.Battulga, head of the “Fuel Consumer Service Center” of the Locally Owned Agency for Commercial and Industrial Services. 
With these distributions, 145,860 households will have gas detectors in 2025. However, the remaining 45,000 households are slated to receive detectors under the 2026 budget.
S.Davaasuren, Head of the National Committee for Air Pollution Reduction, emphasized the urgency of the issue, “The firing season will start soon. One of the most important measures to prevent carbon monoxide poisoning is ensuring households have this device. We should not wait for the next fiscal year to equip the remaining 45,000 households. And the capital city authorities should address the shortfall and ensure all households are equipped with carbon monoxide detectors before the firing season begins".

Tax Reform Proposal by Domestic Manufacturers to Be Reviewed www.montsame.mn

Mongolia and ADB discuss emergency response projects www.akipress.com

Deputy Prime Minister of Mongolia Amarsaikhan Sainbuyan held an official meeting with Asian Development Bank (ADB) Country Director for Mongolia Shannon Cowling on August 13, Montsame reported.
During the meeting, the two sides exchanged views on the current state of bilateral cooperation, the progress and outcomes of ongoing projects and programs, as well as future cooperation priorities and planned activities.
The parties discussed improving the disaster protection system, including upgrading the National Emergency Management Agency's early warning system and addressing financing for essential machinery and equipment.
To reduce disaster risks and strengthen local capacity for rapid response, the government plans to align NEMA's structure and organization with the Regional Development Policy and to establish, in stages, units with air search-and-rescue and firefighting functions.
The Deputy Prime Minister highlighted that more than 280 of Mongolia's 330 districts currently lack search-and-rescue units, increasing disaster risks. He emphasized the need to establish fully staffed and equipped units that meet national standards in every district.
As a result of the project, local emergency units will be equipped with specialized rescue units capable of water rescues, high-rise firefighting, and operations in hard-to-reach areas, supported by advanced technical equipment. This will contribute to creating a nationwide disaster-resilient system—a critical step toward strengthening Mongolia's capacity to withstand emergencies.
The Deputy Prime Minister noted that building a disaster-resilient nation and implementing regional development in practice are priorities stated in the government's "Vision-2050" long-term development policy of Mongolia and its 2024–2028 Action Program. The Deputy Prime Minister underscored the great strategic importance of the Asian Development Bank's support and cooperation in achieving these objectives.
Mongolia remains committed to consistently implementing projects and programs to reduce disaster risks, enhance the capacity of local organizations, establish standardized systems, and promote sustainable socio-economic development, the Deputy Prime Minister Amarsaikhan added.

Asian Battery Metals secures strategic copper-gold project and expands exploration footprint in Mongolia www.proactiveinvestors.com.au

Asian Battery Metals PLC (ASX:AZ9) has signed a binding agreement with Best Resources LLC for an exclusive option to acquire the Maikhan Uul copper-gold project, located just 8 kilometres from its flagship Oval copper-nickel-platinum group element (Cu-Ni-PGE) discovery in southwestern Mongolia. 
The project holds a mining licence valid until 2045 and contains near-surface volcanogenic massive sulphide (VMS) style copper-gold mineralisation. Not only does this agreement expand AZ9’s project area, it also gives the company the potential to extend the resource beyond the current 215-metre drilling depth.
Maikhan Uul, Yambat and Bayan Sair location.
In addition, Asian Battery Metals has been granted a new 3,327-hectare mineral exploration tenement south of its Yambat Project. The Bayan Sair tenement covers part of a regional magnetic high interpreted as a possible extension of the MS1 and Oval intrusive zones, with initial geophysics planned later in 2025.
“The Maikhan Uul Cu-Au Project is a natural extension of our regional copper-focused exploration strategy and is strongly synergistic with our existing Oval Cu-Ni discovery within the Yambat Project, both geographically and operationally. With shallow VMS-style mineralisation, a long-standing mining license, and close proximity to existing infrastructure, this project gives us exciting near-term optionality as we build a critical mass around our core asset in Mongolia,” AZ9 MD Gan-Ochir Zunduisuren said.
“We are also pleased to secure a new tenement covering the south side of the current tenement, an important step to increase our regional footprint. This award by the government is a credit to our team and our recent successes.”
Maikhan Uul project overview
The Maikhan Uul project lies 300 kilometres from the Chinese border in Govi-Altai aimag. Historical drilling has defined multiple mineralised zones up to 12 metres thick, open at depth, within altered rhyolite porphyry units. 
A 2015 foreign resource estimate under the Mongolian classification system outlined 5.03 million tonnes grading 0.58% copper and 0.16 g/t gold (non-JORC compliant). 
The project benefits from nearby infrastructure and high-voltage power access. Asian Battery Metals will undertake a staged six-month due diligence program, including electromagnetic surveys, 200–300 metres of confirmation drilling, and an independent review to assess JORC 2012 compliance.
Binding option agreement terms
Under the binding exclusive right agreement, Asian Battery Metals has paid US$50,000 for the six-month due diligence option. If successful, the company will acquire either the mining licence or 100% of Best Resources’ shares for US$890,000, payable within 10 business days of transfer. 
This transaction forms part of the company’s strategy to consolidate a critical minerals hub in Mongolia, complementing the Oval discovery and other regional assets.
Due diligence will include: 
Deployment of SAMSON EM to identify potential conductors prior to confirmation drilling.
Undertake approximately 200-300 metres of confirmation drilling in the higher-grade resource areas. Drilling is currently scheduled to commence in Q3 2025.
CP evaluation of the data supporting the Resource, estimation method and classification into the JORC system or otherwise, formulation of further work programs to allow future classification as a JORC Resource.
Independent legal review.
Bayan Sair exploration licence
The Bayan Sair tenement, secured through government tender, lies immediately south of the Yambat Project and is largely covered by Quaternary sediments. 
Bayan Sair and Yambat tenement on Reduction to the Pole (RTP) map and Bayan Sair and Yambat tenement on satellite map.
A strong magnetic high in the eastern section, located around 4 kilometres from the MS1 intrusion, highlights its potential. No known mineral occurrences have been recorded to date, but its proximity to mineralised mafic intrusions makes it a priority target. Planned work includes induced polarisation surveys to identify possible mineralised zones before follow-up drilling.
By Jonathan Jackson

Mongolia, Russia and China could soon hold talks on Power of Siberia 2 gas pipeline project www.interfax.com

Mongolia and China have discussed the possibility of organizing a trilateral meeting with Russia in the near future on the gas pipeline project from Russia to China through Mongolia, Mongolian media reported.
The discussion took place during a meeting between Chinese Ambassador to Mongolia Shen Minjuan and Mongolian Deputy Prime Minister Sainbuyan Amarsaikhan.
"Shen Minjuan agreed that it would be expedient for representatives of the three countries responsible for the gas pipeline project to meet in person to discuss it," one of the publications reported.
The 950-km pipeline would cross Mongolia from north to south through six provinces.
This is the Soyuz Vostok project, a continuation of the planned Power of Siberia 2 trunk pipeline that will connect hydrocarbon fields in West Siberia with the Xinjian Uighur Autonomous Region of northwest China, from where it will be sent to Shanghai. Planned supplies are up to 50 billion cubic meters per year.
The project's timing depends on a contract being signed by Gazprom and China's CNPC, with talks ongoing.