As for the cooperation between the International Monetary Fund (IMF) and Mongolian Government, Mr Masa Igata noted that the sides need to negotiate to further the terms to ease public frustration.

We held Mongolian investment forums in Hong Kong, London, Ulaanbaatar and Tokyo last year. The investors had positive approach for Mongolia.

He added, “In order to implement more efficient economic partnership with Japan, it is important for the Government to hear the suggestions of Mongolian and Japanese private sector. Although taxes on several import products have been reduced, business entities are facing more challenges. There is a risk in the legal environment due to fast approval of some bills. It is possible that the laws did not take certain stakeholders’ positions into account.

Law making process has to be complex and consider the interest of policy makers and business representatives. This can prevent possible loopholes. I think certain bills have been rushed; however, I do no think it is increasing risk for the investors. We held Mongolian investment forums in Hong Kong, London, Ulaanbaatar and Tokyo last year. The investors had positive approach for Mongolia.

MNT rate started to stabilize, so the financing cost has reduced. Furthermore, thanks to repaying foreign debts on time, foreign investors are still interested in Mongolia. Presently, the investors are waiting for the asset quality review (AQR) of Mongolian commercial banks. Although it was scheduled to be disclosed last year, it has not been disclosed yet. The investors’ trust will restore further with the transparency that follows the AQR.”

Baigal.G, Bilig.B