1 INVITATION: BUSINESS SEMINAR DURING INSPIREME FESTIVAL ON 21ST SEPTEMBER AT WHITE ROCK CENTRE WWW.MONGOLIANBUSINESSDATABASE.COM PUBLISHED:2019/09/18      2 MMC’S COAL SALES INCREASE BY 20 PERCENT IN H1 WWW.ZGM.MN PUBLISHED:2019/09/18      3 RISING EXTERNAL DEBT PUTS PRESSURE TO RESTART GOM BOND TRADE WWW.ZGM.MN PUBLISHED:2019/09/18      4 PETRO MATAD EXPLORATION WELL IN MONGOLIA DISAPPOINTS WWW.YOUINVEST.CO.UK  PUBLISHED:2019/09/18      5 ERDENET MINING CORPORATION CARRYING OUT 5 MAJOR PROJECTS TILL 2030 WWW.MONTSAME.MN PUBLISHED:2019/09/18      6 441,900 TONS OF CEREALS TO BE HARVESTED IN 2019 WWW.ZGM.MN PUBLISHED:2019/09/18      7 MONGOLIA TO BEGIN PAYING FOREIGN DEBTS FROM 2021 WWW.NEWS.MN PUBLISHED:2019/09/18      8 MONGOLIA LEAVES BENCHMARK INTEREST RATE UNCHANGED – AGAIN WWW.NEWS.MN PUBLISHED:2019/09/18      9 CHINA-FUNDED OVERPASS IN MONGOLIA OPENS TO TRAFFIC WWW.XINHUANET.COM PUBLISHED:2019/09/17      10 IFC LOOKS TO OPPORTUNITIES IN MONGOLIA WWW.MONTSAME.MN PUBLISHED:2019/09/17      МОНГОЛ БАНК : БҮХ СЕКТОРЫН ТҮВШИНД САНХҮҮГИЙН НӨӨЦИЙГ ХУРИМТЛУУЛЖ, ЭРСДЭЛ ДААХ ЧАДВАРЫГ БЭХЖҮҮЛЭХ ШААРДЛАГА ӨНДӨР БАЙНА WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2019/09/18     “MONGOLIAN MINING CORPORATION”-ИЙН НҮҮРСНИЙ БОРЛУУЛАЛТ ОНЫ ЭХНИЙ ХАГАС ЖИЛД 20 ХУВИАР ӨСӨЖ, 2.5 САЯ ТОНН ХҮРЧЭЭ WWW.BLOOMBERGTV.MN  НИЙТЭЛСЭН:2019/09/18     МОНГОЛ БАНК: УРСГАЛ ДАНСНЫ АЛДАГДАЛ ДУНДЖААС ДООГУУР ОРЛОГОТОЙ ОРНУУДЫНХААС ӨНДӨР БАЙНА WWW.BLOOMBERGTV.MN НИЙТЭЛСЭН:2019/09/18     ОУВС-ААС МОНГОЛ УЛСАД ӨГСӨН ГОЛ ЗӨВЛӨМЖҮҮД WWW.BLOOMBERGTV.MN  НИЙТЭЛСЭН:2019/09/18     ИПОТЕКИЙН ХӨТӨЛБӨРТ ЭНЭ ОНД НИЙТ 430 ТЭРБУМ ТӨГРӨГ ОЛГОНО WWW.EAGLE.MN  НИЙТЭЛСЭН:2019/09/18     775 САЯ ТӨГРӨГИЙН АЛТЫГ ХИЛ НЭВТРҮҮЛЭХИЙГ ЗАВДЖЭЭ WWW.EAGLE.MN  НИЙТЭЛСЭН:2019/09/18     БОДЛОГЫН ХҮҮГ ХЭВЭЭР ХАДГАЛАХААР БОЛЛОО WWW.EAGLE.MN  НИЙТЭЛСЭН:2019/09/18     ӨНГӨРСӨН ДӨРӨВДҮГЭЭР САРААС ЦАХИЛГААНЫ ҮНЭ 24 ТӨГРӨГӨӨР НЭМЭГДЖЭЭ WWW.EAGLE.MN НИЙТЭЛСЭН:2019/09/18     "БҮС БА ЗАМ"-Д НЭГДСЭН ОРНУУД 6 ЖИЛИЙН ДАРААГААС ҮР ШИМИЙГ НЬ ХҮРТЭЖ БАЙНА WWW.BLOOMBERGTV.MN  НИЙТЭЛСЭН:2019/09/17     ИРГЭДЭД ДӨРВӨӨС ОЛОН ШУУДАЙ ТҮЛШ ОЛГОХГҮЙ БАЙНА WWW.ZGM.MN НИЙТЭЛСЭН:2019/09/17    

Government debt accounts for 54.5 percent of GDP www.zgm.mn

In the first half of 2019, the Government debt reached 54.5 percent of GDP at the present value. It is a decrease of 4.4 percentage points from late 2018.

The government paid MNT 702 billion to debt in the first half of this year. Of these, MNT 265 billion were principal payments and MNT 437 billion were interest payments, according to the Ministry of Finance. As a result, the volume of government debt in the gross domestic product has decreased.

The Government aimed to reduce the debt to 55.3 percent of GDP when approving this year’s budget. Also the Government managed to reduce interest expense by raising equity management and redeeming higher-rate securities over time. As estimated, one out of MNT 13 of 2019 budget expenditure will be spent on interest rate payment. In the upcoming years, high-yield foreign debt is expected to be a major challenge for the Government and the Bank of Mongolia (BoM). For example, the Government and the private sector will pay a total debt of USD 14.4 billion in 2020-2024. The government and BoM will pay a debt of USD 6.7 billion.

Mazaalai, Chinggis, Gerege, and Khuraldai are Mongolia’s main international bonds. These bonds are worth USD 2.9 billion and payable by 2024. In specific, Mazaalai bond which is worth USD 500 million is due in 2021, Chinggis bond worth USD 1 billion in 2022, Gerege bond worth USD 800 million in 2023, and USD 600 million of Khuraldai bond will expire in 2024. According to market data, Gerege bond price has increased by 7 percent, to USD 102 since the beginning 2019. The rate of return to investors was reduced by 27 percent, to 5.035.

The Parliament approved a strategic document of government debt management 2019-2022. “The payment of foreign securities is due to be paid from the cash deposit, repurchase, repayment, and repayment of long-term debt to try to use the resources,” the document included.



Published Date:2019-09-12