Officials are preparing to implement the Gold national program following the cabinet’s decision to adopt a bill on providing cheap loans for gold miners and making up required financing resources from external and internal markets. It aims to include specific legal regulations in the law of the central bank. Additionally, the negotiation with Russian banks to implement the program is ongoing with a positive expectation. Implementing the gold program and providing additional funding to gold mining companies will increase the gold reserves and stabilize the tugrik. As of March, the Bank of Mongolia (BoM) purchased a total of 5.3 tons of precious metal. Of these, 3.6 tons were gold and 1.7 tons were silver. BoM purchased the gold at an average price of MNT 150,112 per gram. This is a sharp increase compared to the same period of the previous year. As the central bank reported in February, foreign exchange reserves of Mongolia stands at USD 4.3 billion, growing 21 percent from a year ago.

Published Date:2020-04-13