Ulaanbaatar
Financial Regulatory Commission Permits to Issue Ulaanbaatar City Bond
Economy
Ulaanbaatar, September 5, 2023 /MONTSAME/. The Financial Regulatory Commission approved the Capital City of Ulaanbaatar to publicly offer bonds worth of up to MNT 500 billion in compliance with the Law on the Legal Status of the Capital City of Ulaanbaatar, the Law on Debt Management, the Budget Law, and other legislation and regulations by the Resolution No.427 of September 1, 2023.
Yesterday
the Head of the Financial Regulatory Commission D. Byambasuren handed over the
consent resolution to the First Deputy Governor of Ulaanbaatar in charge of
economic and infrastructure issues J. Sandagsuren.
The
collected funds will be used for the investment projects and measures specified
in the city budget approved by the resolution of the Capital City Citizens Representatives
Meeting, and quarterly reports will be submitted to the Financial Regulatory
Commission.
The
First Deputy Governor of the Capital City J. Sandagsuren said, "The
capital city bond is unique as the first local bond in Mongolia. In order to
finance specific development programs, the Capital City of Ulaanbaatar has
become ready to issue bonds and offer them to the market within the scope of
the Law on the Legal Status of the City of Ulaanbaatar. We will report on our
project, program and funding in conformity with relevant regulations and laws
in due time."
Thus, public trading of bonds
with maturities of up to five years with the aim of raising funds to solve the
economic and social problems of Ulaanbaatar City has begun. Funds collected
through bond issuance are planned to finance major strategic projects and
measures such as decentralization of the capital, reducing congestion,
expanding the network of highways and road facilities, and improving access to
schools and kindergartens.
