Ulaanbaatar, September 24, 2025 /MONTSAME/. The Standing Committee on Budget of the State Great Khural (Parliament) of Mongolia discussed “Budget Revenue Generation” on September 22, 2025.

Member of the Parliament and Chairman of the Standing Committee on Budget, Gankhuyag Khassuur, began the meeting by stating that the committee will organize a series of discussions covering topics such as “Budget Revenue Generation,” “State Budget Investment,” “Opportunities and Risks in Mining Products Export,” “2026 Budget Draft for Education, Health, and Social Security Sectors,” and “2026 Budget Draft for Culture, Sports, Tourism, and Youth Sectors.”

State Secretary of the Ministry of Finance, Ganbat Jigjid, delivered a presentation on “Current Status and Future Trends in Budget Revenue Generation.” He highlighted the first eight months of the 2025 consolidated budget revenue, the macroeconomic indicators used in its calculation, and its overall structure.

Mongolia’s budget revenue reached MNT 19.3 trillion in the first eight months of 2025.

• Compared to the same period last year, total revenue fell by MNT 572.4 billion, while balanced revenue decreased by MNT 818.5 billion. Tax revenue declined by MNT 1.1 trillion, and mineral resource royalties dropped by MNT 931.2 billion.

• Value-added tax (VAT) exceeded its target by MNT 120 billion, personal income tax surpassed the target by MNT 243.2 billion, and non-tax revenue rose by MNT 306.4 billion.

• Measures are planned to enhance budget revenue further. For example, the share of mineral resource royalties allocated to the Sovereign Wealth Fund and the Future Heritage Fund is set to rise from 40 percent to 65 percent next year.

• Improvements to port infrastructure, transportation management, and border-crossing capacity are expected to raise coal exports to 90 million tons in 2026.

• The report also outlined plans to expand the tax base, including raising the VAT refund rate for purchases up to MNT 1 million, digitizing the payment receipts, and increasing overall coverage.

The discussion continued with a report on “Coherence of Budget Revenue and Tax Reform” by Altanzaya Gonchig, President and Chairwoman of the Board of the Association of Certified Tax Consultants of Mongolia (NGO). The report covered budget revenue, revenue generation models, tax reform, international trends and best practices, Mongolia’s conditions and challenges, draft model laws on tax reform policies, options for improving coordination of social insurance contributions with other taxes, and aligning people-centered social and income tax reforms with existing legislation.

The Chairwoman Altanzaya highlighted that tax reform demands a balanced approach grounded in fiscal stability, social justice, and strong citizen-state relations.  

The report emphasized that taxes are not merely a payment, but a collective responsibility and investment in the future. Following the report, Standing Committee members raised questions, shared opinions, and expressed their positions.