Ulaanbaatar
IMF’s Standby might bring down USD rate to MNT
PoliticsUlaanbaatar /MONTSAME/ Economists have started giving nods to the IMF Standby Arrangement as a optimal solution to the economic challenges Mongolia is confronted with. Especially, they see the arrangement as instrumental in stabilizing the raging rate of USD against MNT.
In 2009, Mongolia practiced the Standby Arrangement which resulted in bringing down the USD rate to MNT from 1,600 to 1,400. According to a IMF report, the positive change was achieved owing to USD 200 million funding from the Standby and additional financing of over USD 100 million from the World Bank, JICA and Australian Government.
This time, the IMF intervention can serve in slowing down the plummeting rate of Mongolian Tugrug (national currency) and stabilizing the MNT/USD rate to 1/2,000-2,100, speculate the economists.
