Economic growth to expect to be 5.0 percent in 2023Economy
Ulaanbaatar /MONTSAME/. Economic growth is expected to reach 2.6 percent by the end of this year and 5 percent in 2023.
In the first half of this year, the nominal GDP reached MNT23 trillion, increased by 15.9 percent from the previous year. The real GDP calculated at the price of 2015 reached MNT12.8 trillion, showing an increase of 1.9 percent from the same period of the previous year. Consequently, economic growth is expected to reach 2.6 percent by the end of this year and 5 percent in 2023. The uncertainty of the external sector remains the same as the previous year, but the Cabinet is aiming to bring it to the pre-pandemic level of exports of mining products in 2019. With the implementation of activities by the government, the mining industry export will increase by 14.6 percent next year, consisting of mainly the transport, trade, and service sectors and net taxes.
The annual inflation rate reached 14.4 percent nationwide as of August this year and is expected to be around 12 percent by the end of the year. Next year, inflation is expected to reach the medium-term target level of 8 percent after the government and the central bank implement strict fiscal and monetary policies to ensure macroeconomic stability.
Exports increased by 37.8 percent compared to the same period of the previous year and reached USD7.8 billion. By the end of this year, the amount of exports is expected to reach USD10.7 billion. The export volume is projected reach USD11.4 billion and the import –USD 9 billion, which makes the projection that the foreign trade will have USD 2.4 billion dollars in profit in 2023, according to the following year's budget bill.