Mongolian Economy Grows Higher than Expected

2023-11-21 12:54:11

Ulaanbaatar, November 21, 2023 /MONTSAME.  The economic growth of Mongolia has been higher than the expectation. The foreign trade surplus hit a record of USD 4.9 billion in the first ten months of this year and the state budget income exceeded the projection, having a surplus of MNT 2.1 trillion.

Prime Minister of Mongolia L. Oyun-Erdene underscored these facts at his 23rd "Morning Meeting" held with economists yesterday. “This growth will benefit citizens and businesses. As a proper policy is essential to maintain economic growth and deliver it to every family, I am meeting economists."

As a result of the Government's measures to increase exports, intensify the port revival, and fight against corruption, the balance of payments turned into a surplus of USD 791 million. This year, the GDP per capita reached USD 5000 and we are aiming to increase it to USD 6000 next year, noted the Premier.

The participants emphasized the importance of planning to diversify the economy and coordination of sectors when giving priority and supporting specific sectors as well as the development of education and health sectors to be accessible. They also underscored that economic growth should be inclusive to benefit every household, regardless of where they live meanwhile, welfare services should not be expanded.

Professor of the University of Finance and Economics of Mongolia economist J. Delgersaikhan said, " The income from mining should be spent more on education and health. It is good that the economy is growing. Now, to maintain this growth, we need to strengthen governance and cut spending on social welfare. In this way, the economic growth can be kept for a long time."

Professor of the University of Science and Technology Ch. Baasandash stressed the need to develop cooperatives at the national level and the government leadership in this area.

Out of 980,000 households in our country, 400,000 live in the capital. Household income increased by 11.7 percent in the third quarter of this year. In his report "Effects of Economic Recovery on Households and Issues to Consider" Chief Economist of the Bank of Mongolia D.Gan-Ochir, stated that protecting the real income of households requires keeping the tight monetary policy until the inflation is lowered and stabilized.