Mongolian Market Updates | August 13, 2024

🌅 Good morning,

The coalition government has officially signed its agreement and has submitted the government's action program for 2024-2028 to the Parliament of Mongolia. Economic policy framework:

• The government will modernize border crossings, increase their number, fully digitalize operations, complete railway connections, and target 100 million tons in annual coal exports.

• A friendly business environment will be created for the private sector through tax reforms and a commitment that the state won't compete with businesses. State regulations will be reduced, with some responsibilities handed over to professional associations.

• Investment, trade, and bankruptcy laws will be updated to protect investors and support entrepreneurs.

• Foreign bank branches will be permitted to operate, and new banks and financial institutions with foreign investment will be established.

• The greenhouse gas reporting system will be strengthened, enabling carbon credit trading, and promoting green financing and investments.

In this week’s newsletter:

• Market News

• MinePro 2024 event

🏦 Market News

• Bodi Insurance [MSE: BODI] Chairman of the Board of Directors L. Boldhuyag resigned voluntarily, and B. Bilegt, a regular member of the Board of Directors, was appointed as the Chairman of the Board of Directors.

• The stock price of State Department Store [MSE: UID] increased by 62% over the past month, reaching ₮4,295. On July 31, a portfolio valued at ₮10.9 billion was traded.

• Ard Credit NBFI [MSE: ADB] has issued ₮13.5 billion open-end bonds for public trading. These bonds offer an annual interest rate of 18.5% and have an 18-month maturity period. Apex Capital LLC serves as the primary underwriter for this bond issuance.

• The secondary market trading for the "Sendly Bond - 2.0," issued by Sendly NBFI [MSE: SEND], commenced on August 6 and achieved total trades of ₮120 million within four days.

• In the past seven days, Erdenes Tavantolgoi's "ETT Bond," which offers a 10% annual interest rate, has traded for ₮210 billion.

🔔 Mining Week x MinePro 2024 🔔

“Mining Week 2024” will be extended to feature the “Mining Week x MinePro 2024” international Mining Exhibition and Convention on October 2-5.

On the third day of the event co-organized by CMM, the agenda will include an in-depth discussion of global trends in mining finance and international and regional financing opportunities, challenges, and growth prospects.

This event will serve as a platform for knowledge exchange, strategic partnerships, and investment opportunities, specifically focused on advancing sustainable mining practices and driving innovation in the Asian market. We aim to promote mutually beneficial global partnerships among local mining companies, development agencies, and international and local financial organizations. For more detailed information about the event, please click HERE.

If you are interested in participating in the event, please click HERE to register.

🟣CMM Services

Capital Markets Mongolia (CMM) specializes in providing strategic advisory to public companies on optimizing investor relations (IR) and advising on upcoming IPOs, bond issuances, and effective participation in the capital markets with a focus on efficiency and reputation. Additionally, we undertake market research and provide financial PR services.