Mongolian Market Updates | August 20, 2024

☀️ Good morning,

Mongolia’s new coalition government announced 14 mega projects to accelerate economic growth in the 2024-2028 action program.

Projects:

1. Cross-border railway connections and cargo transfer terminal project at "Gashuunsukhait-Gantsmod," "Khangi-Mandal," and "Shiveekhuren-Sekhee"

2. The 450 MW thermal power plant project at Tavantolgoi

3. The 90 MW hydroelectric plant project at Erdeneburen

4. The 310 MW hydroelectric plant project on the Eg River

5. The renewable energy and distributed resource project

6. The Kherlen-Toono and Orkhon-Ongi water pipeline project

7. The vertical axle road project from Ereen Tsav to Choibalsan, Baruun Urt, and Bichigt

8. The joint project with France for a uranium and atomic power plant

9. The coal-chemical, coke-chemical complex project

10. Copper processing complex

11. Steel manufacturing plant

12. Oil refining complex

13. A gold refining plant based on the Oyu Tolgoi project

14. National satellite

In this week’s newsletter:

• Mongolia Investment Forum in Singapore

• Market News

• “Mining Week x MinePro 2024” event

💼 Mongolian Investment Forum in Singapore: Impact Investing

The Mongolia Investment Forum in Singapore, presented by CMM, on November 4 and 5, 2024.

This exclusive event will bring together leading investors, policymakers, and business leaders to delve into Mongolia's dynamic landscape of impact investing.

Join us to dive into engaging discussions, uncover promising investment opportunities, and forge meaningful connections.

🏦 Market News

• Balance of Payments: The balance of payments in the first half of 2023 showed a surplus of $473.7 million, but in the first half of this year, a deficit of $57.3 million was recorded. Meanwhile, GDP (at constant 2015 prices) grew by 5.6% in the first half of 2024.

• Coal Exports: Mongolia has exported a total of 47.5 million tons of coal in the first seven months of this year. The average monthly coal export has increased from 5.1 million tons in the first seven months of 2023 to 6.8 million tons this year.

• Green Loans: The Trade Development Bank’s [MSE: TDB] green loan portfolio increased by 38% in the first half of this year, compared to the end of 2023. The bank has utilized 87% of the funds raised from its IPO. 

🔔 Mining Week x MinePro 2024 🔔

Mongolia is rich in vast mineral resources, including coal, copper, gold, iron ore, uranium, and rare earth elements, which attract foreign investment and are vital to the country's economy, driving growth and revenue.

The 3rd annual "Mining Week x MinePro 2024” International Mining Exhibition & Convention will bring together key stakeholders, including mining project owners, investors, suppliers, and service providers.

CMM, in collaboration with the Mongolian Mining Association, is co-organizing the Mining Finance Day on October 5th. This event will focus on financing strategies for mining projects and suppliers, with a discussion on both traditional and innovative methods involving local and international financial institutions.

For more detailed information about the event, please click HERE.

🟣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.