Archives: FAQs

A: One indication of the stability of the Mongolian legal system is that a past President of Mongolian Nambaryn Enkhbayar, is currently serving time in prison. In many Third World countries, former Presidents are exiled or executed.

A: Coal:   163.2 billion tons, Copper: 37 million tons, and Gold: 1,431 tons. At current prices, the gold alone would be worth 70 billion dollars.

A: Its largely unexploited mineral wealth. There are approximately 6,000 known deposits of over 80 different minerals in the country, including coal, copper, and gold. Only 27% of Mongolia has been surveyed to a scale of 1:50,000.

A: Currently,  93% of Mongolia’s exports go to China.

A: Currently, just under 50%.

A: Mongolia’s extraordinarily harsh winters (‘Dzud’) are a major cause. There are three types of Dzud: Black, White and Ice.  A ‘Black Dzud’ occurs after an exceptionally hot, dry summer, leaving low-lying grasses weak. This makes it difficult for herd animals to find fodder, and many starve.  A ‘White Dzud’ from unusually heavy snowfall which prevents animals from reaching fodder. An ‘Ice Dzud’ is when freezing rain covers the ground, making grazing impossible. In 2009/2010 a Dzud killed an estimated 17% of all of Mongolia’s livestock, leading many rural Mongolians to leave the countryside and relocate to the city.

A: The Democratic Party  currently holds 31  Ikh Khural seats; a plurality, but not a majority.  They have formed a coalition government with the Mongolian People’s Party, who hold 25 seats. (Until a few years ago, the MPP was the Mongolian People’s *Revolutionary* Party; 99.3% of its members approved the name change). The DP tends to have a free market outlook, while the MPP leans toward “resource nationalism”; greater regulation and taxation of foreign businesses.  32% of Ikh Khural members are women.

A: Excellent. The Mongolian political system provides for “separation of powers”: the Ikn Khural’s members select the Prime Minister to preside over the Cabinet, while the Mongolian people directly elect the President, who serves as Head of State and Commander-in-Chief of the Armed Forces. He has veto power over new laws, which requires a super majority to override. He serves a maximum of two four year terms.

A: Since 1990, Mongolia has been a multi-party democracy. It has a unicameral parliament (the Ikn Khural) with 76 members.

A: Very favorably. Mongolia’s personnel income tax is a flat 10%. In China the rate ranges from 3% to 45%, and in Russia the flat tax is 30%. The Mongolian corporate tax rate ranges from 10% to 25% for firms incorporated in Mongolia; 20% otherwise. The Chinese and Russian rates are 25% and 20% respectively. Mongolia’s Value Added Tax is 10%; in China, the VAT is 17% and in Russia 18%.