GDP growth in Mongolia has peaked in 2011 at 17.3%. And, that has made Mongolia as the world highest growing country in the world. the growth of the economy has continued in 2012 as well with the rate of 12%. However, after 2013, the economic growth rate has been weakened. In 2015, because of the weak commodity price, slower pace of growth in China and the unfriendly and inconsistent policies by the Government, the growth rate has become almost zero. We expect the economy remains very weak in coming few years as Mongolia has lost the trust from investors.
However, medium-term prospects remain promising given Mongolia’s potential to develop its natural resources. In particular by the start of the long waited development of underground at the Oyu Tolgoi this year, the economic growth is expected to pick up sharply. In addition,non-mining growth is expected to grow as the government is trying to diversify the economic growth other than mining.