On November 14, Prime Minister J.Erdenbat hosted more than 30 ambassadors from the European Union, answering their questions and exchanging views on several matters.
The Prime Minister highlighted that Mongolia has focused on its third neighbor policy since the 1990s, and that the EU was its largest trading partner and investor outside of Mongolia’s two immediate neighbors. J.Erdenebat went on to emphasize that Mongolia and the EU have cooperated in a wide variety of sectors in the past.
Mongolia’s recent economic hardships were addressed by the Prime Minister. He added that the government is currently working to stabilize the economy, and is focused on fostering growth for the long term. The PM’s government is currently in the process of trying to pass a bill on overcoming economic hardship and stabilizing the economy, and the PM also mentioned the government’s ongoing discussions with the IMF and a number of countries regarding support in the form of loans.
The Mongolian representatives told the EU delegation that foreign direct investment had fallen drastically compared to a few years ago. They seceded that while a decline in the price of commodities has played a role, the instability of the government and the incompetence of government agencies also played a large part in deterring foreign investment. Prime Minister J.Erdenebat formally asked the EU ambassadors in attendance to promote investment in Mongolia.
J.Erdenebat brought up the establishment of a Cabinet commission to protect investors’ interests. He assured the ambassadors that the commission would work to protect the interests of investors, create a more favorable investment environment, and work to avoid the risks that come with investment.
The Prime Minister reported that the government is focused on building large petroleum, copper, and coal processing factories. He said that these projects will require a large amount of foreign investment.