Mongolia's 100 day plan: Legal developments
01 September 2014
On 8 May 2014, the Parliament of Mongolia issued a resolution to approve guidelines for certain actions to stimulate the economy. Pursuant to this guideline, the Cabinet prepared and implemented a 100 day plan to stimulate the economy (the "100 Day Plan"). The 100 Day Plan came to an end in August 2014.
Under the 100 Day Plan, and with the primary objective of reinvigorating the Mongolian economy, the Government set itself the following tasks in six principal sectors:
(a) to encourage entrepreneurs: by cutting red tape, simplifying the process for the grant of licences, and stimulating trading on the Mongolian Stock Exchange;
(b) to increase production of the mining sector: by amending the Minerals Law and lifting the moratorium on the grant of exploration licences, accelerating the development of Oyu Tolgoi underground mine and providing government policy support for the same, and by removing obstacles to businesses in the uranium sector;
(c) to stimulate the construction, manufacturing and infrastructure sectors: by expediting the Gashuun-Sukhait and Tavantolgoi railroad projects, improving the energy sector investment environment and cooperation with neighbouring countries, including facilitating negotiations on trans-Mongolia railway and road projects;
(d) to stimulate regional economic and infrastructure development: by commencing construction of regional thermal power stations, obtaining international accreditation for the Gashuun Sukhait and Shiveehuren land ports and, furthering the "1,000 apartments" projects in the regions;
(e) to increase foreign investment: by improving tourism sector infrastructure and introducing free trade zones, accelerating the implementation of the Law on Investment Funds, and simplifying the foreign investor visa regime; and
(f) to revise fiscal and monetary policy: by ensuring transparency of budget expenditure, reducing total expenditure by 20 per cent, and revising the medium-term programme for stabilising the price of essential household items/staples.
During the 100 days, Parliament has passed a raft of amendments to, and wholesale revisions of, existing Mongolian laws. Whilst not all of these amendments and revised laws were connected with the objectives of the 100 Day Plan, we set out below a summary of those amendments and revised laws which we consider most relevant.
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