Mongolia Economic Forum-2023: Breakfast speech

Good morning, ladies and gentlemen.

It is my pleasure to meet you all today.

The Prime Minister just said “Welcome to Mongolia!” I would like to say, “Welcome to the Central bank”, and “Welcome to the Banking sector of Mongolia!”

It is a good opportunity to share our thoughts on the future prospects of the economy and financial sector.

First, I would like to emphasize that the central bank will always welcome foreign investors. We will fully support initiatives to enhance foreign investment. As a regulator, we believe that it is crucial for Mongolia's financial sector to enter a new stage of development. It means more access and connection to the international market.

Let me elaborate on some major recent developments in our industry:

• The passage of the Law on Banks Specialized in Investment Activities has positioned Mongolia as an attractive destination for foreign investment.
• We hope that the new legislation will open up new opportunities for foreign investors who are interested in financing large-scale projects.
• If a foreign bank requests to operate in Mongolia, the Central Bank will welcome them with open arms within the scope of our regulatory framework.
• I would like to inform you that the procedures and requirements related to bank branch opening are becoming much more easier and flexible.
• Next, I would like to emphasize that this is a very special time for the financial sector of Mongolia.
• In terms of foreign direct investment (FDI), the mining sector has been the driving force. Rio Tinto, the country's major business partner and FDI contributor, is here with us today. We hope that the financial sector will be the next major channel to bring foreign investment to the country.
• Our financial services firms, gathered here today, have high potential for growth. Especially, the banking sector has incorporated reforms in corporate ownership, governance, and supervision practices through initial public offerings (IPOs) this year.
• The banking sector is already open to foreign investments. If you look at the ownership structure of the systemically important domestic banks (D-SIBs), you can see a portfolio with a diverse source of investors.

In conclusion, the Bank of Mongolia collaborates closely with Mongolia's bilateral and multilateral development partners. We are dedicated to implementing all promised measures to keep the Mongolian banking sector healthy and secure.

There are many international reputable names gathered here today. I hope you will all contribute to bringing FDI and related know-how to the country. I hope this event will be the start of many fruitful and productive collaborations in the future.

Dear guests,

I would like to thank you again for taking your valuable time and coming here at this early hour. I hope you will have a chance to share your thoughts, connect with each other, and learn more about the Mongolian economy and financial sector today.

I am more than happy to answer your questions.

Please enjoy your time.

Thank you!