Mongolia Brief June 20, 2014 Part II



Discussion runs on development of higher and vocational education

Ulaanbaatar, June 20 (MONTSAME) The parliamentary Standing committee on social policy, education, culture and science Friday organized a discussion themed "Developmental ways and solutions for higher and vocational education" in the State House.

This discussion ran in conjunction with formulating the state policy on education. A chairman of working group to draw up the policy Ya.Sodbaatar addressed the gathered, stressing that the state policy on education, passed in 1995, must be updated to refine a quality and content of education and to get a clause on ensuring trained staffers with job places at the market. "This document must determine the Mongolian of the 21st century and form a competitiveness of Mongolia at the educational sector," he said.
A head of the Strategy, Policy and Planning Department of the Ministry of Education and Science B.Nasanbayar gave a report titled "State policy on education and reforms", underlining that Mongolia is putting the educational sector in one of the social priorities. After this, an advisor to the project on reforms for higher education R.Bat-Erdene delivered "Tendency and prospect of higher education" report to highlight a comparative study of educational tendencies of foreign countries and their training programmes.
The discussion attracted D.Battsogt, a head of the Standing committee on social policy, education, culture and science; A.Bakei, a head of the Standing committee on state structure; L.Gantomor, the Minister of Education and Science; Yo.Otgonbayar, S.Odontuya, L.Erdenechimeg; D.Lundeejantsan MPs; directors of universities, institutes and vocational training centers.

Standing committee head meets SDC delegation

Ulaanbaatar, June 20 (MONTSAME) Head of the parliamentary Standing committee on state structure A.Bakei Friday received Mr Diepak Elmer, a deputy director of the Swiss Agency for Development and Cooperation’s (SDC) office in Mongolia, and Mr Jack Mirat, a manager of the programme on supporting governance.
Mr Elmer thanked the committee head for receiving them and expressed a hope that the Mongolia-SDC cooperation will gain big achievements. He also appreciated many measures taken in frames of the "100 days for intensifying national economy", and then exchanged views with Bakei on a draft new wording of the law on products and services purchasing.
Mr Bakei said the draft new wording would be an important law to augment economic profits and intensify investments, and added that the draft has been formulated under international experiences.

Stock exchange news for June 20

Ulaanbaatar, June 20 (MONTSAME) At the Stock Exchange trades held Friday, a total of 74 thousand and 628 shares of 27 JSCs were traded costing MNT 327 million 729 thousand and 743.10.
"Mongol nekhmel” /70 thousand and 773 units/, "Genco tour bureau" /1,821 units/, "APU” /1,005 units/, "State Department Store" /384 units/ and "Shivee ovoo” /240 units/ were the most actively traded in terms of trading volume, in terms of trading value--"Mongol nekhmel” (MNT 318 million 832 thousand and 365), "APU" (MNT three million 618 thousand and 250), "UB hotel” (MNT one million and 508 thousand), "Shivee ovoo” (MNT one million and 272 thousand) and "Suu” (MNT 515 thousand).
The total market capitalization was set at MNT one trillion 555 billion 835 million 859 thousand and 328. The Index of Top-20 JSCs was 15,420.95, increasing by MNT 124.25 or 0.81% against the previous day.

Stock exchange weekly review

Ulaanbaatar, June 22 (MONTSAME) Five stock trades were held at Mongolia's Stock Exchange June 16-20, 2014.
In overall, 126 thousand and 286 shares were sold of 43 joint-stock companies totaling MNT 404 million 159 thousand and 455.32.
"Mongol nekhmel” /70 thousand and 776 units/, "Hermes center” /16 thousand units/, "Berkh uul” /9,794 units/, "Remikon” /7,229 units/ and "Khokh gan" /6,376 units/ were the most actively traded in terms of trading volume, in terms of trading value--"Mongol nekhmel” (MNT 318 million 848 thousand and 265), "Berkh uul” (MNT 31 million 340 thousand and 800), "APU" /MNT 14 million 984 thousand and 170/, "UB hotel" /MNT seven million and 668 thousand/ and "UB-BUK" (MNT five million and 783 thousand).

Where Mongolia Stands: Average Wage

June 20 (Mongolian Economy) As the cost of living continuously rises, it is important to understand where Mongolia’s average wage lies in the global spectrum. The International Labour Organization calculated average wage based on data received from 72 different countries. The world average wage rests at USD 1,480 per month with Luxembourg leading the pack at USD 4,089 each month. 
This comparison shows that Mongolia is nowhere near the top. Rather, it places 65th with a monthly salary of USD 415, lagging far behind more developed countries such as Austria, Norway, the United States and the United Kingdom. Although the calculations do not include some of the world’s poorest nations, it is an eye opener.  
It is also important to note that the figures reflected do not include those who are self-employed or those who receive benefits. In addition, these numbers are adjusted to accurately portray the cost of living in each of these countries. 
The total value of world income is closing in on $70 trillion per year, and there are seven billion people in the world, so the average income is heading towards $10,000 per person per year.

Business Summit 2014 highlights

June 20 (Mongolian Economy) The Mongolian Business Summit 2014 entered its second day today with parliament members, governors, and the president in attendance in addition to foreign investors. Government members opened the event announcing discussions related to government involvement in the business world. As a part of the 100 Day Stimulus Plan the event’s main purpose was to listen to business representatives who discussed the biggest barriers holding back foreign investment and how to solve these issues. 
300 people attended the event, many of whom were foreign investors hailing from 20 different countries. Ts. Elbegdorj, the President of Mongolia, said that private businesspeople are the main initiators of transactions. The private sector right now is like an orphan, a child raised by its stepfather’s hand, who has stayed by the government’s side even during hard times. On the other hand, politicians, who once wielded many promises, remain silent during these times of hardship. Thus, it is imperative to promote the private sector. 
The event initiated a law that defined government participation in business. The government should pay if they want to be involved in the business world. It is prohibited for them to steal businesses under the state name. Representatives urged the private sector to become an initiator. The government should only offer their involvement, not instigate any actions. Many representatives stated that private businesses know the responsibility of handling the business world while the government has high operating costs and has a tendency to slip money. After the president’s speech, a new discussion was launched called “Invest Mongolia.”
The Cabinet Secretary, C. Saikhanbileg, the Prime Minister, C. Batbold, and the head of Mongolian Financial Market Association, L. Byambaa were the main speakers. C. Saikhanbileg introduced the plans that will be made throughout the 100 days of the plan and presents findings every Monday. As part of the plan, 23 law projects have been submitted to parliament for review. Of these 23 projects, 11 of them are related to tax issues. These tax changes were made in hopes of promoting the private sector. 
L. Byambaa discussed the non-mining sectors – agriculture, food, real estate and tourism. She said that many projects are related to tourism; however this sector has halted due to a lack of investment. This is an attractive sector that should be revitalized because it has potential to bring in foreign investors. In order to ensure the sustainable growth of Mongolia, stable investment and the development of the financial market is necessary. 
Representatives and the president also announced that Mongolians can’t build an economy based on the banking sector in terms of financing. What needs to be done is the revitalization of the Mongolia Stock Exchange and state-owned companies should be made public in order to expand the Mongolian economy. Two main ideas were presented throughout the event. The first idea is that the Mongolian government is ready to promote foreign investment and the second idea is that the government is officially announcing that it is taking its hands out of the private sector, allowing businesses to remain the sole initiators of the business world.

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