Hello friends 👋

Welcome back to CMM Capital, your guide to uncovering alpha across Mongolia’s fast-evolving markets.

Political turbulence eased last week, marked by several major leadership changes: MP Gankhuyag Khassuuri was appointed Deputy Prime Minister, Uchral Nyam-Osor was elected Speaker of the State Great Khural and Chairman of the Mongolian People’s Party, and Bat-Erdene became Deputy Speaker of Parliament.

The week also delivered an especially strong lineup of developments at the Shanghai Cooperation Organization (SCO) Heads of Government Meeting in Moscow — from high-level foreign policy engagements with Russia, China, and South Korea to the strong global turnout at the Mongolia Investment Forum: Singapore 2025. Momentum is building across public-finance digitalization, cross-border infrastructure, energy security, and capital-market reforms—and we’re here to break it all down for you.

Enjoying the insights so far? Don’t keep them to yourself—share CMM Capital with your friends!

Mongolia’s foreign policy calendar was dense this week, with coordinated high-level engagements with Russia, China, and the Republic of Korea, alongside active participation in the Shanghai Cooperation Organization (SCO) Heads of Government Meeting in Moscow. Taken together, these moves signal a deliberate strategy to (i) deepen traditional partnerships with Russia and China, (ii) diversify trade and investment links with Korea, and (iii) position Mongolia as a transit, energy, and climate-resilience hub in Asia. For investors, the key themes are digitalization of public finance, expansion of commodity and agri-exports, and a growing pipeline of infrastructure and climate-related projects.

Mongolia’s Minister of Finance B. Javkhlan and Russia’s Minister of Finance Anton Siluanov signed a memorandum of understanding on financial-sector cooperation during the SCO Heads of Government meeting in Moscow. The agreement focuses on digitalizing the budget planning and approval process and introducing artificial intelligence technologies into financial management. Mongolia expressed specific interest in using advanced technologies such as AI in budget preparation and in cooperating on financial market reforms. Both sides also agreed to prioritize increasing trade, simplifying payment settlements, supporting joint investment projects, promoting tourism, and coordinating with international organizations.

The 9th Mongolia–Republic of Korea Joint Committee meeting in Ulaanbaatar highlighted deepening cooperation under the “Strategic Partnership.” Both sides agreed to advance a Mongolia–Korea Economic Partnership Agreement, aimed at expanding trade, increasing investment, and improving market access. Mongolia emphasized its 80 million livestock and ability to bring 20–30 million head into economic circulation annually, proposing better conditions for exporting natural “eco” products—including wool, cashmere, leather, meat, and meat products—and calling for tariff reductions.

The two sides reaffirmed commitment to joint projects in urban development, mining, and energy, including the creation of a “Mongolia–Korea Rare Metals Joint Research Center” and initiatives supporting Ulaanbaatar’s sustainable development. They agreed to coordinate cooperation on national strategic projects in steel production and copper smelting, including attracting Korean investment and advanced technologies. Progress on Korean concessional loan- and aid-funded projects was reviewed, with agreement to accelerate implementation of the “Construction of Heating Plants in 10 Provincial Centers”, as well as the “Solongo 1 & 2” and “Bayangol Am” housing projects. Visa cooperation was discussed, including simplified entry conditions and steps toward exempting medical travelers. Korea reaffirmed support for the “Ulaanbaatar Dialogue” and readiness to assist Mongolia in hosting COP17 in 2026.

In Moscow, Prime Minister G. Zandanshatar met Chinese Premier Li Qiang. The Prime Minister emphasized aligning development strategies and infrastructure plans, and confirmed Mongolia’s readiness to advance construction of cross-border railway projects—Shiveekhuren–Sekhee, Hangi–Mandal, and Bichigt–Zuunkhatavch—in phases. He proposed increasing Mongolia’s coal exports to China to 100 million tons, diversifying bilateral trade, and expanding agricultural export protocols, with the goal of raising bilateral trade to USD 20 billion. Premier Li Qiang reaffirmed China’s commitment to maintaining long-term, stable cooperation and keeping China’s vast market open to Mongolia. Both sides highlighted the importance of progressing the trilateral Mongolia–China–Russia agreement on constructing a natural gas pipeline through Mongolia.

On the margins of the SCO meetings, Prime Minister G. Zandanshatar met Russian President Vladimir Putin. The Prime Minister reaffirmed that deepening Mongolia–Russia’s traditional, friendly, and good-neighborly relations remains a top priority of Mongolia’s foreign policy and reiterated Mongolia’s commitment to strengthening the comprehensive strategic partnership and political trust. President Putin noted that high-level exchanges are becoming more active and that agreements between Heads of State are being implemented in practice. Both sides reiterated their intention to work closely on key projects, including the natural gas pipeline through Mongolia and the Mongolia–Russia–China Economic Corridor program. They also agreed to jointly celebrate the 105th anniversary of diplomatic relations in 2026.

At the expanded meeting of the Council of Heads of Government of SCO member and observer states, Prime Minister Zandanshatar outlined Mongolia’s priorities for cooperation with SCO members in the humanitarian sector within the framework of major development projects. These include the “Transit Mongolia” initiative—to fully utilize Mongolia’s strategic location at the crossroads of Asia and Europe to boost trade, tourism, and transport logistics—urban development, and the creation of large-scale energy and infrastructure facilities.

He also highlighted the national program “Towards Secure Mongolia”, focused on improving disaster resilience, reducing the negative impacts of climate change, and ensuring food security and safety. Mongolia reiterated its readiness to deepen cooperation with SCO members across all relevant fields. The Prime Minister further announced that Mongolia will host COP17 in Ulaanbaatar in 2026 under the UN Convention to Combat Desertification, emphasizing cooperation on desertification, climate change adaptation, and sustainable land management. Delegations from Belarus, Kazakhstan, Kyrgyzstan, China, Uzbekistan, Pakistan, India, and others attended, with Mongolia represented by the Prime Minister and the Minister of Foreign Affairs.

This week’s diplomatic activity reflects a coordinated strategy to accelerate Mongolia’s economic transformation across infrastructure, trade diversification, and governance reform. The first pillar—large-scale infrastructure connectivity—is underscored by momentum on cross-border railways with China, the Mongolia–Russia–China natural gas pipeline, and major concessional-loan projects with Korea, including heating plants in 10 provincial centers and large-scale housing developments such as Solongo 1 & 2 and Bayangol Am. The second pillar—diversifying trade and investment partners—is visible in Mongolia’s push to expand its agricultural export base to Korea; deepen cooperation on steel production, copper smelting, and rare-metals research; and strengthen market-access frameworks through the proposed Mongolia–Korea Economic Partnership Agreement. Efforts to broaden agricultural export protocols with China and increase coal shipments further reinforce this diversification. The third pillar—modernizing fiscal and financial-sector governance—is reflected in Mongolia’s commitment to digital public finance, the introduction of AI into budget preparation, and joint financial-market reform initiatives under the new MoU with Russia.

For the economy, these developments point to a more balanced and resilient growth model: expanded export markets, stronger industrial capacity, and a multi-country pipeline of strategic projects spanning energy, metals processing, urban development, and climate adaptation. For capital markets, the widening project landscape—from railways and pipelines to steel, copper-smelting, housing, and provincial heating—creates new opportunities for sovereign, quasi-sovereign, and corporate financing. Coupled with improving fiscal transparency and advancing digital governance, investor sentiment is likely to strengthen as policy direction becomes clearer and project bankability rises. Overall, Mongolia is signaling a more predictable, partnership-driven, and investment-ready environment—one that broadens market access, upgrades industrial capability, and steadily expands the universe of financing opportunities in infrastructure, energy, sustainable development, and value-added production.

The second annual Mongolia Investment Forum: Singapore 2025, hosted by Capital Markets Mongolia (CMM), concluded on November 20 with strong global attendance and renewed confidence in Mongolia’s economic trajectory.

Growing Global Interest in Mongolia’s Capital Markets

Investor sentiment was notably positive, supported by:

In total, the forum featured 2 presentations, 3 company pitches, and 2 panel discussions, both of which explored Mongolia’s rapidly evolving capital markets—focusing on foreign direct investment and fixed-income opportunities.

The Forum’s success demonstrates Mongolia’s accelerating momentum as an emerging investment destination. CMM remains committed to expanding this platform further through annual Forums in Singapore, New York, London, and Shanghai, enhancing Mongolia’s visibility and long-term market development.

In addition to foreign investors, top global financial media outlets—including CNBC and IFR—joined the forum.

Key Takeaways from IFR’s Coverage of the Mongolia Investment Forum: Singapore 2025: