Mongolia Military, Economy and Transportation

Mongolia Military


Economy overview: The economic activity of Mongolia has traditionally been based on agriculture and animal husbandry. Mongolia also has extensive mineral deposits – the extraction of copper, coal, molybdenum, tin, tungsten and gold makes up a significant part of industrial production. Soviet aid, which previously amounted to up to a third of GDP, ceased after the collapse of the USSR. The Mongolian economy fell into a long recession, exacerbated by the unwillingness of the Mongolian People’s Revolutionary Party (MPRP) to pursue drastic economic reforms. The Democratic Coalition government embarked on the path of a market economy, relaxed price controls, liberalized domestic and foreign trade, and attempted to rebuild the banking system in the energy sector. Major privatization programs have been undertaken, measures to stimulate foreign investment were implemented (international tenders for the sale of an oil products trading company, the largest cashmere company and banks). The progress of reforms was slowed down as a result of the resistance of the former communist MPRP and the political instability generated by the frequent change of governments of the Democratic Coalition (there were four governments). After the crisis in 1996, caused by a series of natural disasters and a decline in world prices for copper and cashmere, in 1997-99. followed by economic growth. In August and September 1999, the Mongolian economy suffered from Russia’s temporary ban on the export of oil and petroleum products. In 1997, Mongolia joined the World Trade Organization (WTO). At the last meeting of the Advisory Group in Ulaanbaatar in June 1999, foreign donors decided to allocate $300 million a year to Mongolia. The MPRP government, which came to power in July 2000, is committed to improving the investment climate and should also address the burdensome external debt.
GDP: at purchasing power parity – $4.7 billion (2000 est.).
Real GDP growth rate: -1% (2000 est.).
GDP per capita: at purchasing power parity – $1,780 (2000 est.).
The composition of GDP by sectors of the economy: agriculture: 36%; industry: 22%; services: 42% (2000 est.).
Proportion of population below the poverty line: 40% (2000 est.).
Percentage distribution of family income or consumption: per 10% of the poorest families: 2.9%; by the top 10% of families: 24.5% (1995).
Inflation rate at consumer prices: 7.6% (1999).
Labor force: 1.3 million people (1999).
Employment structure: mainly livestock and agriculture.
Unemployment rate: no data.
Budget: revenues: $262 million; expenditures: $328 million, including capital expenditures – NA (2000 est.).
Spheres of the economy: production of building materials, mining (especially coal and copper mining); production of foodstuffs and drinks, processing of livestock products.
Growth in industrial production: 2.4% (2000 est.).
Electricity generation: 2.671 billion kWh (1999)
Sources of electricity generation: fossil fuels: 100%; hydropower: 0%; nuclear fuel: 0%; others: 0% (1999).
Electricity consumption: 2.767 billion kWh (1999)
Electricity export: 80 million kWh (1999).
Electricity import: 363 million kWh (1999).
Agricultural products: wheat, barley, potatoes, fodder crops; sheep, goats, cattle, camels, horses.
Export: $454.3 million (free on board, 1999)
Exports: copper, livestock, livestock products, cashmere, wool, leather, fluorite, and non-ferrous metals.
Export partners: China 60%, USA 20%, Russia 9%, Japan 2% (2000 est.).
Import: $510.7 million (S.I.F., 1999).
Imports: machinery and equipment, fuels, foodstuffs, industrial consumer goods, chemicals, building materials, sugar, tea.
Import partners: Russia 33%, China 21%, Japan 12%, South Korea 10%, USA 4% (1999).
External debt: $760 million (2000 est.). Economic aid recipient: $200 million (1998 est.)
Donor economic aid:
Currency: Tugrik.
Currency code: MNT.
Exchange rate: MNT/USD – 1,097.00 (December 2000), 1,076.67 (1999), 1,072.37 (1999), 840.83 (1998), 789.99 (1997), 548.40 ( 1996).
Fiscal year: calendar year.


Telecommunications Telephone lines: 104 100 (1999).
Mobile cell phones: 110,000 (2001).
Telephone system: very low level of telephone penetration – 35 telephones per 1,000 people; internal: no data; international: satellite ground stations – 1 Intersputnik (Indian Ocean region).
Broadcast stations: AM – 7, FM – 9, shortwave – 4 (2001).
Radio receivers: 155,900 (1999).
Television broadcast stations: 4 (and 18 repeaters in aimags, plus many low power repeaters) (1999).
TVs: 168,800 (1999).
Internet country code: mn
Internet service providers: 5 (2001).
Number of users: 10-15 thousand (2001).


Transport Railways: total: 1,815 km; broad gauge: 1,815 km (1.524 m gauge) (2001).
Motorways: total: 3,387 km; coated: 1,563 km; unpaved: 1,824 km; note: also 45,862 km of broken and unmaintained country roads (2000).
Waterways: 400 km of main routes (1999).
Ports and harbours: none.
Airports: 34 (2000 est.).
Airports with paved runways: total: 8; from 2438 to 3047 m:7; less than 914 m: 1 (2000 est.).
Airports with unpaved runways: total: 26; over 3,047 m: 3; from 2438 to 3047 m: 5; from 1524 to 2437 m: 10; from 914 to 1523 m:3; less than 914 m: 5 (2000 est.).

Armed forces

Branches of the armed forces: Mongolian armed forces (including general purpose forces, air force and air defense, civil defense forces); note – the border troops in peacetime are subordinate to the Ministry of Justice and the Interior. See to know more about Mongolia Military.
Enlistment age: 18 years old.
Total Military Manpower: Male 15 to 49: 748,779 (2001 est.).
Eligible for military service: males aged 15 to 49: 486,491 (2001 est.).
Number of persons reaching military age each year: men: 30,230 (2001 est.).
Military spending in dollar terms: $25.5 million (2001)
Military spending as part of GDP: 2.3% (2001).

Mongolia Military