Kh.Altai, First Deputy Director of
the Mongolian Stock Exchange (MSE), has expressed his hope and confidence that
bids inviting companies to help privatize its management will attract response
from companies with international reputation. The selected company will be
expected to begin work in September. The proposed improvements cover areas like
finance, audit, accounting, preparation of statements, and risk evaluation.
Domestic investors will also have to be trained to become better-informed and
wiser to the ways of international trading.

Altai has emphasized the need to raise facilities and performance to
international standards if the Government’s goals for developing the domestic
capital market are to be met. The Prime Minister has already set up a working
group for the purpose. It is headed by Minister Ch.Khurelbaatar, with Altai
himself as secretary. Its members come from related state organizations as well
as from the private sector. A document the group prepared, containing
recommendations on how to develop the capital markets, has now been approved by
the Government.

These recommendations call for correlation of existing laws in several sectors,
as also for new laws on companies and investment funds. The stock exchange has
got a new executive board comprising skilled professionals from the State
Property Committee, the private sector, international banks and financial
organizations.  Altai thinks it is
imperative to install a double registration system whereby stocks for companies
listed on foreign stock exchanges can also be traded on the Mongolian Stock
Exchange.