Prime Minister S.Batbold has clarified the thrust of the proposed reforms in the social welfare program. Last year, MNT71 billion was distributed to 1.3 million people, about 45,900 people were helped find jobs and 18,900 people were enrolled in professional training courses. The Government is working to reduce poverty and create jobs and aims to reduce the number of poor families by 12,500 per year. Money spent on welfare programs has been increasing during the past few years, but poverty has not decreased. He also felt the benefits of the present welfare programs had failed to reach the really needy groups and has also led to dependence, blunting the initiative in many cases to find and hold on to a job.

The Government now thinks it is best to aim welfare programs at the disabled, single elders, orphans, and families which run most risks of becoming poor. The four current laws regulating social welfare will be made into two, and the 62 types of welfare allowances at present will be reduced to 17. Welfare allowance recipients will be divided into two groups: members of poor families, and citizens in the greatest need for assistance.