On Friday (31 January), B.Bayardavaa, Director General of the Monetary Policy Department at the Central Bank of Mongolia presented the economic and financial forecasts for 2020.
He noted that Mongolia’s economic growth has remained high for last three years. For example, economic growth was six percent in three quarters of 2017-2019 – with the exception of several fluctuations. This can be explained by the volume of investment and an increase in household consumption expenditure.
Foreign direct investment (FDI) to Mongolia has increased greatly since 2017. Investment growth has remained a steady 20-30 percent. The Bank expected that investment growth would reach 20 percent in 2019, but will fall to 10 percent in 2020.
Mr. B.Bayardavaa also noted that budgeted salaries will rise in 2020; this will have a positive effect on economic growth. Salaries for civil servants are expected to increase 14 percent in 2020.