Today (20 September), the Bank of Mongolia raised the country’s benchmark rate by 200 basis points to 12 percent, the fourth this year, for a total of 600bp of monetary tightening.

The increase brings the policy rate to its highest level since late 2017.

In August, Mongolia registered 14.4% inflation nationally, down from 16.1% in June. Inflation was slightly higher in Ulaanbaatar, the capital. The central bank estimates that increasing import and transportation costs explain two-thirds of rising price