Mongolia’s economy can grow 7 percent this year on the condition that China achieves its target for a 5 percent expansion in gross domestic product, according to Economy and Development Minister Ch.Khurelbaatar.

China’s rapid economic growth is very beneficial for Mongolia as it promotes the country’s exports, which are crucial for the economy, Ch.Khurelbaatar said on the sidelines of the annual Boao Forum for Asia that began the same day.

China is Mongolia’s biggest trading partner. Mongolia’s trade with its neighbor jumped to a record USD 13.6 billion in the 12 months ended 31 December from the year before, data from its National Statistics Office showed, making up 64 percent of its total foreign trade last year.

The fast recovery of China’s economy leads the country to buy more of Mongolia’s products and increase investment, the Minister said, adding that Mongolia will keep exporting coal products to China.

In the decade since China first proposed the Belt and Road initiative — a huge infrastructure project spanning the world — Mongolia’s international trade more than doubled to USD21.2 billion in 2022, he pointed out. The BRI is a path toward common prosperity and greatly helps Mongolia, the vice prime minister said.

Thanks to the BRI, Mongolia’s trading relations have progressed significantly and now include over 100 nations, Ch.Khurelbaatar said, noting that Mongolia’s economy has constantly developed, with a big increase in its per capita GDP. And Mongolia has constructed about 500 kilometers of rail links to connect its provincial capitals, and has also extended its highways network.

The Boao Forum for Asia is being held in China’s Hainan province through March 31. This year’s annual conference is the first in-person since the start of the Covid-19 pandemic.