At a meeting of the Citizens’ Representative Hural of Ulaanbaatar city, the decree of increasing road tax by five times has been postponed. Mayor S.Amarsaikhan said that although Ulaanbaatar needs to increase road taxes, the decision to do so now has been suspended due to political reasons.

The new taxes were about to come into force on 1 January 2020. The justification for the tax hike has come as a result of the increase in the number of vehicles on the already overcrowded roads of the Mongolian capital; in 2018 it reached 850 thousand in the capital and traffic congestion increased.

According to the new decree (No.29/30), owners of vehicles in Ulaanbaatar will be required to pay road tax increased from MNT 100 thousand to MNT 250 thousand depending on the type of vehicle each year. The new tax approximately equals MNT 8300 per month.