Overview: Mongolia's severe climate, scattered population, and wide expanses of unproductive land have constrained economic development. Economic activity traditionally has been based on agriculture and the breeding of livestock - Mongolia has the highest number of livestock per person in the world. In past years extensive mineral resources had been developed with Soviet support; total Soviet assistance at its height amounted to 30% of GDP. The mining and processing of coal, copper, molybdenum, tin, tungsten, and gold account for a large part of industrial production. Timber and fishing are also important sectors. The Mongolian leadership is trying to make the transition from Soviet-style central planning to a market economy through privatization and price reform, and is soliciting support from international financial agencies and foreign investors. The economy, however, has still not recovered from the loss of Soviet aid, and the country continues to suffer substantial economic hardships.

National product: GDP - purchasing power equivalent - $2.8 billion (1993 est.)

National product real growth rate: -1.3% (1993 est.)

National product per capita: $1,200 (1993 est.)

Inflation rate (consumer prices): 325% (1992 est.)

Unemployment rate: 15% (1991 est.)

Budget:
revenues: $NA
expenditures: $NA, including capital expenditures of $NA (1991 est.)
note: deficit of $67 million

Exports: $355 million (f.o.b., 1992 est.)
commodities: copper, livestock, animal products, cashmere, wool, hides, fluorspar, other nonferrous metals
partners: former CMEA countries 62%, China 17%, EC 8% (1992)

Imports: $501 million (f.o.b., 1991 est.)
commodities: machinery and equipment, fuels, food products, industrial consumer goods, chemicals, building materials, sugar, tea
partners: USSR 75%, Austria 5%, China 5%

External debt: $16.8 billion (yearend 1990); 98.6% with USSR

Industrial production: growth rate -15% (1992 est.); accounts for about 42% of GDP

Electricity:
capacity: 1,248,000 kW
production: 3,740 kWh
consumption per capita: 1,622 kWh (1992)

Industries: copper, processing of animal products, building materials, food and beverage, mining (particularly coal)

Agriculture: accounts for about 35% of GDP and provides livelihood for about 50% of the population; livestock raising predominates (primarily sheep and goats, but also cattle, camels, and horses); crops - wheat, barley, potatoes, forage

Economic aid: NA

Currency: 1 tughrik (Tug) = 100 mongos
Exchange rates: tughriks (Tug) per US$1 - 150 (1 January 1993), 40 (1992), 7.1 (1991), 5.63 (1990), 3.00 (1989)
note: the exchange rate 40 tughriks = 1US$ was introduced June 1991 and was in force to the end of 1992

Fiscal year: calendar year

NOTE: The information regarding Mongolia on this page is re-published from the 1995 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Mongolia Economy 1995 information contained here. All suggestions for corrections of any errors about Mongolia Economy 1995 should be addressed to the CIA.