Mongolia’s foreign exchange reserves increased by 52% from previous year

Despite the high amount of payment of foreign bonds in 2024, continued tight monetary policy and strong export growth have supported net foreign exchange outflows.

E.Oyun-Erdene

E.Oyun-Erdene

Go Go Mongolia

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File photo of United States one-hundred-dollar bills. PHOTO: GO GO MONGOLIA

April 11, 2024

ULAANBAATAR – In recent months, an import of consumer goods has increased which impacts increasing the outflow of foreign currency.

As of March, Mongolia’s official foreign currency reserves exceeded USD 5.2 billion which increased by 5.62% from the previous month and 52% from the same period last year, according to the Bank of Mongolia.

Despite the high amount of payment of foreign bonds in 2024, continued tight monetary policy and strong export growth have supported net foreign exchange outflows.

The President of the Bank of Mongolia emphasized “In 2024, in addition to the increase in public expenditure, the increase in import demand due to the high growth of consumer loans will have a negative impact on the balance of payments. In the future, prices of mineral products in the world market will also affect the balance of payments”.

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