Mongolia to face serious challenge due to heavy debt: speaker of parliament

Source: Xinhua| 2017-10-02 19:59:14|Editor: liuxin
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ULAN BATOR, Oct. 2 (Xinhua) -- Mongolia's next government will face heavy external and internal debt, Speaker of Parliament Miyegombyn Enkhbold said Monday.

"The volume of state external and internal debt as of August this year ... is equaled to 73.8 percent of GDP. Therefore, this will be a serious challenge to Mongolia and the next new government," Enkhbold said at the opening of the parliament's autumn session.

"The main attention should be paid on updating and defining the self-management strategy of the executive power, on promoting of major projects and programs, and to build up the accumulation of debt obligations," Enkhbold said.

Meanwhile, the parliament speaker said Mongolia's economy has improved due to the country's involvement in the Expanded Fund Facility Program of the International Monetary Fund (IMF).

As of the first half of this year, Mongolia's economy was up 5.8 percent, and growth is expected to increase in the future, he said.

"Proceeding from this, the monetary policy council of Bank of Mongolia decided to keep the key rate at the level of 12 percent," he said, adding that the parliament will consistently support the IMF program.