After 3 years of robust growth, Mongolia’s economy contracted by 5.3% in 2020 due to the effects of a retrenchment in mining and COVID-19 pandemic-related restrictions. It was the first drop in 11 years and the steepest since 1992. While agriculture grew by 6.2%, industry and services together contracted 7.7%. On the demand side, growth in net exports and in private and public consumption failed to cushion the effects of a 28.8% decline in net foreign direct investment. With favorable terms of trade, as well as high export demand for minerals, GDP is forecast to grow by 4.8% in 2021 and by 5.7% in 2022 as business sentiment improves and the pandemic eases.
|Composite Stock Price Index 1||32.0 (Jul21)||33.0||16.0|
|Broad Money Growth 2||22.9 (Mar21)||22.9||19.6|
|Headline Inflation Rate 3||7.4 (Jul21)||6.6||3.4|
|Industrial/ Manufacturing Production Growth Rate 3||-5.2 (Jun20)||-25.3||-7.8|
|Merchandise Export Growth 3||-34.4 (Jul21)||-34.4||-4.1|
|Exchange Rate Index 4||232.4 (Aug21)||232.2||232.5|
|1 Monthly average, local index.|
3 y-o-y, %.
4 Monthly average, January 2006 = 100, $/local currency.
|Source: Bloomberg LP; CEIC database.|
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