4/22/2021
The Ministry of Finance of Mongolia and the World Bank are cooperating to improve the stability of the financial sector under the Strengthening Fiscal and Financial Stability Project. Within the framework of this task and implementation of the Measures to Develop Capital Markets which are reflected in the National Program for Financial Sector Development until 2025, approved by Government Resolution #299 of 2017, the following actions have been taken:
In June, 2019 a working group consisted of representatives of (i) Mongol Bank, (ii) Financial Regulatory Commission, (iii) Mongolian Association of Securities Dealers and (iv) other stock markets infrastructure related organizations was established by the Minister of Finance Order No.149 to introduce international capital markets payment system of Delivery Versus Payment System DvP/T+2 and drafted related regulations.
The Financial Regulatory Commission (FRC) issued a resolution on March 29, 2020, instructing market participants to switch to DvP/T+2 system by March 31, 2020 and the system was successfully launched to the market on that day. As a result, the Mongolian stock market has successfully introduced the principles of international financial market infrastructure and created a favorable environment for foreign investors to participate in the Mongolian stock markets. The 100 percent deposit mechanism required for securities trading has been abolished, and 30 percent deposit has been placed instead and the easy trading process and reduced costs have created a favorable environment for investors.
In order to create an appropriate legal environment for the development of the stock market, some activities have implemented to improve the relevant legal environment for the stock market. In this context, a working group responsible for drafting (i) the Securities Market Law, (ii) the Investment Fund Law and amendments to other relevant laws has been established by the Finance Minister Order No. 227 of 2019. The working group for drafting the law amendments finalized the drafts of law in January 2020, and the discussion was organized on January 24-25, 2020.
In addition, the concept paper of the draft law on amendments to the Law on Securities Market was approved in April 2020, and the concept paper of the draft law has been resubmitted to the Ministry of Justice and Home Affairs for approval in connection with the formation of a new government after the parliamentary election. Amendments to the Securities Market Law have being drafted and the draft is going to be submitted to the Government and Parliament.
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WORLD BANK WORKING GROUP MET WITH PIU AND IMPLEMENTING ORGANIZATIONS REGARDING THE COMPLETION REPORT OF THE STRENGTHENING GOVERNANCE IN MONGOLIA PROJECT
4/3/2023
Concerning the Strengthening Governance in Mongolia project, which was completed on February 28, 2023, the World Bank working group to develop the project completion report had an official meeting with Project Implementation Unit (PIU) and implementing organizations on March 30, 2023. The purpose of the working group meeting is to review the implementation of the project, the results achieved, and the fulfillment of the project indicators. |
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PERFORMANCE BASED FINANCING: INSPIRING NEW APPROACHES TO PUBLIC FINANCIAL MANAGEMENT IN HEALTH AND EDUCATION
3/23/2023
Performance based financing (PBF) links funds or payments to service providers to results achieved and gives them considerable autonomy in the use of these funds. The strategic approach is appealing to many individuals and organizations as it motivates them to perform better and channels resources directly to the frontlines. This in turn fosters greater accountability. Using this approach has been popular in different sectors with some promising results emerging. |
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AN INTEGRATED SYSTEM FOR RESULTS-BASED MEDIUM-TERM BUDGET PLANNING: IN ACHIEVING THE GOALS OF IMPROVING BUDGET PLANNING, BUDGET EFFICIENCY AND PROGRAM OUTCOME.
3/7/2023
Under the scope of improving public financial management, Mongolia is aiming to introduce result-oriented medium-term budgeting, transitioning from the traditional input-based budgeting. This goal is aligned with development policy of Mongolia to shift from medium-term fiscal framework (MTFF) to medium-term expenditure framework (MTEF). |
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The MOF is entering the new phase of PFM Reform Action Plan
2/28/2023
Within the framework of the European Union financed, World Bank managed “Strengthening Governance in Mongolia” project, the Ministry of Finance, in compliance with the “Sustainable Development Vision 2030” and the “Action Program of the Government of Mongolia for 2016-2020”, has approved and implemented the Public Financial Management (PFM) Reform Strategy and the Action Plan for 2018-2022. The overarching objective of the strategy was to improve governance and achieve effective resource allocation and efficient public service delivery. The implementation status of the PFM Action Plan is indicated as “Certain results have been achieved” at the rate of 85 percent. |
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LAUNCHED BETA VERSION OF THE REDEVELOPED GLASS ACCOUNT PORTAL
1/20/2023
The Ministry of Finance Mongolia has developed and successfully launched the new version of the Glass Account Portal in 2023 within the framework of the Strengthening Governance in Mongolia Project jointly implemented by the EU and the World bank. |
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New systems and services are added in the Intermediate service platform for fiscal and financial systems
1/11/2023
The Ministry of Finance Mongolia has developed and successfully launched the Intermediate Service Platform (ISP) in 2022 within the framework of the Strengthening Governance in Mongolia Project. The main purpose of the system is to provide a possibility of information /web services/ exchange between the independent systems of the Ministry of Finance and other organizations in a easy and flexible way. In addition, it is solving the issues of overlapping connections and development between many information systems and organizations, transferring them to a unified standard, making it has no complexity, and more secure. |
