G.Amartuvshin, Senior economist, Macroprudential Policy Division, Monetary Policy Department, Bank of Mongolia

Strengthening Fiscal and Financial Stability Project provides us with a wide range of opportunities to learn from international and domestic consultants. I have participated in the project called “Developing models with the financial sector and elements of macroprudential policy” implemented by the Bank of Mongolia in cooperation with OGResearch consulting firm from the Czech Republic, and I would like to share some of the experiences and lessons learned from working on this project.

First of all, I have gained a wide range of theoretical knowledge about the macro-financial semi-structural model and Dynamic Stochastic General Equilibrium model with financial frictions during this project. Moreover, the consultants delivered online training from time to time to strengthen our theoretical and practical knowledge. This project is valuable for us because it is the first time that the Bank of Mongolia is developing a structural model with the financial sector that reflects specific characters in financial and real sectors of the economy of Mongolia.

Secondly, in addition to gaining a wide range of theoretical knowledge during the project, the most effective part of the project was the practical application of modeling, simulation analysis, and empirical evaluation to support the policy decision-making process. As a part of this project, we have improved our ability to work on modeling software and acquired new skills in working with the latest econometric tools on the software, which was a valuable experience for us.

Finally, I would like to thank the project implementation unit for giving us this opportunity to participate in the project and work with professional consultants specialized in this field. As a result, I have developed a lot in understanding macro modeling and the interrelationships between macro and financial sectors, analyzing the policy impact on real sectors and supporting sound decision-making processes. I have focused only on the macroeconomic sectors and produced policy proposals concerning it in my current job. Still, now I am glad that I have expanded my knowledge in macro-financial linkages and better understood the financial sector and its impact on the real sector.

Strengthening Fiscal and Financial Stability Project, Room 205 United Nations Street 8/2 4th khoroo Chingeltei district Ulaanbaatar-15160 Mongolia
+976-70120582
training@sffs.mn