IMF hails Mongolia's economic growth

Oyundelger 2018-08-09 09:08

Economy

Good progress has been made especially regarding structural reforms and policies to rehabilitate and strengthen the financial sector.

Mongolia's economic growth is reviving though significant vulnerabilities still remain, the International Monetary Fund (IMF) said, after completing the fifth review of Mongolia's economic performance. "Good progress has been made especially regarding structural reforms and policies to rehabilitate and strengthen the financial sector. Notwithstanding this progress, Mongolia remains vulnerable to external and internal factors," IMF staff team leader Geoff Gottlieb said in a statement. "Discussions on the Mongolian economy, especially macroeconomic policies, will continue in the near future," he said. The three-year IMF program, approved in 2017, aims to stabilize the economy and establish a basis for more sustainable and inclusive growth. According to Gottlieb, Mongolia's macroeconomic performance has been solid with key targets met. In particular, foreign currency reserves have more than doubled since the start of the program. The GDP grew 5.1 percent year on year in 2017, compared to 1 percent the previous year. The IMF had forecast a 3.3-percent growth rate. The IMF prediction for Mongolia's GDP growth this year is 5 percent and 6.3 percent next year.