Car sales around the world have been decreasing rapidly since the start of the financial crisis. Mongolia is no exception. A trader in Da Khuree Auto Market says he sold 2-3 cars a week but now weeks go by without a sale. With fewer new vehicles the demand for spare parts and products such as engine oil and protection covers is increasing. 

Most people take bank loans when buying a car and this has become difficult.

All Province Governors have received instructions from the Government to

-Create a special area for developing the agricultural sector, including agricultural fields located near province centers;

-Establish a model dairy farm and raise animals for meat near province centers, and increase food supply;

-Develop at least three model soums by 2010 and generally improve all soums. in the future. 

Governor of Tuv province Ts.Enkhbat has said he will double the milk product supply toUlaanbaatar in two years.

Parliament’s Standing Committee on the Economy yesterday supported the proposal to take a USD10-million loan from the World Bank to build several sub-power plants to improve and expand the distribution network, install electricity connection to new apartments, and ensure uninterrupted power supply in Ulaanbaatar.  The loan is likely to be repayable in 40 years with 0.75 percent interest. Any unused amount will carry 0.05 percent interest.

Mongolbank has announced that cash supply at the end of October was MNT2,671.0 billion, up by 0.7 percent over last month and by 13.3 percent yearly. Cash in the market was MNT 359.6 billion, down by 1.1 percent in monthly terms and up by 9.2 percent compared to last year. Loan leftover was MNT 2,618 billion, down by 0.5 percent compared to September and 2.7 percent from 2008.

The latest figures released by the National Statistical Office, covering the first ten months of 2009, show that unemployment has risen, the budget deficit has grown, and  bad bank loans have increased. Lower tax collection has led to less revenue in the budget.