Download - Oxford Business Group Mongolia
Oxford Business Group THE INSIDE EDGE
Mongolia: Short and Medium Term Investment Advantages
Paulius Kuncinas, Regional Editor, Asia
Oxford Business Group THE INSIDE EDGE
•Compelling Investment Proposition
•Extremely Risk Averse Investment Environment
•Key Risk is Dutch Disease – Overeliance on Resources
•Risk is manageable
•Diversification – an urgent priority
Key Findings:
Oxford Business Group THE INSIDE EDGE
What Sets Mongolia Apart?
• Late Blossom Commodity Story
• Strong Regional Demand
• Democratic Institutions
• Fast Income Growth
• Pent Up Domestic Demand
Oxford Business Group THE INSIDE EDGE
Downside Risks
• Boom-Bust Cycles
• Procyclical policies
• Commodity Price Volatility
• Inflation
• Geopolitics Challenges
• Inflation is the main Risk
• Mongolia’s politicians are entering into a new social contract with its population
• The risk is of repeating the mistakes of crowding out private sector and creating a paternalist state
Oxford Business Group THE INSIDE EDGE
Lessons from Asia
• Mongolia - Unique Asian Growth Story
• Brunei an interesting comparison
• Malaysia offers some lessons
• Papua New Guinea (PNG) same cycle
Oxford Business Group THE INSIDE EDGE
Diversify Where? Low Hanging Fruits
• Play to Strengths – Agriculture
• Tourism – Vast Potential
• Land intensive industries
• Renewable Energy
• Data Storage
• Transit logistics
Oxford Business Group THE INSIDE EDGE
THANK YOU!