💰 BOGD BANK Q2 | INFLATION FORECAST | GEOPOLITICS

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Happy Nelson Mandela Day! 13 years ago today, the United Nations recognized Mandela’s values and his dedication to the service of humanity. The purpose of July 18 is to encourage people around the world to take action and inspire change, just as Nelson Mandela did every day.

🤔 DID YOU KNOW?

💰 BOGD BANK Q2 EARNING

Bogd Bank (BOGD), which became a public company last winter, has recently published its first half-year report. Founded in 2014, Bogd Bank is the youngest bank in Mongolia, yet they are the only publicly listed commercial bank.

Let’s dive into their first half-year performance.

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Despite the TOP-20 index falling by 25.3% in the first half, Bogd Bank's share price remained stable. Their shares have been traded almost every day, with the total trading volume reaching ₮655.7 million. Also, the number of their shareholders increased by 149 to 1,461. All of this indicates that they have already become one of the few quality stocks on the Mongolian Stock Exchange.

Key performance indicators

• High-quality loans: Total outstanding loans increased by ₮54.5 billion to ₮202.4 billion in one year. Despite a huge boost in loans, their non-performing loan (NPL) ratio remains low at 3.3%, which is significantly lower than the average NPL of the top five banks - 8.4% as of Q1.

• Funding keeps increasing: The total value of current and saving accounts has increased by 42% in one year, reaching ₮176.1 billion. Also, other funding sources grew by 82.4% and reached ₮78.2 billion.

• Profit boosting: Their half-year net profit increased by 16% year-on-year to ₮8 billion. Earning per share has reached ₮128.5, which indicates a dividend yield of 5.1% as of now.

New products and services

Bogd Bank has launched several new products in the market.

• Corporate Gate: With this service, organizations can access banking services through their financial applications.

• Prime and Prime Reserve credit cards: These cards allow you to make payments anywhere in the world with flexible repayment terms.

In the first half year of becoming a public company, Bogd Bank faced a period of market crisis. However, they are overcoming market hurdles quite successfully with on-time earnings reporting and maintaining growth in their main financial indicators.

📈 DATA STORY

The Central Bank of Mongolia and the Government have both taken various measures within the past 2 years to ease the impact of the pandemic on the economy. Although some of the policies were implemented successfully, the economic growth projections have still declined from 5.5% to 2.4%, and the inflation rate projections increased from 4.6% to 7.4%. As Mongolian inflation rates are vulnerable to fluctuations in foreign markets, changes in international trade, as well as the rise in oil prices may further affect the current projections.

🌼 LATELY IN MONGOLIA’S GLOBAL POLITICS

Singapore names new type of flower after Mongolian Prime Minister

During his visit to Singapore, Prime Minister L.Oyun-Erdene was presented with an orchid hybrid named after him at the National Orchid Garden. According to his Singaporean counterpart Lee Hsien Loong, the Papilionanda Oyun-Erdene Luvsannamsrai is a beautiful symbol of friendship between the two countries that will continue to bloom and flourish. As for the details of the meeting, the parties:

• reaffirmed the friendly bilateral relations and discussed cooperation in capacity building and urban development projects

• welcomed the signing of Memoranda of Understanding between the Singapore Cooperation Enterprise and Mongolian ministries

Joe Biden recalls fond memories of a visit to Mongolia in 2011

Mongolia’s Ambassador to the United States U.Batbayar has recently paid a courtesy call on President Joe Biden, during which he conveyed President U.Khurelsukh’s greetings to him and discussed issues regarding the bilateral relations. The Ambassador also emphasized that 2022 marks the 35th anniversary of the establishment of diplomatic relations between the two countries, which will be commemorated throughout the year with mutual visits by high officials from both countries. So there’s a possibility that Joe Biden finally revisits Mongolia after 11 years. 😅

Russian Foreign Minister pays official visit to Ulaanbaatar

With Mongolia balancing the West and the East and being the Switzerland of Asia it so aspires to be, Russia’s Foreign Minister seems to have avoided discussing the Ukraine conflict with his Mongolian counterpart. The talks solely focused on the issues regarding the cooperation between Mongolia and Russia, and the parties assessed the meeting as fruitful and conducive to further collaboration. The agenda included:

• modernization of border checkpoints

• cooperation and investment from the Russian side in the ‘Altanbulag’ and ‘Tsagaannuur’ free zones

• reliable supply of oil products from Russia

• cooperation in the fields of energy, culture and education

🏃‍♀️ QUICK STORIES

📌 Make a difference and help GerHub bring change to Ulaanbaatar’s most vulnerable areas. With your donations, GerHub is looking to significantly improve its Ger Innovation Hub, a first-of-its-kind community space located in the middle of the Ger districts that lack critical infrastructure and resources. The funds raised will be dedicated to building green space, implementing various educational programs and making the Hub’s operations self-sustaining.

📌 Team Mongolia breaks its record at 63rd International Mathematical Olympiad. Before the 63rd IMO, the highest number of points Mongolia’s team has ever receiveб was 146 from the 1984 Olympiad. This year’s team broke that record by 16 points, achieving 162 points in total. The team won 2 silver and 3 bronze medals, ranking 29th out of 104 countries.

📌 Prime Minister receives CEO of Rio Tinto Group. The sides exchanged views on the implementation of the parliamentary resolution on measures to be taken to ensure the benefits to Mongolia from Oyu Tolgoi deposits, and have mutually agreed to put the construction of the underground mine into full operation by the first quarter of 2023.

📌 Lil Pump to perform at XMF Music Festival in Mongolia. The festival will take place at the National Sports Stadium on July 19 at 10:00 PM and will also feature local artists of various music genres. Take a look at the line up and don’t forget to buy the tickets here.

🟦 TOP NEWS

1. How Abe Shinzo Fortified Japan-Mongolia Relations. (The Diplomat)

2. Mongolia edges towards autocracy. (Al Jazeera)

3. Government of Mongolia and UNESCO sign landmark Memorandum of Understanding. (TechNode Global)

4. Turquoise Hill reveals new Mongolia gold target. (Resource World)

5. Around 2,500 tourists visit Naadam Festival 2022 in Mongolia. (AKIpress)

🎞️ NYAFF 2022: MONGOLIAN MOVIE NIGHT

Named as one of the 5 must-see movies at the 2022 New York Asian Film Festival, “The Sales Girl” by Janchivdorj Sengedorj will give you a different perspective on Mongolia’s contemporary film scene. It’s a wise and winsome coming-of-age story about a shy girl who finds herself substituting her friend as a salesgirl at an adult shop.

Where to watch?

• Location: Film at Lincoln Center, New York, United States

• Time: July 28 - 6:30 PM

• More info: NYAFF.ORG