On the 20th of September 2022, Parliament Speaker G. Zandanshatar, opened the 6,803rd session of securities trading at the Mongolian Stock Exchange and exchanged views on the current state and prospects of the stock market.

In attendance at the event was the Chairman of the Financial Regulation Commission D. Bayarsaikhan, Vice-Chairmen of the FRC T.Tserenbadral and N.Khuderchuluun, Chief Executive of the FRC T.Jambaajamts, CEO of the Mongolian Stock Exchange Kh.Altai, Deputy CEO of the MSE T.Khash-Erdene, and other officials.

In his speech, Parliament Speaker G.Zandanshatar said, “In 1991, when Mongolia transitioned from a centrally planned economy to a free market economy, the foundations for the modern market economy were laid. The Mongolian Stock Exchange implemented the important task of making private property available to the public and tapping it into the circulation of the economy. In the 31 years since then, the stock exchange and stock market have developed to a completely innovative modern level, with numerous new products, active trading, and in line with international standards in terms of infrastructure, technology, and laws.

One of the two pillars of the financial market is the capital market. Improving and developing this market is the foundation for the development of the market economy. The fact that the Mongolian Stock Exchange was named the world’s fastest-growing stock exchange in 2021 is great news in these difficult times of economic recession. As of today, the market capitalization of the stock exchange has reached approximately MNT6.0 trillion, many new products have been launched, and the active trading level is increasing. This will be the basis for increasing investment opportunities and improving business activity for citizens.

 We are about to start the next great wave of change. Following the 2021 amendment to the banking law, banks will soon offer their securities to the public through the Mongolian stock exchange. Every citizen will have the opportunity to become an investor instead of a bank customer. In this sense, 2022 will be a historical year for the banking industry and the stock market.”

Mr G.Zandanshatar also highlighted, that “The capital market should be the main field for the successful implementation of “Revival of State Productivity”, which is one of the six issues to be resolved within the framework of the “New Revival Policy”, adopted as the 106th Resolution by the Parliament of Mongolia in 2021.

Notably, under the Parliament’s approval on the 29th of April of this year on the resolution of shares of state-owned legal entities being publicly traded on the stock exchange in 2022-2023, a list of the 25 state-owned legal entities to be converted into open joint-stock companies was declared and approved by the Cabinet on the 29th of June, 2022. The first company on this list will be the Mongolian Stock Exchange, following in the footsteps of the other companies will be considered an important step in accelerating the development of the stock market.

We have several great historical examples showing the positive results of becoming a public joint-stock company and one of the great examples is the Mongolian Post JSC. 

MONGOLIAN STOCK EXCHANGE