CENTRAL BANK OF MONGOLIA
THE BANK OF MONGOLIA OFFICIAL INTRODUCTION
The Bank of Mongolia, the Central Bank of Mongolia, is a statutory institution established by the Government of Mongolia with the primary mandate of safeguarding the stability of the national currency, the Mongolian tögrög (MNT). Since its inception, the Bank has remained the cornerstone of the country’s financial system, ensuring monetary and macroeconomic stability while fostering an environment conducive to sustainable economic growth. In the discharge of its duties, the Bank formulates and implements monetary policy, supervises and regulates the banking sector, and promotes the development of a sound, resilient, and inclusive financial system.
Core Functions of the Bank of Mongolia As defined by law, the Bank of Mongolia performs the following core functions:
Monetary Policy:
Prepares annual monetary policy guidelines, outlining projections, priorities, and risks, which are submitted to Parliament by October 1 each year.
Currency Issuance and Management:
Has exclusive authority to design, issue, and circulate the tögrög, and manages the withdrawal of damaged notes and coins.
Banking Supervision:
Licenses and regulates commercial banks, enforces prudential standards, and implements risk mitigation to ensure financial stability.
Fiscal Agent:
Manages the unified treasury account and performs financial operations on behalf of the Government upon request from the Ministry of Finance.
Foreign Exchange Reserve Management:
Administers Mongolia’s foreign exchange reserves to ensure security, liquidity, and alignment with global standards.
Payment Systems:
Operates and oversees the national interbank payment and settlement systems to support secure and efficient transactions.
(MAMCO)
MONGOLIA ASSET MANAGEMENT CORPORATION LLC
Mongolia Asset Management Corporation LLC (MAMCO) was established on August 30, 2017, by the Receivership Office of Savings Bank LLC to address real-world challenges in asset management while operating within Mongolia’s existing legal framework. Initially launched to manage and recover non-performing loans (NPLs), MAMCO has since expanded its mandate to handle NPLs across both government and private sectors. On October 20, 2022, the Bank of Mongolia acquired a 10% ownership stake in the company. MAMCO’s CEO, Enkhtur Minjuur, concurrently serves as the Receiver of Savings Bank. The Receiver of Savings Bank is appointed by the Bank of Mongolia, which also regularly supervises the operations of both Savings bank and MAMCO. In 2022, during the IPAF International Conference in Manila, MAMCO became a general member of the IPAF.
MAMCO is committed to becoming the leading entity in Mongolia for asset management and NPL recovery. This strategic approach is designed to address and mitigate financial risks, provide specialized asset management solutions, and attract investments. MAMCO aims to contribute positively to Mongolia’s economic stability and understands what it has been doing helps to reduce total costs in connection with NPL resolutions and to lower the loan interest rates. Furthermore, MAMCO’s efforts are expected to reduce the broader social impacts associated with asset management and support overall financial health in the region.
Deposit Insurance Corporation of Mongolia
DEPOSIT INSURANCE CORPORATION OF MONGOLIA (DICOM)
The Deposit Insurance Corporation of Mongolia (DICoM) is a state owned, non-profit, and independent agency established under the Bank Deposit Insurance Law, enacted by Parliament on January 10, 2013. It officially commenced operations on June 14, 2013, with the primary mandate to protect depositors, promote public confidence, and contribute to financial stability in Mongolia.
DICoM administers the national deposit insurance scheme by collecting premiums from member banks, investing the deposit insurance fund, and executing timely payouts in the event of insured failures.
The Corporation is committed to aligning its operations with international best practices. It became the 72nd member of the International Association of Deposit Insurers (IADI) in 2013, joined the Financial Stability Council in 2018, and became an associate member of IPAF in 2023.
DICoM is currently headed by Acting CEO Mr. Baatarsuren Sukhbaatar