At the crossroad

Jargal Defacto
Jargal Defacto 3.5k Views
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Only seven days left before we enter 2020, a year that marks the 30th anniversary of the Democratic Revolution. Mongolia has come to a crossroad with several paths to choose from: to be governed by the rule of law or live under politicians who are misusing the law; whether we will gain economic freedom or will continue the path of Erdenebilegism; whether the capital’s residents are deciding to live in a smoky cement jungle or in a healthy green environment. General elections will also be held this year…

Will the law be used for private purposes or its intended purpose?

In September 2019, Mongolia participated in a meeting of the Asian/Pacific Group (APG) of the Financial Action Task Force (FATF) in Bangkok, where the economy of Mongolia was evaluated. Mongolia was ranked “satisfactory” and included for the second time in the “Grey list” because it has implemented 15 of the 20 FATF Recommendations and failed to fulfill 4 of the 11 evaluation criteria. In search for a scapegoat, the chairperson of the Financial Regulatory Commission and Bank of Mongolia was removed from office. We here refer to our series of articles on why Mongolia was placed on the Grey list and how to be removed from it .

Recently, the State Great Khural (Parliament) made amendments to the Constitution. Only time can tell the effects of these changes. Above all, we have failed to change the semi-presidential “MONGOLIANIZED” system  which  causes the biggest problems in governing. Hopefully, the changes in the juridical system will represent another step in the right direction of establishing an independent court. However, in addition to the amendment to the Constitution and other laws, a plethora of issues needs to be dealt with. You can watch a series of Defacto debates on constitutional amendments.

This year we have witnessed just how politically dependent our judiciary system has become especially from President. In June 2019, the President suspended 17 judges on the Salkhit silver mine issue, which until now have not been replaced and the court, including the Supreme Court’s Citizen Chamber, has failed to rule.

Also, a law was passed that allows the National Security Council to appoint or change judges, prosecutors and the Head of IAAC, thus creating a precedence for executive branch’s intervention into judiciary power. Citizens are waiting for the implementation of the rule of law. Will the impeachment of the President be initiated in 2020 if the rule of law cannot be established?

Economic freedom or Erdenebilegism?

There are two major projects that have been influencing the Mongolian economy for the last 100 years. The first one was the Erdenet copper ore, which was founded during the socialist era. This corporation has for long been a mainstay of our political and economic life. 2019 was no different as the controversies around the 49% shares became a focal point of social and media attention. D. Erdenebileg, the Chairman of Trade and Development Bank, was arrested and released for this charge. Reasons are still obscure and disputable for public. During his arrest, the government continued to monitor and inspect emergency situations in the Erdenet mining corporation. Read more on this in the article “ERDENEBILEGISM II – MONGOLIA’S NEXT CORRUPTION EPISODE” about the case of conspiracy with the public administration in public money. This case is an accurate reflection of the current political and economic state of Mongolia.

The second one is the Oyu Tolgoi project, which coined a new century. This year marks the 10thanniversary for signing the agreement of the largest economic project in Mongolia. Since its launch, there have been many controversies around the signing process and execution of this agreement. The Mongolian Court has ruled that the state’s decision to enter into the Dubai agreement is a violation. The Parliament has passed a law on “Enforcing Mongolian Interests in Oyu Tolgoi Production”. However, changes to the Oyu Tolgoi agreement are expected to happen in 2020. You may read here about it if and which shortcomings the agreement entails. It is however doubtful if and which improvements we can make in this agreement, as we did not yet train our specialists for dealing with contracts of such large extent. Inevitably, the fate of foreign direct investment will depend on the direction Oyu Tolgoi will be heading towards in the year 2020.

A clean environment or a smoky cement jungle?

The government headed by U. Khurelsukh banned the use of raw coal in Ulaanbaatar city. Instead, they began supplying coal briquettes to local residents and as a result, the emission of the capital’s toxic fumes has been reduced. Although the visible area was reduced significantly, much work is left to reduce the amount of particulate matter and sulfur in the air.

According to the United Nation 2019 survey, air pollution is one of the 10 leading causes of mortality in Mongolia. A total of $ 4.1 billion is needed to reduce air pollution, however it is unclear where to get 80% of this amount. We should just keep in mind, no matter the size of investment, it should not become an embezzling money action such as the “Clean Air Fund of Mongolia” history.

One act that marked 2019 was the demolition of the Natural History Museum. Citizens fought in various forms, only to be outmuscled. Citizens stood up against both the destruction of cultural heritage and in the prospect of its replacement by another ‘cement jungle’. Furthermore, some suspect land commerce to be the reason behind this demolition. The story of Ulaanbaatar’s corruption is written in the article “THREE PECULIAR THEFTS”. In fact, almost every building in Ulaanbaatar is a ‘historic monument of corruption’. Now, it looks like the next statue will be erected on the Natural History Museum’s land.

2019.12.25

Trans. by Riya.T and Sungerel.U

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