Mongolia’s Next Green Economic Leap

Mongolia stands as one of the most promising emerging nations for 21st-century green development.

Its traditional nomadic lifestyle, deeply connected to nature, aligns perfectly with the principlesof today’s global green transition.Economic Context:

Mongolia’s Green Shift BeginsMongolia's economy has long depended on the export of raw materials like coal, copper, andgold. However, in today’s world—where the shift toward green and sustainable development isaccelerating—Mongolia is taking steps to diversify its economy and move toward a moresustainable model.Reducing Energy Dependence Through Renewable ReformMongolia is heavily dependent on Russia for electricity, oil, and rail infrastructure.

To change this, Parliament has supported a renewable energy reform, initiated by MP Tsenguun,aiming for energy independence at the household level:

• Replacing coal-based heating and electricity

• Equipping homes with solar-wind hybrid systems

• Encouraging off-grid, energy-autonomous livingOpportunity:China's renewable energy products—solar panels, wind turbines, batteries—now have a fastgrowing market in Mongolia.

New Urban-Rural Balance StrategyMongolia has 21 provinces and 330 rural towns (soums), but over 50% of the population lives inUlaanbaatar.

A new policy is being implemented to:

• Merge the 330 soums into 91 regional hubs

• Build public schools, clinics, roads, and digital infrastructure in these hubs

Boosting Key SectorsThese changes are driving new investment into

:• Eco-village construction with hybrid power homes

• Smart agriculture (greenhouses, digital farms)

• Robotics and AI (drones, smart sensors)

• Rural telecom infrastructure (fiber optic, 5G)Remote Work RevolutionCOVID-19 changed work culture.

A new labor law now enables people to:

• Live in the countryside and work remotely via internet

• Stay close to nature while maintaining modern incomeFuture Outlook:

Mongolia’s Green Economy & China’s Export Opportunity

Mongolia has aligned its policies with Vision 2050 and the UN Sustainable Development Goals, focusing on renewable energy, energy independence, and carbon credit systems.

Massive Green Infrastructure Potential

• Over 300 sunny days annually in Gobi desert

• Strong wind corridors in eastern provinces

• Dozens of small rivers for hydro potential

Mongolia is the perfect market for:

• Solar panels, batteries, BIPV modules

• Wind turbines• ESG-certified green building materials

• Agricultural drones and smart sensors→ Many of these imports from China are tax-free or incentivized

Green Finance on the RiseThere’s over $2 billion USD in green lending capacity in Mongolian banks:

• Available for solar products, smart agri-tech, EVs, and green equipmentExample:

In 2025, the Green Climate Fund provided $25 million USD to XacBank to support greenprojects.

The Development Bank of Mongolia has earmarked $570 million for eco-housing programs.

New Laws for Carbon Credit MarketsMongolia passed amendments to the Climate Law in 2024 to

:• Enable carbon offset project registration

• Establish valuation systems

• Involve private sector in climate finance

This opens the door for Mongolian projects to be listed under Verra or Gold Standard,making it globally tradeable.

COP17 in Mongolia (2026)Mongolia will host the COP17 Conference on Desertification in 2026:

• Drawing attention from 100+ countries

• A major platform to showcase green technologies→

ACFC companies can exhibit climate tech such as waterless gold mining, renewable energysystems, and AI-driven environmental solutions.Green Capital Markets EmergingThe Mongolian Stock Exchange now supports:• Green Bonds• ESG-driven investments• Sustainable project listings→ This opens a direct financial gateway from China into Mongolia’s green economy.

Conclusion: A Green Frontier with a Nomadic SpiritMongolia’s ancient harmony with nature is now evolving into a modern green economy.With rich renewable resources and strong national commitment, it can become a key globalanchor for sustainability.For ACFC and its members, Mongolia is not just a partner—but a co-leader in the global greentransition.Let us journey together and co-create a future rooted in the spirit of “Nomadic Culture,Sustainable Future.”