coal

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Cleaner and greener: moving away from coal in 2018

While coal was Mongolia’s top performing commodity in 2017, Mongolia observers predict copper to steal the show this year. As a resource-based and export-focused economy, the outlook for Mongolia is strongly influenced by global market movements. These look set to crown copper as the country’s top earner.

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What does Aspire’s latest finding mean for Mongolian coal?

 

In 2017, Mongolia’s coal deposits helped the country move to recovery. Often associated with toxic emissions- and in Mongolia’s case, chronic air pollution- it was instrumental in the delivery of growth exceeding 5%. The reasons are well documented and understandable. Even with more muted industrialisation, China is a key steel producer and relies on coal to power its mills. As my colleague recently reported, though, Xi Jingping and others are genuinely making green overtures, and this led to the closure of hundreds of mines in Inner Mongolia last year. Combined with a ban on North Korean imports, this placed Mongolia as a key exporter.

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