At its regular session last Friday, the Parliament approved the 2019 Budget Framework and Law on 2020-2021 Budget Assumption.
According to the basic guideline to develop socio-economy for 2019, a total of 123 policy actions with 20 objectives will be implemented within the fundamental policy groups such as, macro-economy, regional and rural development, environment, social policy to promote human development, governance, judicial reform, foreign policy and defense sector.
To implement the main guidelines, the Government planned to allocate a total of MNT 8.78 trillion. Out of this, MNT 5.17 trillion will be funded by the government and private sector partnership, as well as private sector investment. The following major actions were included for the next year:
Reduce the total debt of the Government by 10 percent, to 55 percent of the GDP;
Reduce budget deficit by MNT 314 billion, without issuing bonds to fill the budget gap.
During the discussion of the draft bill, the Minister of Finance Khurelbaatar Chimed noted to immediately take policy on reducing the debt. “In 2016, the debt amount equalled 85 percent of the GDP. The plan includes to reduce this indicator by 30 percent, to 55.3 percent in 2019,” the minister emphasized. The draft bill was approved by 80 percent of the attended MPs. Parliament approves MNT 8.78 trillion for 2019 Budget Framework