WEEKLY HIGHLIGHTS IN THE ECONOMY AND CAPITAL MARKETS

🇲🇳 As of July 8, 2026, the following developments related to the capital market, commodity prices, major project negotiations, and the legal and regulatory environment stood out in both domestic and international markets.

✅ Domestic Market

As of the first half of 2026, the total market capitalization of companies listed on the Mongolian Stock Exchange decreased by 1.2% compared to the end of 2025, while increasing by 7.7% compared to the same period of the previous year.

✅ In addition, “Bayanteeg” JSC /BTG/ announced an additional dividend of MNT 3,960 per share. As a result, the company will distribute a total dividend of MNT 7,920 per share from its 2025 net profit, bringing the dividend yield to approximately 15–17%.

📊 International Market

In global markets, the Dow Jones Industrial Average /DJIA/, which tracks 30 leading U.S. companies, reached a historic high. Meanwhile, developments related to Russia’s fuel supply have created certain risks in the regional market.

➡️ Although this situation does not directly affect Mongolia, the announcement that fuel price-related matters will be discussed after the Naadam holiday, on July 20, has drawn market attention.

✅ Oyu Tolgoi Negotiations

Last week, the Oyu Tolgoi negotiations became a key focus of public attention. Mongolia has the potential to receive dividends from the project, as well as mineral royalties and other tax revenues.

✅ As part of the negotiations, it was reported that the shareholder loan interest rate would be reduced from 10.5% to 7.9%, while management service fees would be reduced by 50%. At the same time, copper prices have been trading at historic highs, which may further strengthen Oyu Tolgoi’s revenue potential.

✅ Legal and Regulatory Environment

With the adoption of the Law on Economic Freedom, several important provisions related to the capital market and financial sector have been introduced.

➡️ In particular, the law opens the possibility for foreign banks to operate in Mongolia and extends the tax relief period on profits from securities trading until 2034. It also creates conditions for a 5% tax regime to apply to interest income earned by entities investing in financial institutions such as non-bank financial institutions and securities companies.

✅ These developments represent significant factors that may influence Mongolia’s capital market, financing environment, investor activity, and the returns of major projects.

🇲🇳✅ UBIM continues to monitor changes in the economic and capital market environment, as well as emerging financing opportunities.