THE GOVERNMENT HAS DECIDED TO RESTRUCTURE ERDENES MONGOL INTO THE “CHINGGIS KHAAN SOVEREIGN WEALTH FUND CORPORATION”

- Erdenes Mongol will be fully transitioned to the core functions stipulated under the Law on National Sovereign Wealth Fund -

T. Byambanaran

At its cabinet meeting held on May 27, 2026, the Government of Mongolia approved a decision to reorganize Erdenes Mongol into the “Chinggis Khaan Sovereign Wealth Fund Corporation” as part of efforts to fully transfer the group to the core functions defined under the Law on National Sovereign Wealth Fund.

Under this reform, the group will be gradually transformed from a traditional mining sector oversight and management entity into a professionally managed financial institution that operates in line with international standards, with responsibilities spanning state-owned asset management, investment operations, sovereign wealth fund management, IPOs, and privatization.

This transition is expected to strengthen asset management across state-owned mining companies and create conditions to deliver the benefits of Mongolia’s natural resources to citizens in a more accessible, sustainable, and long-term manner.

Prime Minister N. Uchral has instructed the management of Erdenes Mongol to consolidate or dissolve up to 10 subsidiaries under the group whose functions overlap or whose operations are considered inefficient. At the same time, companies engaged in extraction activities, operating profitably, or holding international agreements and strategic significance will continue their operations without disruption.

According to preliminary estimates, the reform is expected to:

• optimize approximately 260 positions,
• reduce administrative expenses by 10%,
• cut rental costs by 30%, and
• generate total savings of around MNT 67.3 billion.

The Cabinet meeting also instructed relevant authorities to finalize and formally approve all decisions and resolutions related to the reform by June 15.

In addition, the management of Erdenes Mongol stated that, rather than having state-owned mining companies pay high rents for expensive office buildings, they are firmly committed to a policy of utilizing underused state-owned real estate assets and office facilities in a more efficient and cost-effective manner, according to the Government’s Media and Public Relations Office.