According to information published by the National Statistical Office of Mongolia (NSO) on Wednesday, the volume of industrial production in the country in 2025 amounted to ₮52.9 trillion ($14.8 billion), which is 4.8% higher than the previous year's level. The data is provided by MiddleAsianNews.
The NSO reports that the main reason for the growth was a significant increase in production in key sectors such as mining, mineral extraction, and processing.
The mining sector continues to be the cornerstone of Mongolia's resource-rich economy, which includes gold, silver, copper, and coal.
In 2025, 99.2% of the country's total export volume consisted of mining products, including coal, copper, and iron ore.
Forecasts for 2026 predict GDP growth for Mongolia of 5.7-5.9%, driven by mineral extraction, infrastructure investments, and growing domestic demand. The Asian Development Bank (ADB) points to sustainable growth but also notes potential downward adjustments due to declining mineral resource exports and tax changes.
Despite structural issues, the economic indicators for Mongolia in 2026 remain stable, according to forecasts by AustCham Mongolia, based on local data and analysis of overall economic trends.
⛏️ Key Growth Drivers:
• Mining Sector: Copper extraction at Oyu Tolgoi continues to be the main source of growth, contributing to increased production and exports, which strengthens financial flows.
• Services and Non-Resource Sectors: The development of services, construction, and energy contributes to the expansion of the economic base.
• Agriculture and Domestic Demand: The agriculture sector shows signs of recovery after losses from dzud, while private consumption and investments support economic activity.
💹 Inflation and Macroeconomic Pressure: The inflation rate remains high; however, it is expected to decrease to ~7% by 2026, which will provide some relief for households and businesses planning their expenses and investments.
Coal plays a central role in Mongolia's economy, reflected in its significant role in industrial production, exports, and tax revenues. The mining sector accounts for about 70% of total industrial production, of which 43% is attributed to coal. This sector also dominates the export basket, making coal a key factor in foreign currency inflow.
Moreover, the coal industry supports the services sector through trade, transport, and job creation. The volume of freight transport in this sector stimulates demand for transport services, and growth in the mining sector typically leads to improvements in the labor market and increased overall consumption.
Thus, the performance of the coal sector has a significant impact on the entire economy.
