1. Dashnyam TSETSEGMAA Head of Promotion and Consulting Division Investment Environment in Mongolia

2. THE KEY CONCEPTS OF THE LAW ON INVESTMENT 2013 1.MORE LIBERALIZED MARKET CONDITION Eliminates approval system to foreign investors and replaces it with registration procedure. Promises the same guarantees and protections to both Domestic and Foreign Investors. 2.BUSINESS FRIEANDLY ENVIRONMENT Reduces starting a business procedure at least 30 days Creates an independent agency to serve investors in many ways Reveals possible tax and non-tax state supports and incentives to investors 3.INCREASE THE EFFICIENCY OF INVESTMENT Facilitates a mechanism to follow up real projects in the economy Projects need to be qualified with certain criteria /Environment, Know- How, Jobs e.g.,/ Increases responsibilities of both state and investors 4.TOWARDS ECONOMIC DIVERSIFICATION First Legal Act including regional and sectors classification in order to diversify the economy as a whole. Helps Decentralization and Urbanization to rural areas Investment Environment

3. Sector diversification Geographical diversification Source country diversification Managing stakeholders interests More favorable condition Synergy between government institutions Capacity building program Social program to promote a positive impact of FDI Diversification Protection One stop online services Aftercare services Grievance management mechanism Reduce procedural barriers Incentives  Financial Incentives  Fiscal Incentives  Regulatory Incentives MONGOLIA’S EFFORT TO ATTRACT FDI Investment Environment

4.  No-Expropriation  No permission to establish an entity  No approval to buy a local company  Intellectual Property Protection  Free Repatriation  Choice for Dispute Settlement GUARENTEES FOR INVESTORS Investment Environment

5. On April 29 th 2014 “Mongolian Foreign investment Policy Review” report drafted jointly by Government of Mongolia and UN conference on Trade and Development /UNCTAD/ was presented at the UNCTAD member countries intergovernmental Meeting INVESTMENT POLICY REVIEWTRADE POLICY REVIEW The second review of the trade policies and practices of Mongolia took place on 24 and 26 September 2014. The basis for the review was a report by the WTO Secretariat and a report by the Government of Mongolia. Investment Environment

6. INVESTMENT INCENTIVES Investment agreement PPP Concession agreements Stabilization Certificate Economic free zones No import duty for machines and equipment of manufacturing, processing and industrial facilities Land lease for development projects For issuance of multiple and permanent visas for investors Incentives for professional training Investment Environment

7. INVESTMENT AGREEMENT 3 investment agreements /3 trillion 38 billion MNT/ 2 investment agreements are under negotiation STABILIZATION CERTIFICATE 8 stabilization certificates /3 trillion 215 billion MNT/ CONCESSION AGREEMENT 19 contracts are signed of 77 projects and programs /5 billion USD/ Investment Environment

8. INVESTORS’ REGISTRATION PROCEDURE Foreign Investors Private State owned Registration Admin Registration Admin IMA $100 000 threshold for each investor  Mining  Banking and Financing  Media and Telecommunications Business Activities Owned by more than 50% Till 33% More than 33% Investment Environment

9. International Indexes

10. Indicator Doing business 2016 rank Doing business 2015 rank Change in rank Protecting investor 8 8No change Starting a business 36 404 Registering property4443 Getting credit59612 Paying taxes9187-4 Trading across border 7473 Enforcing contract80 No change Getting electricity 134 1362 Dealing with construction permits 25 272 Resolving Insolvency 43.743.90.2 MONGOLIA IMPROVED IN DOING BUSINESS 2016, RANKED TO 56 TH FROM 72 ND International Indexes

13. 1.Promotion of investment 2.Protection of investors 3.Update the domestic market to foreign investors; 4.Consulting support to investors in planning their investments 5.E-consulting services 6.Issuing stabilization certificate 7.Review the implementation of invested projects 8.To render support in stably continuing the investment. MISSION Invest Mongolia Agency

14. - Provide integrated information - Guide Investors to business and public procedures - Organize Field Tours - Legal Consultancy - Project Management Consultancy - Aftercare assistance - Investment Research - Investment & Investors Database - Targeted Promotion & AD Campaign - Approve list of PPP projects by the government - Provide consultancy on concession and PPP - Announce tenders on PPP projects Main Services Invest Mongolia Agency

15. YOUR GUIDE TO INVEST MONGOLIA 2016 New edition CONTENTS: 1.Coming to Mongolia 2.Company Incorporation 3.Company Taxation 4.Doing Business 5.Investment Environment 6.Trade 7.Business Information Invest Mongolia Agency

16. www.investmongolia.com

17. WWW.THEIGUIDES.ORG/MONGOLIA LAUNCH OF THE ONLINE INVESTMENT GUIDE TO MONGOLIA WEDNESDAY, 31 MAY, 2016 WWW.THEIGUIDES.ORG/MONGOLIA LAUNCH OF THE ONLINE INVESTMENT GUIDE TO MONGOLIA WEDNESDAY, 31 MAY, 2016 Invest Mongolia Agency

18. Thank you for Your attention! Invest Mongolia Agency Address: Sambuu Str.11, Government Bld.11, Ulaanbaatar 211238, Mongolia Email: info@investmongolia.com Website: www.investmongolia.com