DEMOCRATS: IF IT WAS NOT FOR THE BONDS...

Ulaanbaatar /MONTSAME/ The government has two huge loads, the first one is a repayment of economically insufficient loans, taken by the previous government, and the second one is the overcoming of the difficulties arisen from this situation. This was said by D.Erdenebat, a head of the parliamentary faction of the Democratic party Tuesday. The parliamentary faction of the Mongolian People's party (MPP) considers that the unstable political situation has triggered an economic fall and a decrease in foreign investments, and even blames the current government for not doing something to improve the situation, "but the Democratic party's faction is confident that the economics worsened due to big debts, made by the previuos government, and that the foreign investments sharply went down due a law, approved last spring, on regulating the foreign investments in entities engaged in the strategical spheres," he said. The Demparty's faction came to this conclusion after the Premier N.Altankhuyag had given a report at this meeting on econoimic and investments situations and on economic calculations showing how problems had been dealt with before parliamentary election and in the election year, he said. There are several factors that led to such a situation within the last two years. By the "Erdenes Tavan tolgoi" and the Chinese Chalko contract, the Mongolian side had taken 350 million US dollars with 5 percent interest for five years, the Bank of development had taken 600 million US with 5.27-percent interest for five years, and to pay these interests the state budget issued 24 billion togrog in 2012, besides, some 20 billion togrog loans are awating today a payment of interest, plus 250 million US dollars given by the Oyu tolgoi as advance. Altogether, it is 1.4 billion US dollars of credit and its almost 100 percent went as pensions, allowances and monthly cash to everyone. In 2012, direct foreign investments decreased by 800 million US dollars, triggered by the law on regulating foreign investments at entities engaged in the strategically important spheres, he said. Due to all this, the current cabinet had to make the economical situation healthier and issued the 1.5-billion US dollars bonds named "Chingis" at the international market by the end of 2012. "Despite a 50-percent decrease in 2013' external economic potential, the bonds revenues have created a foundation to forward the economics, moreover, if it was not for the bonds, Mongolia would have turned belly up," Erdenebat said. He stressed that all must remember the past and see the future. Then, he said that at their meeting the faction told the justice Minister KH.Temuujin to make clear several matters with criminal features. Why, for example, a price of one ton of copper from Erdenet is following a rise at international market; why one third of every income of the Erdenet goes to repayment of Erdenet's 170 million US dollars debt; who and why printed in the daily paper an official letter from Mr Yakunin to PM Altankhuyag about the railway before it was received by the PM; who and why sent to the dead end an issue of importing oil from S.Korea, and others. D.Enkhbileg