Source: Bloomberg.com           June 18, 2010

Mr. B. Batbayar, director general of the financial and economic policy department of Mongolia, has said the Government has scaled back its plans for global bond sales this year, after Europe’s debt crisis drove up borrowing costs. The Government still plans to raise USD500 million from bonds this year and the remainder of its USD1.2 billion program according to market conditions. .

“The Greek and European countries’ sovereign debt crisis has some impact on us,” Mr. O. Chuluunbat, MP, told the Frontier Securities Mongolia Capital Raising Conference. “We will have to go for higher rates if we go global.”

Mongolia is rated B1 by Moody’s Investors Service, four levels below investment grade and on par with Fiji and Papua New Guinea. Standard & Poor’s rates the nation BB-, the third-highest non-investment ranking.