Mongolia will stay current on its debt obligations-statement by the Mongolian Ministry of Finance

Mongolian Ministry of Finance released statement concerning interview of Munkhbat Jamiyan, chairman of cabinet secretariat that said Mongolia may have to delay debt repayment in March.

The Ministry said Mongolian Government will pay the 580 million dollars debt in March without any problem.

Here is the statement of the Ministry of the Finance

The Ministry of Finance of Mongolia (“MoF”) would like to clarify and respond to an interview made by Cabinet secretariat J.Munkhbat who was quoted and misinterpreted on the website of the UB Post today by saying that the “Government currently does not have enough capital to repay Euro Bond debt due in March 2017”.

The MoF wishes to assure investors that the Government of Mongolia (“GoM) will stay current on all its obligations and that the liquidity position of the GoM is strong enough to  fully repay the US$ 580 million notes coming due on March 21^st. The GoM has no intention to embark on any avenue that would be considered unfriendly by the international capital markets.

Furthermore, the Ministry wishes to highlight that talks with the International Monetary Fund (“IMF”) are continuing positive and expected to be concluded soon.

The MoF is confident that these discussions will yield constructive results, allowing Mongolia’s continued and opportunistic access to the international capital markets.

Mongolian Ministry of Finance