Why Mongolia’s Budget is Already Under Pressure
- Amar Adiya
- 7 minutes ago
- 2 min read
Mongolia’s government filed its 2027 fiscal framework with parliament on May 1, projecting growth of 5.8% in 2027, rising to 6.3% by 2029. The deficit stays capped at 2% of GDP.
Public debt, sitting at 50% of GDP, is set to fall to 45% by 2029. Tidy on paper. The politics running alongside it are something else.
The same administration advancing this framework is simultaneously pushing three fiscal decisions that cut directly against it.
In late 2025, unions of teachers and doctors demanded higher pay. The government restructured the 2026 budget, cutting non-essential spending to fund the increases. Prime Minister Uchral has now committed to a real 50% salary rise for teachers, resolving complaints that calculation errors had eroded earlier gains.
Want to read more?
Subscribe to mongoliaweekly.org to keep reading this exclusive post.