B.Javkhlan, Minister of Finance, P.Naranbayar, Minister of Education, and T.Aukabir, Minister of Family, Labour and Social Protection held a meeting with Z.Tsogtgerel, Head of the Education and Science Trade Union.
B.Javkhlan said, “If the government makes changes to the budget that has already been submitted, it will hold a meeting to vote. Until today, salaries and benefits have increased. They have increased by 23%.
On planned increases for teachers, it is estimated that teachers’ salaries will increase by 20% from January 1, 2026 and 10% from July, 2026. The total increase will be 30%. This is the general estimate that the salary will increase to MNT 3.5 million.
The salary of our total civil servants is MNT 7.8 trillion. If teachers’ salaries are increased to MNT 3.5 million, it will increase by MNT 3.8 trillion.
The salary fund alone will exceed MNT 6 trillion. On the other hand, salary increases are a direct expense that immediately boosts consumption, and that will push inflation higher. According to the Bank of Mongolia, an increase of MNT 1 trillion raises inflation by at least 1–1.5 percentage points, and it could push inflation up by around 2%.
Because the budget has already been submitted, any changes will be shifted from one flow to another, and direct expenditures will continue to rise into 2027 and 2028. So while we are increasing salaries, if real economic growth slows and inflation accelerates, the intended benefits of higher pay will not be realized. Please understand that all these trade-offs are being carefully considered and calculated”.
B.Javkhlan, Minister of Finance, P.Naranbayar, Minister of Education, and T.Aukabir, Minister of Family, Labour and Social Protection held a meeting with Z.Tsogtgerel, Head of the Education and Science Trade Union.
B.Javkhlan said, “If the government makes changes to the budget that has already been submitted, it will hold a meeting to vote. Until today, salaries and benefits have increased. They have increased by 23%.
On planned increases for teachers, it is estimated that teachers’ salaries will increase by 20% from January 1, 2026 and 10% from July, 2026. The total increase will be 30%. This is the general estimate that the salary will increase to MNT 3.5 million.
The salary of our total civil servants is MNT 7.8 trillion. If teachers’ salaries are increased to MNT 3.5 million, it will increase by MNT 3.8 trillion.
The salary fund alone will exceed MNT 6 trillion. On the other hand, salary increases are a direct expense that immediately boosts consumption, and that will push inflation higher. According to the Bank of Mongolia, an increase of MNT 1 trillion raises inflation by at least 1–1.5 percentage points, and it could push inflation up by around 2%.
Because the budget has already been submitted, any changes will be shifted from one flow to another, and direct expenditures will continue to rise into 2027 and 2028. So while we are increasing salaries, if real economic growth slows and inflation accelerates, the intended benefits of higher pay will not be realized. Please understand that all these trade-offs are being carefully considered and calculated”.