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J.Ganbaatar: Policy rate needs to be reduced

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E.Oyun-Erdene
2022-01-04
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J.Ganbaatar: Policy rate needs to be reduced

A meeting of the Parliament's Standing Committee on Economic Affairs was held this afternoon to discuss the results of the “MNT 10 trillion economy recovery and health protection plan”. The Deputy Ministers attended the meeting and answered questions from members of the Standing Committee.

J.Ganbaatar, Chairman of the Standing Committee, said, "The Bank of Mongolia needs to reduce the policy rate. The Parliament Members have proposed reducing the current rate which is 6 percent, but the Monetary Policy Council decided last month to keep the policy rate unchanged. Banks deposited a total of MNT 8.6 trillion in the Bank of Mongolia. Half a year has passed since the implementation of the ten trillion plan, but the rate has not reduced. It is wrong for the Bank of Mongolia to keep such a large amount of money. This money should become a loan and activate the Mongolian economy.

The Monetary Policy Council of the Bank of Mongolia made a joint decision on December 13 to keep the policy rate at 6 percent. They made this decision due to the new situation and uncertainty surrounding the epidemic.

A meeting of the Parliament's Standing Committee on Economic Affairs was held this afternoon to discuss the results of the “MNT 10 trillion economy recovery and health protection plan”. The Deputy Ministers attended the meeting and answered questions from members of the Standing Committee.

J.Ganbaatar, Chairman of the Standing Committee, said, "The Bank of Mongolia needs to reduce the policy rate. The Parliament Members have proposed reducing the current rate which is 6 percent, but the Monetary Policy Council decided last month to keep the policy rate unchanged. Banks deposited a total of MNT 8.6 trillion in the Bank of Mongolia. Half a year has passed since the implementation of the ten trillion plan, but the rate has not reduced. It is wrong for the Bank of Mongolia to keep such a large amount of money. This money should become a loan and activate the Mongolian economy.

The Monetary Policy Council of the Bank of Mongolia made a joint decision on December 13 to keep the policy rate at 6 percent. They made this decision due to the new situation and uncertainty surrounding the epidemic.

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E.Oyun-Erdene
Category
Economy
Published
2022-01-04


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