Minister for National Economy Mihály Varga held talks on developing economic cooperation with Mongolia in Ulan Bator. Industrial cooperation can be one of the promising fields for deepening relations, which may lead to higher industrial sector revenues, a larger volume of high-tech products and a broader market for high added value goods.

Mihály Varga visited the capital city of Mongolia as member of the high-profile Hungarian delegation headed by PM Viktor Orbán. The Minister held talks with Minister of Industry Dondogdorjyn Erdenebat and Minister of Finance Bolor Bayarbaatar. At these events the Hungarian Minister stressed that Hungary considers Mongolia to be a strategic partner and the Hungarian Government wants to participate in Mongolian development programmes. The partners agreed that there is still significant growth potential in bilateral economic relations, and current ties are far weaker than they could be.

Mongolia’s economy has seen dynamic growth in recent years. The country is rich in minerals and open to adapting new technologies offered by Hungary. Negotiations may give new impetus to economic relations and thus Hungary’s export of high-added value services could soar. There are ample cooperation options within the food, construction, machinery and motor vehicle manufacturing sectors – at the talks, special attention was paid to bus manufacturing – infrastructural development projects, renewable and alternative energies and mining.

Mihály Varga highlighted Hungarian achievements of recent years concerning the state budget deficit and state debt. Mongolians showed interest in on-line cash registers used in Hungary’s retail sector.

The fact that Mongolia signed an agreement for the production of e-passports with Hungary’s Pénzjegynyomda Zrt. (Hungarian Banknote Printing Shareholding Company) shows how versatile bilateral ties have become.

The two parties also expressed commitment for forging a closer partnership in the field of healthcare, including sectors related to animal health control. With regard to the latter, an MoU was signed on a tied aid credit facility to finance the renovation of Songino Biocombinat. Through the facility Mongolia can ensure the health of its livestock of 60 million. Hungarian enterprises are to participate in the modernization of the facility and in expanding production capacity.

(Ministry for National Economy)