{"id":6145,"date":"2017-02-14T16:34:20","date_gmt":"2017-02-14T08:34:20","guid":{"rendered":"http:\/\/chinggislaw.com\/?p=6145"},"modified":"2021-09-14T18:43:16","modified_gmt":"2021-09-14T10:43:16","slug":"investment-law-of-mongolia-2013","status":"publish","type":"post","link":"https:\/\/chinggislaw.com\/?p=6145&lang=en","title":{"rendered":"Investment Law of Mongolia (2013)"},"content":{"rendered":"<p style=\"text-align: justify;\">The Investment Law of Mongolia applies to both foreign and domestic investors.<\/p>\n<p style=\"text-align: justify;\"><strong>Investments, in Mongolia, take the following forms: <\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li>Formation of a business entity<\/li>\n<li>Purchase of shares, bonds, and other securities<\/li>\n<li>Mergers and acquisition<\/li>\n<li>Concessions, product sharing, establishing marketing, management and other agreements<\/li>\n<li>Financial lease, and franchising<\/li>\n<li>Other forms of investments that are not prohibited by law<\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong>Legal guarantees for the investment \u00a0<\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li>Tax rates stabilization through a stabilization certificate, and by an investment agreement.<\/li>\n<li>Unlawful confiscation of investor assets are prohibited by law.<\/li>\n<li>IP rights of an investor are protected.<\/li>\n<li>An investor is entitled to export<\/li>\n<\/ul>\n<p style=\"text-align: justify;\">-profits, dividends, royalties, and services fees.<\/p>\n<p style=\"text-align: justify;\">-principals and interests of loans provided by a foreign state.<\/p>\n<p style=\"text-align: justify;\">-assets allocated upon a business dissolution.<\/p>\n<p style=\"text-align: justify;\">-other assets lawfully acquired or owned.<\/p>\n<ul style=\"text-align: justify;\">\n<li>Disputes arising under the agreement made with the government may be resolved by an arbitration agreed by the parties.<\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong>Investor rights and entitlements <\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li>Select, independently, the form, size and location of the investment<\/li>\n<li>Invest in more than one sector, and industry<\/li>\n<li>Meet investor\u2019s foreign currency requirements through the purchase and sale of foreign currencies via Mongolian banking and non-banking institutions<\/li>\n<li>Manage or participate in the management of a business entity with foreign investment<\/li>\n<li>Request the use of natural resources, land, finance and loans<\/li>\n<li>Upgrade the skills of its employees, and ensure good governance and management<\/li>\n<li>Respect traditions an customs of Mongolian people<\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong>\u00a0<\/strong><strong>Tax support <\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li>Tax exemption and tax concessions<\/li>\n<li>Accelerated depreciation and loss carry forward<\/li>\n<li>Tax deduction of employee training costs<\/li>\n<li>Customs tax exemption or \u201c0\u201d rated VAT for 1\/equipment imports for construction materials production, 2\/oil, and agricultural processing, and 3\/export oriented production plant, 4\/energy and railway construction and 4\/production using nano, bio and innovation technologies.<\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong>Non-tax support <\/strong><\/p>\n<ul style=\"text-align: justify;\">\n<li>60+years of land use or land possession subject to an agreement<\/li>\n<li>Ease registration and inspection regimes if investor activities are carried out in free trade zones and industrial parks<\/li>\n<li>Exemption from workplace fees and in permit requirements if the investment is in infrastructure, industry, science and education sectors<\/li>\n<li>Visa concessions to investors and their family members<\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><strong>Tax stabilization certificate is issued as the following: <\/strong><\/p>\n<ol style=\"text-align: justify;\">\n<li>Mining, Heavy industry, and Infrastructure<\/li>\n<\/ol>\n<table>\n<tbody>\n<tr>\n<td rowspan=\"2\" width=\"91\"><strong>Investment size \/<\/strong><\/p>\n<p>billion MNT<\/td>\n<td colspan=\"6\" width=\"547\"><strong>Stabilization period \/years\/ <\/strong><\/td>\n<\/tr>\n<tr>\n<td width=\"94\">Ulaanbaatar zone<\/td>\n<td width=\"91\">Central zone<\/td>\n<td width=\"91\">Khangai zone<\/td>\n<td width=\"90\">Eastern zone<\/td>\n<td width=\"91\">Western zone<\/td>\n<td width=\"91\">Investment period<\/td>\n<\/tr>\n<tr>\n<td width=\"91\">30-100<\/td>\n<td width=\"94\">5<\/td>\n<td width=\"91\">6<\/td>\n<td width=\"91\">6<\/td>\n<td width=\"90\">7<\/td>\n<td width=\"91\">8<\/td>\n<td width=\"91\">2<\/td>\n<\/tr>\n<tr>\n<td width=\"91\">100-300<\/td>\n<td width=\"94\">8<\/td>\n<td width=\"91\">9<\/td>\n<td width=\"91\">9<\/td>\n<td width=\"90\">10<\/td>\n<td width=\"91\">11<\/td>\n<td width=\"91\">3<\/td>\n<\/tr>\n<tr>\n<td width=\"91\">300-500<\/td>\n<td width=\"94\">10<\/td>\n<td width=\"91\">11<\/td>\n<td width=\"91\">11<\/td>\n<td width=\"90\">12<\/td>\n<td width=\"91\">13<\/td>\n<td width=\"91\">4<\/td>\n<\/tr>\n<tr>\n<td width=\"91\">500+<\/td>\n<td width=\"94\">15<\/td>\n<td width=\"91\">16<\/td>\n<td width=\"91\">16<\/td>\n<td width=\"90\">17<\/td>\n<td width=\"91\">18<\/td>\n<td width=\"91\">5<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<ol style=\"text-align: justify;\">\n<li>Other sectors and industries<\/li>\n<\/ol>\n<table>\n<tbody>\n<tr>\n<td colspan=\"5\" width=\"413\"><strong>Investment size\/billion MNT <\/strong><\/td>\n<td rowspan=\"2\" width=\"91\">Term for stabilization certificate (years)<\/td>\n<td rowspan=\"2\" width=\"86\">Investment period<\/p>\n<p>&nbsp;<\/p>\n<p>(years)<\/td>\n<\/tr>\n<tr>\n<td width=\"94\">Ulaanbaatar zone<\/td>\n<td width=\"78\">Central zone<\/td>\n<td width=\"82\">Khnagain zone<\/td>\n<td width=\"79\">Eastern zone<\/td>\n<td width=\"80\">Western zone<\/td>\n<\/tr>\n<tr>\n<td width=\"94\">10-30<\/td>\n<td width=\"78\">5-15<\/td>\n<td width=\"82\">4-12<\/td>\n<td width=\"79\">3-10<\/td>\n<td width=\"80\">2-8<\/td>\n<td width=\"91\">5<\/td>\n<td width=\"86\">2<\/td>\n<\/tr>\n<tr>\n<td width=\"94\">30-100<\/td>\n<td width=\"78\">15-50<\/td>\n<td width=\"82\">12-40<\/td>\n<td width=\"79\">10-30<\/td>\n<td width=\"80\">8-25<\/td>\n<td width=\"91\">8<\/td>\n<td width=\"86\">3<\/td>\n<\/tr>\n<tr>\n<td width=\"94\">100-200<\/td>\n<td width=\"78\">50-100<\/td>\n<td width=\"82\">40-80<\/td>\n<td width=\"79\">30-60<\/td>\n<td width=\"80\">25-50<\/td>\n<td width=\"91\">10<\/td>\n<td width=\"86\">4<\/td>\n<\/tr>\n<tr>\n<td width=\"94\">200+<\/td>\n<td width=\"78\">100+<\/td>\n<td width=\"82\">80+<\/td>\n<td width=\"79\">60+<\/td>\n<td width=\"80\">50+<\/td>\n<td width=\"91\">15<\/td>\n<td width=\"86\">5<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"text-align: justify;\"><strong>Investment Agreement <\/strong><\/p>\n<p style=\"text-align: justify;\">An Investment Agreement is concluded with an investor who made an investment of MNT 500+ billion to make the investment environment stable.\u00a0 The Government of Mongolia approves the detail rules for the investment agreement. An investor holding a tax stabilization certificate may conclude an Investment Agreement. The term for the investment agreement will be no less than the term of a tax stabilization certificate.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Investment Law of Mongolia applies to both foreign and domestic investors. Investments, in Mongolia, take the following forms: Formation of a business entity Purchase of shares, bonds, and other securities Mergers and acquisition Concessions, product sharing, establishing marketing, management and other agreements Financial lease, and franchising Other forms of investments that are not prohibited [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":6708,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[59],"tags":[],"_links":{"self":[{"href":"https:\/\/chinggislaw.com\/index.php?rest_route=\/wp\/v2\/posts\/6145"}],"collection":[{"href":"https:\/\/chinggislaw.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/chinggislaw.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/chinggislaw.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/chinggislaw.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6145"}],"version-history":[{"count":3,"href":"https:\/\/chinggislaw.com\/index.php?rest_route=\/wp\/v2\/posts\/6145\/revisions"}],"predecessor-version":[{"id":6967,"href":"https:\/\/chinggislaw.com\/index.php?rest_route=\/wp\/v2\/posts\/6145\/revisions\/6967"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/chinggislaw.com\/index.php?rest_route=\/wp\/v2\/media\/6708"}],"wp:attachment":[{"href":"https:\/\/chinggislaw.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6145"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/chinggislaw.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6145"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/chinggislaw.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6145"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}