ADMINISTRATIVE UNITS OF MONGOLIA
Mongolia consists of 21 administrative provinces called “aimag.” The secondary subdivisions are called “soum”, which then branch into smaller units called “bagh.” The capital city is divided into nine districts with sub-districts called “khoroo.” Following amendments to the constitution in 2019, the centers of Darkhan-Uul and Orkhon province were accorded city status. Accordingly, the country now has three cities.
Legal rights and responsibilities
The law outlines that “Aimag, capital, soum, and district are the constructs of administration, jurisdiction, economy, and society that have a legal function and self-government.” The governors of provinces are nominated by the Citizens’ Representative Khural (Council) (CRC) of the respective province and appointed by the Prime Minister for a four-year term.
The main function of the governors of provinces and the capital is to implement decisions made by the CRC. The rights of governors include the drafting of special protection acts which must be submitted to the CRC, and provide suggestions on mining exploration and exploitation licenses issued in its jurisdiction, based on the CRC’s decision. The governor is required to submit annual operational reports to the Cabinet, which reviews and assesses them to ensure continued collaboration.
The CRCs of provinces and the capital city are also elected for a four-year term and shall be responsible for making key decisions on budgets and assets. This is the main institution that discusses and decides the cabinet’s guidelines.
Mongolia has a consolidated budget that includes the state budget of government bodies and local budgets. Local budgets are the components of the state budget and are approved by the CRC of the respective jurisdiction. Officials responsible for the budget are in charge of collecting and allocating the local budget.
Infrastructure and centralization
21 provinces are divided among the Western, Eastern, Central, and Khangai (mountainous) regions.
Mongolia has a diverse topography with the Gobi Desert to the south, and cold and mountainous areas to the north and west. The majority of Mongolia’s territory consists of steppes. Ulaanbaatar has the lowest average temperature of any national capital in the world. It has an extreme continental climate with long, cold winters and short summers, during which most of its annual rainfall occurs.
All of the 21 provinces are linked to the capital city of Ulaanbaatar by paved road. The Ulaanbaatar Railway is the main network that connects Selenge, Darkhan-Uul, Orkhon, Ulaanbaatar, Govisumber, Khentii, and Dornogovi. Domestic flights are available to Khuvsgul, Uvs, Khovd, Zavkhan, Govi-Altai, Bayan-Ulgii, Dornod, and Umnugovi provinces.
The capital city of Ulaanbaatar is central location for banking and financial institutions manufacturers, and service providers, while the 21 provinces mainly manage agriculture, animal husbandry, farming, and mining operations, depending on the geographical features. For instance, the Khangai region enjoys the most favorable climate conditions, resulting in higher outputs in animal husbandry and farming. In contrast, Mongolia’s largest coal and copper mines are predominantly located in the southern desert region.
Demographics and geographical features
On the other hand, the western provinces have been attracting both local and foreign tourists over recent years, thanks to its natural attractions and unique cultural heritage. For instance, the Kazakh ethnic groups that live in the westernmost province of the country, Bayan-Ulgii has domesticized eagles.
The Khalkha ethnic group forms the majority of the population, with diverse small groups making up the rest.
The current is at peace and has no religious disputes. 59.4% of the population over the age of 15 is religious. 87% of the religious people are Buddhists, while 5.4% are Muslims, and 2.2% are Christians.
Although Mongolia is a large country with a relatively small population, the country has an advanced telecommunications network. For instance, the country has a total of 4.23m registered smart device users, with broadband, 3G, 4G, and 5G networks being widely available to the public. This means that the modern herders’ population have broad telecommunications access outside of the main cities too.
Almost one third of the Mongolian population leads a conventional nomadic lifestyle in the countryside with livestock being the key livelihood source for these nomads. That’s why agriculture is regarded as equally important as mining in the country. As per the preliminary results of the livestock census at the end of 2024, a total of 57.6 million livestock were counted nationwide, showing a decrease of 7 million or 10.9% compared to the previous year. The census recorded between 175,000 and 5.2 million heads of livestock in each province.
ULAANBAATAR - SUMMARY
| Area: | 4,704 km2 |
|---|---|
| Capital: | Ulaanbaatar |
| Number of districts: | 9 |
| Population (as of 2022): | 1,691,766 |
| Share of national GDP (as of 2022): | 64.2 % |
| Number of livestock: | 0.4m |
Demographics
The city has mixed demographics of both settlers and indigenous people and has been urbanized by settlers from the other provinces.
Economy
Ulaanbaatar city represents more than half of Mongolia’s population. The city produces up to 65% of the country’s GDP and is considered the business, education, culture, and administrative center of the country, housing the Government and Parliament houses, as well as all the ministries. Ulaanbaatar also houses the country’s major companies, the universities as well as the media.
Infrastructure
Ulaanbaatar is considered the key infrastructure gateway of Mongolia with a developed infrastructure of paved roads and railways. The largest international airport is located about 50 km from the city in the Khushig Valley.
1. BAYAN-ULGII PROVINCE – SUMMARY
| Area: | 45,705 km2 |
|---|---|
| Capital: | Ulgii |
| Distance from the capital: | 1,709 km |
| Number of soums: | 13 |
| Population (as of 2022): | 114,776 |
| Share of national GDP (as of 2022): | 1.2% |
| Number of livestock: | 2.2m |
Demographics
93% of the region’s population is made up of the Kazakh group as well as Muslims, meaning that the language, culture, and religion all differ significantly from Mongolia’s other jurisdictions.
Economy
Bayan-Ulgii province preserves a unique natural landscape and wildlife, being surrounded by the Altai Mountains. The province is one of the key regions for both local and foreign tourists, with rare and attractive scenery and a unique cultural heritage, and visitor attractions such as the Altai Tavan Bogd, the traditional lifestyles of Kazakh people on full display, as well as the region’s famous eagle hunting.
The region has rich deposits of gold, silver, tungsten, lead, and copper ores, representing a wide range of mining, intensified animal husbandry, and international commerce opportunities.
Infrastructure
The province is well linked with a paved road network and a number of domestic airports, and is connected to Russia via the Tsagaannuur border crossing, and with China via the Dayan crossing.
2. GOVI-ALTAI PROVINCE - SUMMARY
| Area: | 141,448 km2 |
|---|---|
| Capital: | Altai |
| Distance from the capital: | 1,001 km |
| Number of soums: | 18 |
| Population (as of 2022): | 57,098 |
| Share of national GDP (as of 2022): | 0.86% |
| Number of livestock: | 3.2m |
Demographics
Located in the southwestern region of Mongolia, the Altai Mountains run through the middle of the province, from the northwest to the southeast. 58.4% of the total territory is Special Protected Areas.
Economy
The province of Govi-Altai contains mixed geographical features formed mostly desert and the mountainous highlands. It has the second-highest number of goats in the country as well as the fourth-highest number of camels.
In Govi-Altai, agriculture and herding contribute 54% of GDP, mining and manufacturing make up 17%, and the service sector accounts for 29%.
A total of 144 mineral licenses covering 4% of the territory of the province are owned by 80 enterprises. Within this, 83 are exploration licenses and 61 are mining licenses. Iron ore, gold, and copper-nickel exploitations are currently underway in Govi-Altai.
Infrastructure
Can be traveled by road and air transport from the capital. The province houses the Burgastai road checkpoint that borders the Laoemyao crossing of the Xinjiang Uygur Autonomous Region of China. Under the bilateral agreement on border regulation between the governments of Mongolia and China, Burgastai-Laoemyao is a designated seasonal or temporary operating crossing.
3. KHOVD PROVINCE – SUMMARY
| Area: | 76,060 km2 |
|---|---|
| Capital: | Khovd |
| Distance from the capital: | 1,425 km |
| Number of soums: | 17 |
| Population (as of 2022): | 91,071 |
| Share of national GDP (as of 2022): | 1.79% |
| Number of livestock: | 3.5m |
Demographics
Khovd has a multi-ethnic population, with each ethnic group having its own unique traditions, territory, and cultural features, including dressing style, garments, literature, arts, and music. Inhabitants of this province also speak with a clearly distinguishable Mongolian accent, and the Kazakhs residing in Jargalant, Khovd, Buyant, Bulgan, and other nearby soums speak both Mongolian and Kazakh.
Economy
Khovd province is the key economic pillar for the western region of Mongolia with two international border checkpoints. Feasibility studies on the National Technology Park, Agro Park, Cement Plant, and Oil Refinery are already completed in these areas. The province manufactures cashmere, camel wool, molt, leather, meat, dairy products, and vegetables. The province is also famous for its watermelon plantation.
Infrastructure
The province connects China via the Baitag and Bulgan checkpoints, with Bulgan being a permanent crossing. Can be traveled by road and air transport from the capital.
4. UVS PROVINCE – SUMMARY
| Area: | 69,585 km2 |
|---|---|
| Capital: | Ulaangom |
| Distance from the capital: | 1,382 km |
| Number of soums: | 19 |
| Population (as of 2022): | 83,964 |
| Share of national GDP (as of 2022): | 1.22% |
| Number of livestock: | 3.5m |
Demographics
The province is home to a number of ethnic groups. For example, Durvuds account for 42.3% of the population, Bayads represent 34.2%, and Khalkhas make up 13.6%. The remaining 10% is made up of smaller ethnic groups. The province is known locally to have hard-working people that manage household economies.
Economy
Forming one of the western provinces, Uvs is known for its seabuckthorn farms and products, and well-developed base of small and medium-sized businesses. The province has discovered variery of resources such as coal. Shuden Mountain is said to have a significantly high amounts of stone salt. The region is connected to Russia via seven border checkpoints, including the Borshoo crossing.
Infrastructure
The Khiliin Tes and Borshoo crossings connect the region to the Russian Federation. Under the bilateral agreement with Russia on border regulation, these crossings operate permanently and allow a cross-border flow to citizens of both countries. Can be traveled by road and air transport from the capital.
5. ZAVKHAN PROVINCE – SUMMARY
| Area: | 82,455 km2 |
|---|---|
| Capital: | Uliastai |
| Distance from the capital: | 1,023 km |
| Number of soums: | 24 |
| Population (as of 2022): | 71,798 |
| Share of national GDP (as of 2022): | 1.18% |
| Number of livestock: | 3.7m |
Demographics
Dozens of prominent figures, including monks, politicians, artists, business figureheads, and distinguished people were born in this province, including two presidents, namely P.Ochirbat and N.Bagabandi.
Economy
Thanks to its natural beauty, Zavkhan province has attracted a host of local tourists. The region has several factories for construction materials and food processing equipment maintenance. The National University of Mongolia’s School of Economics is also located in the area. Agriculture is less developed in this province, and as of 2022, about 3.7m heads of livestock were counted, leading the five western provinces.
Infrastructure
Can be traveled by road and air transport from the capital and connects with the Russian Federation via the Artssuuri border checkpoint. Under a bilateral agreement with Russia, the checkpoint was set up as a designated permanently operating border, allowing the free flow of passage between the citizens of both countries.
6. ARKHANGAI – SUMMARY
| Area: | 55,314 km2 |
|---|---|
| Capital: | Tsetserleg |
| Distance from the capital: | 560 km |
| Number of soums: | 19 |
| Population (as of 2022): | 93,149 |
| Share of national GDP (as of 2022): | 1.6% |
| Number of livestock: | 5.9m |
Demographics
97% of the population consists of the Khalkha ethnic group and 2.3% are made up of Olots. 80% of the province’s population reside in Tsetserleg, the administrative center of the province, and the rest are spread to soums and the countryside.
Economy
Located in the mountainous Khangai region, Arkhangai province is ranked second in terms of numbers of the country’s livestock population, with a regional livestock population of around 5.9 million. Consequently, the region has a good reputation for its dairy products.
Infrastructure
The province is connected to Ulaanbaatar city by paved road.
7. BAYANKHONGOR PROVINCE – SUMMARY
| Area: | 115,978 km2 |
|---|---|
| Capital: | Bayankhongor |
| Distance from the capital: | 640 km |
| Number of soums: | 20 |
| Population (as of 2022): | 88,397 |
| Share of national GDP (as of 2022): | 1.02% |
| Number of livestock: | 3.7m |
Demographics
The Khalkha is the main ethnic group in this province. Located in the western region of Mongolia, this is a mixed region of plains and mountains which includes the southern flank of the Khangai Mountains, the mountainous Govi-Altai region, as well as the southern desert region of the Altai Mountains.
Economy
Located in the western region of the country, Bayankhongor province’s economy consists mostly of agriculture, industry, and the service sector. The province has the highest number of goats in the country and ranked second in terms of the number camels.
Mongolia is one of the largest cashmere exporters in the world and Bayankhongor province produces a big part of it.
Infrastructure
Can be traveled by road and air transport from the capital.
8. BULGAN PROVINCE – SUMMARY
| Area: | 48,733 km2 |
|---|---|
| Capital: | Bulgan |
| Distance from the capital: | 438 km |
| Number of soums: | 16 |
| Population (as of 2022): | 61,161 |
| Share of national GDP (as of 2022): | 1.03% |
| Number of livestock: | 3.9m |
Demographics
Bulgan province is a part of the central region of Mongolia with a total surface area of 48.7 thousand square kilometers. About 97% of the population is made up of the Khalkha ethnic group and the province is well known for its production of barley and airag (fermented horse milk).
Economy
Bulgan province is one of the top three agricultural provinces and the fifth biggest animal husbandry zone in Mongolia. The province is also the seventh fastest-growing jurisdiction on the country’s Human Development Index, which is a statistic composite index of life expectancy, education and per capita income indicators. The region has a wealthy mineral resources, including gold, silver, copper, molybdenum, lead, hard coal, turquoise, lapis lazuli, crystal, marble, as well as a range of raw materials used in the construction industry – as sand, gravel, trap and lime rocks, and the ochre pigment.
Infrastructure
Can be traveled by road transport from the capital.
9. KHUVSGUL PROVINCE – SUMMARY
| Area: | 100,629 km2 |
|---|---|
| Capital: | Murun |
| Distance from the capital: | 788 km |
| Number of soums: | 24 |
| Population (as of 2022): | 136,633 |
| Share of national GDP (as of 2022): | 1.76% |
| Number of livestock: | 6.3m |
Demographics
Of all the provinces, Khuvsgul has the highest population penetration. The Khalkha, Darkhad, Khotgod, and Uriankhai ethnic groups are the majority in this region. A small group of Tsaatan people – unique to the region – reside here. Tourists commonly name the province “the Switzerland of Mongolia” because of the mountains, water, forests, and woodlands with an abundance of flora, fauna, and wildlife as well as a wealth of mineral deposits, famous landmarks and a rich local history.
Economy
Located in the north of the country, Khuvsgul province’s main economic sector is agriculture, which makes up some 57.7% of the region’s output, with animal husbandry being its backbone industry.
The province produces selective breeds of livestock that are suited to the local climate. The Tsagaannuur soum in Khuvsgul province breeds reindeers while the Erdenebulgan and Rashaant soums engage in farming.
In recent years, Khuvsgul province has become a major tourist attraction due to its freshwater lake Khuvsgul, Reindeer people, and beautiful nature.
Infrastructure
The Khankh crossing connects Mongolia with the Russian Federation. Under the bilateral agreement with Russia on border regulation, the checkpoint was set up as a permanently operating border checkpoint that only allows the entry of the citizens of the two countries. Can be traveled by road and air transport from the capital.
10. ORKHON PROVINCE – SUMMARY
| Area: | 844 km2 |
|---|---|
| Capital: | Erdenet |
| Distance from the capital: | 378 km |
| Number of soums: | 2 |
| Population (as of 2022): | 109,125 |
| Share of national GDP (as of 2022): | 6.46% |
| Number of livestock: | 0.2m |
Demographics
Historically, the province attracted young workforces from other provinces when it was first established. As such, the population is made up of a range ethnic groups from across the country. The region has a young population and has the highest levels of living standards and competitiveness in the country.
Economy
Aside from the capital Ulaanbaatar, Erdenet is one of the only two other jurisdictions that carry “city” status. Since its declaration as a city in 1976, Erdenet became the second biggest city in Mongolia both in terms of population and contribution to the economy with mining income. The region has about 1,700 privately-owned businesses employing 34,000 people, and annually produce goods worth MNT 1 trillion ($292.4m), in which Erdenet Mining Corporation accounts for 90%.
The city hosts the fourth largest copper mine in the world. Tourists are allowed to visit the mine by appointment.
Another important economic factor of Erdenet is the carpet factory where about 2,000 tonnes of wool are processed in. About 1,100 people are employed in the factory.
Infrastructure
Can be traveled by road and rail transport from the capital. The province is the key transit point en route to Darkhan, Murun, and Altanbulag. The distance to the capital where the nearest airport is located amounts to 370 km and travel by car takes about 4-5 hours.
11. UVURKHANGAI PROVINCE – SUMMARY
| Area: | 62,89 km2 |
|---|---|
| Capital: | Arvaikheer |
| Distance from the capital: | 431 km |
| Number of soums: | 19 |
| Population (as of 2022): | 114,962 |
| Share of national GDP (as of 2022): | 1.43% |
| Number of livestock: | 4.6m |
Demographics
The province houses several major resorts close to national parks and basic infastructures, including Khujirt, Bayangol, and Kharkhorin.
Also, the region boasts several points of historical interest such as the Erdene-Zuu Monastery, and the city of Kharkhorum (Karakorum) – the former capital of the Great Mongol Empire which was discovered by an archaeological expedition.
Economy
Uvurkhangai has one of the highest number of livestock in the country, with the northern part being mainly dedicated to agriculture. The province has several factories for construction materials and food production. The region is relatively well developed in terms of electricity supply, road, and communications infrastructure, and including a wide road highway between Arvaikheer-Ulaanbaatar and Kharkhorin-Ulaanbaatar.
Infrastructure
Uvurkhangai is connected to the strategic paved road network that stretches to the five western provinces.
12. DARKHAN-UUL – SUMMARY
| Area: | 3,275 km2 |
|---|---|
| Capital: | Darkhan |
| Distance from the capital: | 219 km |
| Number of soums: | 4 |
| Population (as of 2022): | 107,932 |
| Share of national GDP (as of 2022): | 1.35% |
| Number of livestock: | 0.3m |
Demographics
Darkhan city forms part of the Orkhon and Selenge river basin. 64.5% of the population is made up of people below the age of 35. The foundations of the city were laid in 1961.
Economy
Darkhan-Uul province is located along all major international road and railway routes and the region is connected to the central energy distribution network. It is considered the industrial hub of Mongolia. Although the region is rather small compared to other provinces, it contains a wealth of mineral resources that include gold, limestone, coal, and numerous raw materials used in the construction industry. Mongolia’s biggest ferrous metal plant – the Darkhan Metallurgical Plant JSC – represents the core source of income for the province’s economy, forming a key part of the Darkhan-Selenge region’s iron ore deposits.
Infrastructure
The region is linked to the provinces of Ulaanbaatar, Selenge, and Orkhon via the strategically important paved road and railway network. The Asian Highway that connects Asia with Europe winds through the Ulaanbaatar-Darkhan route. Given the importance of this infrastructure, expansion work is underway to increase its capacity to a standard two-way road.
13. DORNOGOVI PROVINCE – SUMMARY
| Area: | 109,472 km2 |
|---|---|
| Capital: | Sainshand |
| Distance from the capital: | 450 km |
| Number of soums: | 14 |
| Population (as of 2022): | 71,129 |
| Share of national GDP (as of 2022): | 1.25% |
| Number of livestock: | 2.9m |
Demographics
Located in the far eastern region of Mongolia, this province borders the provinces of Umnugovi, Dundgovi, Govisumber, Khentii, and Sukhbaatar. The center of the province is Sainshand. This province connects neighboring Russia and China via the central railway network which forms Mongolia’s infrastructure backbone. 42.8% of the soums and 54.8% of the population in this province are settled along the railroad.
Economy
Dornogovi Province is located along the main transport corridor connecting Russia, Mongolia, and China by railway. It is also intersected by a paved road linking Russia and China. The province has two permanent border crossings. Known for its natural landscapes and rich mineral resources, Dornogovi is one of the few provinces that has independently generated its budget since 2003, with surplus income directed to the national budget.
The province holds 363 mineral licenses, covering 10% of its total area, with 144 exploration licenses and 221 mining licenses. More than 30 mining operations are active in the region, extracting minerals such as fluorspar, coal, construction materials, iron ore, and gypsum. In Altanshiree soum, Dornogovi, an oil refinery is being built with funding from the Government of India. The project, which began in 2019, is planned to be completed in four phases from 2019 to 2027. The refinery is expected to process 1.5 million tons of crude oil annually, producing 1.3 million tons of petroleum products and meeting 55% of the domestic oil demand.
Infrastructure
The province is connected to the main networks of paved roads and domestic airports and is part of the Ulaanbaatar railway network. The Khangi border crossing in Dornogovi is a dual-grade, permanent-operation border point through which coal, fluorspar, and iron ore are exported. The key southern border for cargo transportation, Zamyn-Uud, is also located in the province and is interlinked by paved roads and railway. This crossing is connected to the Chinese railway network via the Zamyn-Uud border.
The 416 km long Tavantolgoi-Zuunbayan railway, which crosses the territories of Umnugovi and Dornogovi provinces, was put into permanent operation in 2023. Additionally, a 226.9 km railway line from Zuunbayan to Khangi has been constructed. Once fully operational, this railway is expected to significantly increase the value of over 10 mineral deposits located along the railway route.
14. DUNDGOVI PROVINCE – SUMMARY
| Area: | 74,690 km2 |
|---|---|
| Capital: | Mandalgovi |
| Distance from the capital: | 389 km |
| Number of soums: | 15 |
| Population (as of 2022): | 46,387 |
| Share of national GDP (as of 2022): | 0.77% |
| Number of livestock: | 3.6m |
Demographics
This province has a relatively small population, compared to other provinces. It produces its own distinguishable brand of airag as well as ingenii hoormog (camel milk), in addition to meat products and its reserves of lignites. The region is famous throughout Mongolia for its folk music, airag, and mutton.
Economy
Dundgovi has one of the highest numbers of livestock per capita in the entire country. It has a significant amount of the country’s mineral resources, making up 58% of lignite production, 32.3% of gypsum production, and 53.4% of all rock pigments discovered in Mongolia. The area of mineral deposits accounts for 7.4% of the province’s total territory. Within this, 131 mining licenses have been issued across 13 soums, and 64 exploration licenses are distributed across 15 soums. Mandalgovi, the administrative center of the province and all its soums are connected to the country’s central electricity and telecommunications distribution network. A low-cost tour into the Govi region is possible given the province’s proximity to country’s capital city. This is also one of the main reasons explaining the growth in tourism each year. Given the region’s high number of sunny days and good wind speeds, it’s a good region for renewable energy exploitation.
Infrastructure
Can be traveled by road transport from the capital city.
15. GOVISUMBER PROVINCE –SUMMARY
| Area: | 5,542 km2 |
|---|---|
| Capital: | Choir |
| Distance from the capital: | 223 km |
| Number of soums: | 3 |
| Population (as of 2022): | 18,007 |
| Share of national GDP (as of 2022): | 0.29% |
| Number of livestock: | 0.5m |
Demographics
95.3% of the population in Govisumber consists of the Khalkha ethnic group. The population is mostly made up of people coming from Ulaanbaatar and the nearby provinces, especially from Dundgovi. The region sees more incoming settlers than people leaving the province. The majority of settlers are men given that the region is a large employer within the mining, transportation, and construction sectors.
Economy
Although Govisumber is the smallest province in Mongolia, the region has a well-developed mining industry and transport infrastructure. The Shivee-Ovoo coal mine located south of Choir city has reserves of 2.7 billion tonnes of lignite and represents the largest income source to the province’s coffers, being one Mongolia’s largest mines. 3 exploration and 14 mining license areas account for 7.8% of the territory of Govisumber province.
Infrastructure
The region is linked to the main paved roads and railway network and is a vital part component of the Ulaanbaatar Railway network.
16. UMNUGOVI PROVINCE – SUMMARY
| Area: | 165,380 km2 |
|---|---|
| Capital: | Dalanzadgad |
| Distance from the capital: | 575 km |
| Number of soums: | 15 |
| Population (as of 2022): | 72,937 |
| Share of national GDP (as of 2022): | 3.6% |
| Number of livestock: | 2.6m |
Demographics
Umnugovi (South Gobi) is a province in southern Mongolia known for its rich mineral resources and the significant role in the country’s mining industry. It also features unique landscapes, including the Khongoryn Els sand dunes, and is home to the highest number of wild camels in Mongolia.
The population of Umnugovi is projected to continue growing, fueled by mining activities. As of 2023, the province has around 75,500 residents, with a 32% increase in population over the past 13 years. The labor force participation rate in Umnugovi is 12.5% points higher than the national average, reaching 70.5%.
Economy
Umnugovi contributes the second-largest share to Mongolia’s GDP, accounting for 3.6%, following Orkhon Aimag. It is one of the few provinces in the country that independently generates its budget, with surplus income being directed to the national budget, largely driven by its mining industry.
Umnugovi is home to Mongolia’s key strategic mineral deposits, including the Tavantolgoi Coal Mine, Nariinsukhait Coal Mine, and the Oyu Tolgoi Copper and Gold Mine. The province hosts over 100 mining exploitation licenses and 50 exploration licenses, many of which have significant potential and prospects for both current and future development. Major taxpayers such as Erdenes Tavan Tolgoi, Tavantolgoi, Energy Resource (also known as Mongolian Mining Corporation), Oyu Tolgoi, MAK, and other bigger mining companies operate in the province, totaling 16 mining operation companies.
The tourism sector in Umnugovi has also developed. The number of foreign tourists visiting the province has increased fourfold in the eight years prior to the COVID-19 pandemic. Additionally, in 2022, 27 tourist camps in the region generated ₮1.4 billion in revenue.
Infrastructure
Road and air transport are available in Umnugovi, and several key border checkpoints, including Shiveekhuren and Gashuunsukhait, fall under the province’s jurisdiction. These borders are major coal-exporting gateways, facilitating the export of over 50% of Mongolia’s total coal exports.
The construction of the 876.4 km railway along the routes of Zuunbayan-Khangi, Tavantolgoi-Gashuunsukhait, and Tavantolgoi-Zuunbayan has been completed, increasing the total railway network in Mongolia by 40%, bringing it to 2,965 km. The Tavantolgoi-Gashuunsukhait and Tavantolgoi-Zuunbayan railways are located in Umnugovi province. Although the construction of these railways has been completed, they are not yet fully operational due to the lack of necessary border connection infrastructure for transporting minerals to China.
17. SELENGE PROVINCE - SUMMARY
| Area: | 41,152.63 km2 |
|---|---|
| Capital: | Sukhbaatar |
| Distance from the capital: | 311 km |
| Number of soums: | 17 |
| Population (as of 2022): | 107,341 |
| Share of national GDP (as of 2022): | 2.31% |
| Number of livestock: | 1.9m |
Demographics
85.4% of Selenge province’s population is made up of the Khalkha ethnic group. The Bayad, Durvud, Uriankhai, Tuva, Zakhchin, Darkhad, and Torguud ethnic groups also live in these areas. With the increase in population density, it is becoming a rising problem in Selenge province. For instance, there were 2.3 inhabitants per square kilometer of the regional territory in 2010. By 2020, this number had increased to 2.6 people per square kilometer.
Economy
Agriculture is the province’s leading industry of development, with the majority of agricultural output being concentrated in both the Orkhon and Selenge basins. The region produces 50-60% of the country’s crops and 35-40% of the country’s vegetables. Forestry, wheat, food factories, alcohol brewery of Spirt Bal Buram LLC, and rail repair plants are available in Selenge province. Sukhbaatar city is the key region for road and railway connectivity and is also one of the country’s main border checkpoints. Altanbulag, the main trade border with Russia, is under the jurisdiction of this province.
Infrastructure
Connected to the capital by road and railway, the Altanbulag border checkpoint is the main crossing for cargo transportation. The Sukhbaatar railroad crossing was established in Sukhbaatar soum of Selenge province in 1949, with the Naushki-Ulaanbaatar wide track railway network as the traffic and travelers increased sharply in the region.
Under the agreement with Russia on border regulation, the checkpoint was set up as a permanently operating international border pass.
18. TUV PROVINCE - SUMMARY
| Area: | 74,042 km2 |
|---|---|
| Capital: | Zuunmod |
| Distance from the capital: | 43 km |
| Number of soums: | 27 |
| Population (as of 2022): | 92,038 |
| Share of national GDP (as of 2022): | 1.75% |
| Number of livestock: | 5.1m |
Demographics
94.2% of Tuv province’s population are the Khalkha ethnic group. The majority of inhabitants are either Buddhists or Lamaists.
Economy
Tuv province is located closest to Ulaanbaatar city, which generates 65 percent of Mongolia’s total GDP. By taking full advantage of its geographical privilege, the province supplies vegetables, and dairy products to the residents of Ulaanbaatar. For instance, Mongolia’s biggest producer of milk SUU JSC collects its raw material from Tuv province. The Jargalant soum of Tuv province also engage in vegetable farming, especially the potato is distinctive with its taste and quality among the residents of Ulaanbaatar.
The province also has proven resources of gold, lignite, iron ore, lead, wolfram, pure and cloudy crystals, spar, turquoise, lapis lazuli, chalcedony, and tin.
Infrastructure
Considering its proximity to the capital city, Tuv province has a well-developed network of infrastructure. For instance, the road and railway of Ulaanbaatar run through some of the soums of Tuv province. Plus, the newly built Chinggis Khaan International Airport has been constructed in Tuv province. This is the biggest airport in Mongolia with an annual capacity of receiving 3 million.
19. DORNOD PROVINCE - SUMMARY
| Area: | 123,597 km2 |
|---|---|
| Capital: | Choibalsan |
| Distance from the capital: | 664 km |
| Number of soums: | 14 |
| Population (as of 2022): | 83,704 |
| Share of national GDP (as of 2022): | 2.11% |
| Number of livestock: | 3.3m |
Demographics
This region is inhabited by the Khalkha, Buryat, Barga, and Uzemchin ethnic groups. About 55% of the population resides in Choibalsan, the administrative center of the province, which serves as a key economic hub for the eastern region. Once having the lowest score on the Human Development Index, Choibalsan has made a remarkable turnaround in recent years and is now the highest-ranking administrative unit in the country.
Economy
Located in the easternmost part of Mongolia, Dornod is the third-largest province in terms of GDP per capita. The agriculture sector contributes 36%, manufacturing and mining account for 46%, and the service sector contributes 18% of the province’s GDP.
In terms of the power grid, heating, employment availability, business efficiency, GDP per capita, Human Development Index, labor productivity, and GDP performance, Dornod ranks in the top 5 among Mongolia’s 21 provinces.
The province is rich in mineral resources, including oil, uranium, coal, zinc, lead, iron ore, gold, copper, and molybdenum, as well as limestone, building stones, sand, and gravel. Dornod has 85 identified mineral deposits and 149 exploration sites, with mineral extraction and development growing since 1997.
There are more than 150 mining licenses in the province, with 73 exploitation and 78 exploration licenses. Dornod is a major producer of brown coal, lead concentrate, zinc concentrate, and crude oil, exporting 93-96% of Mongolia’s crude oil. Toronto-listed Steppe Gold’s Altan Tsagaan Ovoo – precious metals deposit – is located in Dornod province.
Infrastructure
The province has 5 border crossings, including one combined railway and road crossing and 4 road crossings. The Ereentsav and Ulikhan checkpoints are designed for both vehicle and railway crossings, with Ereentsav serving as a permanent railroad crossing established through a bilateral agreement with the Russian Federation. Additionally, the province is home to the Arkhashaat crossing, which connects to Xin Barag Barun Banner in Hulunbuir, Inner Mongolia, China.
The region is well-linked by major strategic networks, including paved roads, railways, and domestic airports. Construction has begun on a 415 km railroad in the eastern corridor, connecting Choibalsan, Khuut, and Bichigt, which is expected to become the shortest route from the Russian Far East to the China Sea.
20. KHENTII PROVINCE - SUMMARY
| Area: | 80,325 km2 |
|---|---|
| Capital: | Undurkhaan |
| Distance from the capital: | 338 km |
| Number of soums: | 17 |
| Population (as of 2022): | 78,959 |
| Share of national GDP (as of 2022): | 1.33% |
| Number of livestock: | 5.1m |
Demographics
87.3% of the population are ethnic Khalkhas, 8.3% are Buryats, and 4.4% is made up of other ethnic groups. The province is famous for being the birthplace of Chinggis Khaan.
Economy
Khentii is a part of the eastern economic zone. Agriculture makes up 60.1% of the province’s GDP, manufacturing industry accounts for 12.2% and the service sector makes up the remaining 27.7%. The region currently produces 246 locally-brand products which include cashmere, dairy goods, leather, and wheat products.
As the birthplace of Genghis Khan, the government aims to make Khentii Province a tourism hub, which has led to a 21-fold increase in government investment over the 10-year period from 2013 to 2023. In 2023, 40% of the national budget investment in Khentii was directed toward roads, and 26% was allocated to infrastructure development.
As of the end of 2023, there were 207 mining licenses in the province, with 128 exploration licenses and 79 mining licenses. The majority of the minerals are fluorspar (50%) and gold (14%), with other minerals including coal, lead, tin, and tungsten. A total of 173 mining companies operate in the province, with a significant number of small-scale fluorspar mines.
Infrastructure
The province is connected to the main paved roads and railway network and forms part of the Ulaanbaatar railway network. According to the government’s plan, the Öndörkhaan airport has been established as an aerodrome.
21. SUKHBAATAR PROVINCE - SUMMARY
| Area: | 82,287km2 |
|---|---|
| Capital: | Baruun-Urt |
| Distance from the capital: | 565 km |
| Number of soums: | 13 |
| Population (as of 2022): | 65,214 |
| Share of national GDP (as of 2022): | 1.49% |
| Number of livestock: | 4.6m |
Demographics
The 2020 census showed that the Khalkha ethnic group made up 59.6% of the population, 3.4% higher than the previous census. The Dariganga people make up the other 39% of the population. The region is known for its Dariganga silver craft industry, and its famous award-winning thoroughbred racehorses. The region has stunning natural scenery which includes Altan Ovoo, Shiliin Bogd Mountain, and the River Ganga. The province also hosts the ancient Kurgan Stelae (human statue) and is also homeland of the country’s prominent Chief Commander Sukhbaatar.
Economy
Situated in the eastern part of Mongolia, Sukhbaatar province is ranked third in terms of its horse population.
As of 2021, the economy of Sukhbaatar Province was composed of 33.3% industry (with 67.5% of that being mining), 47.2% agriculture, and 19.5% services. The province ranked 5th in the country in terms of livestock numbers. Agricultural production has been increasing year by year.
The total number of licenses in the province was 101, with 67 mining licenses and 22 exploration licenses. The main minerals in the region include coal, fluorspar, iron, zinc, and tungsten. Sukhbaatar is home to the Tömörtiin Ovoo zinc plant operated by Tsairt Minerals, which accounts for half of Mongolia’s zinc concentrate exports. The economy is based mostly on agriculture. Currently, coal, zinc concentrate, iron ore, fluorspar exploitations are underway.
Infrastructure
Can be traveled by road transport from the capital. The province has borders crossings at Zuunkhatavch/Ujimqin Banner, and the Xilingol League, Inner Mongolian Autonneomous Region, China, via the Bichigt crossing. This is an international border passing regulated under a bilateral agreement between the governments of Mongolia and China.