S.Bayar: The final resolution on gas price will be made by October 1st.

Sep 23 • Economy, Government, Interview, News, Politics • 845 Views • No Comments on S.Bayar: The final resolution on gas price will be made by October 1st.

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Prime Minister S.Bayar called his Cabinet Ministers for the very first Cabinet Meeting on Monday, September 23 2008. He was questioned by journalists for his planned visit to USA and discussed issues of the Cabinet Meeting.
Q: What will be the priority of the New Government? What was the main discussion at the Cabinet Meeting?
S.Bayar: The main issues were monetary policy, inflation, state budget of year 2009, principles, and amending budget of year 2008. Basically, all starts from monetary and state hold. This year Mongolia is to have good harvest. Now the issue is to harvest it with minimum loss and store. Government must pursue its policy on supporting agriculture and farming. There are many issues related with this question, such as quality of stock grain, granary elevator. The Government made principal decision to store 50% of total planned harvest of 100 thousands ton of grain. There are also many issues related to this decision like how to manage this work, what mechanism shall be implemented, the quality of stock grain and secure minimum loss of grain during transportation. We should pay attention on not to have deficiency of grain next spring like we faced in the last spring and we are preparing complex plan for this.
I will visit to abroad and be absent until October 1 2008. At that date, there will be the opening ceremony fall session of the State Great Khural. The Cabinet Meeting will be held in the afternoon. The gas issue will be discussed during this meeting.
Q: How to resolve the issue of gas and fuel?
S.Bayar: Gas price was drastically increased during last spring and summer, more than ever. Crude oil price reached 140 US$ in the world market. We waived many gas and fuel importing companies from tax. It brings severe damage to the state budget. We have nothing from income side. Now the crude oil price is down to less than 100 US$. Therefore, we will revive some taxes for the remaining quarter of 2008. Once the gas price is decreasing Government shall impose some tax. On the other hand, there is still a chance to decrease the gas price for the final users. It is hard to say how much. I instructed to my Cabinet Ministers, lead by Ministry of Treasury and Ministry of Mineral Resource and Energy and followed by other Ministries, to resolve this issue by negotiating with the oil product importing companies. They must be ready for the meeting of October 1 2008 with supporting documents and studies.
Q: 43-47 billion MNT is required to buy 100 thousand tons of grain. How would you solve the financing it?
S.Bayar: There are some ways. It is the matter of how to carry out, such as by inserting into the budget amendment or not. Ministers shall prepare it. State must store grain, it is principal decision and Ministries shall decide how to. They must carry out it by surveys and studies and through mutual cooperation and common understanding.
Q: Your coalition Government has nickname of “Government of Hopes” How would you react to prove this name?
S.Bayar: Last week MPs of State Great Khural supported, in general, candidates for my Cabinet and provided valuable comments and remarks for their works and achievements. State Great Khural is the representation of the people of Mongolia. The Government of Hopes shall not fail or fall. There are many depend on our works. I recommended my Cabinet Ministers not to waste precious time and once, we agreed to resolve the current problems and issues together, then we must not be idle in reaction. The works will start from developing the Government implementing program. By October 15, the first draft of the program shall be discussed by the Cabinet Meeting. Also the structure of the Government Administration Organizations will be discussed. There will certainly be the working group to solve these many agencies. Once we have so much work to do, then there must not be so called “courses” for the Ministers. I believe that I formed my Cabinet with professionals with full capacity of handling the issues and shouldering the workloads.
Q: You are going to the General Assembly of United Nations. What will be your purpose of visit and attendance?
S.Bayar: Mongolia is the one part of the world community. Therefore, Mongolia gains and suffers from globalization. World economy is under turbulence and there is a big “tsunami” in the financial market. Therefore, we shall form the internal possibilities to protect our economy and well-being. I will attend the General Assembly and officially express the Mongolian position. There are some other issues except providing message from the General Assembly Platform. There are bilateral meetings are scheduled with many officials. It is very wise arrangement not waste much time and money visiting many countries to meet with them. There are some meetings scheduled and some are pending and some will be arranged ad hoc basis.
In September 26 2008, the Conference Socintern Heads, where MPRP is member, is to be held. I think that being as the full member of the organization, MPRP shall demonstrate its policy, activities and situation. Our party suffered great loss from the July 1st incident. There is also some other talks regarding to support and assist MPRP in order to maintain its regular operation and activities. But, it must be moral support rather than material one. I also scheduled several meeting with the many ministers from Socintern.
Recently, I sent open letter to all Mongolians living abroad, calling them to provide their precious supports and ideas in developing Mongolia. I will pursue this issue and meet with our fellow Mongolians in Washington DC.

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