Foreign direct investment in Mongolia : bridging the cultural divide

Abstract

Driven by the mining boom, Mongolia has become one of the fastest growing economies

in the world in the last five years. The high growth rate of this emerging market and the

promise of high returns have attracted foreign investments not only in the mining

industry but also in other sectors in Mongolia. However, high returns come with the high

risk and the uncertainty of an emerging market as evidenced by the recent political and

regulatory uncertainties which have discouraged foreign investors from doing business in

Mongolia.