Mongolia has experienced decades of planned soviet-type economy. In 1990 the country opted for an economic system based on free trade. The transition phase has been characterized by a shock therapy made by three main guidelines:

• privatization,
• liberalization of prices and wages,
• currency reform.

The government encouraged the income of foreign capitals and realized a series of laws to improve the foreign investors’ conditions.

The sectors that gained most by these reforms are mining industry, that today provides about 30% of GDP, and services industry, that has grown until providing about 40% of GDP, also because of the rapid growth of trade, transport and communications.

Between 2004 and 2008 Mongolia has grown at an average rate of almost 9%, mainly thanks to the high prices of gold and copper on international trade markets.

Business relations between Italy and Mongolia are characterized by modest commercial exchange. Mongolia, however, offers to Italy interesting opportunities, mainly in textile and manufacturing sectors where there’s a powerful link with our import data, while our export is strong in machineries, strongly needed by Mongolia.