02.10.2012 - Mongolia aims to join the SWF ranks
Mongolia is modeling its new approach on the framework established by Chile, which has used its copper earnings to create well-run stabilization and sovereign wealth funds. Implementation remains a big question mark, especially in the volatile political climate that has followed Mongolia’s parliamentary elections in June. But if the government succeeds in carrying out its plans, it could anchor the economy for generations to come. “The first step is to establish a really prudent fiscal policy — especially in countries like Mongolia where you are likely to see these patterns of booms and busts, driven by commodities prices and budget expenditures, unless you have a really solid fiscal structure in place,” says Eric Parrado, a former manager of Chile’s stabilization and sovereign wealth funds who is advising Mongolia...............................................Full Article: Source
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