GROSS DOMESTIC PRODUCT,

LABOUR PRODUCTIVITY

2021
 REPORT ON
GROSS DOMESTIC PRODUCT,
LABOR PRODUCTIVITY
(2021 estimation)

Ulaanbaatar
2022
Contents
List of Tables ................................................................................................................................................ 3
List of Figures ............................................................................................................................................... 3
List of brief words ........................................................................................................................................ 3
I. Gross domestic product.......................................................................................................................... 6
1.GDP calculated using the production approach ................................................................................. 6
1.1. GDP, at current prices ..................................................................................................................... 6
1.1.1. GDP, by industries .................................................................................................................... 6
1.1.2. Private sector contribution to GDP ....................................................................................... 7
1.2. GDP at 2015 constant prices ......................................................................................................... 8
1.2.1 Production of main industries of the economy ....................................................................... 8
2. GDP by expenditure approach ............................................................................................................13
2.1.1 GDP, at current prices .................................................................................................................13
2.1.2 GDP, at 2015 constant prices....................................................................................................15
2.2 GDP by income approach ..................................................................................................................16
II. Labor productivity..................................................................................................................................19
1. The indicators of total economy.........................................................................................................19
2. Indicators of business sector..............................................................................................................20

2
List of Tables
Table 1. Value added of agriculture, at current prices ...................................................................................................... 8
Table 2. Value added of agriculture, at 2015 constant prices ......................................................................................... 8
Table 3. Livestock .................................................................................................................................................................... 9
Table 4. Harvest ....................................................................................................................................................................... 9
Table 5. Value added of mining and quarrying, by subsector and current prices ........................................................ 9
Table 6. Value added of mining and quarrying, by subsectors, at 2015 constant prices ......................................... 10
Table 7. Value added of manufacturing, by subsectors, at 2015 constant prices .................................................... 11
Table 8. GDP, components of expenditure approach, at current prices ...................................................................... 13
Table 9. Exports and imports of goods and services ...................................................................................................... 14
Table 10. GDP, by expenditure approach, at 2015 constant prices .............................................................................. 15
Table 11. GDP, components of income approach, at current prices ........................................................................... 16
Table 12. Tax income, by type, at current prices.............................................................................................................. 18
Table 13. Output, input and productivity, 2015-2021 ...................................................................................................... 19

Appendix 1. GDP, by production approach, at current prices ........................................................................................ 22

Appendix 2. GDP, by production approach, at 2015 constant prices ........................................................................... 23
Appendix 3. GDP, by expenditure approach, at current prices ...................................................................................... 24
Appendix 4. GDP, by expenditure approach, at 2015 constant prices ......................................................................... 24
Appendix 5. GDP, by income approach, at current prices .............................................................................................. 24
Appendix 6. Consumption of general government, by cofog ........................................................................................ 25
Appendix 7. Consumption of households, by coicop ...................................................................................................... 25
Appendix 8. Мain indicators of economy .......................................................................................................................... 26
Appendix 9. Output, input and labor productivity for business sector, by industries ................................................ 27

List of Figures
FIGURE 1. GDP and GDP per capita ..................................................................................................................................... 5
FIGURE 2. Economic growth.................................................................................................................................................. 5
FIGURE 3. Labor productivity ................................................................................................................................................. 5
FIGURE 4. GDP annual changes, by percent ....................................................................................................................... 6
FIGURE 5. GDP, sectorial structure, share to total ............................................................................................................. 6
FIGURE 6. the share of value added from private sector to GDP ................................................................................... 7
FIGURE 7. private sector contribution, by ownership type, 2021, share to total .......................................................... 7
FIGURE 8. Real GDP growth, contribution of sectors........................................................................................................ 8
FIGURE 9. Extraction of mining products (2015=100) .................................................................................................... 10
FIGURE 10. Sales of wholesale and retail trade and import .......................................................................................... 11
FIGURE 11. All types of carried freight and passengers ................................................................................................. 12
FIGURE 12. Net taxes on products, by components, at current prices, billion MNT ................................................. 12
FIGURE 13. Expenditure structure of GDP, at current prices, share to total ............................................................... 13
FIGURE 14. Household consumption, structure, share to total .................................................................................... 13
FIGURE 15. Change in capital formation, at current prices, percent ............................................................................ 14
FIGURE 16. Gross capital formation, share to total......................................................................................................... 14
FIGURE 17. Contributions to real GDP growth ................................................................................................................. 15
FIGURE 18. GDP growth, by percent and components of income approach ............................................................. 16
FIGURE 19. Share of wages and salaries in GDP ............................................................................................................. 17
FIGURE 20. Profit-wage ratio, GDP growth rate ............................................................................................................... 17
FIGURE 21. Tax burden, by percent .................................................................................................................................... 18
FIGURE 22. Labor productivity indicators ......................................................................................................................... 19
FIGURE 23. value added per person employed, by sectors, million MNT ................................................................... 19
FIGURE 24. Growth rate of productivity of business sector and total economy ....................................................... 20
FIGURE 25. annual changes in Labor productivity, output, input, by industries, 2021, by percent ........................ 20
FIGURE 26. annual Changes in labor productivity, by industries, 2021 ....................................................................... 21

List of brief words

GDP Gross domestic product
VA Value added

3
4
SUMMARY

FIGURE 1. GDP AND GDP PER CAPITA

50.0 14.0
GDP, which is the main indicator of
12.0
macroeconomics, represents the results 40.0

Trillion togrog
10.0
of production activities of residents of
30.0

percent
economic units. There are three 8.0

approaches to measuring GDP: 20.0 6.0

production, expenditure, and income. 4.0
In 2021, GDP reached MNT 43.6 trillion, 10.0
2.0
while the GDP per capita reached MNT
0.0 0.0
13.3 million, an increase of MNT 5.5
2016 2017 2018 2019 2020* 2021*
(71.8%) million from 2015.
GDP GDP per capita

FIGURE 2. ECONOMIC GROWTH

Mongolia’s economy (at 2015 constant 7.7

price) grew by 5.6% in 2019, decreased 5.6 5.6
percentage points

by 4.6% in 2020, and increased by 1.6% in

2021. 1.5
In 2021, GDP growth was 1.6%, of which 1.6
1.8 percentage points was from growth
in the services sector and 1.3 percentage
points was from growth in the net taxes -4.6
on products.
2016 2017 2018 2019 2020* 2021*
Agriculture Industrial sector
Services Net taxes on products
GDP (%)

FIGURE 3. LABOR PRODUCTIVITY

GDP per capita at 2015 constant prices was Labor productivity level
MNT 8.3 million in 2021. Labor productivity GDP per capita (2015 constant pr.)
or GDP per employed person was MNT 22.7 Growth in labor productivity (right)
million in 2021 and increased by 5.1% from 24.0 20.0
previous year. 20.0 16.0
The average annual growth of GDP per 12.0
million MNT

16.0
capita for 2016-2021 is 1.1 percent, while
percent

8.0
23.0

22.7

12.0
21.6

the average annual growth of GDP per

19.8
19.0

4.0
18.5

person employed is 3.1 percent. 8.0

0.0
8.8
8.4

8.3

8.3
7.9
7.7

4.0 -4.0
0.0 -8.0
2016 2017 2018 2019 2020* 2021*

5
I. GROSS DOMESTIC PRODUCT

1. GDP CALCULATED USING THE PRODUCTION APPROACH

1.1. GDP, at current prices
1.1.1. GDP, by industries
Mongolia’s GDP calculated by the production approach, at current prices was MNT 43.6 trillion and
increased by 16.3% in 2021 compared to the previous year.
In terms of industries in 2021, value added of agriculture increased by 18.1%, value added of industrial
sector by 16.4%, value added of service sector increasedby 13.9%, and net taxes on products
increased by 23.9% from previous year.
FIGURE 4. ANNUAL CHANGES OF GDP, by percent
100.0 17.0 20.0
16.3 16.1 16.3 Net taxes on
products
80.0 16.0
Services
60.0 12.0
Industrial sector
40.0 8.0
4.5
20.0 4.0 Agriculture

0.0 0.0 GDP

-1.0
-20.0 -4.0
2016 2017 2018 2019 2020* 2021*

Industrial composition of GDP

The share of agriculture to GDP in 2021 was 13.0%, increased by 0.2% from the previous year, the
share of industrial sector was 40.0% (the share of mining and quarrying was 25.4%, increased by 1.2%),
decreased by 0.2% from previous year, and the share of services was 47.0%.

FIGURE 5. GDP, SECTORIAL STRUCTURE, share to total

43 555.5
37 839.2 37 453.3
32 582.6
28 010.7 47.0 Services
23 931.3 47.6 46.9
47.6 Industrial sector
48.6 Agriculture
51.6
40.0 GDP (bln.tog)
40.9 40.2
40.5 41.1
35.9
12.5 11.0 11.3 11.5 12.8 13.0

2016 2017 2018 2019 2020* 2021*

Data for 2015-2019 updated by SUT

*- Estimation based on annual survey of entities

6
 1.1.2. Private sector contribution to GDP
Value added from private sector was 79.1% of total GDP in 2015, 74.5% in 2019, and 76.2% in 2021.
In this change, value added of public sector organizations and state-owned enterprises is impacted.

FIGURE 6. PRIVATE SECTOR VALUE ADDED SHARES IN GDP

78.5

77.1
76.2
76.0
75.5

74.5

2016 2017 2018 2019 2020* 2021*

In terms of economic activities, the share of private sector value added to GDP was up to 30% for
education, art, entertainment and recreation activities, electricity and water supply, 30-80% for health,
transportation, mining and quarrying, professional, scientific, and technical activities, and over 80% for
other sectors.
FIGURE 7. PRIVATE SECTOR CONTRIBUTION, by ownership type, 2021, share to total

private public

Agriculture, forestry and fishing

Wholesale and retail trade; repair of motor…
Other service activities
Real estate activities
Manufacturing
Accommodation and food service activities
Construction
Information and communication
Financial and insurance activities
Administrative and support service activities
Professional, scientific and technical activities
Mining and quarrying
Transportation and storage
Human health and social work activities
Arts, entertainment and recreation
Electricity, gas, steam, air conditioning supply
Education
Water supply; sewerage, remediation activities

0.0 20.0 40.0 60.0 80.0 100.0

7
 1.2. GDP at 2015 constant prices
GDP (at 2015 constant prices) was MNT 27.1 trillion in 2021 and increased by 1.6% from previous
year. In this increase, -0.83 percentage points was from agriculture, -0.64 percentage points was from
industrial sector, 1.80 percentage points was from services, and 1.31 percentage points was from net
taxes on products.
FIGURE 8. REAL GDP GROWTH, CONTRIBUTION OF SECTORS

10.0 7.7
8.0 5.6 5.6
percentage point

6.0
4.0 1.5
2.0 1.6
0.0
-2.0
-4.0 -4.6
-6.0
2016 2017 2018 2019 2020* 2021*
Agriculture 0.8 0.0 0.9 0.7 0.8 -0.8
Industrial sector -0.7 0.4 2.5 0.9 -1.3 -0.6
Services 1.3 3.3 2.4 2.9 -3.0 1.8
Net taxes on products 0.2 1.9 2.0 1.0 -1.1 1.3
GDP (%) 1.5 5.6 7.7 5.6 -4.6 1.6

In 2021, GDP growth was 1.6%, mainly resulted from MNT 161.2 billion (5.8%) increase in value added
of wholesale and retail trade, MNT 125.7 billion (20.7%) increase in value added of information and
communication, MNT 125.4 billion (9.7%) increase in value added of finance and insurance, and MNT
349.0 billion (12.2%) increase in net taxes on product.

1.2.1 Production of main industries of the economy

Agriculture sector
Value added of agriculture at current prices was MNT 5.7 trillion and increased by MNT 877.2 billion
(18.1%) in 2021 compared to the previous year. This increase is mainly resulted from MNT 648.4 billion
(14.5%) increase in livestock sector.
TABLE 1. VALUE ADDED OF AGRICULTURE, at current prices
2018 2019 2020* 2021*
Subsectors
billion MNT
Agriculture 3 723.5 4 373.6 4 856.1 5 733.3
Crop 296.1 337.9 370.7 577.9
Livestock 3 406.7 4 014.0 4 469.9 5 118.3
Other
20.7 21.7 15.5 37.1
The share of agriculture sector in GDP was 13.0% and increased by 0.2 percentage points from
previous year. The share of agriculture sector in GDP is varying due to the growth of mining and
quarrying sector.
In 2021, the value added of agriculture at 2015 constant prices was MNT 3.8 trillion and increased by
MNT 222.3 billion (5.5%) from previous year.
TABLE 2. VALUE ADDED OF AGRICULTURE, at 2015 constant prices
2018 2019 2020* 2021*
Subsectors
billion MNT
Agriculture 3 608.0 3 797.5 4 018.7 3 796.3
Crop 256.9 266.8 279.8 356.5
Livestock 3 340.2 3 519.0 3 727.0 3 425.7
Other 11.0 11.6 11.9 14.1
8
Livestock sector. VA of livestock sector at 2015 constant prices was MNT 3.4 trillion and decreased
by 8.1% compared to the previous year, mainly due to the number of reared offspring was 20.3 million
and decreased by 2.5 million (10.8%) from the previous year, losses of adult livestock was 3.0 million
heads, which is increased by 948.3 thousand heads (45.9%) from previous year.
TABLE 3. NUMBER OF LIVESTOCK
2018 2019 2020 2021
thousand heads
Number of livestock, at the end of year 66 460.2 70 969.3 67 068.5 67 343.8
Survived offspring 19 403.3 23 587.0 22 777.8 20 321.6
Losses of adult livestock (Natural loss) 2 635.4 1 117.6 2 064.1 3 012.3
Livestock for consumption 16 526.7 17 960.3 24 614.6 17 034.0

Production of crop sector fluctuated in recent years. For instance, crop production increased by 38.7%
in 2016, decreased by 31.6% in 2017, increased by 49.1% in 2018, increased by 3.9-4.9% in 2019-2020,
and increased by 27.4% in 2021.
Crop harvest was 614.5 thousand tons in 2021 and increased by 184.2 (42.8%) thousand tons from
previous year. While 182.6 thousand tons of potatoes harvested in 2021, which is decreased by 61.7
(25.2%) thousand tons from previous year.

TABLE 4. HARVEST
2018 2019 2020 2021
thousand tons
Crop 453.8 433.3 430.3 614.5
Potatoes 168.9 192.2 244.3 182.6
Vegetables 100.7 99.5 121.2 121.7
Fodder 123.8 121.1 182.1 293.7

Industrial sector
Industrial sector is the one of main sectors covering mining and quarrying activities, manufacturing,
electricity, gas, steam, air conditioning, water supply, and construction, and make up to 40% of GDP.

- Mining and quarrying

In 2021, value added of mining and quarrying was MNT 10.8 trillion and increased by 2.0 trillion (23.3%)
from previous year.
TABLE 5. VALUE ADDED OF MINING AND QUARRYING, by subsector and current prices
2018 2019 2020 2021
Subsectors
billion MNT
Total 8 370.8 9 590.1 8 722.1 10 753.7
Coal extraction 3 645.3 4 681.7 2 865.9 1 914.7
Crude oil extraction 367.3 380.9 192.0 247.9
Metal ore extraction 4 122.6 4 170.2 5 278.3 8 135.6
Extraction of other minerals 83.3 126.1 141.7 211.8
Support activities of mining and
152.3 231.2 244.2 243.7
quarrying

In the total VA of mining and quarrying, 75.7% was from extraction of metal ore, 17.8% was from coal
extraction, 2.3% was from crude oil extraction, 2.3% was from support activities of mining, and 2.0%
was from extraction of other minerals. Compared to previous year, share of coal extraction to total VA
of mining quarrying increased by 15.1 percentage points, while share of metal ore extraction
decreased by 15.1 percentage points from previous year.
9
In 2021, VA of mining and quarrying at 2015 constant prices was MNT 3.7 trillion and increased by
MNT 30.8 billion (0.8%) from previous year. This increase mainly resulted from MNT 19.0 (13.7%)
increase in VA of crude oil, and MNT 250.7 (9.6%) increase in VA of metal ore extractions.
.
TABLE 6. VALUE ADDED OF MINING AND QUARRYING, by subsectors, at 2015 constant prices

2018 2019 2020* 2021*

Subsectors
billion MNT
Total 4 134.8 4 068.7 3 667.0 3 697.9
Coal extraction 847.7 866.9 670.8 450.9
Crude oil extraction 216.8 233.3 139.3 158.4
Metal ore extraction 2 904.2 2 733.7 2 623.5 2 874.2
Extraction of other minerals 27.6 30.9 32.3 23.6
Support activities of mining and
138.5 203.8 201.1 190.9
quarrying

In Mongolia, products from mining and quarrying make up to 80% of total exports. In 2021, 30.1 million
tons of coal extracted, and 16.1 million tons (53.5%) of coal exported, 19.1 tons of gold extracted, and
17.2 (90.3%) tons of gold exported, 1.3 million tons of copper concentrate extracted, and 1.3 million
tons (96.6%) of copper concentrate exported, and 4.7 million barrels of crude oil extracted, and 4.3
million barrels (93.2%) exported.
Metal contents in the copper concentrates is not same throughout the period. Such change in quality of
the products is adjusted in estimation of GDP at constant prices.
FIGURE 9. EXTRACTION OF MINING PRODUCTS (2015=100)

240

200 Coal

Iron ore, concentrate

160

Gold
120
Copper concentrate

80 Crude oil

40
2015 2016 2017 2018 2019 2020 2021

Compared to 2015, coal extraction increased by 46.8% to 2.3 times more in 2016-2019 and decreased
up to 24.5% in 2020-2021, iron ore and concentrate increased by 15.8% to 2.3 times more, gold
extraction increased by 11.5%-42.1%, but crude oil extraction decreased by 5.9-53.2% in 2016-2021.
- Manufacturing
In 2021, VA of manufacturing at 2015 constant prices was MNT 2.2 trillion and decreased by MNT
19.4 (0.9%) billion from previous year. This decrease was mainly resulted from MNT 84.9 (5.9%) billion
increase in manufacture of food and beverage.
The decrease in manufacture of food and beverage was mainly from 17.0 million livestock for food
consumption, which is decreased by 7.6 (30.8%) million head from previous year.

10
TABLE 7. VALUE ADDED OF MANUFACTURING SECTOR, by subsectors, at 2015 constant prices
2018 2019 2020* 2021*
Subsectors
billion MNT
Total 2 073.9 2 153.1 2 227.3 2 207.9
Food and beverage 1 221.9 1 256.2 1 449.8 1 364.9
Tabocco 11.1 9.3 4.7 9.3
Textiles 62.6 46.1 33.4 29.1
Wearing apparel 171.4 198.3 173.0 124.5
Leather and related products 20.5 17.2 9.8 11.2
Wood and of products of wood and cork 74.2 39.3 35.2 40.4
Paper and paper products 7.4 10.3 10.8 8.3
Printing and reproduction of recorded media 29.8 31.6 34.6 38.1
Coke and refined petroleum products 0.0 0.5 1.3 1.7
Chemicals and chemincal products 110.5 158.3 121.7 132.5
Rubber and plastic products 22.0 24.3 21.3 23.8
Other non-methallic mineral products 170.9 192.2 207.1 259.3
Basic metals 120.3 105.6 69.7 121.3
Other manufacturing 51.3 63.9 54.7 43.7
- Construction
In 2021, VA of construction at 2015 constant prices was MNT 825.5 billion and decreased by MNT
244.5 (22.8%) billion from previous year.
In terms of construction type, share of residential building to total VA of construction was 35.2%, share
of non-residential buildings was 32.6%, share of engineering facilities was 29.4%, and share of capital
repairs was 2.8%.
Services
In 2021, VA of services was MNT 12.6 trillion and increased by MNT 479.2 billion (3.9%) from previous
year. This increase mainly resulted from 5.8% increase in wholesale and retail, and 20.7% increase in
information and communication, and 9.7% increase in finance and insurance sectors.
At current prices, the share of services in total GDP was 47.0%. In which, share of wholesale and retail
was 33.0%, share of public administration was 10.7%, share of real estate services (imputed rend for
owner-occupied dwellings are included in the estimation) was 10.3%, share of finance and insurance
was 10.4%, share of education was 8.5.%, share of transport was 8.1%, share of health was 5.1 %, and
share of information and communication was 5.2%, and share of other services was 8.7%.
- Wholesale and retail trade
In 2021, VA of wholesale and retail trade at 2015 constant prices was MNT 3.0 trillion and increased
by MNT 161.2 (5.8%) billion from previous year. The share of VA of wholesale and retail trade in GDP
was 15.5% and increased by 0.8 percentage points.
FIGURE 10. SALES OF WHOLESALE AND RETAIL TRADE AND IMPORT

33.0 11.0 In 2021, sales of wholesale

Domestic trade
30.0 10.0 and retail was MNT 32.4
Imports of goods
27.0 9.0
trillion and increased by
billion US dollar

44.0% from 2015.

trillion MNT

24.0 8.0
21.0 7.0 The imports of goods were
18.0 6.0 USD 6.8 billion and increased
by 39.5% from 2015.
15.0 5.0
12.0 4.0
9.0 3.0
2016 2017 2018 2019 2020 2021

Transportation sector
11
In 2021, VA of transportation sector at 2015 constant prices was MNT 1.2 trillion and decreased by
MNT 92.1 (7.3%) billion from previous year.
The carried freight in all means of transport was 49.2 million tonnes and decreased by 11.1 (18.3%)
million tonnes. This increase was mainly due to the decrease in transportation of mining products.
In 2021, the transportation of mining product was 81.3% of total carried freight of rail transport and
81.8% of total carried freight of road transport. The decrease in carried freight of road transport was
resulted from 12.1 (45.1%) million tonnes decrease in carried mining product in road transportation
from previous year.
In the total carried transport in 2021, 63.5% was through railway, 36.5% was through road transport.
In terms of tonne-km unit, 77.8% of total carried transport was through railway, 21.9% was through
road, and 0.3% was through air.

FIGURE 11. ALL TYPES OF CARRIED FREIGHT AND PASSENGERS

Passengers Carried freights

300.0 75.0
In 2021, number of
270.0
passengers decreased by
15.3% and freight carried
mln.person

240.0 60.0

mln.t
210.0 by all types of transport
180.0 45.0 decreased by 18.3%
150.0 compared to the previous
120.0 30.0 year.
90.0
60.0 15.0
2016 2017 2018 2019 2020 2021

Product taxes and subsidies

The taxes on products are consist of value added tax, excise tax, special purpose income for gasoline
and diesel fuel, foreign trade tax, and subsidies on product are included subsidy on energy, subsidy on
public transportation, wheat, and meat.
Net taxes on products (at current prices) are MNT 3.6 trillion in 2020 and increased by MNT 458.2
billion (11.4%) from previous year. While in 2021, it was MNT 4.4 trillion and increased by MNT 850.3
billion (23.9%) from previous year.
FIGURE 12. NET TAXES ON PRODUCTS, by components, at current prices, billion MNT

4 406.2
4 014.1
3 518.5 3 555.9 17.0 In 2021, net taxes on products
17.5 contributed by 64.4% from value
17.7 17.1
2 540.0 added tax, 21.4% from revenue of
1 990.7 20.4 foreign trade and 18.8% from
65.9 55.7
19.4 69.9 66.1 excise taxes. Compared to
60.7 67.3 previous year, share of value
added tax increased by 2.4
26.9 17.7 16.8 20.6 21.9 31.4 percentage point, share of
2016 2017 2018 2019 2020 2021 revenue of foreign trade
Excise taxes Value added tax
increased by 0.6 percentage point
Revenue of special purposes Revenue of foreign trade
and share of excise taxes
Subsidies on products Net taxes on products
decreased by 3.1 percentage
point.

12
2. GDP BY EXPENDITURE APPROACH
2.1.1 GDP, at current prices
In 2021, GDP at current prices estimated by expenditure approach was MNT 44.7 trillion and increased
by MNT 6.9 (18.0%) billion. This increase was mainly due to MNT 7.6 billion increase capital formation.
TABLE 8. GDP, components of expenditure approach, at current prices
2018 2019 2020* 2021*
billion MNT
GDP 32 582.6 37 839.2 37 883.0 44 702.7
Final consumption 23 019.1 26 627.5 28 570.0 29 580.8
Capital formation 12 830.4 13 467.7 8 383.4 15 993.2
Net export -3 266.8 -2 256.0 929.6 - 871.3

In 2021, GDP structure estimated by expenditure approach, 66.2% was final consumption, 35.8% was
capital formation, and -1.9% was net export. Compared to previous year, share of final consumption
increased by 9.2 percentage points, share of capital formation increased by 13.6 percentage points,
and share of net exports decreased by 4.4 percentage points.
FIGURE 13. EXPENDITURE STRUCTURE OF GDP, at current prices, share to total
44 702.7
37 839.2 37 883.0
32 582.6 -6.0 22.1
28 010.7 39.4 35.6
23 931.3 0.7 27.4 Net exports
-1.3 22.6
24.5 Gross capital formation
70.6 70.4 75.4 Final consumption
76.7 70.2
76.8
GDP
2.4 -10.0 2.5

2016 2017 2018 2019 2020* 2021*

Final consumption
In 2021, final consumption was MNT 29.6 trillion and increased by MNT 1.0 (3.5%) trillion from
previous year. In the final consumption, 78.0% was final consumption of households and NPISH, and
22.0% was final consumption of general government.
FIGURE 14. HOUSEHOLD CONSUMPTION, structure, share to total

The consumption of households

22 457.2 22 836.8
21 436.5 increased by 2.5% in 2016, by
18 669.7 19.8% in 2018, by 4.8% in 2020 and
15 582.1
14 380.5 41.5 44.5 45.7 1.7% in 2021.
39.9 In the household final
40.1 40.0
consumption, share of final
consumption on food items was
60.1 58.5 55.5 54.3
59.9 60.0 44.5% and 45.7% for 2020, 2021.
The final consumption on food
2016 2017 2018 2019 2020* 2021* items increased by 4.6% and final
Consumption of food items consumption on non-food items
Consumption of non-food items decreased by 0.6% from previous
HHs consumption (bln.tog) year.

The final consumption of government organizations was MNT 6.5 trillion in 2021 and increased by
MNT 573,9 (9.7%) billion from previous year.

13
Capital Formation
Gross capital formation was MNT 16.0 trillion in 2021 and increased by MNT 7.6 (90.8%) trillion from
previous year.
FIGURE 15. CHANGE IN CAPITAL FORMATION, at current prices, percent
100.0 18.0
80.0 16.0
60.0 14.0

trillion togrog
12.0
40.0
percent

10.0
20.0
8.0
-
6.0
(20.0) 4.0
(40.0) 2.0
(60.0) 0.0
2016 2017 2018 2019 2020* 2021*

In the 90.8% increase in gross capital formation from previous year was mainly due to increase in
changes in inventories.
Changes in inventories and acquisition of valuables was decreased by MNT 3.3 trillion in 2020 and
increased by MNT 4.8 trillion from previous year and reached MNT 4.3 trillion.
FIGURE 16. GROSS CAPITAL FORMATION, share to total

15 993.2

12 830.4 13 467.7
26.9
21.4
31.8 8 383.4 Changes in inventories
7 676.7
5 415.5 Gross fixed capital formation
18.5
78.6 73.1 Gross capital formation
17.5 68.2 105.3
81.5
82.5
(5.3)
2016 2017 2018 2019 2020* 2021*

Net exports
In 2021, exports of goods and services was MNT 25.5 trillion and increased by MNT 3.9 (18.1%) trillion,
and imports of goods and services was MNT 26.4 trillion and increased by MNT 5.7 (27.6%) trillion
from previous year.
Net exports or balance of foreign trade was MNT 929.6 trillion (surplus) in 2020 and MNT -871.3 trillion
(deficit) in 2021.
TABLE 9. EXPORTS AND IMPORTS OF GOODS AND SERVICES
2018 2019 2020* 2021*
billion MNT
Net exports - 3 266.8 - 2 256.0 929.6 - 871.3
Export 18 951.6 22 407.3 21 595.7 25 501.2
Goods 16 313.3 19 257.9 19 762.1 23 180.6
Services 2 638.3 3 149.4 1 833.6 2 320.6
Imports 22 218.5 24 663.3 20 666.1 26 372.5
Goods 14 741.0 16 283.5 14 877.4 19 278.4
Services 7 477.4 8 379.9 5 788.7 7 094.1

14
 2.1.2 GDP, at 2015 constant prices
In 2021, GDP at constant prices calculated using expenditure approach was MNT 27.1 trillion and
increased by MNT 432.0 billion (1.6%) from previous year.
This increase was mainly due to MNT 5.3 (80.7%) trillion increase in gross capital formation.

TABLE 10. GDP, by expenditure approach, at 2015 constant prices

2018 2019 2020* 2021*

billion MNT
GDP 26 393.9 27 836.8 26 622.7 27 054.7
Final consumption 20 612.6 22 060.4 23 051.2 22 438.7
Capital formation 11 037.5 11 057.3 6 561.4 11 857.7
Net exports -5 256.2 -5 280.8 -2 989.8 -7 241.7

To the 1.6% GDP growth in 2021, capital formation contributed 19.9 percentage points, final
consumption contributed -2.3 percentage points, and net export contributed -16.0 percentage points.

FIGURE 17. CONTRIBUTIONS TO REAL GDP GROWTH

15.0

12.0

9.0 7.6
5.6 5.5
6.0
1.6
3.0 1.5
percentage point

0.0

-3.0
-4.4
-6.0

-9.0

-12.0

-15.0

-18.0
2016 2017 2018 2019 2020* 2021*
Final consumption 3.1 2.3 7.4 5.5 3.6 -2.3
Gross capital formation -0.4 7.5 15.4 0.1 -16.2 19.9
Net exports -1.1 -4.2 -15.2 -0.1 8.2 -16.0
GDP 1.5 5.6 7.6 5.5 -4.4 1.6

GDP growth was driven by growth in gross capital formation in 2017, 2018 and 2021, growth in final
consumption in 2016 and 2019, and growth in net exports in 2020.

15
2.2 GDP by income approach
The income approach estimates GDP as the sum of all incomes such as profits and remuneration in
the domestic production of goods and services.
In 2021, GDP at current prices estimated using income approach was MNT 43.6 trillion, where wages
and salaries increased by 9.3%, consumption of fixed capital increased by 5.6%, net taxes on
production and import increased by 23.1%, and operating surplus/mixed income increased by 21.9%.
TABLE 11. GDP, components of income approach, at current prices
2018 2019 2020* 2021*
billion MNT
GDP 32 582.6 37 839.2 37 453.3 43 555.5
Compensation of employees 8 571.5 10 017.7 11 056.0 12 078.9
Net taxes on production and
3 658.9 4 164.1 3 701.6 4 557.4
import
Consumption of fixed capital 3 671.8 4 122.3 4 535.0 4 788.8
Net operating surplus/ mixed
16 680.5 19 535.2 18 160.7 22 130.4
income

Share to total 100.0 100.0 100.0 100.0

Compensation of employees 26.3 26.5 29.5 27.7
Net tax on production and
11.2 11.0 9.9 10.5
import
Consumption of fixed capital 11.3 10.9 12.1 11.0
Net operating surplus/ mixed
51.2 51.6 48.5 50.8
income
In 2020, GDP growth was depending on compensation of employees, and in 2021, on net operating
surplus, mixed income is taking the main place.
FIGURE 18. GDP GROWTH, by percent and components of income approach

17.0 16.3 16.3

16.1 Operating surplus /mixed
income, net
Consumption of fixed
capital
Net taxes on production
4.5 and imports
Compensation of
employees
-1.0 GDP

2016 2017 2018 2019 2020* 2021*

By income approach, GDP growth was 16.1% in 2019, which is 8.8 percentage point of the growth by
operating surplus, mixed income, and 4.4 percentage point by compensation of employees. While GDP
growth was 16.3% in 2021, which is 10.6 percentage point of the growth by operating surplus, mixed
income, and 2.7 percentage point by compensation of employees.
Compensation of employees
Compensation of employees is the second largest of income component of GDP, comprising 27.7%
of GDP at current prices in 2021.
The share of compensation of employees in GDP varied counter-cyclically, rising during economic
slowdown, and falling during economic expansion.

16
Compensation of employees is a key component of production cost, and rising compensation of
employees share means that wages and salaries is increasing faster than profits or other hand
operating surplus, mixed income is decreased.
FIGURE 19. SHARE OF WAGES AND SALARIES IN GDP

31.0 18.0

30.0 29.5 15.0

29.0 28.5 12.0

27.7 Compensation of employees in
28.0 9.0
GDP (left)
27.0 26.7 26.5 6.0
26.3 GDP growth (right)
26.0 3.0

25.0 0.0

24.0 -3.0
2016 2017 2018 2019 2020* 2021*

In Mongolia, share of compensation of employees in GDP was increased up to 28.5% in 2016, while in
2017-2019, when GDP growth was 16-17%, share of compensation of employees in GDP was round
27%. In 2020, share of compensation of employees in GDP was 29.5% and increased by 3.0
percentage points from previous year, when GDP declined. In 2021, GDP growth was 16.3% and share
of wages and salaries in GDP was 27.7%, which decreased from previous year.
Operating surplus
Operating surplus/mixed income is the largest income component of GDP, accounting for 50.8% in
2021. Unlike compensation of employees share, operating surplus/mixed income share varied pro-
cyclically, rising during economic expansions and falling during economic slowdown.
Compensation of employees tend to be less responsive than operating surplus/mixed income to
changes in economic conditions.
Profit-to-Remuneration Ratio
The profit to remuneration (or compensation of employees) ratio can be used as an indicator of the
future trend of the economy. In figure 20, the profit-wage ratio, shows that the ratio tends to move
very closely with the level of economic activity.
The ratio was able to indicate the turning points of the economy. A declining ratio tends to suggest
lower economic activity. Figure 20 shows the turning points during 2016-2021, where the economy
declined in 2016 and 2020 and increased in 2017-2019 and 2021.
FIGURE 20. PROFIT-WAGE RATIO, GDP GROWTH RATE
2.50 18.0

2.40
GDP growth (right)
13.0
2.30

2.20 8.0 Ratio of operating surplus

and compensation of
2.10 employees (left)
3.0
2.00

1.90 -2.0
2016 2017 2018 2019 2020* 2021*

When profit-to-remuneration ratio declines and share of wages and salaries in GDP increases, which
will an adverse impact on competitiveness of enterprises and operating surplus will be decline.

17
Taxes and subsidies on production and import
Taxes (subsidies) of production and import classified into taxes (subsidies) on products and other
taxes on production.
Taxes and subsidies on production and import is one of income component of GDP, while net taxes
on products is one component of GDP using production approach. GDP at market prices is sum of
GDP at basic prices and net taxes on products.
The share of net taxes on production and import in GDP was 8.6% in 2015 and 11.0%, 10.5% in 2019
and 2021.
Tax burden is determined as share of tax income in GDP, and it was 22.2% in 2015 and 25.9% in 2019,
and declined up to 22.7% in 2020, but increased up to 25.9% in 2021.
FIGURE 21. TAX BURDEN, by percent

14.0 14.9 14.8

13.1 12.8
11.6 Other taxes income
Taxes on production and imports

9.5 11.2 11.0 9.9 11.1

8.9

2016 2017 2018 2019 2020* 2021*

Decline in tax to GDP ratio is better for producers, but results in decline in tax income. On the other
hand, high tax to GDP ratio results in decline in overall production. Having optimal tax to GDP ratio
enables sustained productions and economic activities and maximizes tax income. While high tax to
GDP ratio impacts the production to decline so as the tax income.
In the total tax income, 42.8% was from taxes on production and import and 57.2% was from other
taxes in 2021.
The structural change in tax income is related to the economy and total production. Total tax income
decreased by 13.3% in 2020 from previous year and in 2021, increased by 32.8% from previous year.
This increase was mainly due to an increase in corporate income tax, social security contributions and
taxes on products.
TABLE 12. TAX INCOME, by type, at current prices
2018 2019 2020 2021
billion MNT
Tax income 8 227.8 9 813.2 8 511.6 11 299.9
Income tax 2 091.1 2 556.3 2 227.3 3 326.1
Personal income tax 814.2 895.7 828.9 1 114.5
Corporate income tax 1 276.9 1 660.6 1 398.5 2 211.6
Social security contributions 1 638.3 2 030.5 1 586.0 2 286.0
Property taxes 141.2 154.4 154.9 201.1
Taxes on products 3 645.6 4 156.2 3 743.7 4 620.2
Other taxes 711.5 915.9 799.7 866.5

18
II. LABOR PRODUCTIVITY

1. THE INDICATORS OF TOTAL ECONOMY

For total economy, productivity is calculated by GDP per person employed. Productivity growth is
calculated by difference between input growth and output growth (Table 13).
TABLE 13. OUTPUT, INPUT AND PRODUCTIVITY, 2015-2021
(Index 2015=100)
GDP1 Employed GDP per person
(output) (input) employed
Index Growth, % Index Growth, % Index Growth, %
2015 100.0 100.0 100.0
2016 101.6 1.5 99.7 -0.3 101.9 1.8
2017 106.9 5.1 107.6 7.6 99.4 -2.5
2018 115.4 7.7 108.8 1.2 106.0 6.5
2019 122.8 6.2 99.6 -8.9 123.3 15.1
2020* 117.0 -4.8 101.0 1.5 115.8 -6.3
2021* 119.2 1.9 97.8 -3.3 121.9 5.1
Annual average growth, % 2.9 -0.4 3.3
GDP per person employed was MNT 22.7 million in 2021 and increased by 5.1% from previous year.
This increase was resulted from employment decline.
FIGURE 22. LABOR PRODUCTIVITY INDICATORS

25.0 23.0 22.7 15.0

21.6
19.0 19.8
20.0 18.5 10.0
LP level /left/
million MNT

5.0
15.0
0.0 Employment
10.0 % growth
-5.0
5.0 GDP growth
-10.0
0.0 -15.0
2016 2017 2018 2019 2020* 2021*

FIGURE 23. VALUE ADDED PER PERSON EMPLOYED,

by sectors, million MNT

GDP per person employed (at Mining and quarrying 66.0

2015 constant prices) in 2021 Finance and insurance 53.0
at the national level was 22.7 Information and communication 46.2
million MNT. Electricity, gas, steam, air… 33.5
The productivity of the mining Manufacturing 26.1
and quarrying sector is the All sectors - at national level 22.7
highest, 2.9 times higher than Transportation 20.3
the national average, and the Wholesale and retail trade 19.8
accommodation and food Other services 15.3
service sector is the lowest, 3.1 Water supply 15.2
times lower than the national
Agriculture 13.0
average.
Construction 10.0
Accommodation and food… 7.4

1
Imputed rent for owner occupied dwellings not included in GDP .
19
2. Indicators of business sector
In accordance with international methodology for productivity, productivity is calculated for sectors,
namely, business sector and business sectors not including agriculture etc. “Business sector2” is used
for calculating productivity. This sector mostly consists of productive activities in market environment
and competitiveness tend to prevail over other sectors of economy.
Input and output
Real output increased by 2.2% on average for 2016-2021. However, output increased for 2016-2019
but decreased by 4.4% in 2020 and increased by 0.5% in 2021.
Labor input or persons employed in business sector decreased by 1.3% on average for 2016-2021.
Labor input decreased by 12.4% in 2019, 1.3% in 2020 and 0.3% in 2021.
FIGURE 24. GROWTH RATE OF PRODUCTIVITY OF BUSINESS SECTOR AND TOTAL ECONOMY

130.0 Total economy

Business sector
Comparing productivity of total
120.0
economy to productivity of
2015=100.0

110.0
business sector for 2019-2020,
productivity of business sector is
100.0 high, which represents growth rate
of productivity non-business
90.0 sector is low.
2015 2016 2017 2018 2019 2020* 2021*

Changes in labor productivity, by sectors

In 2021, labor productivity increased in 7 of 12 industries of business sector and decreased in 5
industries. Changes in productivity are due to changes in inputs or the number of workers rather than
changes in output. For example, the output of the transport industry decreased by 7.6 percent from
the previous year, but the input decreased by 14.0 percent, which result is productivity increased by
6.4 percent.
FIGURE 25. ANNUAL CHANGES IN LABOR PRODUCTIVITY, OUTPUT, INPUT, by industries, 2021, by
percent
Productivity Input Output

-17.0
Information, communication 35.8 18.8
-9.3
Finance and insurance 18.6 9.3
-11.0
Wholesale and retail trade 16.7 5.6
-8.0
Water supply 11.3 3.3
-0.1
Other business 7.8 7.7
-14.0
Transportation 6.4 -7.6
-5.8
Manufacturing 5.0 -0.9
8.2
Mining and quarrying -7.4 0.8
5.4
Agriculture -11.1 -5.7

Electricity, gas 25.3

-15.2 10.1

Accommodation, food services 22.6

-16.3 6.3

Construction 6.1
-32.1 -25.9

2
A detailed definition of the business sector is included in the Annex.
20
In the figure 26, industries above the diagonal line had growth in output greater than growth in input,
resulting positive productivity growth. In contrast, industries below the diagonal line exhibited
declining productivity as number of employed persons increased, and in most cases, output declined.
For instance, productivity of mining and quarrying decreased by 7.4% (below diagonal line), but above
the coordinator line shows both output (0.8%) and input (8.2%) increased.
FIGURE 26. ANNUAL CHANGES IN LABOR PRODUCTIVITY, by industries, 2021

Productivity
30.0

20.0 Information and

35.8
communication
Finance and
insurance
Percent change in Output

10.0 18.6 Other business Electricity, gas

Mining and
-15.2
Wholesale and retail 7.8
trade 16.7 quarrying Accommodation and -16.3
11.3 food services
Water supply -7.4
0.0 5.0
Manufacturing

-11.1 Agriculture
Transportation 6.4
-10.0

-20.0

-32.1 Construction

-30.0
-30.0 -20.0 -10.0 0.0 10.0 20.0 30.0
Percent change in Employees /input/

Note: Bubble size represents industry employment. Value in the bubble indicates percent change in labor productivity.

industries with increasing productivity

industries with decreasing productivity

GDP per person employed was MNT 22.7 million in 2021 and increased by 5.1%, which is resulted
from 3.3% decline in input.
Output of business sector decreased by 4.4% in 2020 and increased by 0.5% in 2021.
Input of business sector decreased by 1.3% in 2020 and by 0.3% in 2021.
Labor productivity increased by 35.8% in information and communication, by 11.3-18.6% in water
supply, wholesale and retail trade, finance, and insurance, and decreased by 7.4% in mining and
quarrying, 11.1-16.3% in agriculture, electricity, gas, and steam, and accommodation and food
services, and 32.1% in construction sector.

21
APPENDIX 1. GDP, by production approach, at current prices

2018 2019 2020* 2021*

billion MNT
GDP 32 582.6 37 839.2 37 453.3 43 555.5
Changes, % 16.3 16.1 -1.0 16.3
Agriculture, forestry, and fishing 3 723.5 4 373.6 4 856.1 5 733.3
Changes, % 19.4 17.5 11.0 18.1
Mining and quarrying 8 370.8 9 590.1 8 722.1 10 753.7
Changes, % 19.4 14.6 -9.1 23.3
Manufacturing 2 298.1 2 675.1 2 904.9 3 096.4
Changes, % 18.9 16.4 8.6 6.6
Electricity, gas, steam, air conditioning supply 554.0 637.1 663.1 709.7
Changes, % 12.8 15.0 4.1 7.0
Water supply; sewerage, remediation activities 164.9 182.7 218.7 219.8
Changes, % 14.3 10.8 19.7 0.5
Construction 985.7 1 328.9 1 367.5 1 368.8
Changes, % 8.8 34.8 2.9 0.1
Wholesale and retail trade; repair of motor
3 090.2 3 644.1 3 436.8 4 069.6
vehicles and motorcycles
Changes, % 7.8 17.9 -5.7 18.4
Transportation and storage 1 538.7 1 686.9 1 411.8 1 597.1
Changes, % 16.7 9.6 -16.3 13.1
Accommodation and food service activities 344.5 399.6 321.4 383.1
Changes, % 24.1 16.0 -19.6 19.2
Information and communication 571.7 666.0 716.6 915.4
Changes, % 13.1 16.5 7.6 27.8
Financial and insurance activities 1 274.4 1 561.5 1 690.1 2 059.8
Changes, % 15.4 22.5 8.2 21.9
Real estate activities 1 859.8 1 948.3 1 997.0 2 075.1
Changes, % 6.2 4.8 2.5 3.9
Professional, scientific, and technical activities 409.2 531.7 568.0 622.6
Changes, % 6.6 29.9 6.8 9.6
Administrative and support service activities 198.5 224.6 210.9 247.2
Changes, % 2.1 13.1 -6.1 17.2
Public administration and defence; compulsory
1 583.8 1 786.3 2 006.7 2 180.5
social security
Changes, % 2.6 12.8 12.3 8.7
Education 1 225.1 1 524.0 1 645.4 1 740.4
Changes, % 9.2 24.4 8.0 5.8
Human health and social work activities 568.7 736.1 837.1 1 028.1
Changes, % 11.8 29.4 13.7 22.8
Arts, entertainment, and recreation 113.2 136.3 153.7 158.6
Changes, % 5.3 20.4 12.8 3.2
Other service activities 189.2 192.0 169.6 190.0
Changes, % 2.1 1.5 -11.7 12.0
Net taxes on products 3 518.5 4 014.1 3 555.9 4 406.2
Changes, % 38.5 14.1 -11.4 23.9

22
APPENDIX 2. GDP, by production approach, at 2015 constant prices

2018 2019 2020* 2021*

billion MNT
GDP 26 446.7 27 928.3 26 655.4 27 091.7
Changes, % 7.7 5.6 -4.6 1.6
Agriculture, forestry, and fishing 3 608.0 3 797.5 4 018.7 3 796.3
Changes, % 6.5 5.2 5.8 -5.5
Mining and quarrying 4 134.8 4 068.7 3 667.0 3 697.9
Changes, % 5.4 -1.6 -9.9 0.8
Manufacturing 2 073.9 2 153.1 2 227.3 2 207.9
Changes, % 19.5 3.8 3.4 -0.9
Electricity, gas, steam, air conditioning supply 507.1 545.9 560.3 619.9
Changes, % 8.6 7.7 2.6 10.6
Water supply; sewerage, remediation activities 115.1 115.6 112.8 116.7
Changes, % 0.6 0.4 -2.4 3.4
Construction 918.6 1 105.3 1 070.0 825.5
Changes, % 1.8 20.3 -3.2 -22.8
Wholesale and retail trade; repair of motor
2 881.0 3 195.5 2 797.3 2 958.5
vehicles and motorcycles
Changes, % 0.1 10.9 -12.5 5.8
Transportation and storage 1 481.9 1 546.7 1 264.6 1 172.5
Changes, % 14.6 4.4 -18.2 -7.3
Accommodation and food service activities 314.1 343.9 262.4 279.4
Changes, % 16.9 9.5 -23.7 6.5
Information and communication 515.9 578.5 608.7 734.4
Changes, % 12.1 12.1 5.2 20.7
Financial and insurance activities 1 206.7 1 275.2 1 292.9 1 418.3
Changes, % 13.7 5.7 1.4 9.7
Real estate activities 1 880.9 1 826.2 1 797.5 1 763.9
Changes, % 3.1 -2.9 -1.6 -1.9
Professional, scientific and technical activities 370.0 438.3 414.2 446.9
Changes, % 0.5 18.4 -5.5 7.9
Administrative and support service activities 175.6 192.5 179.4 193.9
Changes, % 0.0 9.6 -6.8 8.1
Public administration and defence; compulsory
1 561.8 1 647.9 1 610.3 1 677.7
social security
Changes, % 1.6 5.5 -2.3 4.2
Education 1 064.6 1 130.2 1 094.5 1 094.0
Changes, % 3.6 6.2 -3.2 0.0
Human health and social work activities 492.8 548.8 580.6 631.9
Changes, % 7.0 11.4 5.8 8.8
Arts, entertainment, and recreation 105.8 111.1 109.7 112.3
Changes, % 2.1 5.0 -1.2 2.3
Other service activities 165.6 159.6 134.5 142.2
Changes, % -3.5 -3.6 -15.7 5.7
Net taxes on products 2 872.4 3 148.1 2 852.9 3 201.9
Changes, % 20.4 9.6 -9.4 12.2

23
APPENDIX 3. GDP, by expenditure approach, at current prices

2018 2019 2020* 2021*

billion MNT
GDP 32 582.6 37 839.2 37 883.0 44 702.7
Final consumption 23 019.1 26 627.5 28 570.0 29 580.8
Households and NPISH consumption 18 883.4 21 667.6 22 648.6 23 085.5
Government consumption 4 135.7 4 960.0 5 921.5 6 495.3
Gross capital formation 12 830.4 13 467.7 8 383.4 15 993.2
Gross fixed capital formation 8 746.9 10 588.7 8 830.8 11 688.3
Changes in inventories and valuables 4 083.4 2 879.0 - 447.4 4 304.9
Net exports - 3 266.8 - 2 256.0 929.6 - 871.3
Exports of goods and services 18 951.6 22 407.3 21 595.7 25 501.2
Exports of goods 16 313.3 19 257.9 19 762.1 23 180.6
Exports of services 2 638.3 3 149.4 1 833.6 2 320.6
Imports of goods and services (-) 22 218.5 24 663.3 20 666.1 26 372.5
Imports of goods (-) 14 741.0 16 283.5 14 877.4 19 278.4
Imports of services (-) 7 477.4 8 379.9 5 788.7 7 094.1

APPENDIX 4. GDP, by expenditure approach, at 2015 constant prices

2018 2019 2020* 2021*

billion MNT
GDP 26 393.9 27 836.8 26 622.7 27 054.7
Final consumption 20 612.6 22 060.4 23 051.2 22 438.7
Households and NPISH consumption 16 805.7 17 787.1 18 153.2 17 090.9
Government consumption 3 806.8 4 273.3 4 898.0 5 347.8
Gross capital formation 11 037.5 11 057.3 6 561.4 11 857.7
Gross fixed capital formation 7 618.3 8 684.8 6 852.5 8 064.1
Changes in inventories and valuables 3 419.3 2 372.4 - 291.1 3 793.6
Net exports -5 256.2 -5 280.8 -2 989.8 -7 241.7
Exports of goods and services 12 852.4 14 391.7 13 634.0 11 638.7
Exports of goods 10 650.2 11 913.0 12 225.0 9 799.1
Exports of services 2 202.2 2 478.7 1 409.0 1 839.6
Imports of goods and services (-) 18 108.6 19 672.5 16 623.9 18 880.4
Imports of goods (-) 10 962.7 11 738.5 11 302.6 12 412.1
Imports of services (-) 7 145.9 7 934.0 5 321.3 6 468.3

APPENDIX 5. GDP, by income approach, at current prices

2018 2019 2020* 2021*

billion MNT

GDP 32 582.6 37 839.2 37 453.3 43 555.5

Compensation of employees 8 571.5 10 017.7 11 056.0 12 078.9
Net taxes on production and imports 3 658.9 4 164.1 3 701.6 4 557.4
Consumption of fixed capital 3 671.8 4 122.3 4 535.0 4 788.8
Operating surplus /mixed income, net 16 680.5 19 535.2 18 160.7 22 130.4

24
APPENDIX 6. CONSUMPTION OF GENERAL GOVERNMENT, by COFOG

2018 2019 2020* 2021*

billion MNT
General government consumption - total 4 135.7 4 960.0 5 921.5 6 495.3
General public services 1 261.9 1 414.8 1 737.7 1 955.4
Defence 271.3 186.8 368.4 379.4
Public order and safety 480.8 543.3 626.2 690.2
Education 1 021.0 1 279.3 1 418.9 1 428.5
Health 668.2 810.9 954.0 1 287.3
Social protection 8.1 18.4 50.7 25.2
Housing and community amenities 82.0 83.8 95.3 142.8
Recreation, culture, and religion 116.3 271.6 169.5 150.9
Fuel and energy 3.7 11.3 12.1 9.0
Agriculture, forestry 21.3 50.3 63.7 11.4
Mining, manufacturing, and construction 12.6 19.7 26.5 28.2
Transportation and communication 26.6 30.1 31.6 32.6
Other economic activities 161.8 239.6 366.9 354.5

APPENDIX 7. CONSUMPTION OF HOUSEHOLDS, by COICOP

2018 2019 2020* 2021*

billion MNT
Household final consumption – total 18 669.7 21 436.5 22 457.2 22 836.8
Food and non-alcoholic beverages 6 236.9 7 389.7 8 581.1 9 166.8
Alcoholic beverages, tobacco and narcotics 1 218.9 1 515.3 1 401.4 1 275.2
Clothing and footwear 976.1 1 069.5 1 124.2 1 061.8
Housing, water, electricity, gas and other fuels 2 537.0 2 705.0 2 847.7 2 767.1
Furnishings, household equipment and routine
417.4 476.1 673.8 672.9
maintenance of the house
Health 607.6 752.4 559.4 654.6
Transport 2 236.6 2 523.8 2 143.5 2 092.6
Communication 541.8 757.3 853.7 975.8
Recreation and culture 714.8 702.5 805.9 927.8
Education 1 042.7 1 203.0 1 281.8 1 279.7
Restaurants and hotels 788.4 812.0 702.3 514.0
Miscellaneous goods and services 1 351.4 1 530.0 1 482.3 1 448.6

25
APPENDIX 8. МAIN INDICATORS OF ECONOMY

Indicators 2018 2019 2020* 2021*

А. REAL SECTOR
GDP(P/I), at current prices, bln.MNT 32 582.6 37 839.2 37 453.3 43 555.5
GDP(E), at current prices, bln.MNT 32 582.6 37 839.2 37 883.0 44 702.7
Real GDP(P) growth, % 7.7 5.6 -4.6 1.6
Real GDP(E) growth, % 7.6 5.5 -4.4 1.6
GDP, at current prices, mln.USD 13 177.1 14 204.2 13 311.8 15 286.4
B. FINANCIAL SECTOR
Total equilibrated revenue and grants of
28.7 28.8 25.3 29.1
General Government to GDP, %
Total expenditure and net lending of General
28.6 30.8 37.1 35.8
Government to GDP, %
Budget overal equilibrated balance to GDP, % 0.1 -2.0 -11.9 -6.7
Tax income to GDP, % 25.3 25.9 22.7 25.9
Current expences to GDP, % 22.6 21.7 28.9 29.3
Capital expenditure to GDP, % 5.2 8.0 8.1 7.0
Net lending to GDP, % 0.9 1.1 0.1 -0.5
Government debt to GDP, % 68.6 63.2 74.5 62.3
C. MONETARY
Money М2 to GDP, % 59.8 55.7 65.4 64.0
Annual average rate of USD (1 USD = togrog) 2 472.7 2 663.9 2 813.5 2 849.3
D. FOREIGN TRADE
Export, growth, % 6.1 12.0 -5.3 -14.6
Import, growth, % 32.7 8.6 -15.5 13.6
Export to GDP, % 58.2 59.2 57.0 57.0
Import to GDP, % 68.2 65.2 54.6 59.0
Net export to GDP, % -10.0 -6.0 2.5 -1.9
E. PRICES
Annual inflation 6.8 7.3 3.7 7.1
GDP deflator 123.2 135.5 140.5 160.8
Growth of GDP deflator, % 8.0 10.0 3.7 14.4
F. EMPLOYMENT
Population (mid-year), thous.person 3 159.0 3 191.7 3 225.2 3 282.8
Employed person, end of year, thous.person 1 253.0 1 146.2 1 162.9 1 162.9
GDP per employed person /labor
19 759.3 22 980.7 21 578.9 22 716.2
productivity, thous.tog
Monthly average salary, thous.tog 1 002.9 1 124.3 1 220.6 1 279.4
G. GDP, GNI PER CAPITA
GDP per capita, at current prices, thous.tog 10 314.1 11 855.6 11 612.9 13 267.9
GDP per capita, at 2015 constant prices,
8 371.7 8 750.3 8 264.8 8 252.7
thous.tog
GDP per capita, at current prices, USD 4 171 4 450 4 128 4 657
GDP per capita, at 2015, USD 4 248 4 440 4 194 4 188
GNI per capita, at current prices, thous.tog 9 204.7 10 298.5 10 191.3 10 992.7
GNI per capita, at 2015 constant prices,
7 471.3 7 601.1 7 253.1 6 837.5
thous.tog
GNI per capita, at current prices, USD 3 644 3 798 3 688 3 686
GNI per capita, at 2015 prices, USD 4 049 4 120 3 931 3 706

26
APPENDIX 9. OUTPUT, INPUT AND LABOR PRODUCTIVITY FOR BUSINESS SECTOR, by industries

2018 2019 2020* 2021*

Business sector
Labor productivity, mln.MNT 18.5 22.2 21.5 21.5
Level Value added, bln.MNT 18 302.7 19 356.5 18 475.5 18 468.0
Employment, thous. 987.2 870.7 858.7 857.6
Labor productivity 6.6 18.3 -3.1 0.8
Annual growth (%) Value added 7.5 5.9 -4.4 0.5
Employment 0.9 -12.4 -1.3 -0.3
Agriculture
Labor productivity, mln.MNT 10.8 13.1 14.5 13.0
Level Value added, bln.MNT 3 608.0 3 797.5 4 018.7 3 796.3
Employment, thous. 334.1 290.2 276.5 291.7
Labor productivity 12.8 19.2 10.5 -11.1
Annual growth (%) Value added 6.3 5.1 5.7 -5.7
Employment -6.5 -14.1 -4.8 5.4
Mining and quarrying
Labor productivity, mln.MNT 71.7 70.2 71.1 66.0
Level Value added, bln.MNT 4 134.8 4 068.7 3 667.0 3 697.9
Employment, thous. 57.7 57.9 51.6 56.0
Labor productivity -5.1 -2.0 1.2 -7.4
Annual growth (%) Value added 5.2 -1.6 -10.4 0.8
Employment 10.3 0.4 -11.6 8.2
Manufacturing
Labor productivity, mln.MNT 20.6 23.8 24.8 26.1
Level Value added, bln.MNT 2 073.9 2 153.1 2 227.3 2 207.9
Employment, thous. 100.8 90.4 89.7 84.6
Labor productivity 9.9 14.7 4.1 5.0
Annual growth (%) Value added 17.8 3.7 3.4 -0.9
Employment 8.0 -10.9 -0.7 -5.8
Electricity, gas
Labor productivity, mln.MNT 31.1 28.2 39.0 33.5
Level Value added, bln.MNT 507.1 545.9 560.3 619.9
Employment, thous. 16.3 19.3 14.4 18.5
Labor productivity 15.1 -9.7 32.3 -15.2
Annual growth (%) Value added 8.3 7.4 2.6 10.1
Employment -6.8 17.1 -29.7 25.3
Water supply
Labor productivity, mln.MNT 16.8 10.7 13.6 15.2
Level Value added, bln.MNT 115.1 115.6 112.8 116.7
Employment, thous. 6.9 10.8 8.3 7.7
Labor productivity -33.9 -44.7 23.7 11.3
Annual growth (%) Value added 0.6 0.4 -2.4 3.3
Employment 34.5 45.1 -26.1 -8.0
Construction
Labor productivity, mln.MNT 12.0 16.1 13.8 10.0
Level Value added, bln.MNT 918.6 1 105.3 1 070.0 825.5
Employment, thous. 76.6 68.8 77.3 82.2
Labor productivity -6.4 29.2 -14.8 -32.1
Annual growth (%) Value added 1.8 18.5 -3.2 -25.9
Employment 8.1 -10.7 11.6 6.1

27
 continuation
Wholesale and retail trade
Labor productivity, mln.MNT 13.6 19.9 16.8 19.8
Level Value added, bln.MNT 2 881.0 3 195.5 2 797.3 2 958.5
Employment, thous. 211.2 160.4 166.6 149.2
Labor productivity -3.1 37.9 -17.1 16.7
Annual growth (%) Value added 0.1 10.4 -13.3 5.6
Employment 3.2 -27.5 3.8 -11.0
Transportation
Labor productivity, mln.MNT 20.1 25.3 19.0 20.3
Level Value added, bln.MNT 1 481.9 1 546.7 1 264.6 1 172.5
Employment, thous. 73.6 61.1 66.5 57.9
Labor productivity 12.5 22.8 -28.6 6.4
Annual growth (%) Value added 13.6 4.3 -20.1 -7.6
Employment 1.2 -18.5 8.5 -14.0
Accommodation and food services
Labor productivity, mln.MNT 8.4 9.5 8.7 7.4
Level Value added, bln.MNT 314.1 343.9 262.4 279.4
Employment, thous. 37.5 36.3 30.0 37.6
Labor productivity 12.8 12.3 -8.0 -16.3
Annual growth (%) Value added 15.6 9.1 -27.1 6.3
Employment 2.8 -3.3 -19.0 22.6
Information and communication
Labor productivity, mln.MNT 36.6 44.4 32.3 46.2
Level Value added, bln.MNT 515.9 578.5 608.7 734.4
Employment, thous. 14.1 13.0 18.8 15.9
Labor productivity 14.2 19.4 -31.8 35.8
Annual growth (%) Value added 11.4 11.5 5.1 18.8
Employment -2.8 -7.9 36.9 -17.0
Finance and insurance
Labor productivity, mln.MNT 47.0 52.6 44.0 53.0
Level Value added, bln.MNT 1 206.7 1 275.2 1 292.9 1 418.3
Employment, thous. 25.7 24.3 29.4 26.7
Labor productivity 6.6 11.3 -17.7 18.6
Annual growth (%) Value added 12.9 5.5 1.4 9.3
Employment 6.3 -5.7 19.1 -9.3
Other business
Labor productivity, mln.MNT 16.6 16.5 20.0 21.6
Level Value added, bln.MNT 545.6 630.8 593.6 640.8
Employment, thous. 32.8 38.2 29.7 29.6
Labor productivity 2.7 -0.7 19.2 7.8
Annual growth (%) Value added 0.4 14.5 -6.1 7.7
Employment -2.4 15.2 -25.3 -0.1

28
ANNEX. Technical Note.
Business Sector – The “business sector” is not an internationally defined notion. However, productivity
measures are often calculated for this aggregate. One way to define the business sector is by way of
activities. The business sector could be defined as a grouping of all industries except non-market
activities, i.e. activities of budget organizations, non-governmental organizations, and owner-occupied
dwellings (part of the real estate industry).
In the business sector do not include the following sectors, which are dominated by the budget and
non-governmental organizations, including public administration and defence; compulsory social
security (VA-100%, 100% of employees), education (VA-70%, 88% of employees), human health and
social work activities (VA-80%, 80% of employees), arts, entertainment and recreation (VA-75%, 51%
of employees), other service activities (NGO’s VA-27%, 20% of employees), and real estate activities
(80% of value added is imputed rent for owner-occupied dwellings).
Business and non-business sectors
business sector non-business sector
Agriculture (A) 1. Non-market services:
Mining and quarrying (B) Public administration and defence; compulsory
social security (O)
Manufacturing (C) Education (P)
Electricity (D); Water supply (E) Human health and social work activities (Q)
Construction (F) Arts, entertainment and recreation (R)
Wholesale and retail trade (G) Other service activities (S)
Transportation and storage (I) 2. Real estate activities
Accommodation and food service activities (H) Real estate activities (L)
Information and communication (J)
Financial and insurance activities (K)
Other business activities:
Professional, scientific and technical activities (M)
Administrative and support service activities (N)
Tornkvist quantity index – the weighted geometric mean of the price relatives using arithmetic
averages of the value shares in the two periods as weights.
Calculation procedures:
1. GDP (value added) per person employed is GDP (value added of industries) divided by total
employment in the economy.
𝑄𝑡
𝑃𝑡 =
𝐿𝑡
2. Labor productivity is defined by ratio of output and input index numbers.
𝐿𝑃𝑡 𝑄𝑡 𝐿𝑡
= ∶
𝐿𝑃0 𝑄0 𝐿0
3. Labor productivity annual growth by Tornkvist index formula, productivity growth defined by
difference between output growth and input growth.
𝐿𝑃𝑡 𝑄𝑡 𝐿𝑡
𝑙𝑛 ( ) = 𝑙𝑛 ( ) − 𝑙𝑛 ( )
𝐿𝑃𝑡−1 𝑄𝑡−1 𝐿𝑡−1
Which,
LP
Qt – output at current year, Lt – input at current year; LP t – labor productivity at current year;
0
Qt Lt
- output index of current year; - labor input index of current year;
Q0 L0
t – the current year; 0 – the base year; t-1 – previous year of current period.
29