The court in Mongolia sentenced to prison for four years against former
President Nambaryn Enkhbayar on charges of corruption. This verdict led
to the political uncertainty that led to poor investment climate of
Reported by Reuters on Friday, August 3, Enkhbayar was
convicted after a trial for three days. He was convicted of illegal
privatization of a hotel and a newspaper company.
He was also
found guilty of using the television broadcasting donated for use in his
own television station. Selain prison, he must pay a fine of 54 million
or equivalent to Rp380 million tugriks.
Enkhbayar has denied all charges against him. He said the case was politically motivated and would appeal immediately.
Enkhbayar made the arrest of the country's political risk. The
reason, he is chairman of the Mongolian People's Revolutionary Party is
required to make a coalition with the ruling Democratic Party, who did
not win a majority in parliament.
If the coalition is not
formed, the Mongolian parliament can not function. It is also an impact
on policies about mining that have not been completed.
delays in policy, program expansion of new coal mines, iron ore and gold
Oyu Tolgoi in cooperation with the firm Ivanhoe neglected. If it does
not immediately look for a solution, foreign investors worry about
escaping from Mongolia and creates a poor investment climate.