DEVELOPMENT BANK OF MONGOLIA Daily Treasury Report

Treasury Management Division 4/7/2017

News Highlights Mongolian Economic Main Indicators

Mongolia Indicators Unit 2016.02 2017.02 Year/chg %
46 election commissions enable overseas Mongolians to vote (gogo.mn) Money Supply (M2) bln.MNT 10,011.00 12,260.70 22%
General Election Committee reports that overseas Mongolian citizens can Inflation /Year to date/ % 1.20% 2.10% 75.0%
Equilibrated overall balance of
vote for Presidential election through 46 Diplomatic Offices of Mongolia bln.MNT (258.50) (211.70) -18%
budget
located in Australia, UK, USA, Germany, Kazakhstan, Russia, South Trade balance mln.USD 261.20 334.20 27.9%
Korea and China. State Great Khural of Mongolia set the election date Export /accumulated/ mln.USD 613.30 825.30 35%
for overseas Mongolians from June 10 to 11, 2017. Mongolians who work Import /accumulated/ mln.USD 352.10 491.00 39%
and live abroad should personally go to the office of their diplomatic
representative of Mongolia and register via fax, email, or phone to vote in Policy rates
the upcoming election. Mongolian presidential election 2013 was the first Central Banks' interest rates Latest % Previous % Updated date
in which Mongolians living abroad were allowed to vote while a total of Policy rate of Mongolbank /BOM/14.00 15.00 12/19/2016
4200 Mongolian citizens living outside Mongolia voted in 2013. PBC base interest rate (China) 4.35 4.60 10/24/2015
ADB: GDP growth of Mongolia will accelerate to 2.5 percent this year FED - Federal Funds Rate 1.00 0.75 3/14/2017
(montsame.mn) ECB - main refinancing rate 0.00 0.05 3/16/2016
Ulaanbaatar /MONTSAME/ Growth is picking up in two-thirds of BOE official bank rate (England) 0.25 0.50 8/4/2016
economies in developing Asia, supported by higher external demand,
rebounding global commodity prices, and domestic reforms, making the Bank of Mongolia - Interest corridor
region the largest single contributor to global growth, says a new Asian Indicators Latest % Previous % Updated date
Development Bank (ADB) report. In its new Asian Development Outlook Overnight repo 17.00 18.00 12/19/2016
(ADO) 2017, ADB forecasts gross domestic product (GDP) growth in
Overnight deposit 13.00 14.00 12/19/2016
Asia and the Pacific to reach 5.7% in 2017 and 2018, a slight deceleration
Repo 16.00 17.00 12/19/2016
from the 5.8% registered in 2016. ADO is ADBs flagship annual
economic publication. Developing Asia continues to drive the global
economy even as the region adjusts to a more consumption-driven Money market interest rates
Indicators Rates % Daily chg % Yearly chg %
economy in the Peoples Republic of China (PRC) and looming global
risks, said Yasuyuki Sawada, ADBs Chief Economist. While uncertain Libor USD 2M 1.0272 -0.11 25.36
policy changes in advanced economies do pose a risk to the outlook, we Libor USD 3M 1.1504 0.05 15.28
feel that most economies are well positioned to weather potential short- Libor USD 6M 1.4229 -0.19 7.99
term shocks. Libor EUR 2M -0.3721 0.76 -5.25
Libor EUR 3M -0.3593 0.00 -6.79
Erdene Resource moving forward with flagship project in Mongolia
(mining.com) Official exchange rates - BOM Cross rates
Canadas Erdene Resource Development, the company that literally struck Official rates Cross rates 4/7/17 10:06
gold earlier this year after finding its new Mongolia-based gold project USD/MNT 2437.51 EUR/USD 1.0646
was richer than previously thought, expects to move Bayan Khundii EUR/MNT 2602.16 GBP/USD 1.2460
towards its maiden resource estimate by 2018. The firm, one of the very GBP/MNT 3040.77 USD/CHF 1.0054
few miners to never have encountered issues in the landlocked Asian CNY/MNT 353.06 USD/CNY 6.8977
country, was granted this week the Exploration Mining Company of the JPY/MNT 22.04 USD/JPY 110.97
Year award at the Mines & Money event in Hong Kong. According to
Dawson Brisco, Vice President Corporate Development, the award is Mongolian Bonds information
considered to be Asias most prestigious mining investment awards. He Bonds Currency Yield % Last price Daily chg%
added its also a deserved recognition of what the firm has done so far in Mongol 2018 USD 4.17 99.95 -0.040%
the landlocked country.
USA Mongol 2021 USD 6.34 115.78 0.023%
FOMC Minutes Suggest Balance Sheet May Begin Shrinking This Year Mongol 2022 USD 6.23 94.79 -0.040%
In the week ending April 1, initial claims was 234,000, a decrease of 25,000 from Mongol 2024-Khuraldai bond
USD 6.92 109.92 0.069%
the previous week's revised level Mongol 2018-Dim sum bond
CNY 8.34 99.02 0.000%
Europe DBM-Samurai 2023 JPY 0.94 103.64 0.082%
Italy's government stability shaken by parliamentary vote loss TDBM-2020 bond USD 6.73 107.72 -0.019%
Eurozone retailers registered a decline in like-for-like sales during March MMC bond USD 13.83 #N/A N/A 0.314%
French presidential front-runner Macron urges military intervention in Syria
North Asia Commodity Trading Prices
Japan's Aso says dialogue with Pence not limited to trade and currencies Commodities Latest price Daily chg% Yearly chg%
Japan to extend unilateral sanctions against North Korea Crude oil /WTI-New York/ $51.67 -0.06 -3.82
U.S., Japan in talks to prevent China acquiring Westinghouse: U.S. official Gold Spot /ounce/ $1,250.99 -0.06 9.02
Commodity market Copper /LME/ $5,858.00 -0.63 5.83
Oil eases off one-month high on surprise U.S. crude build Iron ore /Beijing/ 590.00 0.00 31.11
Commodity Euphoria Fading Leaves Investors Feuding With Goldman Coal /Tianjin/ 1,590.00 0.00 -9.66

Sources: bloomberg terminal, 1212.mn, bloombergtv.mn,

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DEVELOPMENT BANK OF MONGOLIA Daily Treasury Report
Treasury Management Division 4/7/2017

Previous day's economic calendars Today's economic calendars

Event Period Forecast Actual Previous Event Time Period Estimated Previous

JN Consumer Confidence Index Mar 43.40 43.90 43.10 JN Coincident Index 01:00 Feb P 115.50 115.10
EC Markit Eurozone Retail PMI Mar -- 49.50 49.90 US Change in Nonfarm Payrolls 08:30 Mar 180k 235k
US Initial Jobless Claims 1-Apr 250k 234k 258k US Two-Month Payroll Net Revision08:30 Mar -- --
US Continuing Claims 25-Mar 2030k 2028k 2052k US Change in Private Payrolls 08:30 Mar 170k 227k
JN Official Reserve Assets Mar -- $1230.3b $1232.3b US Change in Manufact. Payrolls 08:30 Mar 17k 28k
JN Labor Cash Earnings YoY Feb 0.50% 0.40% 0.50% US Unemployment Rate 08:30 Mar 0.05 0.05
JN Real Cash Earnings YoY Feb -- 0.00% 0.00% US Average Hourly Earnings YoY 08:30 Mar 2.70% 2.80%
CH Foreign Reserves Mar $3011.0b -- $3005.1b US Labor Force Participation Rate 08:30 Mar -- 63.00%
JN Leading Index CI Feb P 104.60 -- 104.90 US Wholesale Inventories MoM 10:00 Feb F 0.40% 0.40%

Related information of Mongolian Bonds issued on international market (bloomberg)

Amount Price YTM Remaining
Issuer Coupon Issued Date Maturity Date
(mln USD) Bid Ask Bid Ask years (year)
Mongol 2018 500 4.125% 99.71 100.21 4.52 3.83 0.7 5-Jan-13 5-Jan-18
Mongol 2021 500 10.875% 115.37 116.16 6.44 6.23 4.0 6-Apr-16 6-Apr-21
Mongol 2022 1,000 5.125% 94.45 95.14 6.31 6.15 5.7 5-Dec-12 5-Dec-22
Mongol 2024-Khuraldai bond 600 8.750% 109.63 110.20 6.97 6.87 6.9 9-Mar-17 9-Mar-24
Mongol 2018 - Dim sum bond 1 billion CNY 7.500% 98.70 99.35 8.63 8.06 1.2 30-Jun-15 30-Jun-18
DBM - Samurai 2023 30 billion JPY 1.520% 103.48 103.80 0.97 0.92 6.7 16-Dec-13 25-Dec-23
TDBM - 2020 bond 500 9.375% 106.88 107.72 6.87 6.58 3.1 19-May-15 19-May-20
MMC 2017 600 8.875% 63.68 64.70 13.94 13.72 0.0 29-Mar-12 29-Mar-17

Last Prices of Mongolian Bonds issued on international market (Last 3 months)

Mongol 2018, Mongol 2022. Mongol 2024 - Last price DBM Samurai - Mid Line & Mid Yield to Maturity

Mongol 2018 Mongol 2022 Mongol 2024 (Khuraldai bond)

Last Price (JPY) Mid Line (%)
103 103.6
99.933 118 1.1%
100 103.5
94.418 115 103.4
1.1%
97 103.481
94 112 103.3 1.0%
/Year to date/
91 109 103.2 1.0%
109.537 106 1.0%
88 103.1
/Year to datet/ 0.9%
85 103 103.0
0.969%
82 100 102.9 0.9%

Sources: bloomberg terminal, 1212.mn, bloombergtv.mn,

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DEVELOPMENT BANK OF MONGOLIA Daily Treasury Report
Treasury Management Division 4/7/2017

Bond Holders' Information /Top Holders/

Bond holders of Mongol 2018

Names Position % of position Latest change Fiing date Country
FMR LLC 35,900 7.18% 0.00 2/28/2017 United States
UBS 18,240 3.65% 0.00 12/30/2016 Switzerland
TCW GROUP INC 15,816 3.16% 0.00 2/28/2017 United States
PRUDENTIAL FINANCIAL INC 13,700 2.74% (2,000.00) 2/28/2017 United States
EATON VANCE CORP 9,668 1.93% 0.00 5/31/2016 United States
LAZARD LTD 9,320 1.86% 3,730.00 12/31/2016 Bermuda
T ROWE PRICE GROUP INC 7,543 1.51% 0.00 3/31/2015 United States
NORDEA BANK AB 5,895 1.18% (200.00) 2/28/2017 Sweden
SCHRODERS PLC 5,360 1.07% (535.00) 12/30/2016 United Kingdom
BLACKROCK 4,695 0.94% 0.00 12/31/2016 United States
AXA 4,400 0.88% 4,400.00 6/30/2016 France
PRUDENTIAL PLC 4,000 0.80% (245.00) 2/28/2017 United Kingdom
SCHRODER INV MGMT TAIWAN LTD 3,766 0.75% (19.00) 2/28/2017 Taiwan
MEDIOLANUM INTERNATIONAL FUNDS 3,134 0.63% 0.00 6/30/2016 Ireland

Bond holders of Mongol 2022

Names Position % of position Latest change Fiing date Country
BLACKROCK 110,912 11.09% (3674.00) 4/3/2017 United States
ALLIANCE BERNSTEIN 35,283 3.53% 1116.00 2/28/2017 United States
PRUDENTIAL FINANCIAL INC 29,920 2.99% 1105.00 2/28/2017 United States
FMR LLC 25,620 2.56% 0.00 2/28/2017 United States
GOLDMAN SACHS GROUP INC 24,114 2.41% (2645.00) 2/28/2017 United States
GRANTHAM MAYO VAN OTTERLOO & CO 18,600 1.86% 0.00 5/31/2016 United States
FRANKLIN RESOURCES 18,500 1.85% (3000.00) 12/31/2016 United States
DANSKE BANK A/S 15,222 1.52% 0.00 2/28/2017 Denmark
PRUDENTIAL PLC 10,500 1.05% 0.00 2/28/2017 United Kingdom
T ROWE PRICE GROUP INC 10,496 1.05% 0.00 3/31/2015 United States
UBS 10,021 1.00% (430.00) 2/28/2017 Switzerland
LAZARD LTD 9,400 0.94% 2025.00 2/28/2017 Bermuda
NN GROUP NV 7,420 0.74% 0.00 3/31/2016 Netherlands

Bond holders of Mongol 2024

Names Position % of position Latest change Fiing date Country
LANDESBANK BERLIN INVESTMENT GMB 1,500 0.25% 1,500.00 3/31/2017 Germany

This presentation has been prepared solely for informational purposes only and its not to be construed as a solicitation or any offer to buy or sell securities, commodities, or
related financial instruments.

Contact us:ALTMD-TMD, Tel:+976-7585 7070/ext: 310/

Sources: bloomberg terminal, 1212.mn, bloombergtv.mn,

3 montsame.mn, news.mn, gogo.mn, ikon.mn