IDEAS home Printed from
   My bibliography  Save this paper

Privatisation and Regulation in an Asian Transitional Economy: The Case of Mongolia. Is the Elite in Denial?


  • Marshall, Richard
  • Nixson, Frederik
  • Walters, Bernard


Mongolia, unlike several other Asian Transitional economies, has since 1990 pursued a "Russian-style" transition to a market economy. This has entailed rapid and extensive privatisation accompanied by, inter alia, stabilisation, liberalisation and de-regulation. The transition process has been characterised by relatively poor macroeconomic performance and increased levels of poverty and inequality in income distribution. Privatisation had the central objective of cementing the new political and economic framework, and little consideration was given to issues of competition and regulation. Proposed privatisations in the social sector, infrastructure and land increase the urgency with which these issues must be addressed. In this paper, we briefly describe the chief features of Mongolia's transition and of the privatisations that accompanied and, to a degree, defined it. We identify a range of issues relating to regulation and discuss the degree to which they are being addressed by the post-1990 political class. We conclude that although there exist, or that there are plans to establish, a number of regulatory agencies, nevertheless there is a lack of political commitment to implementation and enforcement. There is also little official recognition and appreciation of the extent, depth and implications of market failure. The scarcity of experienced and technically competent staff capable of establishing and operating effective regulatory agencies and ensuring compliance is a major problem. It is possible that regulatory capture is already a significant problem in key sectors of the economy.

Suggested Citation

  • Marshall, Richard & Nixson, Frederik & Walters, Bernard, 2004. "Privatisation and Regulation in an Asian Transitional Economy: The Case of Mongolia. Is the Elite in Denial?," Centre on Regulation and Competition (CRC) Working papers 30693, University of Manchester, Institute for Development Policy and Management (IDPM).
  • Handle: RePEc:ags:idpmcr:30693

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Boone Peter, 1994. "Grassroots Macroeconomic Reform in Mongolia," Journal of Comparative Economics, Elsevier, vol. 18(3), pages 329-356, June.
    Full references (including those not matched with items on IDEAS)

    More about this item


    Agricultural and Food Policy;


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:idpmcr:30693. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.