DEVELOPMENT BANK OF MONGOLIA Daily Treasury Report

Treasury Management Division 5/10/2017

News Highlights Mongolian Economic Main Indicators
Mongolia Indicators Unit 2016.03 2017.03 Year/chg %
Mongolia Backs Down From Local Banking Rule (bloomberg) Money Supply (M2) bln.MNT 10,112.40 12,177.70 20%
The man in charge of Rio Tinto's Mongolian copper ambitions will Inflation /Year to date/ % 1.20% 2.10% 75.0%
Equilibrated overall bal of
relocate to the capital, Ulaanbaatar, as the miner seeks to build its bln.MNT (615.70) (255.10) -59%
budget
representation in the developing Asian nation. Rio is building a $US5.3 Trade balance mln.USD 359.90 523.70 45.5%
billion ($7.2 billion) expansion of the Oyu Tolgoi copper project in Export /accumulated/ mln.USD 958.90 1,299.90 36%
Mongolia, and is keen to avoid nationalistic flare-ups such as the one that Import /accumulated/ mln.USD 599.10 776.20 30%
saw Mongolia threaten to force foreign investors to funnel money
through Mongolian banks. The proposal would have contravened the Oyu Policy rates
Tolgoi investment agreement if enforced, but Mongolian politicians Central Banks interest rates Latest % Previous % Updated date
agreed to abandon the plan in recent days, much to the relief of foreign Policy rate of Mongolbank /BOM/14.00 15.00 12/19/2016
investors in the nation. The proposed law prompted the International PBC base interest rate (China) 4.35 4.60 10/24/2015
Monetary Fund to delay a bailout of the Mongolian economy. Armando FED - Federal Funds Rate 1.00 0.75 3/14/2017
Torres has been Rio's managing director of Oyu Tolgoi operations based ECB - main refinancing rate 0.00 0.05 3/16/2016
in Brisbane for the past 10 months, but he is set to relocate to Mongolia
BOE official bank rate (England)0.25 0.50 8/4/2016
to become chief executive of the Rio subsidiary that houses the project -
Oyu Tolgoi LLC.
Vietnamese Vice-President takes part in business forum in Ulaanbaatar Bank of Mongolia - Interest corridor
(news.mn) Indicators Latest % Previous % Updated date
On Tuesday (9th of May), the Vice President of Vietnam, Mrs Dang Th Overnight repo 17.00 18.00 12/19/2016
Ngc Thinh, participated in a Mongolian-Vietnamese business forum in Overnight deposit 13.00 14.00 12/19/2016
Ulaanbaatar. Mrs Dang Th Ngc Thinh, is currently making an official Repo 16.00 17.00 12/19/2016
visit to Ulaanbaatar at the invitation of Mongolian Prime Minister
J.Erdenebat. The visit will last from 7th to 10th of May. Mrs Dang Th Money market interest rates
Ngc Thinh spoke at the opening ceremony of business forum, saying Indicators Rates % Daily chg % Yearly chg %
that she hopes the bi-lateral deal between on trade, investment and Libor USD 2M 1.0683 0.79 30.37
economic co-operation will be a great success. According to a Vietnam Libor USD 3M 1.1846 0.35 18.71
source,the trade volume with Mongolia reached USD 58 milllion in 2016.
Libor USD 6M 1.4368 0.29 9.04
Mongolia imported more than USD 40 million of rice, sugar, canned
Libor EUR 2M -0.3814 0.00 -7.88
foods and telecommunications equipment.
Libor EUR 3M -0.3643 -0.39 -8.28
XacBank partners with the Renewable Energy Forum (gogo.mn)
XacBank sponsored and collaborated with the Renewable Energy Official exchange rates - BOM Cross rates
Forum, which was successfully organized under the auspices of the Official rates Cross rates 5/10/17 9:09
Prime Minister of Mongolia at the Corporate Convention Center on 5th USD/MNT 2413.21 EUR/USD 1.0896
of May, 2017.Organized annually since 2008, the forum aims to improve EUR/MNT 2636.07 GBP/USD 1.2950
the renewable energy sectors policy planning, and project quality GBP/MNT 3125.95 USD/CHF 1.0065
through discussion of topical issues. The forum had a larger scale of CNY/MNT 349.42 USD/CNY 6.9074
participants and audiences this year comprising more than 500 JPY/MNT 21.24 USD/JPY 113.88
participants from the private and public sectors; including special guest
her Excellency Mme. Elisabeth Barsacq, Ambassador of France to Mongolian Bonds information
Mongolia.
Bonds Currency Yield % Last price Daily chg%
Mongol 2018 USD 4.04 100.05 0.00%
USA Mongol 2021 USD 5.90 117.15 -0.06%
U.S. Commerce's Ross says 3 percent GDP growth not achievable this year Mongol 2022 USD 5.85 96.60 0.01%
Fed's Kaplan sees more U.S. rate hikes amid 'muted' inflation Mongol 2024-Khuraldai bond
USD 6.46 112.45 0.11%
U.S. to arm Syrian Kurds fighting Islamic State, despite Turkey's ire Mongol 2018-Dim sum bond
CNY 8.09 99.36 0.00%
Europe DBM-Samurai 2023 JPY 0.93 103.69 -0.05%
Macrons Victory May Be Disaster for Merkel TDBM-2020 bond USD 6.08 109.40 0.04%
German exports in March 2017: +10.8% on March 2016 MMC bond USD 13.72 #N/A N/A 0.00%
German Production in March 2017: 0.4% seasonally adjusted on the previous month
North Asia Commodity Trading Prices
IMF singles out Asia's top problems: aging population and productivity Commodities Latest price Daily chg% Yearly chg%
BOJ governor expects to meet price target with current monetary easing Crude oil /WTI-New York/ $46.23 0.76 -13.94
South Korea president winner Moon vows to unify bruised country Gold Spot /ounce/ $1,222.12 0.07 6.50
Commodity market Copper /LME/ $5,512.00 0.47 -0.42
Oil prices rise in Asia in expectation of Aramco supply cut Iron ore /Beijing/ 500.00 0.00 11.11
Copper Wipes Out `17 Gain as Chinese Imports Fuel Demand Concern Coal /Tianjin/ 1,610.00 -1.23 -8.52
Gold Vs. Crude Oil - Transitioning to a Paradigm Shift
Sources: bloomberg terminal, 1212.mn, theubpost.mn,
1 montsame.mn, news.mn, gogo.mn
DEVELOPMENT BANK OF MONGOLIA Daily Treasury Report
Treasury Management Division 5/10/2017
Previous day's economic calendars Today's economic calendars

Event Period Forecast Actual Previous Event Time Period Estimated Previous

JOLTS Job Openings Mar ###### 5,743.00 5,743.00 Leading Index CI 05/10/2017 01:00 Mar P 105.50 104.80
Wholesale Inventories MoM Mar F -0.10% 0.20% -0.10% Coincident Index 05/10/2017 01:00 Mar P 114.70 115.30
Official Reserve Assets Apr -- $1242.3b $1230.3b MBA Mortgage Applications 05/10/2017 07:00 5-May -- -0.10%
CPI YoY Apr 1.10% -- 0.90% Import Price Index YoY 05/10/2017 08:30 Apr 3.60% 4.20%
PPI YoY Apr 6.70% -- 7.60% Export Price Index YoY 05/10/2017 08:30 Apr -- 3.60%
Money Supply M2 YoY Apr 10.80% -- 10.60% Monthly Budget Statement 05/10/2017 14:00 Apr $179.0b -$176.2b
New Yuan Loans CNY Apr 815.0b -- 1020.0b BoP Current Account Adjusted05/10/2017 19:50 Mar 1735.0b 2210.9b
Aggregate Financing CNY Apr 1150.0b -- 2120.0b Trade Balance BoP Basis 05/10/2017 19:50 Mar 855.0b 1076.8b
Foreign Direct Investment YoY CNY Apr -- -- 6.70% Bank Lending Incl Trusts YoY 05/10/2017 19:50 Apr -- 3.00%

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% 99.78 100.32 4.47 3.61 0.7 5-Jan-13 5-Jan-18
Mongol 2021 500 10.875% 116.77 117.44 5.99 5.81 3.9 6-Apr-16 6-Apr-21
Mongol 2022 1,000 5.125% 96.21 96.98 5.93 5.77 5.6 5-Dec-12 5-Dec-22
Mongol 2024-Khuraldai bond 600 8.750% 112.10 112.79 6.52 6.40 6.8 9-Mar-17 9-Mar-24
Mongol 2018 - Dim sum bond 1 billion CNY 7.500% 99.00 99.71 8.43 7.76 1.1 30-Jun-15 30-Jun-18
DBM - Samurai 2023 30 billion JPY 1.520% 103.52 103.85 0.95 0.90 6.6 16-Dec-13 25-Dec-23
TDBM - 2020 bond 500 9.375% 108.54 109.40 6.23 5.93 3.0 19-May-15 19-May-20
MMC 2017 600 8.875% 64.13 65.22 13.84 13.61 -0.1 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 (%)
104.1 1.1%
100 118 1.1%
100.106 103.9
1.0%
96.584 115
97 103.7 1.0%
112 103.686 1.0%
94 103.5 1.0%
/Year to date/ 112.258 109 0.9%
91 103.3
106
0.9%
103.1 0.894% 0.9%
88 /Year to date/
103 0.8%
102.9 0.8%
85 100

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

2 montsame.mn, news.mn, gogo.mn
DEVELOPMENT BANK OF MONGOLIA Daily Treasury Report
Treasury Management Division 5/10/2017

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 3/31/2017 United States
UBS 17,840 3.57% (400.00) 1/31/2017 Switzerland
TCW GROUP INC 15,816 3.16% 0.00 3/31/2017 United States
PRUDENTIAL FINANCIAL INC 13,700 2.74% (2,000.00) 3/31/2017 United States
EATON VANCE CORP 9,668 1.93% 0.00 5/31/2016 United States
LAZARD LTD 9,320 1.86% 0.00 3/31/2017 Bermuda
T ROWE PRICE GROUP INC 7,543 1.51% 0.00 3/31/2015 United States
NORDEA BANK AB 5,895 1.18% 0.00 3/31/2017 Sweden
ABERDEEN 5,315 1.06% 4,004.00 3/31/2017 United Kingdom
AXA 4,400 0.88% 4,400.00 6/30/2016 France
BLACKROCK 4,045 0.81% (650.00) 1/31/2017 United States
SCHRODER INV MGMT TAIWAN LTD 3,766 0.75% (19.00) 2/28/2017 Taiwan
PRUDENTIAL PLC 3,700 0.74% (300.00) 3/31/2017 United Kingdom
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 89,228 8.92% (20084.00) 5/8/2017 United States
ALLIANCE BERNSTEIN 36,490 3.65% 2323.00 3/31/2017 United States
PRUDENTIAL FINANCIAL INC 30,120 3.01% 1505.00 3/31/2017 United States
FMR LLC 25,620 2.56% 0.00 3/31/2017 United States
GOLDMAN SACHS GROUP INC 21,334 2.13% (7140.00) 3/31/2017 United States
GRANTHAM MAYO VAN OTTERLOO & CO 17,100 1.71% (1500.00) 11/30/2016 United States
DANSKE BANK A/S 15,222 1.52% 0.00 3/31/2017 Denmark
PRUDENTIAL PLC 10,500 1.05% 0.00 3/31/2017 United Kingdom
T ROWE PRICE GROUP INC 10,496 1.05% 0.00 3/31/2015 United States
FRANKLIN RESOURCES 9,400 0.94% (12100.00) 3/31/2017 United States
LAZARD LTD 8,985 0.90% (415.00) 3/31/2017 Bermuda
UBS 8,863 0.89% (1158.00) 3/31/2017 Switzerland
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
SUN LIFE FINANCIAL INC 8,956 1.49% 39,830.00 3/31/2017 Canada
SEI INVESTMENTS CO 1,772 0.66% 8,956.00 4/30/2017 United States
SYDINVEST INTERNATIONAL 3,301 0.55% 1,772.00 3/31/2017 Denmark
BLACKROCK 2,945 0.54% 3,301.00 5/8/2017 United States
NORDEA BANK AB 2,805 0.47% 2,945.00 3/31/2017 Sweden
DEUTSCHE BANK AG 2,600 0.43% 2,805.00 3/31/2017 Germany
LANDESBANK BERLIN INVESTMENT GMB - 0.25% 2,600.00 4/28/2017 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, theubpost.mn,
3 montsame.mn, news.mn, gogo.mn