Tag Archive for 'T T'

The Novel Mongolian Experiment

It is reported [ WSJ dated 2nd June]  that the entire population of Mongolia will become share holders of Erdenes-Tavan Tolgoi Ltd , popularly known as T T by a bold move by their government through an allotment of 538 shares each , thereby enlisting the support for coal and copper mining operations in that country . China is obviously the ultimate beneficiary – a reverse plunder avenging the humiliating defeat 800 years ago by the legendary Genghis Khan . While economy of Mongolia may improve substantially , the attended ecological disaster if unchecked may trigger a new wave of climate change issues in the mountain region .

Keeping the immediate trigger for this action aside , it looks a very off beat strategy by any government to jump start an economy . Impacting the life style of  a  very traditional and nomadic population with 50 % living in the capital city of Ulan Bator , this action will be keenly watched by economists all over the world  for its outcome both in the short term and long term .

Will China replicate this move through the local governments in some of the Sub- Saharan African Countries  where they have an economic interest through oil or mining exploration underway ?