CABINET BACKS AMENDMENT TO LAW ON HDF

Ulaanbaatar, Mongolia, /MONTSAME/ An irregular cabinet meeting held Monday discussed and backed in principle a draft amendment to the law on the Human Development Fund (HDF). The amendment will be submitted to the State Great Khural.
The 3rd chapter of the HDF's law has a clause which mentions advance and loan taken in conjunction with exploitation of strategic mineral deposits. The government considers as necessary to alter this clause as "a certain part of advance and loan taken...".
In accordance with the law, income of the HDF consists of financial resources--dividends allotted to the state from stocks of legal persons that own a license of strategic mineral deposit, incomes from stocks purchase, incomes allotted to the state budget from the payment for exploitation of mineral resources, net income from investments and advance, and loan taken in conjunction with exploitation of strategic mineral deposits.
Production of mining sector is intensively growing in recent years. Furthermore, it is expected capital size of the HDF and its amount at the budgetary income will increase when mineral deposits are put into economic circulation.
It is considered that a financial accumulation will be created from incomes of the mining and mineral sectors when the law is amended. Moreover, a limit on forming income resources of the HDF will become more flexible and wider, and conditions will appear to deliver benefits of mineral resources to people.
B.Khuder