Mongolia’s top court has declared last week’s parliamentary vote to remove the prime minister unconstitutional.
A decision analysts warn could heighten political instability in the coal-rich nation amid ongoing divisions within the ruling party over economic management
The Constitutional Court said a motion passed by the State Great Khural or parliament last Friday to dismiss Prime Minister Zandanshatar Gombojav had no legal basis, the official Montsame news agency reported on Thursday.
The court sided with President Khurelsukh Ukhnaa, who on Monday vetoed the parliament’s resolution to dismiss Zandanshatar, citing procedural irregularities, including the use of an “incorrect voting formula.”
Zandanshatar, nominated by President Khurelsukh and named as prime minister in June, is expected to be able to fend off reformists within the Mongolian People’s Party led by former parliamentary speaker Amarbayasgalan Dashzegve, said Xu Tianchen, a senior analyst at the Economist Intelligence Unit.
Zandanshatar is seeking to push through a more conservative economic policy ahead of the next election in 2027, resisting calls for stronger anti-corruption measures and progressive taxation.
But the confrontation could lead to an economically damaging policy stalemate, analysts say, worsening a cost-of-living crisis and delaying efforts to diversify the economy beyond mining, as government instability hampers long-term planning and deters foreign investment.
The Mongolian People’s Party also faces pressure to address public discontent over allegations that government officials misappropriated state funds and were engaged in corruption.
Those concerns sparked large-scale street protests in urban centers, including the capital Ulaanbaatar, which ultimately prompted parliament to vote to remove Prime Minister L. Oyun-Erdene four months ago.
“I’m afraid that the turbulence will last until 2027, as the factional conflict within the Mongolian People’s Party continues.
“President Khurelsukh has tried to defend his people, but his influence will diminish as he approaches the end of his presidency,” he added. “Amarbayasgalan and his fellows will try hard to dominate the political landscape,” said Xu.
COAL-POWERED POLITICS
Parliament moved to dismiss Zandanshatar after his government proposed changing the mining royalty calculation from international benchmark prices to lower domestic prices for key materials, particularly coal.