Mongolia`s Democrats form coalition government

Mongolia`s generally pro-business Democratic Party is forming a coalition government with smaller populist parties.

Updated: Jul 20, 2012, 17:42 PM IST

Ulan Bator: Mongolia`s generally pro-business Democratic Party is forming a coalition government with smaller populist parties, raising concerns about policy changes for foreign companies in the country`s mining boom.

Three weeks after Legislative Elections, the Democratic Party announced late yesterday it had reached an agreement with a group of smaller parties. The coalition will combine the 31 seats the Democrats won with the other parties` 13 seats, giving them a majority in the 76-seat Parliament.

Among the biggest winners is former president Enkhbayar Nambar.

Though barred from running because he faces corruption charges, his splinter party and an affiliate group gave the Democrats a majority.

Enkhbayar`s party platform called for better terms for Mongolia on huge mining projects involving foreign investors.

PTI