By Peter Galuszka(Third in a series)

ULAN BAATOUR, Mongolia — Flying into this capital city nestled among treeless, light brown mountains brought back memories of a grimy, industrial Soviet city from 30 years ago. Along the tarmac are rows of cannibalized Antonov 2 biplanes used as crop dusters after World War II along with ubiquitous MI-8 helicopter workhorses.

The airport parking lot is also a blast from the past. As we struggle with our bags, Mongolian cab drivers scream at us for our business. My Russian-born wife springs into action. By turns playing one cabbie against the other and tough bargaining, besides touching off at least one fist-fight, she gets our fare down from 50,000 tegreg ($30)  to 15,000 tegreg (about $12)  in exactly 14 minutes — a masterful performance.

Downtown is a mix of Soviet and new destiny. The sidewalks are cracked lumps of ankle-twisting concrete. Local pedestrians will shove you out of the way. Mongolian drivers are hyper-aggressive, challenging other drivers to showdowns that can be measured in millimeters. Yet against the gels, yurts and Stalinesque buildings are scores of construction gantries providing testimony to Mongolia’s newest crossroads.

Freed abruptly from its decades’ long role as the Soviet Union’s 16th republica, Mongolia is struggling to position itself between a still-ambitious Russia and a fast-growing China’s with a ravenous appetite for raw materials. Mongolia needs foreign investment badly but has to shake off its bad reputation for lawlessness, corruption and a poor to non-existent infrastructure. As an attraction it has huge reserves of copper, gold and coal.

The best-known Mongolian, of course, is Genghis Khan, who conquered most of the Eurasian landmass in the 12th century. On the bright side, he brought a sense of law and order to his new empire, introducing such inventions as the diplomatic passport. But G.K. & Sons were among history’s most vicious killers. Their 12th century body county, taken together and adjusted for world population, would be about double that of all the people Hitler, Stalin and Mao slaughtered in the mid 20th century.

Mongolia has long been feared and abused by both China and Russia. It became a country in 1924 after the Manchus fell apart, but the Soviets were quick to force their influence. To make the point with his typical subtlety, Josef Stalin included Mongolia in his 1937  purges by accusing Mongolian Communist leader Gendel of collaborating with  Chinese nationalists and the Japanese.

The result was the arrest of 56,000 and the execution of 20,000 to 30,000 Mongolians, about 40 percent of the population. The horrible event is marked at the Victims of Political Persecution Memorial Museum tucked away in a hard-to-find part of downtown that is being torn up for new skyscrapers to house foreign consulting, banking, mining and construction firms.

The museum is not for the squeamish. One exhibit shows the skulls (see
photo)  of some of those executed. They were lined up precisely so one bullet would shatter the skulls of three or four victims. This particular batch of skulls shown in the photo was found in a mass grave in a remote part of Mongolian discovered in 2003.

Not everything in Ulan Baatour is horrible.  Nearby is a museum of Buddhism with wildly creative art and there are plenty of monks around. Historically, Ulan Baatour (or “U.B.” in local parlance) rivals Tibet as a Buddhist religious hot spot.

Meanwhile, Mongolians are trying to take corrective steps for a better future. At a conference on foreign investment that I attended, Bayaratsetsev Jigmiddash, a legal advisor to the Mongolian government, says that progressives are working on as many as seven separate laws to upgrade the country’s courts and judiciary systems. Key reforms include creating a conflict of interest code for judges to follow and to require them to list their assets and bank statements, she says.

There’s more to be done on the infrastructure front. Despite its strategic location between two rich countries, Mongolia is stuck with ancient Soviet-style railroads and equipment. General Electric is said to be interested in building new locomotives capable of withstanding minus 50 degree temperatures and sandstorms. Likewise, the highway system is primitive or just doesn’t exist where needed. Many major highways have no repair shops or gas stations. About 40 percent of the truck fleet is obsolete.

It’s a classic chicken-or-egg problem. Foreigners won’t invest without rule of law. Without investment, there won’t be rule of law. As one wag suggested, one place to start educating Mongolians about what being modern means is on the highways where no one seems to understand what a rule or a law is or how to brake for pedestrians.


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Comments

9 responses to “Yet Another Mongolian Crossroads”

  1. […] on October 14, 2011 by Peter Galuszka| Leave a […]

  2. Gosh. Who said Mongolia has an image of a “lawless country, corrupt and short of infrastructure”? People believe what they choose to believe. Mongolia is not as bad as you want it to be. In general it is a pretty progressive country in all barometers available to access a county (if you check ‘CIA factbook’, or World Bank, IMF, UN reports) – except some unfortunate economic drawbacks of last 2 decades, which are being quickly corrected and put on to the right track again: I say ‘again’ because Mongolia was very fast-growing and progressing up to 1990. It’s literacy rate, for instance, was and is still higher than Spain. Nobody was interested in each other those days.
    Second, there is no such chicken-or-egg problem in at all. Mongolia has an overwhelming FDI these days. You’d better speak for yourself: Maybe you blinded yourself with presumptions and failed to see anything. But wait 2-3 months and your eyes will be opened up by forthcoming news from Mongolia.

  3. the wiki page is a HOOT. try to find per capita income or how health care or K-12 education is delivered or for that matter how governance works and whether or not it is elected or not.

  4. Groveton Avatar

    “Likewise, the highway system is primitive or just doesn’t exist where needed.”.

    Is the Virginia General Assembly somehow responsible for transportation in Mongolia?

    Interesting narrative, Peter. I always thought Mongolia was still something of a puppet state of Russia or China. Sounds like it once was the Soviet Union but the Mongolians are on their own now.

    What do people eat in Mongolia?

  5. Peter Galuszka Avatar
    Peter Galuszka

    Groveton,
    The diet is a lot of meat and noodles. We ate in a Mongolian restaurant and they had a lot of reindeer, lamb and beef. The beef I had was a little on the fatty side, but I guess that is to help deal with the ultra-cold winters. The beer is really good. Not to be misleading in my post, but there are a number of good hotels such as the Kempinski, etc. One night we ate Ukrainian and it was delicious.

    If I have the chance, I would really like to go back and try to get into the country. You can backpack or do horse or camel rights for up to two or more weeks.

    PG

  6. We are Mongols, don’t want a foreign money; we don’t need those foreign investments to dig up my mother of earth. What we need is to keep whatever we have to ourselves, live on our very beautiful nomad culture with beautiful tradition. We don’t need a western influence into our society; so far my experience living in western culture is quite reverse; there is no such thing as a law and order or respect each other within your society after all. As this, your article is so narrow minded; I don’t really see any of cultural sensitivity of your words on your article. I recon, you better to look at your own backyards, there are so much mess including economical and social, and morality. We had enough of those negative influences in our society. Chinese introduced a corruption, Soviets made a mess in our country for 70 years; that’s why my beautiful culture has been mixed up with everything, including Soviet fashion ugly buildings, now we are trying to clean up those messes. My grandfather’s been killed by Russians in 1937, that’s why, his skull has been kept in the museum. If you are not taking any notes from those skulls or from those ugly buildings, read my comments, you will get my anger against your article. The reminder is, stay away from my country if you don’t like it, nor a single Mongolians asked you to come to Mongolia, get out of my country if you don’t like it, we don’t want your negative comments against my poor people and country. We were building our world, we are developing it now, and we will develop our country with you or without your comments. We will be just fine if you are not coming to our country again and interfering my culture with commenting such a narrow minded thoughts. Keep it yourself.

  7. this is useless, & totally untrue article.
    Someday, soon Mongolia will be one of top Asian nations like Japan, Korea & China.

  8. Galuszka,

    Sure, everyone has the right for an opinion. So, that is your opinion, then. Well…hhmmmm…..hang on, actually, what is exactly your opinion here, eh?!?

    Are you trying to describe for us how Ulaanbaatar (by the way, that is how the name of Mongolia’s capital is spelled) looks like? Is this an account of Mongolia’s history? Are you saying that Mongolia is not the right place to invest? Funny, you seem to be writing for the sake of writing. But, from any of these perspectives, your writing, sorry, really sucks – so that it leaves us wondering whether you have ever been taught to how to write an essay, eh?!?

    Actually, your write-up leaves us further wondering:

    1. Are you and your wife one of those couples that whenever they travel abroad they see everything in negative and are never happy about anything? or
    2. Are you and your wife one of those couples that, in general, are never happy about anything in life and constantly complain about everything around you?
    3. Are you a Russian? Well, your last name seems to suggest so (certainly you are of Slavic origins) and your wife seems to be definitely so.
    4. When traveling to Mongolia, did you guys take a Super Soviet Russian Tzars’ air and attitude towards Mongolians?
    5. Are you supposedly an investor, who is forever on the lookout for investment opportunities, but never finds one? or
    6. Are you one of those investment consultants that “know it all”, but in reality “I don’t exactly know how to do it myself, though” and “actually, I’ve never done it myself – I can only advise you how to do it”, eh?!?
    7. Why did you go to Mongolia at the first place?
    8. Have you ever been to your own or that of your wife’s country of origin? Didn’t you find it a hundred times worse than Mongolia in many respects, eh?!?
    9. Have you ever spelled out in this series an “opinion” of yours about Russia under the title of “Yet another Russian Crossroads”?

    Well, please, can you do us a favour and kindly answer us all of the above and, once so, we will happily continue with our discussion.

    Good luck!

    DLGR

  9. Peter Galuszka Avatar
    Peter Galuszka

    Dear DLGR,
    My ethnic background is none of your business nor will I answer any of your questions which I find rather insulting. What does DLGR stand for anyway? Who are you exactly? Why should I respond to an acronym or someone who hides behind anonymous initials?

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