Mongolia today has a population of 2.5 million and a population of thirty million livestock - sheep, goats, cows, horses, camels and yaks and as with all countries that have broken from the shackles of Communism and being a country that still has a third of the population living a Nomadic lifestyle, Mongolia has been through a turbulent period. The last decade of the 1990's saw Mongolia slowly transition its economy from one of central state planning to that of a market economy and as you will see on your visit to the country it hasn't been an easy transition.
As Mongolia entered the new millennium it did so with unemployment in Ulaan Baatar hovering at around 40% and about 35% of the country's population living below the poverty line. The negative impact from unemployment has been further exacerbated by two terrible winters in 2000 and 2001 which saw over 10% of the country's livestock being wiped out by record snow falls and low temperatures - this has caused many who previously lived a nomadic lifestyle being forced to move into the city. Obviously pressure on Government has been huge though the country seems to be coping with these pressures, partly helped by the strength of family ties that family members show to each other and indeed also to strangers. Mongolians, mainly as a result of their Nomadic heritage, are used to coping with the unexpected.

Previously the State owned all of the country's land though a new law passed early in 2003 allows for private land ownership. Each Mongolian will be given 0.7 hectares in or around the city/area that they live in and already one can see fences going up to delineate who owns what! Mongolia has also established a stock exchange and is encouraging, where possible, private enterprise to take over previously state owned companies. Major export markets, mainly for cashmere and mineral products, are Korea, Japan and Switzerland though international aid still accounts for about a third of the country's GDP, with tourism accounting for about 10%, though growing rapidly during Mongolia's short summer season.

Countryside traditions remain strong and even the 'city slickers' hanker after weekend countryside homes and grasslands over which to gallop their horses. It seems that you can't take the Nomad out of a Mongolian.