9 July 2009                                                                                              The State Palace, Ulaanbaatar city
                                                                 CHAPTER ONE
                                                          
                                                            GENERAL PROVISIONS

Article 1. Purpose of the Law

1.1 The purpose of this Law is to regulate relations with respect to expressing prices of goods, works and services
and making payments and settlements in national currency on the territory of Mongolia.      


Article 2. Laws and regulations on making payments and settlements in national currency

2.1 Laws and regulations on making payments and settlements in national currency shall consist of the Constitution
of Mongolia, the Law on Central Bank /Mongolbank/, the Law on Currency Regulations, this Law and other laws,
regulations and acts which were adopted in line with them.

2.2 If an international treaty to which Mongolia is a Party is inconsistent with this Law, then the provisions of the
international treaty shall prevail.


Article 3. Definitions of the Law

    3.1.7 “calculation unit” means an expressed price proposal where prices of goods, works and services to be
exchanged in connection with the togrog exchange rate to foreign currency.

                                                                CHAPTER TWO

                             PAYMENTS AND SETTLEMENTS TO BE MADE IN NATIONAL CURRENCY

4.1 Prices of goods, works and services shall by expressed by, and payments and settlements shall be made in only
national currency on the territory of Mongolia and setting prices, making payments and settlements and announcing
and promotion in foreign currency, calculation units shall be prohibited without an official consent of the Mongolbank,
except as provided in clause 4.4 of this Law.

4.2 Any settlements to be made from the state and local budgets, and to be financed by the budget shall be made
in national currency and it shall be prohibited to make these settlements in foreign currency.

4.3 Definitions of amounts of fees, commissions and liability in laws and regulations of Mongolia shall be expressed in
only togrog.

4.4 Monetary deposits, loans, any similar services of bank and nonbank financial organizations, a contract to enter in
relation to financial derivative instruments and binding obligations under the contract may be expressed, and its
performance may be completed in foreign currency.

6.1 Following administrative sanctions shall be imposed to a person who violated clauses 4.1-4.3 of this Law if a criminal
sanction does not apply:

      6.1.1 demand to remedy the violation and revenue generated shall be confiscated to the state budget;

      6.1.2 if the violation as provided in clause 6.1.1 of this Law is not remedied, a citizen shall be fined by the
              amount  of togrog that equals to 10-30 times of minimum wage, a legal entity shall be fined by the

              amount of togrog that equals to 50-100 times of minimum wage within the period until the violation

              is remedied or a claim shall be submitted to a court to revoke a right to run business activity;

       6.1.3 suspending and revoking a license according to Articles 13 and 14 of the Law on Special Permits of

               Business Activities if a legal entity having a license did not comply with requirements repeatedly put

               by an authority regarding remedy of the violation.

6.2 A court shall accept a claim as set out in clause 6.1.2 of this Law and resolve it.