Activities and financial organizations

Every country has its own financial system. Financial system usually consists of financial market and
financial organization. Financial organization means financial intermediators providing financial services
and including commercial banks and other financial companies. Otherwise, financial organization makes
financial products to citizen and government. There are 8 types of financial institution are Central bank,
commercial banks, non-financial organizations, stock market, mutual fund, persion fund, investment banks
and insurance companies. There are 14 commercial banks and almost 263 non-financial organizations in
Mongolia. Financial intermediators are classified as banks and non-banking businesses. People and business
organizations with surplus money, they places their money in saving accounts and securities. Thereby it
becomes loans to governments and business organizations that needed capital sources. Financial
intermediation is regulated by investment, deposit and loan’s interest. Financial intermediation is not main
rule of financial organization. Other rules are stabilize economy, pay bill and provide a transaction
instrument.

Commercial bank must be tov banknii zovshoorolteigeer u.a yvuulah estoi. Most commercial banks
offer a variety of services to their customers, including savings deposits, safe-deposit boxes, and trust
services. Commercial banks are able to expand or contract the money supply by creating new demand
deposits.
 SOURCES

http://www.montsame.mn

www.en.wikipedia.org

http://www.123helpme.com

Grammar in use
 Economy and finance in mgl

Finance is a financial cashflow that accumulates money and allocates money. Otherwise finance
can be defined as the science of money management. Finance can be broken into three different sub-
categories: public finance, corporate finance and personal finance. And the economy means careful
management of available resources. Economic agents can be individuals, businesses, organizations or
governments. The economy may rise and fall at any time and you must keep stability the tough times.
When the economy is good,you can typically see low unemployment and wage increases.

In my opinion, Mongolia's economic growth depends on the development of Mongolian people

and if the use of technology increases, the economy will grow. But Mongolia has been directly dependent
on foreign investment since 1990. As Mongolia is a developing country, it is not enough to create
accumulation and to use it for economic growth. Especially, large projects needed foreign investment and
71% of total investment is mining, 8% is construction and 3% is railway sector. Unfortunately, this foreign
investment doesn’t affect to the small factories and processing factory. Our main investor is China and its
51% of total investment. The next thing is Gross Domestic Product(GDP). It is so important to economists
and investors. Gross Domestic Product means the broadest quantitative measure of a nation's total
economic activity. Mongolia's economy grew by 5.8% in the first 9 months of 2017.