Sunday, June 24, 2012

Ulan Bataar


For a nomadic people, the simple idea to have a capital city is not obvious. It used to be just a particularly important concentration of yurts (ger in Mongol). But the capital city settled where it is today at the end of the 18th century, at the crossings of 2 important rivers, even if one of them is now more a stream.
Since then buildings have begun to be built even if many people still live in ger just out of the central business district (both poor people and tourists who want to live the experience).

The name of the city means “red hero” and is a tribute to Sükhbataar (Sükh this hero) who in 1921 lead a revolution against the Chinese ruling to get on the side of the USSR. There are of course many remaining of the Russian domination who last until 1991 in UB. Sükhbataar square is very Stalinian in its style. 

But also lots of symbol everywhere.

There is now more than 1 million inhabitants in the city and it keeps on increasing, not because of natality but a massive rural exodus. This cause major problems since the housing market is completely saturated and ger slums without access to water or sanitarian infrastructures are growing.

As much as the human problem for these people, this cause also major pollution issues. To resist to the -30°C temperatures of the winter, people burn coal. The city is surrounded by hills, which keep the air and cause the city the most polluted in the world.

This contrast with the new wealth of many people of the mining sector who create more and more new “fancy” buildings both for business and for leaving.

 And still more to come!
Construction of a new area in the south

The American school


Buddha statute

And even an Eifel Tower which is twinkling at night
This week are held the parliamentary elections. I would tell you about that next time

Thursday, June 21, 2012

Food supply


Hi all

One week already in Mongolia, and my first stomach-ache. So let's use that as an good opportunity to speak you about our first need, food !

Let's compare a occidental supermarket with one in Mongolia.
The first obvious thing to note concerns fruits and vegetables. This is the fruit section

Normal you would say. You can't have a close look to the prices, but they are crazy. Apples are around 7$/kg. Grapes, 10$.
See the vegetables: Somewhat reduced no? Identically everything is overpriced.

Why that? We have to remember that there is less than 3 million people in Mongolia. So the traditional mass consumption scheme cannot apply. There is no way to develop a food industry here and everything has to be imported.

If you can see on this pictures of the jam stand, 

you have products from Germany, Poland, Russia, Korea, China. And since roads are in very bad state (when they exist), and since there is only one rail track crossing the country in only one direction, imports costs are huge.

For 20$ you can have the best american chocolate-bluberries

Where are the French products? Don't worry, Mrs, Ms, the beauty section is as everywhere full of L'Oreal products.

So it is clear that vegetables are not really key product of what Mongolian people eat. Mutton meat, products of milk compose their traditional food. There was not agriculture at all 20 years ago, they try to develop it slowly. Consequently, you won't find as in Chinese supermarkets many indescribable products.

Just a look at a part of the candy section

It is interesting to note that food habits are changing due to inflation. The price of meat has tripled in the last 5 years, and it is now difficult for them to eat as much as they used to (Is it why they are all so thin?). Rice is now more and more a key element as well as cabbage.

In conclusion, eating is not particularly cheap, if you want to save money, you can start smoking. For 1$ you have a pack of 20.

I hope I will feel better soon and be able to speak you about the capital city Ulaan Bataar

Tuesday, June 19, 2012

Mongolia: Problems and opportunities

I have just arrived in Mongolia. I have already a lot to tell you about the life there and everything but let me first sum up a little bit what I have understood of the situation there, and what are the challenges this country is facing.

Mongolia is the less dense country in the world. It is big as western Europe (France+Spain+Germany+Portugal+Switzerland) but only as many inhabitants as in Chicago city. Its population used to be nomad and it is only recently that cities have developed. And when I say citi"es", certainly Ulaan Battar where more than half of the population of the country is leaving is the only one you would call "city" in a western perspective.

The territory is full of raw material. Principally copper and coal, but also gold. Lots of foreign mning companies have come there, many locals were created, and since the demand for raw material is high, it is an easy way to make money.

So that is a chance for Mongolia, but also a big problem. First, environmental problem. As you might know, mining industries are very polluting. For a country which traditional activities are herding and agriculture, that is something they are not ready to accept. Mongolian are a very democratic and environment friendly people, and they will not accept to have it destroyed.

Besides, the mining industry is a resources and brain drainer. The salary are high, the needs are huge. So most talented young people are tempted to go and work for this sector. Besides, to exploit raw material, you need infrastructures (road, energy,...) that the country does not have yet.
So the temptation would be to devote all human and financial resources to optimize the mining. But very cleverly, Mongolian wants to avoid that. There are the examples of Nigeria or Zimbabwe, 2 countries which had a lot of natural resources and have not managed to use it as a development opportunity. Also most of minerals are exported towards Russia and China. Mongolia is very dependent of these 2 countries particularly since it is a "land-locked" country (have no access to the sea), and because of historical considerations (Mongolia was under the rule of China then Russia) this situation is not pleasant for them.

So with a lot of ambition, they would like to imitate low-populated country like Singapore, Sweden or Israel, who have developed and economy based on knowledge and innovation. Let's be clear, they are very far of being able to do it, but since there is cash flowing, why not investing on education?


I'll let you know more about that.

Sunday, June 17, 2012

Departure!!



Wednesday was the D-day. I was eventually leaving! To be honest I had a lot of apprehension about this departure, but having to wait, and the false start had transformed all that into a real excitation. But traveling there is not as easy as flying to the US!

First I had to take an overcrowded subway to reach the train station, where I was taking a night train to Berlin. Evenings can be long in trains, but I was lucky to meet 4 very nice people with whom to rethink the world and to discuss philosophy.
Arrived in Berlin, I reached the airport, and waited the 5 hours for the twice weekly flight to Ulaan Bataar. So you can ask yourself, who goes to Mongolia? So first many Mongolians. While queuing for check-in I was even told “For New-York it is the next line”. There are special relationship between Mongolia and Germany so that many Mongolians have studied there, and this makes Berlin a usual travel destination.
A Mongolian woman and her daughter.

I saw also a lot of Russian waiting. That was strange at first, but I realized that the flight was actually doing a stop-over in Moscow. So apparently Air-Mongolia is a cheap way to go to Russia from Germany. Otherwise among foreign visitors there is the typical explorer-type guy

The African gold-hunter, a Tibetan Monk (Tibetan Buddhism is th main religion in Mongolia)


After 2 hours to Moscow, 1h30 stopover and 6 more hours flight I arrive to Chinggis Khaan Airport of Ulaan Bataar (I am sorry I have no more pictures of this day. I played to much in trying to catch people without them to notice, and emptied my battery).

My colleague Odonchimeg is here to pick me up and driving me to the city. The road from the airport is in a very bad state. It is narrow with loop-holes everywhere, which force to slalom (since there are cars coming the other way, and minibus trying to overtake on the right, you can imagine it is a little bit dangerous).

Eventually, at 10 a.m. Mongolian time after 31 hours of travel I arrive to my apartment just facing the German Embassy.

A lot more is coming soon!

Sunday, June 10, 2012

Berlin, dream of the youth

Hi Everyone

My flight to Mongolia leave from Berlin.
Since my departure was cancelled at the last minute, I decided to use my train ticket and to spend a few days there.


23 years ago Berlin was divided in two, and was certainly not an highlight of Germany. However, it is a city full of history, and not only 20th century history. Capital city since the early 1700, one of the center of the Enlightenment, all that was prisoner of the ideological war which divided the city for 50 years.

Since 20 years more and more tourists visit this city. The cultural life is at its top, but one more aspect makes this city perfect: rent and life in general is cheap!
Most students would leave in a shared-flat in the ex East-Berlin in a big room (25 m²) that they would pay 250-300€. You can leave for 500€/month, exactly what would pay a undeclared job in the tourist industry which is still growing.


This low-cost attract students, but also artists who can use a very dynamic scene to express themselves, and many start-up founders. At first it was mostly copy of US start-ups using the difference of language and the power of the world 3rd economy to get traction, but original initiatives emerge also.

But this might not last long! First we can note that if an "easy" life favor dynamic people who want to manage several project at once, the drawback is the non-incentive to make necessary efforts to get out of this life. Why would an economically rational actor hurry to finish his studies? Or why would he move to another city to find a permanent job when you can work 20 hours in a bar and have enough? Also the economically rational actor is moving to Berlin from cities all over Germany but also Europe. 1% of the population is French, what push rent up and upset natives who feel they sometimes cannot afford to leave there anymore.


So Berlin is certainly one of the hypest city in Europe right now. Will it be victim of its success?

Friday, June 8, 2012

False Start

Hi Everyone

As many of you know, I am going to spend 3 months in Mongolia, working for an economic think-tank on subjects related to the competitiveness of Mongolia.

I was supposed to leave last Monday, but due to Visa issues I had to postpone my flight. To cut a long story short, to hire a foreign citizen, even for an unpaid summer job, a company in Mongolia has to ask an authorization to the Labor and Welfare Service Agency. I had to provide my diploma and my university grades. Then the Office of Immigration Naturalization and Foreign Citizens deliver the authorization to the Mongolian embassy in France to deliver you a Visa.


One of these processes lasted one more day than foreseen, and I could not get the Visa on time. I could have tried to go anyway, but I wanted to avoid a "The Terminal" scenario.
Besides there are only 2 flights Berlin - Ulaan Bataar every week (with Mongolia Airlines, the company I have chosen to travel there), both were full this week, so I will take-off next Thursday.

I will try to post regularly my observation until September and also some analysis of the social, political and economical situation.
You are more than welcome to comment, react, mention your own experience abroad... Let's try to share informations and to learn from each other!!