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• Proximity to huge markets of Russia and China,• Abundant mineral resources,• Rich historical heritage and traditions,• Unique natural ecosystems inherited in their virgin nature, rare species of fauna and flora, rich and vast lands, andunique nomadic lifestyle adapted to them.Development weaknesses:• Slow population growth and comparatively short life expectancy,• High rate of infant and maternal mortality,• Small population scattered throughout vast territory, limited labor forces, particularly shortage of highly qualifiedengineers, technical workers, specialists with appropriate knowledge of market economy,• Insufficient quality of education, low level of scientific and technological development, poor capacity of goods andservices to compete at world markets their quality,• Extreme climate conditions, high dependency of livestock and agricultural production on changes in weatherconditions,• Small percentage of forests, intensively growing desertification, highly vulnerable ecosystems, poor recreationcapacity of nature,• Limited and unreliable energy supply, poor development of infrastructure,• Remoteness from major continental and regional international roads and communication centers, landlockedlocation,• Shortage of adequate housing,• High level of unemployment and poverty,• Narrow-based economic structure,• Excessive Government expenditures,• Lengthy procedures of issuing special permits, widespread corruption and red tape, weak capacity of civil service,• Narrow-based structure of foreign trade, including exports structure,• Small domestic market,• Limited financial resources and foreign currency reserves, dependency of the economy on small number of products• Insufficient budget funding for healthcare, education and science sectors, and inefficient spending patterns in theseareas,• Poor protection of intellectual rights.3.1. Principles of Mongolia’s national developmentTHREE. PRINCIPLES, VISION AND PRIORITIESOF MONGOLIA’S DEVELOPMENTThe MDG-based Comprehensive National Development Strategy of Mongolia shall be based on the following principles:• Promote democracy, justice, human rights, freedom, equality, and national unity,• Create conditions for every citizen to participate, contribute and lead the country’s development,• Build capacity and structure for the implementation of development policies and strategies,• Ensure dynamic and sustainable development based on principles of market economy,• Allocate funds in accordance with policy priorities and needs, ensure transparency, monitor their spending, evaluateoutcomes and make plans for future,• Promote partnerships of all stakeholders,• Develop the capacity to adapt to changing conditions,• Promote accountability at all levels, ensure transparency and respect the law.3.2. Values of MongoliansThe following values shall be embraced in the MDG-based Comprehensive National Development Strategy of Mongolia:• Comply with the Constitution of Mongolia,• Live and work in justice, keep the society in harmony and peace,• Promote individual and social progress with own hands in cooperation with others,• Encourage patriotism that is based on the principle of protecting and strengthening independence and sovereigntythrough promoting the country’s development.3.3. Vision for Mongolia’s national developmentThe vision for Mongolia’s national development by the year 2021 is defined as follows:3