History
The Mongols gained fame in the 13th century when under Chinggis Khan they established a huge Eurasian empire through conquest (the largest empire ever in the world). After his death the empire was divided into several powerful Mongol states, but these broke apart in the 14th century. The Mongols eventually retired to their original steppe homelands and in the late 17th century came under Chinese rule. Mongolia won its independence in 1921 with Soviet backing and a Communist regime was installed in 1924. The modern country of Mongolia, however, represents only part of the Mongols' historical homeland; more Mongols live in the Inner Mongolia Autonomous Region in the People's Republic of China than in Mongolia. Following a peaceful democratic revolution, the ex-Communist Mongolian People's Revolutionary Party (MPRP) won elections in 1990 and 1992, but was defeated by the Democratic Union Coalition (DUC) in the 1996 parliamentary election. The MPRP won an overwhelming majority in the 2000 parliamentary election, but the party lost seats in the 2004 election and shared power with democratic coalition parties from 2004-2008. The MPRP regained a solid majority in the 2008 parliamentary elections but nevertheless formed a coalition government with the Democratic Party. The prime minister and most cabinet members are MPRP members.

Geography
Location: Northern Asia, between Russia and China
Size: 1,564,116 sq km
Land boundaries: 8,220 km
Climate: Desert; extreme continental (large daily and seasonal temperature ranges)
Landscape: Vast semi-desert and desert plains, grassy steppe, mountains in west and south west; Gobi Desert in south-central
Highest peak: Nayramadlin Orgil (Huyten Orgil), 4,374 m
Natural resources: Oil, coal, copper, molybdenum, tungsten, phosphates, tin, nickel, zinc, fluorspar, gold, silver, iron
Use of land: Arable land: 0.76% (2005); irrigated land: 840 sq km (2003)
Natural hazards: Dust storms, grassland and forest fires, drought, and Zud (which is harsh winter conditions) 
Note: Landlocked; strategic location between China and Russia

People
Population: 3 million 
Age structure: 0-14 years: 28.1%; 15-64 years: 67.9%; above 65 years: 4%
Population growth rate: 1.49%
Birth rate: 21.09 births per 1000 population
Death rate: 6.16 deaths per 1000 population
Sex ration: At birth: 1.05 male/female; under 15 years 1.04 m/f; 15-64 years 1.00 m/f; 65 and above 0.77 m/f
Infant mortality rate: 39.88 deaths per 1,000 live births
Life expectancy: Women 70.2 years, men 65.2 years
HIV/AIDS: Less than 0.1%
Nationality: Mongolian(s)
Ethnical groups: Mongol (mostly Khalkha) 94.9%, Turkic (mostly Kazakh) 5%, other (including Chinese and Russian) 0.1% (2000)  
Religions: Buddhist Lamaist: 50%; Shamanist and Christian: 6%; Muslim: 4%; none: 40% (2004) 
Languages: Khalkha Mongol 90%; Russian; Kazakh
Literacy rate: 97.8% ot the total population above 15 years

Politics & Government
Official name: Mongolia  
Government: Parliamentary Republic
Capital: Ulaanbaatar (Ulan Bator); approx. 800,000 inhabitants
Administrative divisions: 21 provinces (aimag): Arhangay, Bayanhongor, Bayan-Olgiy, Bulgan, Darhan-Uul, Dornod, Dornogovi, Dundgovi, Dzavhan (Zavkhan), Govi-Altay, Govisumber, Hentiy, Hovd, Hovsgol, Omnogovi, Orhon, Ovorhangay, Selenge, Suhbaatar, Tov, Uvs and one municipality (hot): Ulaanbaatar
Independence: 11 July 1921 from China 
Constitution: 13 January 1992
Executive: Head of state: President President Nambaryn Enkhbayar (since 24 June 2005); Prime Minister: Sanjaa Bayar (since 22 November 2007); Cabinet: Cabinet nominated by the prime minister in consultation with the president and confirmed by the State Great Hural (parliament); presidential candidates nominated by political parties represented in State Great Hural and elected by popular vote for a four-year term (eligible for a second term); election last held 22 May 2005, result: Nambaryn Enkhbayar 53,44%
Legislative: Unicameral State Great Hural 76 seats; members elected by popular vote to serve four-year terms; last elections 29 June 2008  
Judicial: Supreme Court (serves as appeals court for people's and provincial courts but rarely overturns verdicts of lower courts; judges are nominated by the General Council of Courts and approved by the president)
Political parties: Democratic Party (DP); Mongolian People's Revolutionary (MPRP)

Economy
Economic activity in Mongolia has traditionally been based on herding and agriculture. Mongolia has extensive mineral deposits. Copper, coal, gold, molybdenum, fluorspar, uranium, tin, and tungsten account for a large part of industrial production and foreign direct investment. Soviet assistance, at its height one-third of GDP, disappeared almost overnight in 1990 and 1991 at the time of the dismantlement of the USSR. The following decade saw Mongolia endure both deep recession because of political inaction and natural disasters, as well as economic growth because of reform-embracing, free-market economics and extensive privatization of the formerly state-run economy. Severe winters and summer droughts in 2000-02 resulted in massive livestock die-off and zero or negative GDP growth. This was compounded by falling prices for Mongolia's primary sector exports and widespread opposition to privatization. Growth averaged nearly 9% per year in 2004-08, largely because of high copper prices and new gold production. Until late 2008 Mongolia experienced a soaring inflation rate, with year-to-year inflation reaching nearly 40% - the highest inflation rate in over a decade. In late 2008 falling commodity prices in this import-reliant country helped lower inflation, but by that time, the country had begun to feel the effects of the global financial crisis. Falling prices for copper and other mineral exports reduced government revenues and is forcing cuts in spending. The global credit crisis has stalled growth in key sectors, especially those that had been fueled by foreign investment. Mongolia's economy continues to be heavily influenced by its neighbors. Mongolia purchases 95% of its petroleum products and a substantial amount of electric power from Russia, leaving it vulnerable to price increases. Trade with China represents more than half of Mongolia's total external trade - China receives about 70% of Mongolia's exports. Remittances from Mongolians working abroad both legally and illegally are sizable, but have fallen due to the economic crisis; money laundering is a growing concern. Mongolia settled its $11 billion debt with Russia at the end of 2003 on favorable terms. Mongolia, which joined the World Trade Organization in 1997, seeks to expand its participation and integration into Asian regional economic and trade regimes.

GDP: Absolute: 9.58 bn US$ (PPP); growth: 8.9% per year; per capita: 3,200 US$ (PPP)
Composition: Agriculture 18.8%, industry 38.5%, services 42.7% 
Inflation rate: 28%
Labour force: Approx. 1.1 million; agriculture 34%, industry 5%, services  61%
Unemployment rate: 2.8% 
Industries: Construction and construction materials; mining (coal, copper, molybdenum, fluorspar, tin, tungsten, and gold); oil; food and beverages; processing of animal products, cashmere and natural fiber manufacturing  
Agricultural products: Wheat, barley, vegetables, forage crops; sheep, goats, cattle, camels, horses
Exports: 2.54 bn US$; mainly copper, apparel, livestock, animal products, cashmere, wool, hides, fluorspar, other nonferrous metals, coal to China, Canada, USA
Imports: 3.62 bn US$; mainly machinery and equipment, fuel, cars, food products, industrial consumer goods, chemicals, building materials, sugar, tea from China, Russia, South Korea, Japan
Currency: Tugrik (Tug, MNT) = 100 mongo (m)

Infrastructure
Telephones: 148,200 landlines connections (2008); 1.8 million mobile subscribers (2008); network is improving with international direct dialing available in many areas
Radio: 7 AM and 115 FM stations; short wave 4 (2006)
Television: 68 channels; satellite network accessible (2008)
Internet: used throughout the towns; country code: .mn ; 320,000 subscribers (2007)
Transport: Railways: 1,810 km; roads: 49,250 km, incl. 2,670 km tarred roads; airports: 44, including 12 with tarred runway (2008)

Main source: CIA The World Factbook, 2008 & 2009 (Link)