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Mongolian policeman enjoys a cigarette. Despite its reputation as the flagship of democracy in central Asia, human rights groups worry that security forces are being used to protect foreign mining interests at the expense of local citizens.
Mongolia has expanded political and financial ties with the US, Japan and the European Union, but its main trading partners are neighbouring Russia and China. The latter is the biggest market for Mongolian exports; Beijing is also keen to exploit Mongolia's mineral and energy resources.
Despite generous funding by the International Monetary Fund and donor countries, economic progress has been slow and growth has been hampered by corruption.