Mongolia’s parliament late on Friday (October 17) sacked Prime Minister Zandanshatar Gombojav in a surprise vote held amid growing ruling party infighting.

The proposal to dismiss Zandanshatar was initiated last week and finalised within the legal deadline. A committee voted against the dismissal but a sitting of the full parliament passed the proposal.

Friday also saw the parliament approve the resignation of its speaker, Amarbayasgalan Dashzegve, Zandanshatar’s main rival. The two have been locked in a battle of words for weeks following an inter-party vote for chairmanship of the Mongolian People’s Party (MPP).

Amarbayasgalan emerged victorious in that vote and he’s expected to be confirmed as MPP chairman next month during a party congress.

For now, Zandanshatar remains in power as head of a caretaker government until the MPP can put forward a successor. He also has an opportunity to appeal the decision to fire him, creating more uncertainty over who will lead the mineral-rich nation of 3.4mn.

“The fight over the prime minister’s dismissal is far from over,” said Amar Adiya, publisher of online newsletter Mongolia Weekly. “Pro-PM members challenged the decision as unconstitutional and the Constitutional Court is currently reviewing the procedure for the PM’s dismissal.”

The move against Zandanshatar laid bare a crisis within the MPP, long seen as enjoying political stability. Zandanshatar has only been in power since June – he took over from Oyun-Erdene Luvsannamsrai, who lost his job amid allegations that his family had profited from political influence.

One of several scenarios could unfold in the coming days, said Amar, including an opportunity for President Khurelsukh Ukhnaa to step in and veto the dismissal of the prime minister.

By law, the parliament must appoint a new prime minister within 30 days. If no one is selected in that timeframe, the legislature could be dissolved, sparking new elections.

Complicating matters further is the need for the parliament to pass the 2026 budget. Teachers are currently striking to demand higher pay in the new budget, and some healthcare professionals have joined sit-in protests.

“The next few months will likely be filled with uncertainty as the [MPP] continues to splinter,” said Amar.

Mongolia’s political spiral has been unexpected and rapid. When he was nominated for PM four months ago, observers saw Zandanshatar as a compromise candidate who could unify the country after weeks of street protests that called for Oyun-Erdene to step down. But Zandanshatar’s inability to secure control of the party last month left him vulnerable – it’s standard practice that the head of the ruling party is also the prime minister.

In the days following the leadership vote, Zandanshatar openly attacked Amarbayasgalan, accusing him of having connections to a longstanding coal theft scandal that has seen several officials jailed in recent years.

Amar says the root of the disruption in the MPP is the battle for control over Mongolia’s coal industry and the nation’s largest coal mine, Tavan Tolgoi. The massive deposit contains an estimated 6.4bn to 7.4bn tonnes of coal reserves. It boasts rail connections to China, where the coal is used in steel-making. 

“Control over Tavan Tolgoi fuels both budgets and political fortunes… It’s not ideology tearing the party apart, it’s the spoils of power,” Amar said.