Argues that economic conditions in Mongolia are very primitive, based on the assumption that pastoral agriculture still prevails. Estalishes a cause-effect relation between pastoral stage and the slow growth of population. Depicts the Mongolian as barbarian tribes whose ascetic habits make poor customers on the world market. Blames the under-exploitation of the rich minerals available in Mongolia (gold, copper, salt) - except for the unsuccessful efforts made by the Gold Industrial Mongolor Company. Argues that trade in Mongolia is in a rudimentary state, mainly based on barter, with a limited recourse to money only. The external trade of Mongolia is mostly carried on with Russia - the balance being on the side of Mongolia. Yet under the present financial organization of Mongolia, this surplus is not used to any advantage. As the population is oppressed by the requisitions of the government and princes, they do not make any attempt to save. Mongolia possesses neither currency nor elementary infrastructures such as roads, bridges, crossings, posts or telegraphs. Concludes on the British willingness to encourage the development of Mongolia.