In the democratic world - the secret of its prosperity is strictly tied to free market economy.
Free market economy is all about competitive innovation VS competitive pricing. That is why free market economy is currently the best model.
So it is clearly concluded that Government's role in this game is to rule out "the things that should not be pursued" but not "the things that could be done".
Mongolian government's problem is it thinks it is superior than the market (you could imagine a socialist inheritance) and try to teach the market what should be or could be done - which is completely wrong and confining.
Government must try to define everything that should not be done and try to follow as close as possible (not trying to lead the market).
Government's ability to innovate is dismal for many reasons that you could easily imagine.