BEIJING (Reuters) – Mongolia’s Prime Minister Luvsannamsrai Oyun-Erdene has resigned after losing the backing of parliament, following weeks of public protests over corruption allegations involving him and his family, the country’s legislature announced on Tuesday.

The resignation was triggered after the Mongolian parliament failed to pass a draft resolution in a confidence vote. Under the country’s laws, the failed vote is treated as a de facto resignation of the prime minister.

“It was an honour to serve my country and people through challenging times, including pandemics, wars, and trade tensions,” Oyun-Erdene said after the vote.

Oyun-Erdene, who took office in January 2021 and was re-elected in July 2024, will continue to serve in a caretaker capacity until a new prime minister is appointed within the next 30 days.

His departure follows sustained public pressure, with demonstrators flooding the streets of Ulaanbaatar in recent weeks to demand accountability for alleged corruption involving the prime minister and his family.

In a statement posted on the parliament’s official website, Oyun-Erdene thanked Mongolia’s youth for voicing demands for transparency and acknowledged the importance of public opinion. However, he expressed regret that the situation had been “used as a political pretext, causing instability.”

While defending his record in fighting corruption, Oyun-Erdene admitted that his government may have focused too heavily on large-scale infrastructure projects at the expense of addressing key social and political concerns.

During his tenure, the outgoing prime minister prioritized economic development, especially in Mongolia’s resource-rich sectors. He launched an ambitious agenda of 14 major infrastructure initiatives, including mineral processing centers, water diversion systems, dams, and power plants aimed at modernizing the country’s economy.

The search for his successor comes at a critical time for Mongolia, as the nation grapples with political uncertainty, economic challenges, and growing demands for greater government transparency.