Enkhsaikhan became Prime Minister of Mongolia on July 7, 1996 after the Mongolian Democratic Union Coalition won at the parliamentary elections. Enkhsaikhan was the elections campaign manager of Mongolian Democratic Union while Tsakhiagiin Elbegdorj was the coalition chairman. This made Enkhsaikhan the first prime minister since the 1920s who wasn't a member of the Mongolian People's Revolutionary Party. He presided over a period of aggressive economic reforms, including housing privatization, acceleration of other privatization programs, liberalization of most remaining controlled prices, closure of insolvent banks and elimination of duties on imports. Mongolian relations with international organizations such as the International Monetary Fund and World Bank, which had been strained due to slow reforms under the previous regime, strengthened. However, his tenure was cut short when the parliamentary majority of Democratic Party and Mongolian Social Democratic Party forced him to resign in April 1998, because of tensions between him and other leaders in the Coalition as well as by the rule of the Coalition, the chairman of the winning party should have become the Prime Minister. He was then replaced by Tsakhiagiin Elbegdorj.
Further career
From 1998 to 2003, Enkhsaikhan was the director of the company Premier International Co.. In January 2003, the Mongolian National Democratic Party elected him party chairman, but he was removed from this position in 2005. When Enkhsaikhan worked as a chairman of Mongolian Democratic Party he moved to form a coalition with Motherland Party. The coalition with the Motherland Party was a failure in the parliamentary elections in 2004. Three of the Democratic Party members were elected to the parliament as individuals because they were not offered slots in the coalition candidates. He became a member of the parliament in 2004 for the Democratic Party. The coalition and its opponent, the MPRP split votes. The coalition government was established with agreements of all the parties involved. The Motherland Party was given two seats at the Government Cabinet of the grand coalition government for its 7 elected MPs vs. Democratic Party's 25 elected MPs and Civil Will Party's MPs. However, Badarchiin Erdenebat, Enkhsaikhan's elevated ally wanted Prime Ministership and one more seat at the Government Cabinet. When it was not agreed by all participating parties of the Motherland Democracy Coalition, Badarchiin Erdenebat announced the dissolution of the coalition at the parliament without consent of the coalition parties. According to Mongolian law, if someone announces anything at the parliament, it becomes valid without need of vote for this case. Mendsaikhan Enkhsaikhan joined Badarchiin Erdenebat to dissolve Motherland Democracy Coalition to join MPRP to establish new coalition with MPRP for bigger position at the government. In 2005 Enkhsaikhan ran in the presidential elections for the Democratic Party but received less than 20% of the votes and lost against Nambaryn Enkhbayar. In January 2006 he voted with MPRP members for the dismissal of Elbegdorj's government. He did so in spite of a decision of the Democratic Party's Directing Board not to vote against its own coalition government. The Party's Main Legal Committee therefore canceled Enkhsaikhan's membership in February. In the new government under Miyeegombyn Enkhbold he was appointed for the role of a Deputy Prime Minister. Together with few former DP members such as Sonompil Mishigjav, former Member of Parliament and Minister of Defense from Democratic Party, he later registered National New Party which competed in 2008 Parliamentary elections and 2009 by-elections and did not win any seat at the Parliament of Mongolia. Enkhsaikhan himself was a candidate for a member of Parliament from National New Party and was defeated in the 2008 Parliamentary elections.
