Founding and First Mentions. The history of Khatgal dates back to 1727. The settlement was founded as a military guard post to protect the northern borders and control communication routes near Lake Khövsgöl. Initially, it was a small camp that gradually grew with permanent structures, transforming from a temporary station into a full-fledged settlement.
Development Factors. Khatgal's transformation into an important regional center was driven by a successful combination of geographical and economic factors:
- Strategic Geography: Its location at the southern tip of Lake Khövsgöl and the source of the Eg River made the village a natural gateway to the region.
- Trade Hub: Proximity to the Russian border encouraged the development of cross-border trade. Caravan routes carrying wool, furs, and livestock passed through Khatgal.
- Administrative Status: In 1921, Khatgal became the administrative center of Khövsgöl Aimag. It held this status until 1933, when the capital was moved to Mörön, providing a powerful impetus for early infrastructure development.
Cultural and Economic Features. In the early 20th century, Khatgal stood out among traditional nomadic settlements for its technological advancement. It was here that Mongolian water transport was born: in 1910, the first steamship, the "Mongol," began operating on the lake, and a port for cargo handling was later built. As an administrative center, the village was among the first in the region to have a school, a hospital, and a telegraph station, becoming an important hub of settled culture and education.