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Lake Hovskol is called the Dark Blue Pearl of Mongolia, and contains 70 of the nation-s fresh water. The lake is the 14th largest freshwater lake in the world. 44 different water plants grow within it, and the surrounding area is host to 750 species of plant life. 60 of those species have important medical uses. Although bio-diversity is limited because of the climate, 10-20 of the species here are found now where else in the world.

Because of the high latitude and altitude, the trees on the slopes around Lake Hovskol are predominantly Siberian larches (Larix sibirica), but Siberian pine, scotch pine, and birch can also be found. Larch trees are particularly adapted to grow in permafrost, so the environment suits them well. Wildflowers are also common in the area. Edelweiss is abundant, along with entian, fireweed, purple thyme, and blue pasque.

All is not perfect in this paradise. Overgrazing on the steppes has removed much of the grass covering the permafrost, which has led to an increase in soil temperatures. This in turn has led to evaporation of much of the moisture held in the soil. Many plants, in particular the larch trees, depend on this moisture, so there may be extensive long term consequences.