Chemonics International is a global consulting firm promoting economic growth and higher living standards in developing countries. With offices on five continents and over 2,000 employees, Chemonics is one of the world's largest firms focusing exclusively on international development. From business to finance, governance to health, Chemonics helps clients make decisions that better people's lives.

[visit Chemonics International]

Contact the Mission

USAID/Mongolia
P.O. Box 1021
Ulaanbaatar-13
MONGOLIA
Phone: 976-11-312390
Fax: 976-11-310440
Email the Mission

December 2008

Economic Policy Reform and Competitiveness Project (EPRC)

Chemonics
www.eprc–chemonics.biz

Economic Policy Support

Market analysis of cement, glass-making, and iron bar manufacturing: EPRC conducted a market demand study on selected products: cement, glass and iron bar. To identify the major producers, suppliers of the selected products, the project is cooperating with the Ministry of Roads, Transportation, Construction and Urban Development, Customs General Administration as well as both state owned and private companies.

Financial Markets Support

Corporate governance: On 16 December 2008 the project signed a Memorandum of Understanding with the Institute of Finance and Economics (IFE) to collaborate in:

Developing a corporate governance course to be delivered at the IFE. This will be a pilot program and is planned to be rolled out in other faculties and universities in Mongolia.
Delivering a Train-the-Trainers (TOT) session of the complete corporate governance course to professors selected by IFE and approved by EPRC.
Delivering a pilot session of the complete course to Directors of relevant enterprises.

By month end the project delivered 11 of 12 proposed training modules to the IFE for review and translation into the Mongolian language. The project and IFE will work together to complete the course and relevant Mongolian case studies by the end of February 2009 and plan to deliver the TOT and pilot sessions in the first half of March.

Credit Information Bureau: The company was formally registered in December. The inaugural shareholders’ meeting held on 19 December 2009 elected a five person Board of Directors. The first board meeting is scheduled for 9 January 2009. The CIB company will immediately proceed with recruitment of a project manager and international tender for a strategic operating partner.

Zamyn Uud Gateway Logistics Park: The project facilitated meetings of the freight forwarders working group and negotiations with the government on a draft memorandum of understanding (MOU) to initiate a Zamyn Uud Logistics Park Development Company in the form of a PPP. This also included:

Discussing the draft MOU with the State Property Committee and defining the government’s responsibilities and roles in initial stages of the PPP.
Meeting with the Minister for Roads, Transportation, Construction and Urban Development and exchanging views on PPP development for the park.

Energy Sector Support

Energy sector financial status: The project continues to assist the Energy Regulatory Agency (ERA) in implementing the remaining tasks in the approved Tariff Reform Plan in accordance with the plan schedule. The ERA is collecting information from the energy enterprises and other interested parties and preparing a resolution for the next tariff increase now scheduled for mid-2009.

Competitive electricity market design: The stakeholders formed a Working Group (WG) to bring together all major counterparts to review and approve the new market design and the revised market rules that will be delivered to the ERA and the GoM-Donors Energy Working Group (EWG) by the end of January. Work also commenced on a major revision of the Grid Code and operational procedures.

Update of the ERA Assessment: The update of the November 2006 assessment has been completed and will be delivered to USAID, the EWG and other key counterparts in January. Both the project and the ERA are pleased with the results.

Development of the CHP #5 tender process and documents: The tender was issued via the Mongolian media on 1 August 2008. The date for submission of proposals is currently 15 January 2009.

Energy Working Group (EWG): The last meeting of the Group was held on 5 December 2008 with all members present. The next meeting is scheduled for 15 January 2009. A draft agenda has been forwarded to the Ministry of Mineral Resources and Energy (MMRE) for their approval along with notes of the last meeting and other documents for review and comment prior to issuance to the EWG.

Consensus Building, Public Education, and National Dialogue Support

Potential national dialogue and consensus building on mining policy and issues: Project continued meetings with stakeholders in Parliament, civil society, trade unions, and other stakeholders to seek a common ground for a consensus-seeking activity. The project engaged a short-term communications expert during December to assist with the activity.