Landlocked between China and Russia, Mongolia has a population of 3 million living in a country the size of Western Europe. Owing in part to USAID’s robust assistance since 1991, Mongolia has made remarkable progress in establishing a democratic society and an open, market-oriented economy. The impacts of USAID’s sustained assistance are reflected in national policies that encourage private investment and enterprise development, the emergence of Khan and Xac Banks as sound and reliable financing sources for Mongolian companies, and innovative initiatives that promote environmentally sustainable use of pasture lands and access to new markets for pastoral and nomadic communities. This period has also seen remarkable improvements in human development, including a tripling of per capita income, life expectancy increasing from 60 to 68 years, and steady gains in educational attainment. Home to vast mineral resources, Mongolia achieved an economic growth rate averaging more than 10 percent per year between 2010 and 2013.
While recent reductions in mining sector investment and the global decline in commodity markets has slowed overall GDP growth, other untapped aspects of Mongolia’s economy present encouraging prospects for diversification. Unlocking this potential requires accelerated efforts to promote economic competitiveness and develop non-mining sectors, such as leather and cashmere products, agriculture, and tourism.
USAID is scaling back its presence in Mongolia as the country’s relationship with the United States evolves into a mutual partnership based on shared interests rather than one of donor and aid recipient. Current activities focus on creating a welcoming environment for domestic and international business and fostering sustainable, private sector-led economic growth in support of Mongolia’s emergence as an economic and trade partner in the region. In addition, USAID continues to implement smaller projects in the areas of disaster preparedness, cooperative development in the dairy and farming sectors, and the empowerment of people with disabilities.
USAID assistance saved Mongolian businesses $15 million over 18 months through the simplification of government procedures, and promises greater savings in future years.
USAID assistance in streamlining the tax code expanded the tax base and increased transparency and accountability.
USAID has helped 20 small businesses enhance their competitiveness and increase sales by $2 million in the past year, supporting economic diversification and employment.
ECONOMIC GROWTH AND TRADE
USAID supports and complements the efforts of the Government of Mongolia to improve the business enabling environment, strengthen the competitiveness of Mongolian enterprises and develop the non-mining sectors in support of a diversified economy. USAID also encourages public-private dialogues to ensure that government policies are informed by and implemented with input from the private sector.
Our activities assist the Mongolian government in reforming the regulatory framework governing key business
activities, including cross-border trade, taxation, business start-ups and commercial arbitration. Improved regulatory procedures in these and other areas are reflected in the World Bank Group’s Doing Business 2015 report. Mongolia marked clear advances to its business enabling environment by improving 14 places since 2012, moving from 86th to 72nd out of 189 economies.
USAID is also supporting the Quality Supplier Development Center, a local non-governmental organization recently established with our assistance that works to increase the capacity and competitiveness of Mongolian companies. The Center provides training to Mongolian businesses in areas such as food safety, occupational health and safety, and other best practices. Additionally, the Center helps Mongolian small- and medium-sized suppliers meet buyers’ requirements for quantity, quality, price and time — both domestically and in the export markets. It also promotes and facilitates the purchase of locally procured goods and services by large companies operating in Mongolia.
EMIRGE: Enabling Market Integration through Rural Group Empowerment Project
EMIRGE is implemented by Global Communities (formerly CHF International) for the period of September 2010 until June 2016. The project is implemented in Selenge, Darkhan-Uul, Orkhon and Selenge aimags (provinces).
The goal of EMIRGE is to improve incomes of small-scale farmers in Mongolia by enabling agricultural producer groups to overcome common constraints and pursue market-driven business objectives linking them to value chains. The project currently focuses on dairy and vegetable cooperatives.
Learn more: http://www.globalcommunities.org
“Early Intervention Services for Deaf and Hard of Hearing Infants, Toddlers, and Their Families and Implementing a Bilingual/Bicultural Approach for Deaf Education in Mongolia” or “Implementing Bi-Bi Approach in Deaf Education” project
The project is implemented by Mongolian Association of Sign Language Interpreters (MASLI) for the period of September 2014 until September 2016.
The goal of the project is to develop deaf education in Mongolia and eventually help improve the lives of the deaf community. The objectives of the project are:
1. To increase participation of deaf adults in deaf children’s education.
2. To establish early intervention services for deaf infants and toddlers, and their families.
3. To ensure that deaf children are provided bilingual education within the deaf education system.
4. To ensure that people with disabilities can protect their rights by strengthening the organizational capacity of local Disabled People’s Organization (DPOs) and enhancing human rights.
USAID/OFDA Assistance for Disaster Risk Reduction and Emergency Response
USAID’s Office of U.S. Foreign Disaster Relief (OFDA) supports efforts to improve the capacity of Mongolia’s National Emergency Management Agency to respond to disasters, and the ongoing development of the Livestock Early Warning System to enable rural farmers to better anticipate, and respond to, severe winter weather conditions that can lead to massive damage to livestock and crops.
Last updated: February 20, 2015