Ulaanbaatar
2024 to Be the Year to Support Regional Development
Politics
Ulaanbaatar, December
28, 2023 /MONTSAME/. At its regular session on December 27, the Government approved the Resolution on Declaring 2024 as the Year to Support Regional Development. 22 years have passed since the adoption of the Resolution No. 57 of 2001 the "Regional Development Concept of Mongolia."
At present, 46 percent of Mongolia's population resides in the capital city of Ulaanbaatar, 75.8 percent of enterprises and 84 percent of trade and services are focused in the capital city and 63 percent of GDP is produced solely in Ulaanbaatar. Meanwhile, 53.2 percent of the total population lives in rural areas, 24.2 percent of enterprises and 16 percent of trade and services operate there and 37 percent of GDP is produced in the countryside.
The gap between urban and rural development is a major cause of labour shortage and lack of economic diversification in rural areas in contrast to an excessive concentration of population in Ulaanbaatar, increasing congestion, smog, air and soil pollution, and a decrease in access to social services.
Within the framework of the Year to Support Regional Development and based on the Regional Development Concept of Mongolia", Deputy Prime Minister and Minister of Economy and Development of Mongolia Ch. Khurelbaatar was tasked to develop and monitor the implementation of Mongolia's Medium-term Development Policy or Regional Development Program considering proposals from cabinet members and relevant organizations of aimags and the capital.
In the framework of the general financing agreement, Minister of Finance B. Javkhlan is to sign the Financial Agreement between Mongolia and the European Investment Bank on the implementation of Phase I of Aimags and Soums Green Regional Development Investment Program (ASDIP), which was established between Mongolia and the Asian Development Bank on February 28, 2023.
Under the ASDIP, a total of USD 735 million in loans and grants will be spent for building engineering infrastructure, construction of transport and logistics centers, and green financing to support agricultural production in 52 soums of 17 aimags.
