Mongolia is a vast, landlocked and sparsely populated country. Half of its population lives in rural areas. Agricultural production, dominated by nomadic herding, accounts for about one fifth of its GDP, which relies on coal and copper mining industries.
EU development cooperation with Mongolia focuses mainly on strengthening the governance of revenues, on improving employment opportunities, and on investments.
Bilateral support to Mongolia for 2014-2020 amounts to €65 million.
534 new jobs created in 74 SMEs, with average employment growth exceeding 15 per cent per SME.The EU supported job creation and economic diversification in Mongolia in cooperation with the European Bank for Reconstruction and Development.
60 complaints concerning violations of human rights of Persons with Disabilities in Mongolia collected and acted on.The EU worked with NGOs to protect the rights of persons with disabilities in Mongolia.
More than 1,600 labour and employment experts and social partners trained to elaborate and implement labour and employment policies.The EU provides technical assistance to support employment policy and promote job creation in Mongolia.
Mining contributes to increasing Mongolia’s public revenues. However, reinforcing the government’s capacity for managing the resource revenues is necessary to translate these revenues into inclusive and sustainable development. The EU has allocated €34 million to support improved governance of revenues for inclusive and sustainable growth.
The EU has also allocated €30 million to develop employment opportunities in the non-mining sector, in particular through a better skilled labour force. This includes the development of a policy environment conducive to job creation, particularly for the most vulnerable, and strengthening specific value chains in the livestock and vegetable sectors. The EU plans to further support the implementation of the National Employment Policy.
Mongolia benefits from the Asia Investment Facility. This facility provides grants to attract financial resources from financial institutions and other public and private partners for investments, technical assistance, or risk capital operations. This encourages beneficiaries to make investments, which are relevant for sustainable development. These investments may otherwise be financially or technically difficult to realise. The EU already invested in Mongolia in sectors such solid-waste and economic diversification through SME Access to Finance.