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Mongolia – country background

GEF - ADAPTATION TO CLIMATE CHANGE WORKSHOP IFAD in Mongolia - country background Rome, 18-19 May 2007 presentation by Thomas Rath, Country Programme Manager. Mongolia – country background. Landlocked between Russia and China 2.4 million people Rural population: 1.08 million ( = 43 %)

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Mongolia – country background

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  1. GEF - ADAPTATION TO CLIMATE CHANGE WORKSHOP IFAD in Mongolia - country background Rome, 18-19 May 2007presentation by Thomas Rath, Country Programme Manager

  2. Mongolia – country background • Landlocked between Russia and China • 2.4 million people • Rural population: 1.08 million ( = 43 %) • Lowest population density of the world: 1.4 person / km2 • "twin terrors of isolation and distance“

  3. The countryside • Mountains zone (Altai mountains) • Mountain - steppe zone • Steppe • Gobi desert

  4. Climate – the extreme • Summer: warm and short (100 days) • Winter: very cold and long • Precipitation: 300 mm per year • Dzud : the winter disaster • Occurrences of prolonged dry periods (“droughts”)

  5. Dzud – the winter disaster • Three consecutive dzuds (1999-2001) • 11 million animals lost • Small, vulnerable herders were pushed in deep poverty and destitution

  6. Economy* • GDP shares: services (54%) ; industry (24%); agriculture (20%) GDP per capita: USD 1075 GDP growth: 7 % (in 2004: 10%) * National Statistics for 2006

  7. The rural sector: livestock • Agriculture contributes 20 % to GNP • Livestock make up 80% of gross agricultural output • About 30 % of export earnings

  8. Rural Poverty • Poverty remains widespread, but declining. • In 2003: 36 % ; in 2006: 32 % • Poverty in rural areas: 38 % (urban: 28 %) • Poverty incidence has worsened in aimag centres , but improved in UB and soum centres!!

  9. Towards Improved Resilience Exposure to harsh winter Fragile nat. resources (rangeland, water) Insecure land tenure Weak services Vulnerability • coping strategy: • Community NRM • Hay making • Access to finance • Change production • Health & education • Other…. Resilience

  10. IFAD country experience(past & ongoing interventions) • Poverty reduction: targeting the poor • Pasture management: herder groups and RMMC • Non farm economic activities • Social development activities • Rural finance: outreach to the rural, remote areas through mobile banking • Long-term experience in four aimags (provinces)

  11. IFAD country experience(past & ongoing interventions) • Livestock re-stocking • Vegetable production • Co-managed NRM • Water supply through well rehabilitation • Extension services(quality and outreach) • Breeding • private Vet. Services • rehabilitation of clinics and schools, training of doctors, school teachers, • School drop out program ; mobile kindergarten • Other Economic activities • Access to finance: mobile banking (XacBank)

  12. Country Strategy Mongolia Gov policies PRSP IFAD strategic Framework New project pipeline New IFAD Country Strategy

  13. Goal of Country Program Poor women and men are empowered to achieve higher income and improved food security * (* refers to IFAD strategic framework and MDG1)

  14. Strategic Objectives for 2007 - 2009 • SO 1: Access to remunerative and stable premium markets • SO 2: Access to affordable and viable rural financial services • SO 3: Access to sustainable natural resources

  15. Project 1: Rural Markets and Poverty Reduction Project SO 1: Access to remunerative and stable premium markets A) value chain development • identification of private entrepreneur • product development • producer involvement B) Rural Financial services • Innovative MF products for producers • Investment funds for enterprises

  16. C) Community Infrastructure • Upgrading of social infrastructure • Renewable energy systems for village heating and/or electrification • For better access to markets: road repair, market place

  17. Project 2: Rural Finance Services SO2: Enhance access of the poor to financial services • Building up credit history through training and working capital • Pilot group loans to lower collateral requirements

  18. Project 3: Natural Resources Management SO 3: Access to sustainable natural resources • Consolidate grassroots-led NRM • Groups access financial resources for economic activities • Organisational structure • Governance • Renewable energy

  19. Thank you !

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