On October 10, the Ministry of Finance struck a new deal with the United States Agency for International Development (USAID), acquiring an additional 17 billion MNT (6.4 million USD) financing for local development.

The bilateral agreement is directed to carry out a number of measures aimed to support good governance, strengthen the rule of law, promote efficient and affordable energy, and support sustainable, private sector-led growth in Mongolia.

“The USA is proud to stand with the government and the people of Mongolia to promote sustainable and inclusive growth,” US Ambassador to Mongolia Michael Klecheski said. “As strategic partners that share a commitment to democracy, this enhanced partnership will deepen our cooperation to support peace, prosperity, and stability in the region.”

The new assistance from USAID is expected to help grow and diversify Mongolia’s economy through support to small and medium enterprises (SMEs). USAID will work with government and private sector partners to create an environment conducive to the growth of SMEs, including easier access to business financing, improved corporate governance, and provision of small grants to disadvantaged enterprises.

In partnership with the Ministry of Finance, the US government plans to provide Mongolians better access to economical, clean, and quality energy. It also believes that the assistance will help improve the performance of power utilities, enhance private sector participation, and accelerate deployment of new and advanced technologies, including for energy efficiency.

In a statement, the US government affirmed that through USAID, it supports Mongolia’s continued democratic development; sustainable, inclusive economic growth; and sovereignty.

The statement continued, “Through its Leaders Advancing Democracy Mongolia program, USAID is helping to build the next generation of democracy champions across the country. USAID has also helped SMEs improve their access to credit and has facilitated linkages between financial institutions and 750 borrowers, multiplying their investments 20 times over and creating more than 600 new jobs.”