Mongolia Compact

Women and Land: A Winning Combination for Economic Growth

MCC's $27 million Property Rights Project in Mongolia is working to increase women's awareness of the importance and benefits of owning land, and it is helping to empower women as economic actors.

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In October 2007, the Millennium Challenge Corporation signed a five-year, $285 million compact with the Government of Mongolia aimed at reducing poverty and promoting sustainable economic growth through investments in four projects. The compact in Mongolia entered into force in September 2008, formally initiating the five-year timeline for project implementation.

Subsequently, at the request of the Government of Mongolia, the compact’s rail project was canceled, and its funds were formally reallocated to expand the existing projects and the addition of two new projects. The Mongolia Compact was amended in January 2010 to reflect these changes.

The strategic investments of the compact will increase economic activity through improving the land registration system, helping people in poorer urban areas register their land, and providing for sustainable management and utilization of rangelands in selected peri-urban areas; improve vocational training to help Mongolians qualify for more demanding and financially rewarding market-oriented jobs, ensuring that they become healthier and more productive as they enter the marketplace; increase the adoption of energy-efficient and lower-emission appliances and homes in the ger districts and support the development of renewable energy; and improve the road in the critical north-south economic corridor.

  • Signed:
    October 22, 2007
  • Entry into Force:
    September 17, 2008
  • Completed:
    September 17, 2013

Financial data as of December 1, 2013.

The energy and environment project is focused on air quality; a critical issue for residents of the Mongolian capital, Ulaanbaatar. In collaboration with other donor initiatives, the energy and environment project aims to reduce urban air pollution in the capital, bring savings from fuel consumption, reduce health costs and increase productivity. There are two primary project components:

  • Creation of a facility to fund 1) consumer subsidies for residents of Ulaanbaatar’s ger districts (where the majority of the city’s poor reside) for the purchase of energy efficient products and homes certified as meeting a set standard and/or otherwise demonstrating a superior efficiency and emissions performance over previous models, 2) technical assistance, and 3) a broad based public awareness program.
  • Introduce wind energy into the national grid by upgrading the nearest substation, installing a 22-kilometer fiber optic line from the substation to Ulaanbaatar’s National Dispatching Center, installing a training simulator to incorporate variable power into the national grid, and providing a limited operating subsidy for transmitting wind power.

This project aims to address the high and growing incidence of non-communicable diseases and injuries (NCDIs) to ensure that Mongolians become healthier and more productive in the marketplace.  The project’s main activities are:

  • Decreasing the incidence and severity of the most prevalent forms of non-communicable diseases and injuries (NCDIs) that have an impact on mortality (e.g., cancer, cardiovascular disease, diabetes and trauma) by promoting NCDI risk-factor reducing behavior;
  • Increasing early detection of NCDIs; and
  • Providing effective disease management services.
  • The 2010 amendment expanded the project target population, added an additional intervention of HPV vaccination, and expanded the heart disease and stroke prevention and control programs.


The importance of the road sector within the north-south economic corridor for Mongolia has been increasingly recognized. This project aims to improve the road conditions in this corridor and consists of three components:

  • Constructing the 176.4 km road section between Choir and the 35th railway crossing outside of Sainshand; and
  • Supporting improved road maintenance, including capacity building in the Government’s Department of Roads.


This project focuses on improving the accuracy, accessibility and efficiency of Mongolia’s land titling and registration system to enable Mongolians to capitalize their land assets, make longer-term investments in their homes and businesses, and expand opportunities for generating income. The project’s main activities are:

  • Improving the formal system for privatizing and registering land rights;
  • Helping residents of lower income ger district areas privatize and register their land plots;
  • Lease pasture land to groups of herders in peri-urban areas, and provide key infrastructure and training to improve livestock productivity and sustainable use of the range resource; and
  • The 2010 amendment expanded the scope of the peri-urban activity to include two additional regions.


This project aims to help Mongolian workers lacking training in modern industrial skills to qualify for more demanding and financially rewarding market-oriented jobs required in Mongolia’s developing economy.  The project’s main activities are:

  • Strengthening the policy and operational framework of the country’s vocational education system for providing technical skills to unemployed and marginally employed persons;
  • Defining the skills needed for occupations and applying them into the curricula for demand-driven vocational education;
  • Improving teacher training and professional development;
  • Providing career guidance and web-based career information services; and
  • The 2010 amendment expanded the project to increase the number of institutions being supplied with essential equipment, expand the competitive grant program used in building public-private partnerships, promote “centers of excellence” in vocational education, develop a labor market information system, and provide additional public outreach activities.


  • May 5, 2004

    Obtained Compact Eligiblity

    Mongolia obtained eligibility to receive MCC funding.
  • October 21, 2007

    Compact Signed

    MCC and the Government of Mongolia signed a five-year, $284.9 million compact.

  • September 16, 2008

    Entry Into Force

    The Mongolia Compact entered into force, signaling the beginning of the five-year implementation phase.
  • February 12, 2009

    New Vocational Education Training Law

    A new vocational education training law was ratified by the Parliament of Mongolia.
  • July 16, 2009

    Peri-Urban Rangeland Contract Signed

    The Peri-Urban Rangeland Project signed a contract with the Centre for Policy Research in joint venture with the Research Institute of Animal Husbandry.
  • December 31, 2009

    Peri-Urban Rangeland Project Expanded

    With the cancellation of Rail Project, the Ministry of Food, Agricultur, and Light Industry and the project implementation unit developed the Peri-Urban Rangeland Project Expansion Document. The proposal to expand the project in terms of geographical scope to Choibalsan of Dornod province and Kharkhorin of Uvurkhangai provinces were approved.
  • December 31, 2009

    Compact Amended

    In April 2009, the Government of Mongolia notified MCC that it intended to withdraw the Rail Project from the compact. In January 2010, approximately $188 million from the Rail Project was reallocated to the expansion of the Health, Property Rights and Vocational Education projects, as well as the addition of the new North-South Road and Energy and Environment projects.

  • March 30, 2010

    TVET Competitive Grants Contracts Signed

    Competitive grants contracts were signed with the first round of 17 recipient technical, vocational education and training schools.
  • July 13, 2010

    Asbestos Ban

    Import and sales of asbestos was banned nationwide under the Property Rights Project in an effort to effectively manage hazardous construction materials.

  • September 29, 2010

    Field Verification Activity Completed

    Two task forces were appointed to carry out the field verification activity within the peri-urban areas of Darkhan, Erdenet and Ulaanbaatar throughout the summer of 2010. The task forces then produced reports determining the herder groups that qualify or disqualify. MCA-Mongolia provided approval of all herder groups qualified by the task forces while MCC reviewed and accepted a total of 254 herder groups.

  • December 1, 2010

    Operating Reference System and Global Positioning System Delivered

    The Property Rights Project delivered a continuously operating reference system and global positioning system to the Administration of Land Affairs, Construction, Geodesy, and Cartography. This investment played an important role in upgrading Mongolia's geospatial infrastructure to allow for accurate land parcel mapping, which is vital for effective registration of legal rights.

  • December 16, 2010

    Second Round of Competitive Grants Contracts Signed

    Competitive grants contracts were awarded to 11 technical and vocational education and training schools.
  • May 10, 2011

    Clinical Guidelines Approved

    Four types of clinical guidelines for hypertension, Type 2 diabetes, cervical cancer, and breast cancer were developed and approved by the Ministry of Health. These clinical guidelines were printed and distributed to 550 family practitioners and the health centers and the nine district hospitals in all 21 provinces.
  • August 19, 2011

    TVET Instructors Trained

    Two hundred TVET instructors received intensive technical English language training.
  • September 13, 2011

    Contract for Consultant Service for Subsidy Transfer Agency Signed with Xac Bank and Khan Bank

    In support of the Energy and Environment Project's goal to reduce air pollution in Ulaanbaatar through the adoption of energy-efficient products in the ger area by providing consumer subsidies, Xac Bank and Khan Bank agreed to handle the sale and payment of energy efficient products offered through projectm collection of old stoves and consumer monitoring for the energy-efficient products and homes.

  • September 28, 2011

    157 Herder Group Lease Contracts Signed

    A random lottery of herder groups was successfully organized, and 165 herder groups were randomly selected. Contracts were signed with 157 of those groups. The herders were satisfied with the lottery, which was a fair and transparent process.
  • October 16, 2011

    Ulaanbaatar Emergency Care Center Equipment Delivered

    A fully equipped ambulance with proper basic life support supplies was handed over to the Emergency Care Center of Ulaanbaatar. Basic life support supplies were distributed to the Emergency Care Center of Ulaanbaatar, the National Emergency Management Agency and Health Sciences University of Mongolia and to 36 hospitals located near the main road, where most traffic accidents occur.

  • November 30, 2011

    11 Registry Office Buildings Refurbished and Furnished Under the Property Rights Project

    Eleven registry office buildings were refurbished and furnished with modern office furniture and IT equipment. As part of the refurbishment work, special attention was paid to enhancing the physical accessibility of the buildings for disabled people, including the creation of ramps for wheelchair users and building separate restrooms.

  • February 14, 2012

    Choir-Sainshand Road Contractors Chosen

    MCA-Mongolia signed a contract with Halla Engineering and Construction Corporation of South Korea to complete the first 90 kilometers of the Choir-Sainshand route and a contract with Jiangxi Water and Hydropower Construction of China to comkplete the last 86.4 kilometers.
  • March 15, 2012

    Labor Market Information System and Career Guidance System Sub-Project Completed

    The Labor Market Informaton System and Career Guidance System Sub-Project was completed successfully.
  • April 6, 2012

    Nationwide Arterial Hypertension and Diabetes Screening

    A nationwide screening program on hypertension and Type 2 diabetes began within the target group of citizens aged 40-64. Eighty-three types of medical equipment, including drugs and treatment and diagnosis apparatuses (valued at $3.1 million) were provided to more than 550 primary health care facilities in all 21 provinces and 9 districts. Digital mammography machines valued at $1.7 million were provided to the National Cancer Center and the regional diagnosis and treatment centers of Orkhon, Khovd and Uvurkhangai.
  • May 30, 2012

    Smoke-Free province Established

    For the first time in Mongolia, Sukhbaatar aigmag became a smoke-free province.
  • July 31, 2012

    National Cervical and Breast Cancer Screenings

    Cervical and breast cancer screenings began nationwide for women ages 30-60.
  • August 1, 2012

    National Forum on Health Service Quality Assurance

    The first National Forum on Health Service Quality Assurance was organized. Quality specialists from 21 provinces and 9 districts attended the forum. The Ministry of Health and the World Health Organization played a key role during the discussion.
  • August 23, 2012

    Tobacco Control Law Amended

    An amendment to tobacco control law was approved by Mongolian Parliament. The revised tobacco law banned smoking in workplaces, restaurants, bars, parks, and on public transportation.
  • November 2, 2012

    TV Show Broadcasts Awareness

    A multi-episode TV drama called Sharp Turn was broadcasted by a nationwide TV channel, Mongolian National TV. It addressed how lives can be changed in a moment from drinking alcohol and failing to screen for NCDs. To respond to consumer request, repeat airings will occur and the series will be distributed locally.
  • January 5, 2013

    10,900 Khashaa Plots Titled

    Between January 2012 and January 2013, the Khashaa Plot Privatization and Registration Activity under the Property Rights Project was carried out in eight regional centers and, about 37,300 khashaa plots were covered under field reconnaissance work, out of which nearly 10,900 khashaa plots were titled.
  • January 17, 2013

    Clinical Guidelines Approved

    Four types of clinical guidelines for heart attack, stroke and rehabilitation were developed and approved by a Health Ministerial Order. The guidelines were printed and distributed to key hospitals, organizations and agencies.
  • April 3, 2013

    Association of the National Mongolia Network for Workplace Health Promtion Established

    More than 400 workplaces joined the Workplace Health Promotion (WHP) network supported by the Health Project. On April 4, 2013, the steering committee members of WHP network established an NGO named the Association of the National Mongolian Network for Workplace Health Promotion as a coordinating organization for the network. The organization received a budget of $20,000 from MCA-Mongolia to organize capacity building trainings and a national conference on WHP.
  • May 31, 2013

    6.5 Million Archive Pages Digitized

    Digitization equipment and relative software were supplied to the General Authority for State Registration and regional registry offices. The activity contractor digitized 6.5 million pages of property rights registration archives in four districts and seven provinces.
  • July 21, 2013

    Cancer Registry and Recall System for National Cancer Center Completed

    The Cancer Registry and Recall System, a web-based program implemented in collaboration with the Mongolian National Cancer Center, was introduced to register all cancer cases and allow for recall cases of where necessary. Two different cancer recall programs, one for provinces and another for district health centers, were developed and introduced.
  • July 29, 2013

    Traffic Accident Information System

    A traffic accident information system for the national traffic safety program was developed and installed, allowing health organizations and traffic police to share mutually pertinent information via the newly developed integrated database.
  • September 4, 2013

    Opening of Newly Constructed Choir-Sanishand Road

    The 176.4 kilometers of newly constructed Choir-Sainshand Road opened, signifying the succesful completion of the Road Project.
  • September 16, 2013

    Compact End Date

    The Mongolia Compact closes out.