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National Development Agency(Mongolia), Sector Development Policy and Regulation Division, Officer, ENKHTUYA Demchigjav

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National Development Agency(Mongolia), Sector Development Policy and Regulation Division, Officer, ENKHTUYA Demchigjav 2018 Northeast Asia International Conference for Economic Development (NICE) in Niigata B-ENKHTUYA 2018 Northeast Asia International Conference for Economic Development in Niigata, Japan National Development Agency(Mongolia), Sector Development Policy and Regulation Division, Officer, ENKHTUYA Demchigjav 31 January 2018 1 GENERAL INFORMATION ADMINISTRATIVE STRUCTURE THE SECTOR STRUCTURE (%) 15 12.5 11.6 11.5 22.8 25.3 27.4 33.2 32.1 21.3 35.4 41.2 28.4 23.4 55.8 56.4 46.3 49.5 46.3 49.1 55.2 1960 1970 1980 1990 2000 2010 2016 Service Industry Agriculture GDP COMPOSITION EXPORT COMPOSITION 89% 1% 10% Mineral Wool and Others resources cashmere 2 ©ERINA 2018 Northeast Asia International Conference for Economic Development (NICE) in Niigata B-ENKHTUYA DEVELOPMENT POLICY GUIDELINES Long-term 15-20 years Mongolia’s Mid-term 8-10, 3-5 years development vision - State policy; - Regional development Short-term 1 year policy; 10 - Guideline for socio- “Mongolia ‐ - Development objectives Sustainable 8 Sustainable of aimaks economic development ; Development and capital city Development Vision- - Socio-economic guidelines goals - Government action ” 2030 plans; for capital, aimak, soum and - Governor’s action plan; district development; 5 - National and ‐ subnational - State and local budgets 3 programs; developed in accordance - National investment program with the Paragraph 6.5.1 of this law 3 STRATEGY TO IMPLEMENT SUSTAINABLE DEVELOPMENT POLICY OF MONGOLIA MACROECONOMIC ECONOMIC REGIONAL ECONOMIC DIVERSIFICATION HUMAN DEVELOPMENT STABILIZATION DEVELOPMENT • Create a comprehensive • Update the legal • Develop and implement • The wage system will be policy planning system. framework for Investment regional development indexed in connection with • Pursue principles of Policy to meet the needs of policy. inflation and exchange rate regulating continuing the economy and society. • Increase the efficiency of changes. exchange rate flexibility • Priority will be given to the public investment in • Increase an inclusive and steadily increasing of establishment of the Mining accordance with the local access to schools and foreign currency reserve. Logistics and Exchange development index. kindergartens • Implement the IMF's Center. • Improve employment and • Reduce foreign cash Extended Financing • Develop a mining industry quality of life in rural areas outflow by establishing a Program and the Economic cluster by implementing 'New rural diagnostic and treatment Recovery Program. • For purpose to enhance projects'. center that meets • Reform the Financial revenue and create jobs for • In order to improve the international standards and Sector Policy. herders and cooperatives, business environment in introducing advanced • Comply principles to Intensify establishment of rural areas, the agricultural health technologies. implement large projects agricultural clusters at the cluster network will be set • Providing employment for by public-private local level . up at 4 priority sites. poor and vulnerable partnership. • Create the fundamentals to • Set up Commercial household members by • Take measures to enhance launch 4th Industry Complex to support trade implementing the Poverty export volume by revolution through forming network of enterprises and Reduction Program. developing economic the Integrated industry cooperatives. integration with information system. neighboring countries. 4 ©ERINA 2018 Northeast Asia International Conference for Economic Development (NICE) in Niigata B-ENKHTUYA THE LEGAL ENVIRONMENT FOR REGIONAL DEVELOPMENT LEGAL DOCUMENTS 1992 1995 1996 2001 2003 2004 2015 2015 ” Constitution of Constitution “Law on Regional on “Law development and management regulation” “Law on free zone” free on “Law “Mongolia’s “Mongolia’s vision development “Law on development on “Law planning” and policy “ Mongolia” “Theoretical basis and basis “Theoretical for methodology development regional in Mongolia” programs “Mongolia’s regional “Mongolia’s vision” development “Mongolia’s free zone free “Mongolia’s vision” establishment 5 REGIONAL DEVELOPMENT GOALS 6 ©ERINA 2018 Northeast Asia International Conference for Economic Development (NICE) in Niigata B-ENKHTUYA MONGOLIA'S ECONOMIC DEVELOPMENT REGIONS MAPPING 7 7 THE CURRENT STATE OF REGIONS Indications CENTRAL KHANGAI EASTERN WESTERN UB Share of total 30,3 24,0 18,0 26,5 0,3 territory (%) Covered aimags 76359 districts Population, mln 493 583,0 211,0 393,0 1440,0 Agriculture 35% 45% 65% 76% 1% 40% Industry 23% 5,4% 2% 29 % structure Service 29% 22% 42% 15% 70% Regional GDP GDP Regional Industrial big Ulaanbaatar Darkhan Erdenet Bor-Undur -- centres Baganuur Darkhan, Erdenet Choibalsan8 Khovd, Pillar cities Ulaanbaatar Zuunmod Kharkhorin Undurkhaan Uliastai The production Баруун coefficient per capita 2.5 2.0 1.5 Улаанбаа 1.0 Хангайн тарын 0.5 0.0 Зүүн Төвийн ХАА The regional market Аж үйлдвэр, барилга Үйлчилгээ diversification 8 ©ERINA 2018 Northeast Asia International Conference for Economic Development (NICE) in Niigata B-ENKHTUYA REGIONS’ COMPETITIVENESS EVALUATION Resource usage efficiency indications Integral Resource usage Investment Regions Livelihood level competitiveness efficiency attractiveness coefficient coefficient coefficient coefficient Western region 0.11 0.41 0.49 0.28 Khangai region 0.37 0.39 0.55 0.43 Central region 0.33 0.46 0.59 0.45 Eastern region 0.16 0.34 0.30 0.25 Ulaanbaatar 0.60 0.80 1.00 0.78 G. Battuvshin (PhD) 9 INDUSTRIAL CLUSTERS by 5 regions and INDUSTRIAL SPATIAL PLANNING MATRIX FOR NON- 27 locations MINING SECTORS 10 ©ERINA 2018 Northeast Asia International Conference for Economic Development (NICE) in Niigata B-ENKHTUYA VALUE CHAIN SPATIAL LOCATIONS GREEN DEVELOPMENT CORRIDOR horizontally, G.Battuvshin (PhD INDUSTRIAL CORRIDOR vertically (JICA:General Study on Regional Development of “ECONOMIC SPATIAL LOCATONS STUDY” Mongolia ) The "value chain spatial locations of Mongolia" proves by the findings of domestic researchers and international organizations. 11 WORKING PLAN FOR DEVELOPING REGIONAL DEVELOPMENT POLICY (summary) 2017 он 2018 он 2019 он № Stages Group Measures VI VII VIII IX X XI XII I II III IV V VI VII VIII IX X XI XII I II III 1 Establish working groups 3 Ensure preparation of measures /accept offers/ 4 WORKS Invite domestic and foreign advisors 5 Enhance the capacity PREPARATION PREPARATION 7 Developing planning models and information systems 8 Organize research meetings MODEL Монгол Улсын бүсчилсэн хөгжлийн төлөвлөлтийн 9 DEVELOPING METHOD AND SELECTION SELECTION OF түүхэн замнал 10 The situation analysis 11 Sustainable economic development Regional Sustainable social development development 12 policy study (by Sustainable environment development and evaluation 5 regions) 13 studies, researches Sustainable development governance International experience Discussion of location descriptions of sectors' medium 15 and long period development policy drafts Discussion of location descriptions of local medium and 16 long period development policy drafts Discussion of location descriptions of projects and 19 programs being implemented by professional associations and private companies 20 Develop integrated development and location mapping Planiing of Regional development policy, developing location drafts and schemeАХ Develop the first version of the Regional development policy 21 document 22 Discussion of the Regional development policy document draft Submit the Regional development policy document to the 23 Government and hold discussions Organize propaganda the Regional development policy 24 document 12 ©ERINA 2018 Northeast Asia International Conference for Economic Development (NICE) in Niigata B-ENKHTUYA Challenges The implementation of regional development policies is inadequate. The regional economic regulation tools are still undefined. Urban and rural economic disparities increased. Regional planning is inefficient The main functions of regional development pillar cities and the regional governors are unclear. The planning capacity of the staff is weak. It is negative to consolidate the regional development policy at the state policy level. 13 THANK YOU FOR YOUR ATTENTION 14 ©ERINA.
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