世界银行-蒙古国基础设施发展报告（英文）-2020.11-124页_6mb

Mongolia InfraSAP Summary

Core Content

The Mongolia InfraSAP (Infrastructure Sector Assessment Program) evaluates the role of infrastructure in Mongolia's economic development and outlines investment priorities and policy recommendations to address key challenges. The report emphasizes the need for a selective and strategic approach to infrastructure investment, given Mongolia's unique characteristics.

Main Points

1. Mongolia's Unique Challenges

• Low population density and vast territory create significant challenges for infrastructure development and economic diversification.
• Economic activities often benefit from agglomeration, meaning that economic distance to suppliers, customers, and peers affects profitability.
• Mongolia's mining dependence has driven economic growth but also made the economy vulnerable to fluctuations in the mining sector.
• The landlocked location between China and Russia presents both opportunities and constraints for trade and transit.

2. Economic Value Chains

The report identifies five key economic value chains that could benefit from targeted infrastructure investment:

• Mineral Value Chains: Including coal, copper, iron ore, and steel.
• Livestock Sector: Encompassing meat, milk, cashmere, and leather.
• Tourism: As a growing sector, it requires better infrastructure to support visitor access and services.
• Digital Development: Leveraging Mongolia's high internet penetration and skilled workforce.
• Renewable Energy for Export: Especially wind and solar power, which are abundant in the country.

3. Infrastructure Constraints

• Transport infrastructure is limited in quality, capacity, and coverage, especially in remote areas.
• Energy infrastructure faces issues in reliability, efficiency, and coverage, with a significant portion of the country lacking access to reliable power.
• Digital infrastructure is improving but still lags behind international standards, affecting the competitiveness of the service sector.

Key Infrastructure Gaps

4.1. Transport Infrastructure

• Road network: Poor quality and limited coverage, especially in rural areas.
• Rail network: Outdated and underutilized, with low capacity and connectivity.
• Meat supply chain: Limited cold storage and transport infrastructure leads to high logistics costs and waste.

4.2. Energy Infrastructure

• Power generation, transmission, and distribution are inefficient and insufficient, especially for remote mining operations.
• Heat supply is inadequate in many regions, affecting industrial and residential use.
• Renewable energy projects face challenges in grid integration and cost competitiveness.

4.3. Digital Infrastructure

• Internet penetration is high, but digital services and infrastructure are still underdeveloped.
• Digital financial services (DFS) and ICT infrastructure require significant investment to support the service sector and economic diversification.

Institutional and Financing Challenges

3.1. Institutional Bottlenecks

• Fragmented institutional framework: Multiple government bodies are involved in infrastructure planning and implementation, leading to poor coordination and inefficiencies.
• Need for institutional reform: A new Ministry for Economic Development, led by a deputy prime minister, could help reduce fragmentation and improve coordination.

3.2. Financing Constraints

• Limited public funding: Mongolia spends about 10% of GDP on infrastructure, but the value is low relative to GDP size.
• High public debt: The public debt to GDP ratio is relatively high, limiting the ability to finance additional projects.
• Need for private sector involvement: Private investment is crucial for scaling up infrastructure projects, especially in mining and energy sectors.
• Role of public entities: The state-owned enterprise Erdenes Mongol plays a significant role in infrastructure projects, but its participation needs to be re-evaluated.

Value Chain Approach

The report advocates for a value chain approach to infrastructure investment, identifying specific gaps that hinder the development of key economic sectors:

• Livestock value chain: Requires better transport and cold storage infrastructure to reduce waste and improve efficiency.
• Mineral value chain: Needs improved transport and energy infrastructure to support mining operations and export activities.
• Tourism and service sector: Benefits from better road and digital infrastructure to enhance visitor experience and service delivery.
• Renewable energy: Needs a robust power grid to connect new energy sources to demand centers.

Recommendations

5.1. Strategic Infrastructure Development

• Develop strategic infrastructure and corridors to support economic diversification.
• Focus on key value chains and associated corridors to maximize economic returns.

5.2. Funding and Financing

• Leverage private sector investment through public-private partnerships (PPPs) and improved project preparation.
• Enhance investment climate by reducing regulatory risks and improving transparency in procurement processes.

5.3. Institutional Reform

• Improve institutional coordination and governance to streamline infrastructure planning and implementation.
• Establish a comprehensive and integrated program for urban mobility and service sector support.

Conclusion

The Mongolia InfraSAP underscores the need for a selective and strategic approach to infrastructure investment, focusing on key economic value chains and corridors. It highlights the importance of institutional reform, private sector engagement, and improved financing mechanisms to support economic diversification and reduce logistics costs. The report aims to guide Mongolia in making informed infrastructure decisions that align with its long-term development goals.