AKIPRESS.COM - The Ministry of Economy and Development and the Asian Development Bank have jointly organized a Private Sector Investment Forum at the "Shangri-La" hotel on January 29, Montsame reports.
The economy of Mongolia has grown by 6.8% as of the end of 2023, which is considerably high in the region. Mining and service sectors greatly influenced the economic growth, while the agricultural sector has decreased by 9%, Minister of Economy and Development Khurelbaatar Chimed emphasized in his opening speech at the Private Sector Investment Forum.
According to the Minister, the government will pay attention to the even growth of all sectors, maintaining steady economic growth at an average of 6%. Constant economic growth creates basic conditions for stable income of citizens and has an important effect on economic security, Mr. Khurelbaatar noted.
Foreign direct investment into Mongolia was $2.5 billion in 2022. The government plans to increase the investment to $4 billion in 2024.
"The private sector, which accounts for 79% of GDP, needs investment. ADB is making a big contribution to investment in the private sector. The government repeatedly requested ADB and the World Bank to provide direct investment to the private sector. Consequently, ADB has invested directly in more than 10 enterprises," said the Minister of Economy and Development.
A team of ADB officials responsible for banks, finance, credit, and investment came to the Forum from ADB headquarters in Manila, the Philippines to present priority areas, criteria, basic conditions, and application processes for ADB investment to the private sector.
Director General of ADB Private Sector Operations Department Suzanne Gaboury noted that ADB's financing to Mongolia in 2024 will be the highest ever, as the Bank will provide financing in diverse sectors, including bank, financing, agriculture, health, renewable energy, mining and logistics. She also emphasized ADB's intention to work on improving the regulatory environment in private sector investment in Mongolia.