Diversifying Mongolia's Economy for Green, Inclusive and Sustainable Growth

The project team contributed to the development of outcomes and activities for the JWP between the UN and the Government of Mongolia on the agreed objectives of the Sustainable Development Cooperation Framework' (UNSDCF), focusing on Outcome 2: “By 2027, the Mongolian economy is more diversified, innovative, productive, inclusive, green and geographically balanced enabling decent livelihoods, especially for women and youth, building 21st century skills, and promoting low-carbon development.” To achieve the project objective, the team outlined two distinct deliverables - namely, the identification of sectors and sub-sectors that provide high potential for diversification activity, and recommendations for selecting high potential sub-sectors. 



The research conducted by the project team identified the dairy sector in Mongolia as a high potential sector for economic diversification and sustainable development. However, several significant challenges were identified across the dairy supply chain, including low productivity, poor milk quality, logistical challenges, and inadequate investment, which are compounded by lack of political support and constraints of the nomadic lifestyle. In response to these challenges, the project team proposed three innovative, inclusive, and growth-enhancing initiatives. These initiatives aimed to address the identified issues and capitalize on the potential of the dairy sector to contribute to Mongolia's economic diversification and sustainable development goals.