Famously known for its deserts and steppes, Mongolia is actually a forest nation too. Boreal forests cover 14.2 million hectares or 9% of this vast country. Compared with tropical forests, boreal forests store twice as much carbon per hectare, much of it below ground. They are the earth’s largest terrestrial carbon sink, a hugely important factor in the fight against climate change.
But Mongolia’s forests are under threat. More than 140,000 hectares of forest are lost every year to fires, insect pests, grazing, and illegal logging. Being one of the coldest countries in the world, Mongolia is already seeing the impacts of climate change, with average temperature increases of more than 2 degrees Celsius, and significant changes to once reliable precipitation patterns. Average annual precipitation in northern Mongolia is around 220 millimetres, less than a quarter of the globally averaged annual precipitation. Drier forests contain large amounts of deadfalls and debris, further increasing the fire risks.
Unsustainable and illegal logging poses another threat. The Government of Mongolia has enacted a variety of laws and policies to curb the loss of forest cover. One of these, the Law on Environmental Protection, was amended in 2005 to allow for the creation of Forest User Groups (FUGs), voluntary organizations of local citizens that are tasked with the appropriate utilization and rehabilitation of local forests in accordance with civil law. The implementation of FUGs has resulted in a significant decrease in illegal logging wherever these groups are active.
In 2015, the Mongolian government and ADB signed a letter of agreement for a technical assistance (TA) project to improve sustainable livelihoods for local communities through sustainable forest management. The project, totaling $2.1 million, was financed by grants from the Government of Japan through the Japan Fund for Poverty Reduction, now Japan Fund for Prosperous and Resilient Asia and the Pacific. The executing agency was the Ministry of Environment and Tourism, represented by its Forest Policy and Coordination Department.
The project targeted building resilience of boreal forest ecosystems, supporting policies around forest protection while encouraging private enterprises and FUGs to get involved in forest management. “To achieve these goals, the project was designed to boost capacity of governmental forest management line agencies and to strengthen forest product value chains. It was also necessary to improve FUGS’ capacities to managing the forests for which they are responsible,” says ADB Country Director for Mongolia Pavit Ramachandran. “The project also demonstrates technology for wood processing systems.”
In 2015, NIRAS, a multi-disciplinary consulting company with its global headquarters in Denmark, was awarded a contract of $2 million to provide the technical assistance. NIRAS’ Finland office, jointly with their local partner MonConsult LLC., implemented the TA.
As one of the most forested countries in Europe, with trees covering two thirds of its area, Finland has a long history of working for a balance between intensive industrial use of forests and sustainability. Until the 19th century, Finnish forests were heavily exploited for building materials and fuel as well as for exports, later for pulp and paper production. This was a concern for Anton Blomqvist, the father of Finnish forestry. Foresightful, he founded its first professional institution to train forest officers in 1862, the Evo College forest school, only two years after the establishment of Finland’s Ministry of Agriculture. In 1907, the Finnish forest management society (Tapio) was founded as the first nongovernment organization to assist with forestry management and the rational use of forest resources.
“We are proud to have played a role in promoting the importance of sustainable forestry and building related capacities in Mongolia,” says NIRAS Regional Director for Asia and Pacific Antti Inkinen. “NIRAS Asia, with head office in Manila, specialises in transferring our global expertise to the many countries NIRAS works in with ADB. In the case of Mongolia and forestry, this international expertise was firmly anchored in Finland, specifically applied in developing transparent fair value chains for forest products and services to generate new income and employment opportunities for the local community while securing protection of the natural environment.”
The project engaged in a variety of activities, including business management training; the integration of global information systems to capture related data in the planning of the sustainable forest management; and forest and non-forest product development. The Bayan Tunkhel Cooperative was created as a pathway for FUGs to derive economic benefit from harvesting forest products, utilizing wood processing technology, and providing biomass for heating.
The project found that improving the livelihoods of local communities through sustainable forest management would require policy changes. These would promote community-based forest management planning, the removal of ineffective timber quotas to allow FUGs to harvest more valuable products under controlled circumstances, and a greater sense of ownership that allows FUG members to derive economic value from their activities.
“The outcome from this TA puts forestry high up on the agenda in Mongolia,” says ADB Principal Environment Specialist Suzanne Robertson. “We see an increased environmental awareness and the role of forests within that, which, given the importance of forests in the fight against climate change is extremely welcome.”
Mongolia’s boreal forests act as ecological security buffers, being a source of food and fuelwood and livelihoods to local communities. By developing methods and tools, along with capacity building and knowledge sharing, the project has enabled FUGs to prepare sustainable forest management plans that restore and conserve forest resources, as well as develop economic opportunities. Continuing to support FUG’s is a good way to ensure the future of Mongolia’s boreal forests.
The ultimate goal of ADB’s support is to help achieve a climate-resilient, sustainable forestry sector which benefits local livelihoods. Achieving this requires a long-term commitment. In 2021, the Government and ADB initiated a follow-up project, the Forest Sector Development Program (2021–2023). The project is being funded by another generous grant ($0.8 million) from the Government of Japan through the Japan Fund for Prosperous and Resilient Asia and the Pacific. The program is in the early stages of implementation and will be reported on in the future.
Since Mongolia joined ADB in 1991, ADB has been Mongolia’s largest multilateral development partner, supporting the country’s transformation to a middle-income, market-based economy. In those 30 years, ADB has committed sovereign loans totalling $3 billion, nonsovereign loans totalling $182.1 million, grants of $335.7 million, and technical assistance worth $187.1 million for Mongolia. The blueprint for ADB’s operations in Mongolia, the Country Partnership Strategy (2021–2024), focuses on fostering inclusive social development and economic opportunity, climate-resilient infrastructure to drive competitiveness and diversification, and resilience for sustainable, green, and climate-conscious development.
ADB’s European Representative Office, based in Frankfurt, Germany, works with companies and governments across ADB’s 17 European member countries to facilitate the application of European expertise in ADB projects in its developing member countries.
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Illegal Wildlife Trade (IWT) is a lesser-understood problem with big consequences for Asia and the Pacific, and for Southeast Asia in particular. It is considered the fourth largest illegal trade worldwide, and is often linked to other serious crimes, such as anti-money laundering. With IWT being considered a predicate offense, following the money to freeze those assets—for reinvestment into conservation—is essential to defeat the heads of criminal networks.
At first glance, IWT seems an unlikely fit with the work of the Asian Development Bank. But it isn’t. It isn’t possible to alleviate poverty if the balance of natural ecosystems is altered, and the provision of ecosystem services is affected. To combat IWT, ADB embarked on a three-year project to combat organized environmental crime in the Philippines, financed by the Global Environment Facility (GEF) and implemented together with the Department of Natural Resources (DENR)-Biodiversity Management Bureau (BMB). The project recently concluded and, after winning a wildlife award for its project resources, has been hailed as a model for how to strengthen policy, build capacity, and reduce demand.
From the drafting of laws over machine learning to awareness on social media, this is how the project came about by those who were involved.
The Wildlife Resources Conservation and Protection Act (RA 9147) was a groundbreaking law passed in 2001 that expanded protection coverage to all wildlife and empowered regulation agencies to combat IWT. But in the 21 years that followed, organized crime syndicates were able to exploit legal loopholes due to the law’s vague language, low fines, and penalties that failed to serve as a deterrent. There was also limited enforcement capacity.
The DENR-ADB/GEF Project was instrumental in assisting the Philippine government to consult nationwide stakeholders, draft its version of the amendatory bill, and look for champions in the legislature. It also helped support the legislative and public advocacy campaigns for the bill, including assistance in the creation and signing of position papers. As of writing, the draft amendatory bill has already been passed in the country’s lower house, while the Senate version has already been filed in plenary for second reading—a major feat considering the complexities and procedures involved in proposing and passing national legislation. Efforts are now underway to have it passed within the remaining months of the 18th Congress.
Criminal activities are quick to adapt to law enforcement processes, which is why it is important for people involved in counter-IWT activities to stay updated and learn how to use new technologies. Even before the pandemic, e-commerce had become one of the main trade channels for IWT. Offenders often use pseudonyms and are protected by social media privacy regulations, so their criminal activities are very difficult to track by law enforcers and traffickers can reach a wider audience. Our Project collaborated with the University of Helsinki to pilot a study involving the use of Artificial Intelligence and Machine Learning to detect the trade of some threatened Philippine species on digital media. Even if the results were anonymized to comply with national and international laws, they highlighted the potential of this methodology to automatically scan millions of webpages and highlight suspicious activities.
Another innovative study that we undertook was a monetary estimate of the value of some of the most trafficked taxa in the Philippines. Collecting data from direct surveys and available scientific literature, the study found that the use value generated by the Philippine marine turtle and blue-naped parrot populations can be quantified at about $64 million and $6 million, respectively, per year. Even if assigning a monetary value on nature is still controversial, it can be a very useful tool for policymakers to better understand the importance of protecting these species and the potential economic damage of poaching.
To build and reinforce long-term capacity among wildlife law enforcement authorities, there is a need to understand the effectiveness of current responses to combating wildlife and forest crime. The DENR-ADB/GEF Project, in partnership with UNODC, supported a national self-assessment on issues related to wildlife crime, using the International Consortium to Combat Wildlife Crime Indicator Framework. Stakeholders from numerous law enforcement agencies joined the consultations to identify gaps and determine the effectiveness of their actions. It was found, among others, that the government should increase the use of intelligence-led approaches in wildlife crime investigations. Another achievement of the Project was the assessment of seven domestic and international seaports in the Philippines with the PortMATE tool, complemented with capacity building activities, to assist the ports to detect wildlife trafficking more efficiently. Moreover, the Project conducted Basic Wildlife Law Enforcement trainings in person and online with more than 670 participants, and likewise facilitated the development of a self-paced e-Learning course, with seven modules and 18 topics on IWT-related matters. The ability to share knowledge more efficiently is especially important considering the restrictions imposed by the Covid-19 pandemic and the relatively high turnover of law enforcement personnel.
The Philippines is a party to the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES). That means all import, export, and re-export of wildlife species, their by-products, and derivatives must go through a licensing system. More than 1,000 CITES permits are issued by DENR-BMB through labor-intensive manual processes each year. The CITES Secretariat has been encouraging parties to automate their procedures for improved and efficient control of trade.
eCITES PH is an electronic solution developed through the support of the DENR-ADB/GEF Project. It simplifies and automates permit processes and controls, with permits generated in three working days. It not only eases the burden of manual work but also increases transparency and eliminates opportunities for fraud and corruption. With the assistance of the Project, the three CITES Management Authorities in the Philippines—the DENR-BMB, the Department of Agriculture-Bureau of Fisheries and Aquatic Resources (DA-BFAR), and the Palawan Council for Sustainable Development (PCSD)—drafted the eCITES Masterplan, which now serves as a guide for the completion and full operationalization of the eCITES PH.
Everyone has a role in combating IWT. A single individual, a single institution, or a single approach cannot address it. Multi-stakeholder engagement, multi-agency collaboration, and a multi-pronged approach are critical to making an impact.
That impact was also felt on social media. The #StopIllegalWildlifeTrade and #StopIWT CEPA campaigns aimed to reduce demand for illegal wildlife, by-products, and derivatives by raising awareness on the environmental and legal consequences of IWT. While the campaign garnered 108 traditional and social media hits reaching almost 51 million people, much still needs to be done in terms of raising public awareness. All stakeholders should use the developed knowledge products to continue work on combating IWT. These knowledge products won the “Most Useful Project Resources” award at the 2021 Global Wildlife Program Annual Conference, besting 36 projects in 31 countries across the world.
With these achievements, it is hoped that initiatives combating IWT will continue and build on the results and baselines generated by the IWT-Project, not just in the Philippines, but also at the regional and international level. ADB already blazed the trail for this endeavor to become a reality, by assisting in the development of an IWT Project Map and Database, visualizing the counter-IWT project landscape worldwide, which was designed to strengthen coordination, guide funding, and inform project design. This work was underpinned by two reports; one on IWT at the Philippine-Southeast Asian Nexus, which has recommendations for the replication of successful counter-IWT activities in the Philippines, and another on Implications of a Wildlife Trade Ban, which expands the scope from illegal to legal wildlife trade under the frame of a OneHealth approach. To advance regional counter-IWT efforts further, ADB has been one of the partners involved in conducting initial consultations for a regional counter wildlife trafficking development partner coordination platform, an effort led by the World Bank, and we have offered to act as interim chair should such a platform be created. These commitments and alliances demonstrate that ADB treats IWT with the seriousness it deserves to safeguard our planet’s unique species and promote the wellbeing of people and wildlife alike.
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MANILA, PHILIPPINES (27 January 2022) — The Asian Development Bank (ADB) today launched a publication calling for scaling up of finance flows into ocean health improvement and related projects in Asia and the Pacific to combat growing threats from unchecked pollution into rivers, lakes, and seas due to rapid economic growth.
The publication, Financing the Ocean Back to Health in Southeast Asia: Approaches for Mainstreaming Blue Finance, was launched at the ADB Healthy Oceans Tech and Finance Forum, which runs 26–28 January. It highlights the need for countries to use innovative finance models that can blend financing from public and private sectors to rapidly accelerate and scale up “blue” projects such as coastal protection, sustainable fisheries, and plastics in wastewater treatment.
Developed by the ADB-managed ASEAN (Association of Southeast Asian Nations) Green Catalytic Finance Facility (ACGF), the publication recognizes the environmental and economic benefits of healthy oceans for Southeast Asian economies as well as sustainable livelihoods of the subregion’s large coastal population. It identifies challenges associated with blue-related projects, such as inadequate revenue models which constrain flows of private capital into the sector. The publication presents models which could be used by governments to meet such challenges, including guarantee structures, pooled finance vehicles, and innovative bonds.
“Ocean health is important not just for direct economic growth for the many industries that utilize the region’s water bodies, but because our oceans absorb almost a third of global greenhouse gas emissions and are therefore critical in combating the planet’s climate change crisis,” said ADB Vice-President for East Asia, Southeast Asia, and the Pacific Ahmed M. Saeed, who launched the publication. “Finance must flow from the private sector to this crucial priority, and for that governments must use their funds innovatively.”
The publication also outlines the need for a regional initiative to improve capacities, knowledge, and project pipelines in ocean health. ADB has commenced rollout of the Blue SEA (Southeast Asia) Finance Hub, to support this effort. The hub is located in ADB’s office in Jakarta, Indonesia, and supported by the ACGF.
“The blue hub is a much-needed effort that will bring blue frameworks and road maps for capacity and policy development to our region’s members, including through a partnership we have established with the UNDP (United Nations Development Programme),” said ADB Country Director for Thailand and Unit Head of the ACGF Anouj Mehta. “Further, we have allocated technical assistance funds to support project development through the hub.”
The ACGF is a facility under the ASEAN Infrastructure Fund which is owned by ADB and ASEAN countries, and managed by ADB.
ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.
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JAKARTA, INDONESIA (6 June 2023) — The Asian Development Bank (ADB) signed a $44.2 million blue loan with PT ALBA Tridi Plastics Recycling Indonesia, an ALBA Group Asia company, to establish a polyethylene terephthalate (PET) recycling facility in Central Java.
ADB and the Leading Asia's Private Infrastructure Fund (LEAP) will each provide $22.1 million in funding for the project. Blue loans are financing instruments that aim to safeguard access to clean water, protect underwater environments, and invest in a sustainable water economy.
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Annual audited project financial statements for sovereign operations provide project financial information prepared in accordance with generally accepted accounting principles and audited by an independent certified public accountant.
This document dated 22 November 2021 is provided for the ADB project 45406-001 in Viet Nam.
Consultants' reports describe activities by a consultant or group of consultants related to preparing a technical assistance project.
This document dated December 2021 is provided for the ADB project 50159-001.
Environmental monitoring reports describe the environmental issues or mitigation measures of a project.
This document dated November 2021 is provided for the ADB project 52023-001 in the People's Republic of China.
Environmental monitoring reports describe the environmental issues or mitigation measures of a project.
This document dated July 2021 is provided for the ADB project 48098-002 in Pakistan.
Annual audited project financial statements for sovereign operations provide project financial information prepared in accordance with generally accepted accounting principles and audited by an independent certified public accountant.
This document dated 30 June 2021 is provided for the ADB project 48468-002 in the People's Republic of China.
Social monitoring reports provide the status of social issues or mitigation measures related to project implementation.
This document dated August 2021 is provided for the ADB project 48468-002 in the People's Republic of China.
Environmental monitoring reports describe the environmental issues or mitigation measures of a project.
This document dated December 2021 is provided for the ADB project 47084-002 in Indonesia.
