The COVID-19 pandemic had severe impacts on the Mongolian economy, particularly on Micro, Small, and Medium-sized Enterprises or MSMEs. 

With support from an ADB technical assistance project, MSMEs in the Ger Areas of Ulaanbaatar were empowered to build their businesses and make them more resilient to economic shocks. 


To make cities more livable, the Asian Development Bank implemented the technical assistance project “Supporting Micro, Small, and Medium-sized Enterprises in the Ger Areas of Ulaanbaatar during the COVID-19 Crisis'.'

The project was implemented from May 2021 to March 2023.

Public and private sectors closely collaborated to help these Micro, Small, and Medium-sized Enterprises – or MSMEs – in ger areas, specifically at the newly established Business Incubator Centers of Bayankhoshuu and Selbe Sub-centers.

Project Beneficiary: 
Our company processes pure sheep wool using traditional techniques and we produce more than 20 types of products. Before we participated in this project, about 70 percent of the production was made by hand. After we installed three modern electric sewing machines, labor productivity, and income have increased. 

Project Beneficiary: 
For the past 7 years, I have been a carpenter. I learned a lot by participating in the ADB training program. In addition, thanks to the new equipment, our sales revenue has doubled. 

Training or capacity-building activities were carried out for over 1,300 beneficiaries, of which 81% are female. 

The project focused on transitioning MSMEs from informal to formal economic sectors. Two pilot community cooperatives were established. 

Project Beneficiary: 
By participating in the training programs, I learned to write project proposals by myself and submit them. I also participated in the equipment grant, and by introducing new technology, physical work became much easier. Another very important impact of the project was increasing production output. 

Project Beneficiary: 
Because of the new equipment, our leather products are now as neat as those at global brands. Before, our products did not have any packaging. By taking part in the training program, we understood that products should have packaging. Now our customers are more satisfied as we provide packaging for our products. 

The impact of the project has been significant in Mongolia’s ger areas, with 123 new jobs created. 
Most of the MSMEs reported growth in their business operations and an increase in their revenues and productivity.

Jinqiang Chen:
Through the capacity-building trainings, those beneficiaries can broaden their horizons and learn new skills. Through the provisional equipment, they can increase their revenues and reduce costs in terms of time. 

The project assisted MSMEs in rebuilding their businesses and making them resilient. By scaling up the outcome of the project in supporting urbanization of ger areas, Ulaanbaatar city can become more livable for future generations.