Project Name Preparing the Regional Road Development and Maintenance – Phase 3 Project
Project Number 48186-009
Country / Economy Mongolia
Project Status Active
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 6894-MON: Preparing the Regional Road Development and Maintenance " Phase 3 Project
Technical Assistance Special Fund US$ 2.00 million
Operational Priorities OP1: Addressing remaining poverty and reducing inequalities
OP2: Accelerating progress in gender equality
OP3: Tackling climate change, building climate and disaster resilience, and enhancing environmental sustainability
OP5: Promoting rural development and food security
OP6: Strengthening governance and institutional capacity
OP7: Fostering regional cooperation and integration
Sector / Subsector

Transport / Transport policies and institutional development

Gender Some gender elements

Mongolia is landlocked between the Russian Federation and the People's Republic of China, with a population of 3.3 million in 2020 and a land area of 1.6 million square kilometers (km2), its population density is only 1.9 persons per km2. Due to the large distances, sparse population, and severe weather conditions, surface transportation is difficult, and infrastructure is underdeveloped.

Mongolia's economic growth has been volatile, with both growth and poverty fluctuating wildly mainly due to Mongolia's dependence on minerals (92.8% of exports). From 2017 to 2019, the country experienced steady gross domestic product growth. However, the coronavirus disease (COVID-19) crisis induced an economic contraction of 5.3%, which led to job losses in all major sectors and increased unemployment and underemployment by 1.4 percentage points in 2020. Poverty has most likely increased further from 28.4% of people who lived in poverty as of 2018. The poor condition of roads in Mongolia aggravates persistent poverty conditions, particularly in rural areas as it restricts access to markets, education, and services. Mongolia has a road network of 112,414 kilometers (km), of which 14,918 km are international and state roads and of these only 7,445 km are paved. Improving access to health services and to domestic and external markets will be crucial to assist with recovery from the COVID-19 crisis and to lay the foundations for diversification in the longer term, particularly in isolated regions such as Western Mongolia. The region suffers from slow development because of its remoteness from the country's political and economic centers, and state roads connecting aimag capitals remain unpaved.

Impact, outcome, and outputs. The project is aligned with the following impact: inclusive economic growth promoted by enhanced local, and regional connectivity in Mongolia. The project outcome will be efficiency and safety of road transport within the project area improved. The project outputs will be: (i) road condition improved, (ii) road asset management capacity improved, and (iii) road safety design and capacity improved.

Project Rationale and Linkage to Country/Regional Strategy The proposed TA will help prepare the proposed ensuing project and develop the capacity of the executing and implementing agencies to implement the project. The TA will ensure that the project will be prepared to acceptable technical, safeguards, and procurement standards. The ensuing project is expected to meet the 'high readiness criteria before Board consideration
Project Outcome
Description of Outcome
Progress Toward Outcome
Implementation Progress
Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Nation-wide, Ulaanbaatar
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design The TA has been identified, conceptualized and prepared through direct discussions with the Ministry of Road and Transport Development.
During Project Implementation The TA will be administered by ADB's East Asia Sustainable Infrastructure Division with monitoring support and client facilitations provided by ADB's Mongolia Resident Mission.
Business Opportunities
Consulting Services ADB will engage the consultants following the ADB Procurement Policy (2017, as amended from time to time) and its associated procurement staff instructions. The consultants will procure office and survey equipment using request for quotation procedures in accordance with ADB Procurement Policy (2017, as amended from time to time). ADB will select (i) an international consulting firm based on the quality- and cost-based selection method using a 90:10 quality-cost ratio with full technical proposal, (ii) an international project management specialist using the individual selection method, (iii) an international procurement specialist using the individual selection method, (iv) a national project coordinator using the individual selection method, (v) a national ornithologist using direct contracting, and (vi) a national cultural heritage and archeological survey institute.
Responsible ADB Officer Dei Castelli, Nicolas
Responsible ADB Department East Asia Department
Responsible ADB Division EASI
Executing Agencies
Ministry of Road and Transport Development of Mongolia
Concept Clearance -
Fact Finding -
Approval 22 Dec 2021
Last Review Mission -
Last PDS Update 28 Sep 2022

TA 6894-MON

Approval Signing Date Effectivity Date Closing
Original Revised Actual
22 Dec 2021 27 Dec 2021 27 Dec 2021 31 Dec 2023 31 Dec 2024 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
2,000,000.00 0.00 0.00 0.00 0.00 0.00 2,000,000.00 27 May 2023 573,720.37
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