Mongolia: Establishment of Climate-Resilient Rural Livelihoods

Sovereign Project | 45145-001 Status: Closed

Summary

The Asian Development Bank is working with Mongolia to help herders diversify their incomes and prepare for shocks related to climate change and extreme weather. The project includes working with herders to improve the management of their pastures. It is building or repairing 30 water points for livestock and testing the use of a solar-powered deep engineering well. Herders are being helped to branch out into products such as milk, felt, crop production, baked goods and handicrafts.

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Project Name Establishment of Climate-Resilient Rural Livelihoods
Project Number 45145-001
Country Mongolia
Project Status Closed
Project Type / Modality of Assistance Grant
Source of Funding / Amount
Grant 9164-MON: Establishment of Climate Resilient Rural Livelihoods
Japan Fund for Poverty Reduction US$ 2.50 million
Strategic Agendas Environmentally sustainable growth
Inclusive economic growth
Drivers of Change Governance and capacity development
Partnerships
Sector / Subsector

Agriculture and Natural Resources - Land-based natural resources management

Gender Equity and Mainstreaming No gender elements
Description

ADB has been assisting in agriculture, natural resources management, and rural development of Mongolia since 1996. This proposed assistance will help herders, the most vulnerable group affected by the climate change to (i) strengthen their preparedness for recurrent dzud, and (ii) rehabilitate and/or improve their livelihoods. Lessons learned from the ongoing JFPR 9124-MON, which are relevant to the proposed assistance, will be incorporated in the design, implementation arrangements, and implementation schedule of the proposed project.

The proposed project will target livelihood improvement of herders, who are largely poor and vulnerable, by ensuring sustainable pasture management, which accounts for about 72.3% of the national land area. It will support the objectives of the National Mongolian Livestock Program 2010 2015, which aims at developing a livestock sector that is resilient to climate change, conductive to social development, and economically viable.

The proposed assistance will promote a holistic approach to sustainable herding and livelihood diversification in candidate project soums, namely, Buutsagaan, Khureemarel, and Dzag in Bayanhongor Aimag. For both activities, smooth formation of HGOs is crucial. Sustainable herding will comprise collective pasture management, water point management, hay preparation, and management of herd sizes through effective marketing. The proposed assistance will also provide HGOs with opportunities for value-added activities, and other income-generating activities to help them diversify their income sources. Income diversification is considered as a means of climate change adaptation by lessening their reliance on the weather-sensitive herding. Adjacent soums are preferred for smooth coordination among soums for pasture management, and thorough monitoring by the project management unit (PMU).

Project Rationale and Linkage to Country/Regional Strategy The proposed JFPR assistance will target livelihood improvement of herders, who are largely poor and vulnerable, by ensuring sustainable pasture management, which accounts for about 72.3% of the national land area. The proposed country partnership strategy for Mongolia 2011 2015 (CPS) continuously positions poverty reduction as a thrust of ADB's assistance to Mongolia. In particular, the CPS acknowledges that herder households, female-headed households, and urban migrants are the major contributors to the high poverty incidence, which has resulted in the widening inequality between urban and rural populations. The CPS also specifies environmental sustainability as one of the five thematic drivers of the development challenge, and stipulates the ADB's assistance in climate change adaptation and sustainable management of natural resources including pasture. This project is designed to fully support the objectives of the National Mongolian Livestock Program 2010 2015, which aims at developing a livestock sector that is resilient to climate change, conductive to social development, and economically viable. The proposed assistance will promote a holistic approach to sustainable herding and livelihood diversification in candidate project soums, namely, Buutsagaan, Khureemarel, and Dzag in Bayanhongor Aimag. For both activities, smooth formation of HGOs is crucial. Sustainable herding will comprise collective pasture management, water point management, hay preparation, and management of herd sizes through effective marketing. The proposed assistance will also provide HGOs with opportunities for value-added activities, and other income-generating activities to help them diversify their income sources. Income diversification is considered as a means of climate change adaptation by lessening their reliance on the weather-sensitive herding. Adjacent soums are preferred for smooth coordination among soums for pasture management, and thorough monitoring by the project management unit.
Impact Sustainable rural livelihoods in Buutsagaan, Dzag, and Khureemaral soums (project soums) in Bayanhongor aimag.

Project Outcome

Description of Outcome Improved climate-resilience of livestock husbandry sector in project soums.
Progress Toward Outcome

All three output 4 indicators are likely to be achieved by its due of the end of year 4. The PMU submitted all semi-annual reports to ADB and the Embassy of Japan, and quarterly reports to MOF. The PMU got the project accounts audited and submitted its audit report for 2015 in time. PMU and project implementation unit (PIU) presented project activities and progress to EA and MOF, whenever required.

Twenty-six (26) technical brochures, 12 leaflets, 6 posters, and 2 bulletins were published under the project and disseminated. Some of the booklets published under JFPR 9124-MON were reprinted and shared with beneficiaries and local government administrations. The PMU made sure that logos of ODA, ADB, and JFPR were always appeared on all those publications. Project activities were also disseminated through 12 issues of the newspaper Agriculture Tomorrow and 4 issues of the Bayankhongor newspaper. Web page of the project was updated with news and information and budget transparency window. The project pasture experts contributed to the discussion and drafting of the national policy on pasture use and developed a brochure on pasture management.

Implementation Progress
Description of Project Outputs

Herders in project soums improve their capacity for sustainable herding.

Water points are established and/or rehabilitated and properly managed.

Herders in project soums diversify income generation.

Effective project management and monitoring.

Status of Implementation Progress (Outputs, Activities, and Issues)

Achieved. [3 (297 shelters, of which 185 were financed by herders.)]

Achieved. [3 (54 hay fields of 2 ha for 42 HG supported with hay/fodder equipment.)]

Achieved. [75.7% (1020 HH)]

Achieved. [91.7% (67 HG)]

Achieved. (3).

Additional 20 shallow wells by QIII 2015 -[88 (44 deep wells and 44 shallow wells).

By year 3 (2014)- [68 (44 deep wells and 24 shallow wells)].

Achieved. All 34 HGs to use 44 deep wells.

Revised performance target: 75% of herder groups participate directly in supplementary income-generating activities, and 90% of herder groups participate indirectly by year 4; Achievement as of Q3 2015: Ongoing. [73% (53 HG) directly, 85% (62 HG) indirectly.

As of QIII of 2015, 6 project progress reports and 2 annual audit reports were prepared in English language and submitted on time.

As of QIII of 2015, 6 semi annual newsletters were prepared and disseminated.

The dissemination workshop was successfully held in Bayankhongor Aimag on 21 January 2016 with the participation of the Ministry of Food and Agriculture (MOFA), the EA; the aimag government; and the project and non-project soum (district) governments.

The project is due to be completed by 13 June 2016 and currently in the winding up period. Expected closing is on 13 December 2016 and no JFPR funds shall be disbursed by ADB after this date.

Geographical Location

Safeguard Categories

Environment B
Involuntary Resettlement C
Indigenous Peoples C

Summary of Environmental and Social Aspects

Environmental Aspects Environmental assessment report was prepared. The Environmental Specialist, as part of the mid-term review, did a field site visit and reviewed project documents for compliance with environmental safeguards. The project is in compliance.
Involuntary Resettlement No land acquisition or resettlement will be necessary. Measures for avoiding possible restrictions on access to winter/sprint pasture land for the purpose of sustainable pasture management wil be incorporated as part of the project design.
Indigenous Peoples According to preminary finding in Bayanhongor, project aimag, no groups are present that qualify as IP under ADB's SPS. The project soums in Bayanhongor is composed almost exclusively of Khalkh. This will be further verfied during the project preparation.
Stakeholder Communication, Participation, and Consultation
During Project Design Consultations with those stakeholders will be ensured throughout project processing and implementation. The project is designed to cover all herders of project soums primarily for the effective soum-wide pasture management.
During Project Implementation The project is due to be completed by 13 June 2016 and currently in the winding up period. Expected closing is on 13 December 2016 and no JFPR funds shall be disbursed by ADB after this date.

Responsible Staff

Responsible ADB Officer Takeshi Ueda
Responsible ADB Department East Asia Department
Responsible ADB Division Environment, Natural Resources & Agriculture Division, EARD
Executing Agencies
Ministry of Food, Agriculture, and Light Industry (MOFALI)
Strategic Planning and Policy Department
MOFALI, Peace Avenue, Ulaanbaatar, Mongolia
Ministry of Industry and Agriculture
Ulaanbaatar
Mongolia

Timetable

Concept Clearance 20 Jul 2011
Fact Finding 03 Jun 2011 to 07 Jun 2011
MRM -
Approval 08 Jun 2012
Last Review Mission -
Last PDS Update 28 Jul 2016

Grant 9164-MON

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
08 Jun 2012 13 Jun 2012 13 Jun 2012 13 Dec 2016 - 30 Aug 2016
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 2.86 Cumulative Contract Awards
ADB 0.00 08 Jun 2012 0.00 2.49 100%
Counterpart 0.36 Cumulative Disbursements
Cofinancing 2.50 08 Jun 2012 0.00 2.49 100%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - - - Satisfactory - -

Safeguard Documents See also: Safeguards

Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

Title Document Type Document Date
Establishment of Climate-Resilient Rural Livelihoods Initial Environmental Examination Dec 2011

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.


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