Pledge of Japan on its Assistance to Mongolia at the 7th Assistance Group Meeting for Mongolia

June 22, 1999

  1. The Government of Japan, through its delegation including Mr. Shinji Kubota, Japanese Ambassador to Mongolia, and Mr. Hideaki Domichi, Deputy Director-General of the Economic Cooperation Bureau of the Ministry of Foreign Affairs, made a pledge to extend assistance of a total of about 13,900 million yen, equivalent to about 115 million US dollars, to the Government of Mongolia at the Seventh Assistance Group Meeting for Mongolia sponsored by the World Bank, held on June 21 (Mon..) and 22 (Tue.) in Ulaanbaatar. It was the first meeting of this kind held in Ulaanbaatar (meetings were held in Japan from the first in 1991 to the sixth in 1997), and also the first meeting since the inauguration of the Narantsatsralt administration in January this year. The meeting was attended on Mongolian side by Prime Minister Narantsatsralt and Ms. Tuya, Minister of External Relations. It was also attended by 25 countries including Mongolia and 12 organizations including the World Bank.

  2. At the meeting, there was an exchange of opinions on "Macro-Economic and Structural Reform Issues", "Social Sector Issues", "Sectoral Issues (Infrastructure (transport) Development)" and "Aid Coordination Issues". The governments of participating countries and international organizations pledged to newly extend assistance of a grand total of about 320 million US dollars to Mongolia.

  3. Japan has been actively supporting Mongolia for its efforts for democratization and economic transition while encouraging its self-help efforts, and has been playing an active role by hosting and co-sponsoring the meetings with the World Bank. Even at the current meeting held in a different place, Japan pledged to provide a total of about 13,900 million yen (about 115 million US dollars) for FY1999 to continue to support Mongolia's nation building.

    (1) ODA loan
    Japan pledged to extend an ODA loan of up to 6,139 million yen to contribute to the Rehabilitation Project for the Fourth Thermal Power Plant in Ulaanbaatar (Phase-II) for the stable supply of thermoelectric power in Mongolia.

    (2) Donation
    The total amount of donation for FY1999 is expected to be about the same level as FY1998 including all the grant aid, development research and technical cooperation. Details of the said donation are as follows:

    (a) Grant Aid
    Grant aid of 745 million yen for the Project for Upgrading of the Meteorological Observation and Forecasting System has been extended for FY1999.

    (b) Development Research
    For FY1999, the Master Plan Study on National Tourism Development, a continuing project since FY1998, was completed in June this year. The Study on Support for the Economic Transition and Development and the Master Plan Study for Rural Power Supply by Renewable Energy are now under way. As new project, the Master Plan Study for the Mongolian Postal Service and the Mineral Resource Exploration Project will be implemented.

    (c) Technical Cooperation
    Approximately the same number of trainees (88) will be accepted and experts (29) will be dispatched as last year. In the field of economic transition, experts are dispatched on a long-term basis since it is recognized that intelligent assistance is significant for economic policy and judicial, administrative and political reforms in Mongolia. In the field of project-form technical cooperation in which materials and human resources are combined, the Project for the Implementation of Technology on Diagnosis of Animal Infectious Diseases and the Maternal and Child Health Project are now being implemented.

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