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Mongolia

Mongolia is a landlocked country between China and Russia with a population of around 3.4 million - traditionally nomadic or semi-nomadic.

Over the past 30 years, Mongolia has transformed itself into an active democracy, tripling its GDP per capita since 1991. Thanks to its vast agricultural, animal and mineral resources, as well as its increasingly educated population, the prospects for development look promising in the long term. In 2022, Mongolia's national poverty rate was 27.1%, almost 10% lower than ten years earlier, despite the significant impact of the COVID-19 pandemic.

In 2024, Mongolia's mineral export boom produced positive macro-fiscal results for the second year running. However, Mongolia's growing dependence on the mining sector highlights the urgent need to diversify the economy. What's more, coal-led growth is exacerbating the problems of a country already among the worst affected by climate change: Mongolia is suffering from soil degradation, water shortages and an increase in the frequency of harsh winters, known as ‘dzud’, which devastate livestock populations.

Significant progress has been made in education, with 97% of children now attending primary school and 98.7% of the population literate. However, essential efforts still need to be made, particularly in terms of access to and quality of pre-school and secondary education, especially for the children of rural herders, disabled children and children from low-income families.

In terms of health, Mongolia is faced with limited availability of supplies and equipment and a shortage of qualified health personnel, particularly specialists. This situation is particularly acute in rural areas, where retaining qualified staff is a challenge.

Since 2001, Luxembourg Cooperation has been actively involved in Mongolia's health sector, in particular to support the country's efforts to control cardiovascular disease. Cardiovascular disease is the leading cause of death in Mongolia, mainly due to eating habits that are rich in meat and fat, a lifestyle that involves less and less physical activity, and air pollution. Through several phases of support, Luxembourg has been able to contribute to a significant reduction in deaths linked to these diseases, which accounted for 24.4% of deaths in 2003 and 17.1% in 2023. As Mongolia is sparsely populated, the provision of health services in areas far from the capital remains a key challenge, and the setting up of a national cardiac telemedicine network in 2007, with the support of Luxembourg Cooperation, is helping to meet this challenge and provide support for provincial and community health centres.

To ensure sustainable and inclusive growth, Mongolia must continue to strengthen its governance, develop its institutional capacities and ensure equal opportunities for all its citizens, in both urban and rural areas.

Evolution of activities in Mongolia (in thousand EUR)

Distribution of the 2023 disbursements by sector

All projects in Mongolia