Ulaanbaatar
EBRD finances major infrastructure project in Mongolia
Economy
Ulaanbaatar/MONTSAME/. Regional
integration and international trade between Mongolia, China and Russia will be
boosted by the completion of a major infrastructure project supported by the
EBRD.
The Bank is providing US$
137 million for investments to double the throughput capacity of the
202-kilometre road between Mongolia’s capital Ulaanbaatar and the third largest
municipality of Darkhan.
The sovereign loan will
finance the construction of two new lanes adjacent to the existing lanes of the
Ulaanbaatar-Darkhan motorway. The country’s busiest road, which was constructed
between 1943 and 1974, has not been properly maintained and over 90 per cent
requires urgent refurbishment.
The investment will address
the issue of road safety and will bring a number of economic benefits for the
country and the region. In addition to employment opportunities, the improved
road will offer better infrastructure, including rehabilitated bridges and
flood protection installations, which will result in safer rides for the
community and transit vehicles.
The investment is supported
by the Ministry of Road, Transport and Development of Mongolia and benefited
from technical cooperation funds provided by the EBRD. The funds will assist in
making the state road fund operational and help improve overall road
maintenance in the country.
All contracts under the
project have been procured by open tender in strict compliance with the EBRD's
Procurement Policies and Rules. This has provided equal opportunities for
eligible bidders and contributed to the transparency and cost efficiency of the
project. Contractors’ activity will be supervised by an independent engineer.
The EBRD investment is
complementing earlier works along the same transport corridor funded by the
Asian Development Bank.
In Mongolia the EBRD
works to support building a diverse economy by developing the private sector
and supporting infrastructure improvements. The Bank has invested more than
€1.7 billion in 104 projects in the country since it started operations there
in 2006.
Source:
EBRD
