Interview: Bekhbat Sodnom

Video Tabs

So we have adopted the state policy on PPPs in 2009 and we have adopted the law on concession in 2010.
So since 2010 we have been implementing some PPP projects and we are at the very infant stage in my opinion, because we are learning from the experiences of other countries in the region.
So this workshop was also helping us to learn how to develop or further improve the legal framework and also how to ensure that these PPP projects are being implemented successfully.
From the beginning of 2010 our PPP unit was located in the State Property Committee under the Prime Minister’s office.
In 2012 it moved to the Ministry of Economic Development. So I was Director-General of the Department of Innovation and PPPs in the former Ministry of Economic Development.
Now this Ministry of Economic Development has merged with the Ministry of Finance which means that since one month ago this year we are within the Ministry of Finance, which will also help us to assess more fiscal risks associated with the PPP projects. 
We have ambitious plans in implementation of as many as possible PPP projects in various sectors of our economy.
We started introducing PPPs in our social sectors. We are starting with PPP projects in our education sector.
But the main focus for implementation of PPP projects in Mongolia is to build the supporting infrastructure for the mining sector.
Which means roads should be built, railways should be built, because the Mongolian economy is growing based on the mining boom.
In 2011 the Mongolian economy was growing at 17 percent. Now it’s lowered to 6 percent which is not bad for many countries but we consider it as very low growth.
In 2010 we adopted the law on concessions and we have very supportive provisions on accepting not only solicited by also unsolicited proposals from the private sector.
Which means we are trying to attract the private sector to initiate, to implement and better manage the PPP projects in the future.
I think this sharing of experience is very good; it should be very beneficial and useful for all participants because we are trying not to repeat the failures or mistakes of other countries and we are learning from the best practices. 
And I think setting up the PPP unit is one of the most discussed issues because I think it should be stronger in institutional structure within the government, which means the government should have a strong will in order to implement PPP projects.