Ulaanbaatar, Mongolia, October 28, 2010 -
IFC, a member of the World Bank Group, today signed a memorandum of understanding with the government of Mongolia in support of its program to expand the country’s infrastructure through the implementation of three pilot public-private partnership projects.
IFC, in cooperation with the World Bank, will help Mongolia’s State Property Committee screen, prioritize, and identify out of a pool of 121 projects three that are most viable for implementation by the private sector as public-private partnerships. Subsequently, IFC will support the government in selecting the private partners by helping to prepare, structure, market, and implement competitive tenders for each of the three pilot projects. IFC will also train government officials in these tasks throughout the process.
“Increased private sector participation in infrastructure is a cornerstone for economic development,” said Dulam Sugar, Chairman of the Government of Mongolia’s State Property Committee. “Implementing public-private partnership transactions is both timely and important for the growth of Mongolia’s private sector.”
The projects under review by IFC cover vital infrastructure sectors, such as transport, housing, water, energy, health and education. Key priorities for Mongolia’s infrastructure development include the need to support its expanding mining industry, as well as the development of basic infrastructure in urban areas.
Edgar Saravia, IFC Program Manager for Advisory Services in PPPs in East Asia & Pacific, said,
“IFC’s support for public-private partnerships is part of our larger program in Mongolia to support private sector development. This includes both investments in key areas such as banking, general manufacturing and services, and mining, as well as advice to improve corporate governance, access to finance and the country’s investment climate. Our work in helping to identify three viable and sustainable pilot public-private partnership projects will benefit from IFC’s global expertise in this field.”
Through its advice on public-private partnerships, IFC works to increase access to basic infrastructure services by structuring commercially viable projects, facilitating private investments, and improving government finances.
About IFC
IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in developing countries. We create opportunity for people to escape poverty and improve their lives. We do so by providing financing to help businesses employ more people and supply essential services, by mobilizing capital from others, and by delivering advisory services to ensure sustainable development. In a time of global economic uncertainty, our new investments climbed to a record $18 billion in fiscal 2010. For more information, visit
www.ifc.org
.
