ADB, Mongolia sign loans to modernize vegetable production, irrigation
The Asian Development Bank and the Government of Mongolia signed 40$ million loan to support the modernization of government-owned irrigation networks and vegetable production in Mongolia.
Agriculture is the main source of livelihood in rural areas, but is not sufficiently diversified and relies heavily on imports for vegetables and fodder. Meanwhile, the country’s irrigation systems are recognized as having low water productivity and severe droughts and floods. Diversifying traditional low-value grain crops into high-value vegetables will promote income and jobs in rural areas. The project aims to install efficient and climate-resilient irrigation infrastructure and management systems, improve sustainability of agriculture production systems, and strengthen technical and management capacity and coordination. The project design introduces innovative features such as high-efficiency irrigation technology in cold regions, summer and winter greenhouses, and an easy-to-use asset management system with remote-sensing technology. A total of 3,500 households are expected to benefit, including 1,100 poor households.