Mongolia becomes new donor to World Bank’s fund for poorest countries

Business Recorder reported that the World Bank Group said on Saturday that Mongolia has joined the list of donors to the International Development Association, the lender's fund for the world's least wealthy nations. The move ends nearly three decades in which the country relied on IDA money as a beneficiary. Mongolia's parliament signed off on a 4.8 billion tugrik contribution, about $1.3 million, to the newest IDA funding round.

Since joining the World Bank as a member in 1991, Mongolia has drawn more than $1.62 billion in development financing, with IDA funds supporting transport, rural development, health and education. The country moved beyond IDA support in July 2020 and now borrows from the International Bank for Reconstruction and Development, the bank's arm for middle-income countries.

Finance Minister Mendsaikhan Zagdjav called the contribution an important step in a long partnership with the bank and a sign of international solidarity. He said Mongolia, having benefited directly from IDA aid, understands how concessional financing helps countries reduce poverty and build resilience.