Project introduction

As outlined in Mongolia’s five-year Development Vision for 2021-2025 and the Government of Mongolia’s Action Program for 2020-2024, a key priority is the enhancement of Ulaanbaatar’s transportation logistics system. This involves strategies to alleviate traffic congestion, balance traffic load, implement a demand-based road network, mitigate gridlock, and advance the accessibility, safety, and sustainability of transportation services.

Moreover, as a part of the Clarification on the General Plan for the Development of Ulaanbaatar City until 2020, Ulaanbaatar’s Development Trends for 2030, and the General Development Plan for Ulaanbaatar City until 2040, Ulaanbaatar is taking systemized measures to reduce traffic congestion, improve road safety, and modernise public transportation in accordance with the Medium and Long-Term Master Plan for the Development of the Capital’s Road Network.

To that end, the Government of Mongolia and the International Bank for Reconstruction and Development (i.e., the World Bank and the International Monetary Fund) signed a loan agreement of 100.0 million USD to finance the Ulaanbaatar Sustainable Urban Transport Project on August 24, 2021. The loan agreement was then ratified by the State Great Khural on December 23, 2021.

Since ratification, the project has been continuously conducting strategic studies and capacity building to ensure the safety of Ulaanbaatar’s road and transport users, repair and modernise the existing network on project corridors, build new roads, reduce congestion and increase traffic safety by renovating the Traffic Control Center. 

To finance the project, the World Bank’s International Bank for Reconstruction and Development is providing a concessional loan of 100 million USD, while the Capital has earmarked 10 million USD from its own budget for land acquisition and resettlement. The concessional loan has a term of 30 years, of which the principal is waived for the first five years.

The Ulaanbaatar Sustainable Urban Transport Project’s design principles are as follows

Complete streets concept

The Complete Streets Concept, where mobility of all users is enabled.

Functional road hierarchy

The Functional Road Hierarchy approach, where road designs and features are defined by the corridor’s functionality; and

Risk management

Climate resilience considerations.

Functional road hierarchy

The Functional Road Hierarchy approach, where road designs and features are defined by the corridor’s functionality; and

Our designs for project corridors will encompass roadways, cycleways, bus lanes, bus stops, sidewalks, curbs, exits, traffic lights, signs and markings, street lighting, intersections and signals, parking and drainage lines, trees, and street-side shops/service providers to ensure complete functionality and accessibility. By giving priority to pedestrians, cyclists, and passengers on public transportation, the project will establish a standard for safe, efficient, comfortable, and accessible streets for all users in Ulaanbaatar city.