Mongolia—Urban Land and Service Area Growth Planning Due Diligence

Client: Millennium Challenge Corporation

Duration: 2017-2019

Region: Asia and the Pacific

Country: Mongolia

Solutions: Governance

Following Mongolia’s transition from a state managed to market economy, migration to the nation’s capital, Ulaanbaatar, led to a rapid and uncontrolled expansion of the city’s outer suburbs. Sprawling settlements continue to develop without planned infrastructure, resulting in limited and expensive water and sanitation services. Unclear governing responsibilities further hindered the installation of public water systems in these areas, contributing to increased health and environmental risks for people living there.

In support of the Millennium Challenge Corporation’s (MCC) Second Compact with Mongolia, DAI developed policy and planning solutions to address constraints to water access and supply in Ulaanbaatar’s periphery settlements. DAI’s team advised the MCC on how to strengthen the ability of local institutions to manage urban expansion and plan for future water needs. The team also investigated policy recommendations to improve urban water services.

Select Results

  • Conducted a foundational analysis of existing public and private water and sanitation services in suburban settlements.
  • Provided a comparative analysis of cities that underwent similar urban transformation in water and land use to determine replicable solutions.
  • Conducted due diligence recommendations for potential MCC investments and interventions.
  • Utilized innovative technology, such as mobile forms, text surveys, or digital water point mapping, to capture data on water access and needs.


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