Quarterly Performance Report (January-March 2015)

The project aims to create improved economic opportunities for the people of Mongolia by ensuring the participation of the private sector in a structured and productive dialogue with government. This report describes project activity from January through March 2015. During the reporting period, BPI continued implementing technical assistance activities with the Customs General Authority (CGA) and the General Department of Taxation (GDT). BPI activities with CGA focused on completing the development of the customs valuation module, building the customs e-payment system, and facilitating CGA in electronic data interchange (EDI) with customs of neighboring countries. BPI activities with GDT focused on connecting banks to the GDT's e-payment system and developing a Value Added Tax (VAT) e-invoicing system, which will be launched during the coming quarter. The BPI-supported Law on Legal Entities Registration was passed by Parliament and made effective as of March 1, 2015. As of the end of the reporting period, the Quality Supplier Development Center (QSDC) was providing assistance to 26 Small and Medium Enterprises (SME) clients under its supplier development program. Client firms had accomplished actual increased sales of 5.6 billion MNT, more than five times higher than the initial target. Through QSDC, BPI trained 52 participants from 29 companies in quality management issues during the quarter. BPI worked closely with the American Chamber in Mongolia (AmCham) to organize two successful public-private dialogue (PPD) events, aimed at strengthening the local advocacy institution to sustain the public-private dialogue approach spearheaded by BPI. BPI also provided in-depth training to the Economic Journalism Club to strengthen journalists' reporting on important economic issues. The Government of Mongolia continued to make significant progress with technical support from USAID's BPI project to improve the country's business enabling environment in three areas: starting a business, trading across borders, and paying taxes. The BPI-supported Legal Entity Registration Law was passed by Parliament and made effective on March 1, 2015. BPI activities with CGA focused on completing the development of the customs valuation module, building the customs e-payment system, and facilitating CGA in electronic data interchange (EDI) with customs of neighboring countries. BPI activities with GDT focused on connecting banks to the GDT's e-payment system and developing a VAT e-invoicing system, which will be launched during the coming quarter. The QSDC was providing assistance to 26 SME clients under its supplier development program, with client firms achieving actual increased sales of 5.6 billion MNT, more than five times higher than the initial target. Through QSDC, BPI trained 52 participants from 29 companies in quality management issues during the quarter. The BPI project continued to work closely with QSDC and USAID on organizational development efforts in preparation for its new assistance framework based on providing technical assistance and facilitating access to finance to SMEs within priority sectors. BPI also worked closely with AmCham Mongolia to organize two successful public-private dialogue (PPD) events, aimed at strengthening the local advocacy institution to sustain the public-private dialogue approach spearheaded by BPI.