The Western Regional Road Corridor Development Project being financed by the grant aid of Asian Development Bank is the one of the biggest investments being made in Khovd aimag.

The total cost of the project is 8 billion 700 million MNT.

The impact of the project will be the promotion of regional transport of freight and passengers via the Western Road Corridor and increased economic development and regional trade.

The outcome of the project will be an efficient and safe regional transport route developed in the Western Region of Mongolia to link Xinjiang Autonomous Region in the People's Republic of China and Siberia Province of the Russian Federation through Hovd and Bayan-Olgiy aimags of Western Mongolia.

As part of Asian Highway 4, the road will help link Mongolia to the rest of Asia.