The European Bank for Reconstruction and Development (EBRD) and the European Union (EU), together with the European Mongolian Chamber of Commerce and Industry (EuroChamber Mongolia), recently announced launching a ‘SME Export capacity building’ project to pave the way for Mongolian small and medium enterprises to enter the European market.

It is supported within the framework of the ‘Support for Mongolian Economic Diversification through SME Access to Finance’ Programme funded by the EU and implemented by the EBRD.

As they are looking for ways to diversify their exports, Mongolian enterprises are intensifying efforts to strengthen their presence in the EU.

The initiative will promote export diversification and expand opportunities for Mongolian SMEs in the EU market. The EU now ranks fourth among Mongolia’s external trading partners after China, Russia and Japan, with a share of only 4.6 per cent of exports, mainly textile products, a press release from EuroChamber Mongolia said.

Hannes Takacs, head of EBRD Mongolia said, “SMEs provide the majority of employment in Mongolia. However, they still face challenges when it comes to international trade. The EBRD is looking forward to working with EuroChamber on this project to improve the export capacity of Mongolian SMEs.”

During the next seven months, EuroChamber Mongolia will help boost export capacities of select SMEs in the country through business tools like export readiness assessment, consultations, networking, and presence on digital platforms, policy dialogue and development of bankable business proposals.

The SMEs Export Capacity Building Project will continue to work with four clusters identified by the EU-funded Trade Related Assistance to Mongolia (TRAM) Project and aims to support SMEs on assessing their export readiness and support the development of business plans in line with EU requirements for increased exports; accessing e-commerce platforms for sales in the EU; facilitating access to export/ pre-export financing; and organising policy dialogue at national level to improve the export-relevant framework in Mongolia.

In Mongolia, SMEs account for nearly 70 per cent of all the employment, but only 10 per cent of all exports.