New report on future of social protection in Mongolia launched

The report, “Social protection assessment based national dialogue: Definition and cost of Social protection floor in Mongolia”, was launched by the United Nations in Mongolia, the International Labour Organization ILO), the Ministry of Population Development and Social Protection (MPDSP) and the Ministry of Labour (MOL), at a meeting attended by more than 130 participants.

Press release | Ulaanbaatar, Mongolia | 15 May 2015
ULAANBAATAR (ILO News) - A social protection floor in Mongolia is both desirable and affordable, according to a new report launched today.

The report sets the main directions and provides concrete recommendations to fill social protection gaps in Mongolia, to ensure that all residents have a minimum guarantee of social benefits and services. The report concludes that a social protection floor in Mongolia would cost at most 4.7 per cent by 2020; in other words, half of Mongolia’s state budget allocated to social protection in 2011-12, mainly going to direct cash transfers.

The report and its conclusions are the result of 18 months of national dialogue involving government ministries, the Confederation of Mongolian Trade Unions (CMTU), the Mongolian Employers Federation (MONEF), and other stakeholders. The process received financial support from the ILO Project funded by the Government of Japan “Promoting and building social protection and employment services in Mongolia, learning from ASEAN”.

“We appreciated the valuable recommendations, expressing a national consensus, to expand social protection in Mongolia,” said B.Munkhbaatar, Vice-Minister for Population Development and Social Protection. “The results of the process constitutes a significant contribution to the development of evidence-based social protection policies in the future.”

“The policy recommendations presented in the joint report provide useful guidance towards the completion of a social protection floor in Mongolia,” said Sezin Sinanoglu, UN Resident Coordinator for Mongolia. “It serves as a reference for the United Nations and other development partners to continue supporting Mongolia social development and poverty eradication in the most effective way.”

The report concludes that universal social health insurance is achieved in Mongolia; however, the quality and accessibility of health care must be further improved, especially in rural areas. It also says that Mongolia’s existing Child Money Programme should remain universal because the cost of living is increasing and all families need support to secure the best health, education and nutrition for their child. At the same time the quality of school meals should be improved.

“Universal coverage does not mean that all programmes will be tax-funded; the establishment of a social protection floor in Mongolia calls for increased social insurance coverage,” said Celine Peyron Bista, Chief Technical Adviser of the ILO/Japan Project. In Mongolia the report proposes that universal social insurance coverage would be funded through a subsidized contribution for herders, the self-employed and informal economy workers. The scheme would ensure that no worker (or their family) was left without support for sickness, maternity, unemployment and working injury, and that every older person had sufficient income to live with dignity.

Those attending the workshop included J.Batkhuyag, Vice-Minister for Labour; G.Ganchimeg, State Secretary, Ministry of Health and Sport; O.Khuyagtsogt, Director, Expenditure division, Fiscal Policy and Planning Department, Ministry of Finance; Kh.Amgalanbaatar, President, Confederation of Mongolian Trade Unions; Kh.Ganbaatar, Vice-President, Mongolian Employers' Federation; and Mr Tim de Meyer, Director of the ILO Office for China and Mongolia.

For further information please contact:

Ms Lkhagvademberel Amgalan
National Project Manager
ILO/Japan Project “Promoting and building social protection and employment services in Mongolia, learning from ASEAN”