WHY LONG TERM FINANCING MATTERS

 

Challenges such as climate change, land degradation, water resource management, and green infrastructure development cannot be effectively addressed through short term budgets or one off investments. Projects in these areas require stable and sustained financing over many years.

Long-term financing enables:

Phased implementation of large-scale projects and programs

Stable and predictable sources of funding

Reduced pressure on public budgets while mobilizing greater private-sector investment

Increased participation of international financial institutions and investors

Greater use of financial instruments such as green bonds, investment funds, and public-private partnerships (PPPs)

Within the framework of UNCCD COP17, particular emphasis is placed on reducing land degradation, protecting water resources, restoring rangelands, and developing nature-based green infrastructure. Translating these priorities into viable, implementable projects requires long-term and sustainable financing.

For Ulaanbaatar, diversifying funding sources for major green and infrastructure projects, mobilizing investment, and utilizing capital market instruments are essential to strengthening the financial foundation for sustainable urban development.

UBIM is working to develop financing initiatives including the Ulaanbaatar Development Fund, Green Fund, Risk Management Fund, and Ulaanbaatar Startup Support Fund, with the objective of mobilizing long term investment capital for the city’s strategic projects.