National IT Strengths & Weaknesses

 

Overview:

Mongolia has committed to continuing efforts to promote and improve its IT sector. A lot has been accomplished, but there is still room for improvement. To illustrate, below are the most important strengths and weaknesses characteristic of Mongolia’s IT sector at the present time.



National IT Strengths

1. Infrastructure including ICT is among the high priority issue in the government development agenda. Mongolian Parliament approved a nationwide construction project "Millennium Road" to establish a main transversal auto road (Jan., 2001) and "ICT Vision - 2010" (Feb., 2000). Physical road infrastructure is the base for development, to create better livelihood environment and market condition, while ICT is to intensify development improving human capabilities and opening new opportunities for improvement of quality of life of the Mongolian people.21

2. Creation of a model of public accessible Infostructure along the Millennium Road:

·          Create Development E-contents & Library: E-books, e-documents on planning, policy, project activities, business, and environment, other information related to Millennium road project.

·          Create Millennium Road Database: mapping of road and its buffer area, road construction materials, technology, feasibility study reports, master plans, geo-engineering, environment, ecology, standards, norms, legal, policy documents, etc.

·          Establish IT Platform with terminals at selected rural area along the Millennium Road: Virtual networking and partnership, Open Forums on development issues.

Development of Integrated Infostructure along the Millennium Road at the possible early stage would enable accumulation and sharing of information, knowledge and best practices, improve human capabilities, double the productivity, efficiency of road construction and lead to intensify development process. Such a benefit is vital for country socio-economic growth.



National IT Weaknesses

1. Mongolian ICT development is not recognized by world ICT market and lack of experience with international competition.

There is:

  • A lack of skilled human resource / IT project managers, experts/ and ICT business support mechanism.
  • A weak standards on electronic data exchange.
  • A weak communication facilities, especially in the rural area.
  • A low rate of investment, as high Investment leads to high value of ICT products
  • A slow growth of need for ICT use.

2. Mongolia is a nation with an age-old history and culture. But as for development and progress it has been lagging behind many nations of world for many years. Low developed infrastructure limits access to market and social services for sparsely located population. Literacy rate, education level of population is considered high, but application of information technology to intensify socio-economic development of country is insignificant.



Growing Potential

Mongolia has one of the smallest income differentials in the world. This serves as a tremendous stabilizing factor in Mongolian political life. It is an advantage for the Mongolian economy, and must be maintained. The labor force is well-educated and well-disciplined, and are massive assets in establishing new enterprises and absorbing standard production technologies readily available in many areas of the world.

The country is bordered by China and Russia, two of the largest markets in the world. If Mongolia can produce good-quality products, these countries will become excellent markets for its exports. Moreover, Mongolia's most-favored-nation status in the United States is very useful in attracting direct investment from countries that would like to export to the US.

 

 

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