The U.S. Government, through the United States Agency for International Development’s (USAID) Business Excellence for Sustainability and Transparency (BEST) program, helped 5,397 small and medium-sized enterprises (SMEs) in Mongolia secure $100.4 million (MNT 329.7 billion) in loans and create over 4,000 new jobs in just five years.

Launched in 2019 with $15 million in USAID funding, the BEST program supported entrepreneurs with training on financial management, marketing, and, crucially, loan applications and documentation.

One of USAID’s key achievements was strengthening both women-led and rural SMEs. Out of the total loans facilitated by USAID, more than half were awarded to women-led businesses, empowering 3,005 female entrepreneurs. The program also provided $500,000 (MNT 1.7 billion) in grants to 176 startups and small businesses in rural provinces. This funding helped businesses purchase new equipment, create new jobs, and boost economic activity in underserved areas. With participants from Ulaanbaatar and 12 rural provinces, BEST also fostered collaboration among businesses that led to the formation of non-governmental organizations which have partnered with local governments to develop and approve regional development strategies, ensuring lasting benefits for SMEs.

“USAID’s BEST program has laid a strong foundation that will empower small businesses to thrive in Mongolia for years to come,” U.S. Ambassador to Mongolia Richard Buangan said. “I’m confident and excited that we will continue working with Mongolia’s private sector to create opportunities and long-term economic prosperity.”

Building on the success of the BEST Program, USAID will launch a second phase in 2025 – an anticipated $10 million (MNT 34 billion) investment over five years to enhance SMEs’ energy efficiency, environmental sustainability, and competitiveness to further support Mongolia’s economic growth and diversification. USAID invites eligible organizations to apply for this opportunity on grants.gov under Opportunity Number 72043825RFA00001. Applications are due by February 12, 2025.