In conjunction with 2015 parliament directive…


ONE. Basic Framework

  • The National Innovation Strategy equates to Mongolian legislation and is also closely tied to our National Security Strategy. Its legal basis stems from conventions on science, technology, and intellectual property that Mongolia is party to as well as relevant Mongolian legislation.
  • The strategy is geared towards creating an innovation capacity, expediting the development of the science and technology sectors and the pursuit of knowledge-based decision making in economic policy.
  • The goals of the strategy is to facilitate innovation in Mongolia by establishing the right environment, increase Mongolia’s intellectual property base, stimulate creative thinking and to promote the establishment of a national industry capable of competing at the international level,
  • This paper shall serve as the legal basis of the strategy and cover the management and organization structure, funding mechanism, public-private partnership and infrastructure for the pursuit this strategy.


  • The principle behind the implementation of a National Innovation Strategy is to increase the national innovation capacity, establish the roots of a knowledge based – decision making in economic policy and increase the competitive capacity of national industries in the international market


      The following principles shall be adhered to in the pursuit of the National Innovation Strategy:

  • an acknowledgement that innovation stimulates the economy and social development,
  • support of innovation through a national strategy,
  • the equality of participants in the innovation process regardless of whether they are public or private,
  • an emphasis on public-private partnership
  • innovation efforts need to be connected to the economy, development and other relevant areas,
  • increased support for environmentally friendly commercially viable projects,
  • enhance and sustain competition capacity within the international market,
  • innovation efforts need to be geared towards both domestic and international issues and be rooted in the spirit of cooperation
  • protecting the creative freedom of innovators.



      The National Innovation Strategy was developed for the pursuit of these goals:

  • providing a management structure and legal environment where innovation can strive,
  • developing innovation capacity of individuals,
  • developing innovation infrastructure,
  • providing a mechanism and financial environment that stimulates public-private partnership,
  • Identifying and developing the most promising industry,
  • Increasing the intellectual property developed through innovation,
  • Establishing and promoting a culture of innovation,
  • Pursuing international cooperation in innovation,
  • Increase the competition capacity of the national industry and infuse products into the international market.  


Development of a management structure and legal environment:

  • Creation of legislation on innovation with economic, social, technological and international development taken into account,
  • Establishment of a National Innovation Board to facilitate the promotion of the innovation strategy,
  • Establishment of an entity to oversee innovation and business operations,
  • Establishment of an Innovation Fund in order to stimulate the creation of innovation products for export,
  • Development of a mechanism to produce certificates, protect intellectual property rights, for infusing intellectual property into the market, increasing value, promoting technology transfers as well as the legal environment to facilitate those efforts,
  • Certifying the innovation products and infusing them into the international market.

Development of Human Resources:

  • Development of a national curriculum to stimulate innovation,
  • Universities shall incorporate teaching on innovation elements, creative thinking and entrepreneurship in order to increase national capacity,
  • Development of elementary, medium and advanced curriculums in innovation in order to prepare the workforce,
  • Ensure constant circulation of engineers and specialists in industries at the forefront of innovation,
  • Entice those living abroad to return to Mongolia and use their knowledge and experiences in the pursuit of our efforts.

Development of infrastructure

  • Establishment of technology incubators, testing facilities, technology transfer centers, licensing offices, business incubators and science parks,
  • The government undertake the cost of creating an infrastructure in industries at the forefront of innovation,
  • The government shall support the establishment of financial entities and funds for the promotion of innovation,
  • Establishment of an integrated network to communicate information on science, technology, innovation and intellectual property throughout the country,
  • Establishment of an innovation center for commercialization of products,
  • National and local authorities shall support the development of innovation infrastructure



Procurement of Funding:

  • 1% of gross domestic product shall be appropriated to the facilitation of innovation,
  • Funding for innovation within given industries shall be contained within the budgets of the relevant ministries,
  • Profits from contracts and innovation activities shall be distributed to national scientific entities,
  • Enhance opportunities for funding for innovation infrastructure and long term investment  through public-private partnership
  • Provide innovation loans with  certain assets equating to a certain percentage of the loan used as collateral
  • Support innovation efforts grounded in solid market analysis by purchasing the product and implementing offset mechanisms,
  • Support industries with significant intellectual capacities and those who have invested in advanced technological resources by loans and lax tax policies.
  • Innovation efforts shall be funded by the following sources:

o    Public-private partnerships, foreign and domestic investments

o    Shares sold on the Stock Exchanges

o    National and local budgets

o    Mongolian Development Bank

o    Government funds

o    Innovation fund

o    Cooperation with international banking institutions

o    Loans

o    Other legal means


  • Industries at the forefront of innovation are identified in order to make sound allocations of resources to increase the capacity of national industry to export high quality products and its competitiveness in the international market.
  • The strategy shall devote its main resources and efforts towards the following industries:
    • Mining and raw material infrastructure development
    • Agricultural infrastructure development
    • Development of eco-friendly products from raw materials
    • Chemical production of materials
  • Those companies operating in industries deemed to be at the forefront of innovation shall receive government subsidies in acquiring technology, marketing and research
  • Industries at the forefront of innovation shall be determined by their technical capacity among other factors and those decisions shall be grounded on solid research. The government shall devote its efforts to the development and support of those industries



  • This strategy shall be implemented in two phases between 2016-2025
  • The first phase shall consist of research and developing the workforce required for the pursuit of the innovation strategy
  • The second phase shall be geared towards enhancing the competitive capacity of our industries and laying the groundwork for knowledge-based economic policy.


  • Be amongst the first 70 countries in competitive capacity in the World Economic Forum rankings.
  • Enhance the infrastructure of our agriculture and export industries and strive towards innovation and high tech products accounting for 20% of our exports.
  • Strive towards funding for innovation reaching 1% of Gross Domestic Product.
  • Promote an expansion of innovation workforce with individuals working on the development of high-tech products reaching 3000.
  • Creation of innovation infrastructure and a national industry capable of competing at the international market


  • An Innovation Agency that will work in conjunction with other Ministries, agencies and local authorities shall be created.
  • Monitoring efforts shall be carried out at each phase of the implementation of the strategy.