Project News

For institutional analysis and the Policy Framework for Investment (PFI), interviews and questionnaire surveys were conducted on the organizational structure and functions of the Foreign Investment and Foreign Trade Agency (FIFTA), as well as among its staff and stakeholders (e.g., Ministry of Foreign Affairs and Trade) in line with the PFI of the Organization for Economic Cooperation and Development. The PFI is an approach developed to mobilize private investment via a task force. It has a checklist of critical policy issues that have to be considered to develop a better investment climate and includes more than 80 questions in 10 policy areas. This Project for the Capacity Development for Promoting Foreign Direct Investment (PRFDI) focuses on investment policy, as well as investment promotion and facilitation.

Based on the results of the surveys, recommendations were made, one of which is related to the strengthening of FIFTA's functions. In general, investment promotion agencies (IPAs) have four functions, i.e., investor servicing, policy advocacy, direct targeting, and image building.

1. Investor Servicing
   One-stop Service (OSS), aftercare, and country desks are important and effective.
2. Policy Advocacy
   Policy dialogs between the public and private sectors, as well as among governmental agencies, are crucial. The Mongolian National Chamber of Commerce and Industry (MNCCI) and the Business Council of Mongolia (BCM) are experienced in holding public-private dialogs, while FIFTA, as a government agency, has an advantage in organizing policy dialogs within the government.
3. Direct Targeting
   It is important to hold seminars in particular provinces in Mongolia to tackle specific industrial subsectors.
4. Image Building
   There is a strong need to regularly update FIFTA's investment guidebook and its website. In particular, the contents of its website should be improved to be at par with those of other foreign IPAs (e.g., Office of the Board of Investment of Thailand).

PFI Workshop at FIFTA

PFI Workshop at FIFTA