ADB – Mongolia Sustainable Development Goal Finance Taxonomy Pilot, Nov 2024

The Asian Development Bank (ADB) has released a report detailing a pilot project in Mongolia aimed at measuring private sector capital flows toward projects aligned with the Sustainable Development Goals (SDGs). This initiative builds upon Mongolia's existing Green Taxonomy framework, introducing a Sustainable Development Goal Finance Taxonomy to better identify and track SDG-aligned financing activities. The pilot project, set to commence in 2025, involves banks and microfinance institutions adopting the new taxonomy. The report offers recommendations for refining the taxonomy to enhance its effectiveness in mobilizing private capital for sustainable development. By aligning financial flows with SDG objectives, Mongolia aims to accelerate its transition to a climate-resilient and inclusive economy. This effort underscores the importance of integrating sustainable finance practices to achieve national development goals.