Performance Evaluation Report

Operations Evaluation Department

Project Number: 27371 Loan Numbers: 1507-MON(SF)/1508-MON (SF) June 2007

Mongolia: Education Sector Development Program

CURRENCY EQUIVALENTS (as of 19 June 2007)

Currency Unit – togrog (MNT)

MNT1.00 = $0.00086 $1.00 = MNT1,163.25000

ABBREVIATIONS ADB – Asian Development Bank ADTA – advisory technical assistance ESDP – Education Sector Development Program IT – information technology MDG – Millennium Development Goal MECS – Ministry of Education, Culture, and Science OEM – operations evaluation mission PCR – project completion report PIU – project implementation unit PPTA – project preparatory technical assistance TA – technical assistance TEVT – technical education and vocational training

GLOSSARY

aimag – province bag – subdistrict ger – traditional Mongolian tent dwellings soum – district

NOTE

In this report, “$” refers to US dollars.

Director R. Keith Leonard, Operations Evaluation Division 1, Operations Evaluation Department (OED)

Team leader Jocelyn Tubadeza, Senior Evaluation Officer, Office of the Director General, OED Team member Caren Joy Mongcopa, Senior Operations Evaluation Assistant, Operations

Evaluation Division 1, OED

Operations Evaluation Department, PE-701

KEYWORDS

educational restructuring, educational sector strategy, mongolian educational development effectiveness, mongolian educational projects evaluations, mongolian educational sector developments, mongolian educational vocational training, rural-urban migration, transitional economy

CONTENTS

Page BASIC DATA iii EXECUTIVE SUMMARY v MAP viii I. INTRODUCTION 1 A. Evaluation Purpose and Process 1 B. Expected Results and Program Objectives 2 II. DESIGN AND IMPLEMENTATION 2 A. Formulation 2 B. Rationale 4 C. Cost, Financing, and Executing Arrangements 5 D. Procurement, Construction, and Scheduling 6 E. Design Changes 6 F. Outputs 6 G. Consultants 13 H. Loan Covenants 14 I. Policy Framework 14 III. PERFORMANCE ASSESSMENT 14 A. Overall Assessment 14 B. Relevance 15 C. Effectiveness 16 D. Efficiency 19 E. Sustainability 20 IV. OTHER ASSESSMENTS 20 A. Impacts 20 B. Asian Development Bank Performance 21 C. Borrower Performance 22 D. Technical Assistance on Institutional Strengthening of the Education Sector (TA 2716-MON) 22 V. ISSUES, LESSONS, AND FOLLOW-UP ACTIONS 22 A. Issues 22 B. Lessons 26 C. Follow-Up Actions 27

In accordance with the guidelines formally adopted by the Operations Evaluation Department (OED) on avoiding conflict of interest in its independent evaluations, the Director General of OED did not review this report and delegated approval of this evaluation to the Director of Operations Evaluation Division 1. Penelope Schoeffel (social sectors specialist) and Danzan Narantuya (sociologist) were the consultants. To the knowledge of the management of OED, there were no conflicts of interest of the persons preparing, reviewing, or approving this report.

APPENDIXES 1. Overview of Schools Visited by Operations Evaluation Mission 28 2. Comparison of Appraisal and Actual Program Costs 42 3. Implementation and Compliance with Program Measures 43 4. Results of a Survey of the Opinions of Teachers about the ESDP Staff Rationalization Program 53 5. Results of Focus Groups with High School Students in Selected Schools 60 6. Achievements of Investment Project Component 64 7. Staff Development under the Education Sector Development Program 68 8. Results of Focus Groups with Parents of High School Students in Selected Schools 71 9. Assessment of Overall Program Performance 73 10. Basic Education Indicators, 1996–2005 76 11. Rural and Urban Issues in Education Sector Planning 78 12. Universities, Institutions of Higher Education, and Colleges, by Location 86

BASIC DATA Education Sector Development Program

(Loans 1507-MON[SF] and 1508-MON[SF]) in Mongolia

Program Preparation/Institution Building TA No.

TA Name

Type

Person-Months

Amount ($)

Approval Date

2228 Education Development Project

PPTA 13 400,000 09 Dec 1994

2719 Institutional Strengthening in the Education Sector

ADTA 82 970,000 19 Dec 1996

Key Program Data ($ million)

As per ADB Loan Documents

Actual

ADB Loan Amount/Utilization 6.5 6.21

ADB Loan Amount/Cancellation 0.0 Key Project Data ($ million) Total Project Cost 11.30 9.85 Foreign Currency Cost 7.10 6.82 Local Currency Cost 4.20 3.03 ADB Loan Amount/Utilization 9.00 8.181 ADB Loan Amount/Cancellation 0.06 Key Dates Expected Actual Fact-Finding 26 March–16 April 1996Appraisal 7–26 June 1996Loan Negotiations 21–22 November 1996Board Approval 19 December 1996Loan Signing 7 March 1997Loan Effectiveness 5 June 1997 7 March 1997First Disbursement Program Loan 10 April 1997 Project Loan 15 April 1997Program Completion 31 March 2002 30 September 2002Loan Closing Program Loan 30 September 2000 2 December 1999 Project Loan 30 September 2002 8 November 2002Months (Effectiveness to Completion) 59 68 Borrower Mongolia Executing Agencies Ministry of Education, Culture, and Science Bank of Mongolia (only for Loan 1507-MON[SF])

1 Actual disbursements in dollar terms were lower than the approved amount due to the decline of the SDR against

the US dollar during the program period.

iv

Mission Data Type of Mission No. of Missions No. of Person-Days Fact-Finding 1 66 Appraisal 1 80 Project Administration Inception 1 8 Review 6 112 Midterm Review 1 20 Disbursement 1 2 Project Completion 1 20 Operations Evaluation 1 46 ADB = Asian Development Bank, ADTA = advisory technical assistance, PPTA = project preparatory technical assistance.

EXECUTIVE SUMMARY The Education Sector Development Program (ESDP) comprised an integrated package

of policy reforms, investments, and associated technical assistance (TA) to transform the education sector and meet the needs of a market-oriented economic system. Until 1989, Mongolia’s achievements in the field of education compared favorably with middle income countries; however, in 1991, with the withdrawal of Soviet assistance, Mongolia experienced an economic and financial crisis, which undermined the progress made in the education sector. Enrolments declined, dropout rates rose, and schools were deteriorating. The ESDP consisted of a policy-based loan of SDR4.46 million ($6.5 million), an investment loan of SDR6.181 million ($9 million), and associated TA of $0.95 million. It was approved on 19 December 1996, signed on 7 March 1997, and became effective on the same date. The ESDP was the first time the Asian Development Bank (ADB) used the sector development program modality.

The ESDP was designed to upgrade the quality, performance, and sustainability of the

education sector and improve educational management capacity. The policy program included measures to (i) rationalize education structures and staffing, (ii) promote cost-recovery schemes, (iii) support privatization and private sector provision of education, and (iv) reassess the Government's role in technical education and vocational training (TEVT). The investment project aimed to (i) strengthen educational management capabilities at the central, local, and institutional levels; (ii) improve quality and coordination in higher education; and (iii) increase the effectiveness and efficiency of secondary education. The associated TA was intended to strengthen the institutional capacity of the education sector to achieve the objectives of the ESDP.

The program performance evaluation report (PPER) rates the ESDP “highly successful” because it established strong policy foundations for sector-wide education development in Mongolia, which were further addressed in two subsequent ADB education development projects in 2002 and 2006. In particular, the success of the ESDP is demonstrated by Mongolia’s selection for the “Education for All” Fast Track Initiative partnership, which comprises the first global compact on education that is assisting low-income countries to achieve free, universal basic education by 2015. Mongolia is now eligible to receive a grant from the Fast Track Initiative donors to cover a funding gap in the education budget from 2007 to 2009. This will enable implementation of the second education sector master plan recently approved by Parliament.

The ESDP is rated “highly relevant” because it addressed the pressing need—

supported by government policy and ADB’s country strategy—to transform education from a centrally planned model to a more flexible and efficient system that would meet the needs of a market economy.

The PPER rates the ESDP “highly effective” as a result of the impressive 60% enrollment increase (countrywide) in schools rehabilitated with ESDP assistance. Overall, the ESDP contributed to restoring enrollments to near pre-transition levels. It reorganized schools and equipped them with computers and science teaching aids under improved management. The ESDP promoted policies that enabled private schools to be established, leading to greater educational diversity and choice. An effective national higher education accreditation authority was established and the ESDP provided a number of higher education assistance packages that supplied urgently needed curriculum development, textbooks, teacher training, and

vi

postgraduate management training. Much remains to be achieved in the higher education subsector, however; as a result of Government-provided incentives, the supply of places is greater than the demand, which is probably leading to a lowering of academic standards.

The ESDP is rated “highly efficient”. Under the ESDP and related investments, a cost-efficient “complex model” has been established that amalgamates a number of adjacent neighborhood schools providing 10-year education programs under common management. The reform has resulted in (i) economies of scale; (ii) efficient utilization of scarce school buildings, which were reassigned to meet age-related needs of primary and secondary school children; and (iii) organization of teachers into collaborative, subject-based departments. Widely dispersed schools selected for project assistance remained under separate management, but were linked by networks of subject teachers. Although it initially met with considerable resistance, the complex model is now considered by Mongolia’s educationalists to be a blueprint for efficient future development of urban education.

ESDP investments in primary and secondary curriculum development and teacher training were particularly cost-effective through use of the “training of trainers” methodology. The ESDP originally planned to train 1,086 teachers and staff but succeeded in training 10,847, through the use of courses that were significantly shorter than those originally planned; overall the results appear efficient according to interviews with school managers. Private sector textbook publishing was encouraged and schools enabled management to pay staff on performance-based criteria. School management now seeks private sector sponsorship and request voluntary donations from parents to support budgetary shortfalls.

The ESDP rehabilitated a total of 88 schools, located in Ulaanbaatar and 17 provincial centers, compared to the initial target of 20 schools. The investment in school renovation was spread fairly thinly, with priority given to major problems such as leaking roofs and dysfunctional heating systems. This made good sense in terms of the major deterioration of school facilities at the start of the ESDP, and the effect this had on enrolments. The PPER rates the ESDP “likely to be sustainable”. The ADB Second Education Development Project continued the initiatives of the ESDP, and the Third Education Development Project builds on ESDP foundations towards the improvement of educational quality. The policies of the ESDP will be sustained under the second education sector master plan recently approved by Parliament. Laboratory equipment and teaching aids, library resources, classroom furniture, and computers provided under the ESDP have been carefully looked after, with teachers keeping detailed records on the use of equipment. Rehabilitated schools were clean and well kept. ADB supervision and Government performance is rated “highly satisfactory” in the PPER. The project implementation unit and its director performed particularly well considering it was the first time the executing agency had implemented an ADB-financed program or project.

Problems do remain, however. State budgetary allocations for school maintenance are inadequate. Many school buildings need to be replaced rather than renovated. Most school buildings are poorly designed for Mongolia’s long, harsh winter conditions. Many renovated peri-urban schools are already severely overcrowded due to rural to urban migration. Most schools teach two shifts, and in Ulaanbaatar three shifts are typical. Typically, primary, secondary, and senior secondary students use the same classrooms in different shifts.

Attention is drawn to the impact of rapidly growing rural to urban migration in Mongolia, which is being driven by the structural transformation of the pastoral industry from small to larger-

vii scale production. The PPER suggests that the highest donor priority should be providing (i) additional and improved education infrastructure in urban areas to reduce overcrowding, improve sanitation, and improve learning and boarding environments; and (ii) innovative, distance education-based strategies for provision of home-based primary education services to nomadic communities. To assist the Government in implementing the second education master plan and the “Education For All” Fast Track Initiative, the PPER recommends that the following three policy development issues should receive support from ADB: (i) develop an updated urban education infrastructure investment and financing plan, (ii) develop a future-oriented rural primary education development strategy, and (iii) plan a financing strategy for the establishment of a new national higher education center of excellence to raise academic standards in Mongolia.

R. Keith Leonard Director Operations Evaluation Department Operations Evaluation Division 1

Hatgal

Hanh

Erdenet

Darhan

Baganuur

Nalaih

Altanbulag

Maant

Tsogt-Ovoo

Bayan-Ovoo

Gashuun Suhayt

Erdenetsagaan

Bichigt

Zamyn-Uud

Tamsagbulag

MatadMonhhaan

Batnorov

Bayan-Uul

Havirga

Ereentsav

Hutag-Ondor

Hishig Ondor

Harhorin

Nariynteel

Sevrey

BattsengelAtar

Selenge

Zhargalant Sumber

Dzavhan

Tsengel Nogoonnuur

Dayan

Naranbulag

Manhan

Dariv

Uyench

Yarantay

Togrog Buutsagaan

Chandman

Burgastay

Tayshir

Tudevtey

Tsahir

Tsagaan-UulTes

Ulaangom

Olgiy

Hovd

Altay

Uliastay

Moron

Tsetserleg

BayanhongorArvayheer

Dalanzadgad

Zuunmod

Bulgan

Choybalsan

Baruun-Urt

Ondorhaan

Mandalgovi

Choyr

Sukhbaatar

SaynshandBayandelger

GOVI-ALTAY

ZAVHAN

UVS

HOVD

BAYAN-OLGIY

BAYANHONGOR

OVORHANGAY

ARHANGAY

HOVSGOL

HENTIY

DORNOGOVI

SUHBAATAR

DORNOD

DUNDGOVI

GOVISUMBER

SELENGE

ORHON

BULGAN

DARHAN-UUL

TOV

OMNOGOVI

R U S S I A N F E D E R A T I O N

PEOPLE'S REPUBLICOF CHINA

Project Site

National Capital

Provincial Capital

City/Town

Main Road

Provincial Road

Railway

River

Provincial Boundary

International Boundary

Boundaries are not necessarily authoritative.

M O N G O L I A

EDUCATION SECTOR DEVELOPMENT PROGRAM

Kilometers

0 50 100 200 250150

N

07

-01

30

RM 111 00'Eo

111 00'Eo

96 00'Eo

96 00'Eo

42 00'No 42 00'No

50 00'No50 00'No

ULAANBAATAR

I. INTRODUCTION A. Evaluation Purpose and Process 1. The Education Sector Development Program (ESDP)1 in Mongolia was selected for evaluation to determine lessons from a sector-wide, reform-based program in a country experiencing the early stages of transition to a market economy. At the time of ESDP formulation Mongolia was virtually insolvent. 2. Following the Guidelines for Preparing Performance Evaluation Reports for Public Sector Operations,2 this evaluation is based on program documents, a range of country studies, and the findings of an operations evaluation mission (OEM). The OEM examined the implementation of ESDP components for education management rationalization, curriculum development, teacher training, school equipment, and renovation of school buildings through visits to 20 program and non-program educational institutions (Appendix 1) covering kindergarten, secondary, as well as secondary-vocational education, located in Ulaanbaatar (the capital) and in four provinces (Darhan-Uul, Selenge, Orhon, and Ovorhangay), including urban, district, and subdistrict centers. The OEM also visited the National Pedagogical University and the National University of Mongolia in Ulaanbaatar. The selection of provinces allowed the OEM to examine the ESDP’s impact on education services in a variety of development contexts, ranging from remote rural centers to modern provincial towns and a large city. The OEM consulted a wide range of stakeholders in these locations, including senior officials of the Ministry of Education, Culture, and Science (MECS)3 at national and provincial levels, and a range of donors. It also conducted focus groups with (i) secondary students in selected schools on the utilization of project teaching aids, computers and laboratory equipment; and (ii) parents on the impact of project outcomes on school quality.

3. While many reforms, such as restructuring of 171 schools, eventually won bipartisan acceptance by the Government of Mongolia (the Government), one major element of the ESDP rationalization and reforms—the retrenchment of teaching staff—remains controversial. The program provided compensation packages for 5,000 staff (comprising 66% teachers and school managers, and 34% school support staff); it also encouraged a reduction of 3,140 in the teaching staff through attrition. As this was not addressed analytically in the Program Completion Report (PCR), the OEM examined the impact through a small tracer study. 4. The PCR rated the ESDP “highly successful”. It was rated (i) “highly relevant” because the design of the ESDP was considered to be closely linked to the Asian Development Bank’s (ADB’s) country operational strategy; (ii) “highly effective” because it successfully achieved its immediate objectives of improving the management capacity, sustainability, quality, and performance of the education sector; and (iii) “efficient” in its achievement of outputs related to investment, the purpose of the policy reforms, and capacity building of the Government. The PCR rated the ESDP “most likely sustainable” as the Government had continued to give high 1 ADB. 1996. Report and Recommendation of the President to the Board of Directors on Proposed Loans and a

Technical Assistance Grant to Mongolia for the Education Sector Development Program. Manila. (Loans 1507-MON[SF] and 1508-MON[SF], for a total of $15.5 million, approved on 19 December 1996). A sector development program is considered when a sector requires both investment and policy reform components, and where the former is unlikely to be accomplished in full and on time without the support of a policy-based component (OEM D5/BP, 29 October 2003).

2 ADB. 2006. Guidelines for Preparing Performance Evaluation Reports for Public Sector Operations. Manila. Available: http://www.adb.org/Documents/Guidelines/Evaluation/PPER-PSO/default.asp

3 At appraisal, the executing agency was the Ministry of Science, Technology, Education, and Culture. Following a reorganization, it was renamed the Ministry of Education, Culture, and Science in August 2002.

2

priority to investment in education and human resource development, and public expenditure for education had remained stable. The impact of the ESDP was rated “substantial”. The ESDP reduced disparities in access to schooling between boys and girls (the gender imbalance had favored girls)4 and between cities and rural areas. It had a positive impact in supporting male students, who tend to drop out more readily than female students because poor families in rural areas often regard them as breadwinners. The dropout rate of male students decreased at primary and secondary schools rehabilitated under the ESDP, as the financial burden on poor families was reduced. 5. The technical assistance (TA) completion report rated the associated TA “highly successful”, and found that the TA project fully accomplished its objectives and provided essential support to MECS in a wide range of policy areas being supported by the ESDP. All envisaged activities were completed on schedule. B. Expected Results and Program Objectives 6. The ESDP constituted the Government’s key reform intervention to transform the education sector to match the changing requirements of an economy in transition from a centrally-planned to a market-oriented system. It comprised an integrated package of policy reforms, investments, and TA intended to make the education sector more cost efficient, effective, and responsive to the emerging economy. In particular, it aimed to improve educational management capacity and to upgrade the quality, performance, and sustainability of the education sector. The policy reforms included measures to (i) rationalize education structures and staffing, (ii) promote cost recovery schemes, (iii) support privatization and private provision of education, and (iv) develop a comprehensive policy framework for technical education and vocational training (TEVT). The investments were intended to (i) strengthen educational management capabilities at the central, local, and institutional levels; (ii) improve quality and coordination in higher education; and (iii) increase the effectiveness and efficiency of secondary education. The associated TA aimed to strengthen the education sector’s institutional capacity to (i) undertake and consolidate reforms, (ii) introduce and extend quality improvement measures, and (iii) improve and sustain cost-effectiveness and efficiency. 7. Expected outcomes were a strengthened education management capability and improved quality and efficiency of education, as measured by improvements in education indicators such as (i) dropout rates, (ii) gross enrolment rates, (iii) average qualifications of teachers, (iv) student-teacher ratios, and (v) the average salary levels for teaching staff.

II. DESIGN AND IMPLEMENTATION A. Formulation 8. In 1992, the Government requested TA to undertake a comprehensive sector review and to assist in the preparation of a master plan to guide the future direction of the sector.5 The sector review was completed in 1993. The key issues identified were (i) the impact of decentralization of finance and management, which called for new policies, planning, management, and financial skills; (ii) the impact of economic transition on sector financing,

4 Following the decollectivization of the pastoral industry and the reestablishment of family herding, there was a

major increase in demand for the labor of school-age boys. 5 ADB. 1992. Technical Assistance to Mongolia for Human Resource Development and Education Reform. Manila.

(TA 1801-MON, for $535,000, approved on 11 December).

3

highlighting the need to arrest the decline in quality and deterioration in educational environments, and to introduce new methods of generating resources for education; and (iii) the need for greater relevance in educational content to match the needs of a market-oriented society. Major constraints identified were (i) excess school capacity and staffing levels, resulting in unsustainable overhead costs; and (ii) the need to redefine the role and functions of TEVT in a changed environment. 9. The master plan completed in December 1993 provided a foundation for education sector development. It identified six principal areas for action that became the basis for several legislative and policy frameworks: (i) enhance basic and general education, (ii) reform higher education for national development purposes, (iii) rationalize systems for vocational training, (iv) provide learning opportunities for out-of-school children and youth, (v) improve educational management, and (vi) increase the efficiency of MECS. With the master plan as a foundation, the Mongolian Parliament approved a package of laws in 1995 to govern the education sector. 10. In December 1994, ADB approved project preparatory (PP) TA6 to prepare an education development project to assist the Government in seeking external financing for long-term restructuring and strengthening of the education and human resources sector. The PPTA project, which was implemented in two phases to allow for consultation with various stakeholders, was successfully completed in March 1996. It produced a detailed investment proposal that addressed the key sectoral issues and priority requirements within the framework of the goals and objectives of the master plan. The PPTA report’s findings and recommendations became the basis for formulating the ESDP. Overall, the OEM rated the PPTA project “successful”. 11. The ESDP was initially conceptualized as a project, but during processing, concerns were expressed about the objective to retrench approximately 8,000 surplus teaching and non-teaching staff (cooks, guards, cleaners, coatroom attendants, maintenance staff, etc.) Concerns centered on the measure’s social and economic impacts, rather than its necessity. The issue of whether the Government had the capacity to provide a compensatory safety net for those affected by the plan was raised at the Management Review Meeting (16 May 1996). Subsequently, the President was requested to approve processing of an education sector development program loan, combining the investment activities and the downsizing policy actions, with an increased loan amount of $16.0 million (from $8.6 million). 12. The President responded (5 June 1996) that as the new proposal would double the loan amount drawn from scarce Asian Development Fund resources, there was a need to demonstrate clearly that (i) the investment and policy components were inseparable, and (ii) there was agreement between the Government and the International Monetary Fund (IMF) regarding overall civil services rationalization. Accordingly, appraisal was postponed, and a pre-appraisal focused on technical aspects of the proposed investment project. A staff consultant examined options for a comprehensive staff rationalization program, and ADB participated in the IMF Enhanced Structural Adjustment Facility Review Mission. Consultation and appraisal missions (9–20 September 1996) obtained government approval of a sector development program modality (see definition of this modality in footnote 1) and an increase in the loan amount of between $2.5 million and $8.4 million, to offset the rationalization program costs. 13. At the Staff Review Committee Meeting on 29 October 1996, some staff expressed concerns about social and poverty impacts of the retrenchment component. Questions about the

6 ADB. 1994. Technical Assistance to Mongolia for the Preparation of an Education Development Project. Manila.

(TA 2228-MON, for $400,000, approved on 9 December).

4

effectiveness of the retrenchment plan were also raised at the Loan and Technical Assistance Coordination Committee Meeting (19 November 1996), where it was noted that the staff rationalization plan might result in the loss of skilled teachers who were needed in a market economy. At Board discussion (19 December 1996), the Executive Directors approved the ESDP, noting that it was highly appropriate given the rapid deterioration of Mongolia’s education sector, but several directors expressed concerns about the social and poverty impacts of the retrenchment plans. Overall, concerns about social and economic impacts were allayed by the mitigation package provided in the ESDP for financial compensation and retraining of retrenched staff. 14. The ESDP was approved on 19 December 1996 and comprised an integrated package of a policy-based loan of SDR4.46 million ($6.5 million), an investment loan of SDR6.181 million ($9 million), and associated TA of $0.95 million.7 Loan 1507-MON (SF) for policy reforms and Loan 1508-MON (SF) for the investment project were signed on 7 March 1997 and became effective on the same date. B. Rationale 15. Until 1989, Mongolia’s achievements in the field of education were impressive. Its gross enrollment ratios (98% in primary schools, 85% in secondary schools, and 17% in higher education) compared favorably with those in middle income countries. These achievements were secured through assistance from the former Soviet Union and the Council of Mutual Economic Assistance. However, in 1991, with the withdrawal of Soviet assistance and the collapse of the Council, Mongolia experienced an economic and financial crisis, which undermined the progress made in the education sector. There was marked erosion in both the quantity and quality of schooling; between 1989 and 1995 gross enrollments declined from 98% to 84% in primary schools, and 85% to 65% in secondary schools. Dropout rates rose significantly at all levels and in all regions of the country. Schools were deteriorating from lack of maintenance funds. The resultant deterioration in the quality of the education sector came at a time when the transition to a market economy called for different skills. 16. Mongolia’s education system was heavily dependent on subsidies and was both labor and service intensive. The system encompassed (i) preschool and kindergarten; (ii) 4 years of primary education, beginning at age eight; (iii) 4 years of lower secondary education, with compulsory education ending after Grade 8; (iv) 2 years of upper secondary education; (v) postsecondary and higher education; and (vi) secondary and postsecondary TEVT. Under the centrally planned system, every urban neighborhood in the capital and in provincial (aimag) towns had several schools, each with its own management, as well as teaching staff, and clerks, cleaners, heating stokers, electricians, guards, cooks, etc. Education services were provided at every level of government, at district (soum) level, and in hundreds of subdistricts (bags). Children from remote rural areas were accommodated in boarding dormitories linked to schools in provincial and district towns. 17. When agriculture was decollectivized, and freedom of movement was restored to citizens, a large numbers of rural households resumed the pre-socialist practice of small-scale, subsistence, nomadic herding. This increased pressure on the facilities in state boarding schools; because of the demand for family labor, it also reduced the number of boys progressing beyond the junior secondary level. At this time, many schools were overstaffed in

7 ADB. 1995. Technical Assistance to Mongolia for Institutional Strengthening in the Education Sector. Manila.

5

relation to the available resources and number of students, and some were in such a severe state of disrepair that they could not be used. 18. The ESDP was designed as an integrated package of policy reforms, investments, and associated TA to transform the education sector to meet the needs of a market-oriented economic system. Key elements were (i) rationalization and decentralization of school administration at all levels, to broaden options available to school administrations, teachers, students and parents; (ii) curriculum reform, including elimination of ideological content in social science, and a shift in emphasis from teacher-centered to student-centered curricula; and (iii) associated revision of pre-service and in-service teacher training. It included measures to encourage cost sharing with parents and students, so that education funding could be supplemented by other sources; provision of education by the private sector was allowed at all levels. C. Cost, Financing, and Executing Arrangements 19. ADB supported the Government’s policy reforms program by providing a program loan of SDR4.46 million ($6.5 million equivalent). The funds financed the costs of the staff rationalization program and other associated costs incurred by the Government in implementing the policy reforms under the ESDP. These funds were allocated through Ministry of Finance. The program loan was released in two equal tranches. The first tranche of SDR2.232 million ($3.096 million equivalent) was disbursed in April 1997 and was fully liquidated in July 1998. The second tranche amounting to SDR2.232 ($3.061 million equivalent) was released in October 1998 following compliance of MECS with all conditions regarding policy actions to be taken under the ESDP. Actual disbursements in dollar terms totaled $6.2 million, which was less than the appraised amount of $6.5 million due to the decline of the SDR against the dollar during the program period (Appendix 2). 20. At appraisal, the total cost of the investment project was estimated at $11.3 million equivalent, of which $7.1 million (63%) was the foreign exchange cost and $4.2 million equivalent (37%) was the local currency cost. ADB was to provide a loan of $9.0 million equivalent (SDR6.18 million) to finance the entire foreign exchange cost of $7.1 million, and $1.9 million equivalent of the local currency cost. The balance of local currency cost (amounting to $2.3 million) was to be provided by the Government. The actual cost of the investment project was $9.8 million (including service charges and taxes and duties), including $6.8 million in foreign exchange cost and $3.0 million in local currency costs. ADB financed $8.2 million (including service charges) and the Government financed the balance of $1.6 million equivalent. During implementation minor reallocation in loan proceeds was undertaken—from furniture, instructional materials, consulting services and unallocated categories to civil works, equipment training, and project implementation unit (PIU) recurrent costs. The details of the project costs are provided in Appendix 2. 21. The MECS was the executing agency for the two loans and the associated TA, and the Bank of Mongolia was responsible for initiating loan withdrawals and managing the imprest account under the program loan. The PIU, which was established in MECS and headed by a project director and assisted by four full-time staff, was responsible for overall project implementation and supervision. Policy guidance was to be provided by a project steering committee comprising representatives from various ministries and government agencies, including the Ministry of Justice, the Ministry of Health, and the Customs Office. However it became clear during implementation that convening a committee with the wide membership originally envisaged would be difficult, and the Project Steering Committee was restructured in 1998 to include only representatives of agencies directly involved with the ESDP (e.g., MECS, the Ministry of Finance,

6

and the National Statistical Office). The restructuring facilitated working relationships and enabled the committee to provide rapid and substantial advice and guidance to the PIU. D. Procurement, Construction, and Scheduling 22. According to the PCR (para. 57), goods and related services were procured from loan funds in accordance with ADB’s Guidelines for Procurement (2006, as amended from time to time). Procurement of civil works, equipment, and materials was undertaken as appraised. The 47 civil works contracts, as well as textbooks and instructional materials, were procured using local competitive bidding. Direct purchase was used to procure some books and equipment for libraries. No major problems occurred with bidding procedures or contracts. 23. The performance of the contractors and suppliers for civil works and equipment provision was reported as generally satisfactory. All contracts were successfully completed or delivered on schedule and within budget. As observed by the OEM during its field visits (Appendix 1), with some exceptions, the quality of rehabilitated secondary school buildings, science laboratories, and the university libraries was generally good. 24. The program loan was to be implemented over 3 years with an expected closing date of 30 September 2000. The first tranche was released upon loan effectiveness, and the second tranche in October 1998. The investment project was to be implemented over 5 years with physical completion expected by 31 March 2002 and loan closing by 30 September 2002. Project implementation activities commenced and were completed as planned at appraisal. The program loan was closed on 2 December 1999, the project loan on 8 November 2002, and the associated TA project on 31 August 2001. E. Design Changes 25. Some significant changes to targets occurred during implementation. The ESDP intended to rehabilitate 20 schools, but a total of 88 schools in Ulaanbaatar and in 17 provincial centers were renovated or partially renovated. Priority was given to major problems such as leaking roofs and dysfunctional heating, which made schools inoperable. In the case of training, ESDP planned to train 3,854 teachers and staff, but actually trained 21,282. F. Outputs

1. Policy Reforms 26. A total of 43 policy measures in eight policy areas were included in the policy matrix. Fourteen of the policy measures were accomplished prior to loan effectiveness, 11 were complied with prior to the release of second tranche, and the remaining 18 were implemented during the program period. The compliance status of these program measures is outlined in Appendix 3. The associated TA assisted the Government in achieving the program conditionalities, as well as strengthening the institutional capacity of MECS. 27. The policy measures supported by the ESDP were designed to restore fiscal viability in the education sector by rationalizing structures and facilities, reducing staff, and promoting cost recovery and private sector provision of education services. The key outputs achieved by the ESDP are as follows:

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28. Reorganizing and Strengthening Education Management Capabilities. In 1996, the Government successfully carried out the following phased steps in reorganizing the sector: (i) redefining the roles and responsibilities of MECS and local governments; (ii) formulating and implementing a comprehensive reorganization plan; (iii) assessing the existing capacities of MECS and local governments in administration, finance, and management; and (iv) preparing a capacity building program based on the training needs assessment funded by the ESDP. Consequently, MECS was established as the central state administrative body that (i) formulates national educational policy and sets the standards for each level of formal education; and (ii) administers general provisions on education matters, teacher training, curriculum development, and state examination procedures. 29. Rationalizing Education Sector Facilities. A systematic restructuring of education institutions was undertaken under the ESDP to address the significant underutilization of school capacity, and the excess number of schools and/or inappropriate grade mix. A nationwide school mapping study was completed in April 1997 and a plan was prepared for comprehensive school rationalization. Of 171 schools identified for restructuring, 136 (80%) were restructured by August 1998 (second tranche condition of the program loan) and 35 (20%) were restructured by June 2002. The rationalization reduced students’ commuting time to schools, contributed to improved gross enrolment rates at all levels and reduced dropout rates, and increased the percentage of cohorts reaching the upper grades. Another major output was the development of “complex schools”, a rationalization initiative bringing several adjacent neighborhood schools under common management (see para. 69). 30. Rationalizing Education Sector Staffing. A legacy of the former Soviet Union, the ratios of teachers to students and non-teaching staff to teaching staff were extremely high and financially unsustainable. With the assistance of ADB-funded TA,8 the Government prepared a staff rationalization plan for implementation under the ESDP. The plan anticipated 8,100 surplus staff would be eliminated during the program period: 4,200 would be declared redundant and be provided with a compensation package, counseling, retraining, and outplacement services, and 3,900 would be eliminated through attrition. The actual number of staff reduced under the ESDP was 8,140, of which 5,000 staff became redundant, and 3,140 were reduced through attrition. The socioeconomic impact of the staff rationalization is discussed in paras. 81–82 and in Appendix 4. 31. Introducing Cost-Sharing in Secondary Education Textbook Publishing and Decentralization of Textbook Distribution. As set out in Ministerial Decree 161 of May 2000 (Guidelines for Textbooks for Primary and Secondary Education), the Government introduced a textbook system under which parents pay MNT150 per year to borrow textbooks for a specific subject, which are then returned at the end of the academic year. The policy also created a role for the private sector in publishing textbooks and distributing primary and secondary school textbooks. Private printing companies were selected for textbook publishing through local competitive bidding. Significant improvements were achieved in textbook design, durability, and printing technologies. Local education authorities began using private courier companies to deliver textbooks to schools, which considerably reduced shipping costs. During visits by the OEM to 21 rural and urban schools, teachers expressed satisfaction with this component. Private sector textbook publishing is now well established, and apparently competitive, and schools have a choice of textbooks and teaching manuals.

8 ADB. 1996. Technical Assistance to Mongolia for the Restructuring and Staff Rationalization Project. Manila.

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32. Under the ESDP (and the Second Education Development Project)9 schools bought sets of text books and rented them to students. Many of these older class sets were observed in usable condition in the (still meager) school libraries, which attests to the improved quality of textbooks. In 2006, the Government introduced full cost-recovery policies under which student must buy their own sets of textbooks. Each school receives textbook subsidies for students from poor families, but most school directors and managers interviewed noted that the prescribed textbooks are expensive, with a full set for a secondary student costing $30–$40, so many students still lack a full set of textbooks. It is likely a market for secondhand books will eventually develop. In some schools, partial cost recovery is achieved by selling textbooks to well-off parents in parallel with renting textbook to disadvantaged families. 33. Focus groups were held with students in a sample of 16 rural and urban schools, including three rural and three Ulaanbaatar schools in disadvantaged areas (Appendix 5). The main concern expressed was the availability of textbooks and the performance of school libraries. Formerly, under the ESDP’s textbook component, all textbooks were rented to students by school libraries, at a cost of MNT50 per year. High school students are presently required to have 16 textbooks, including 7–10 newly published books per academic year. From 2006, students have been required to buy the new textbooks, although some schools still rent the old ones. 34. The study found that classes with 30–40 students, in both rural and urban schools, are required to have an average of 5–6 textbooks per subject. In one complex school, a grade 11 class of 48 students could rent only one geometry textbook from the school library. Textbooks for geography, English, and literature are in very short supply. Most students buy about three to five textbooks, and share the rest. The average cost of a textbook is MNT3,000–3,500, and not all families can afford them. Library services were considered very poor by the students. Some textbooks are not available in rural areas. In two schools, students called their school libraries “book stockrooms”, because librarians do not allow students to use the libraries. 35. Developing a Policy Framework on Technical Education and Vocational Training (TEVT). A draft policy framework and action plan for TEVT was developed by MECS in March 1998 and subsequently approved by Cabinet Resolution 14. A new TEVT law was enacted in May 2002, which limits the Government’s role in TEVT and encourages private industries and businesses to participate in TEVT through measures that include training programs and promotion of internship programs. Implementation of this policy in a manner that will improve the quality of secondary and tertiary TEVT is beyond the scope of the ESDP, but is a priority in the Third Education Development Project.10

36. Promoting Private Sector Provision of Education and Privatization of Higher Education. This policy component included setting out a legal and regulatory framework to remove obstacles to the establishment of private schools and the privatization of selected state universities. Guidelines for private provision of higher education were prepared and a resolution on privatization and reform was enacted in July 2002, identifying six universities and other academic institutions for privatization. The OEM visited two private schools in small towns and both demonstrated that parents who can afford the choice place highest priority on the quality of 9 ADB. 2002. Report and Recommendation of the President to the Board of Directors on a Proposed Loan to

Mongolia for the Second Education Development Project. Manila (Loan 1908-MON(SF), for $14 million, approved on 6 August 2002).

10 ADB. 2006. Report and Recommendation of the President to the Board of Directors on a Proposed Loan and Technical Assistance Grant to Mongolia for the Third Education Development Project. Manila (Loan 2238-MON[SF], for $13 million, approved on 21 June 2006).

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attention to their children (e.g., low teacher-pupil ratios, more contact hours per student, and extracurricular activities). The two schools were not superior to the state schools in terms of their buildings and facilities; in fact, one was decidedly inferior to the nearby government school in this respect. However, this school offered low teacher-pupil ratios for grades 1–11, as well as extra teaching hours on core subjects. In contrast, the nearby complex school taught all grades in two shifts. The second private school visited only offered grades 1–4, but had a low teacher-pupil ratio and offered extra curricular activities in the afternoons. In contrast, the nearby (non-program) state primary school taught children in three shifts. 37. Promoting the Development and Use of Selected Quality Assurance Mechanisms for Higher Education. The structure, mandate, and legal and regulatory framework for an independent accreditation body for higher education was prepared and approved by Parliament (Resolution 240). The National Accreditation Agency was established in 1998, and later became the National Council for Higher Education Accreditation in 1999. Its two key functions are (i) to examine the quality of education programs and physical infrastructure at higher education institutions, and (ii) to assist institutions (through provision of consulting services) if the institutions fail to meet the required standards. By 2006, the council had accredited most state higher education institutions and 28 private universities. Only those institutions that have passed the accreditation process are eligible to receive government financial support. The training of the accreditation agency staff was carried out under the investment component (para. 40), after which they successfully developed their accreditation skills through work experience. The National Council for Higher Education Accreditation receives consulting fees to ensure its financial independence from MECS; however, at evaluation, it was still not fully independent from MECS. 38. Promoting Performance Management in the Education Sector. With the assistance of consultants provided under the associated TA project, the education management information system was designed based on field tests and tryouts. Twenty-one indicators for data collection were developed and tested at the aimag level. All the necessary hardware and software were procured under the investment component (para. 45). Training of staff on the information system was also carried out under the investment component (para. 40). At program completion, education management information system equipment had been accepted by 90% of schools targeted for it.

2. Investment Project 39. The associated TA assisted the Government in undertaking the reforms stipulated under the policy component, while the investment project assisted in developing the efficiency, quality, and relevance of the sector, and increasing its responsiveness to market economy needs. Key outputs of the project were capacity development, rehabilitation of schools, and provision of instructional materials and equipment. The details of the investment project achievements against the targets set out at appraisal are provided in Appendix 6 and summarized below. 40. Staff Development. A substantial amount of training was provided under the investment project to support the fundamental restructuring and reorientation needed in the education sector. Areas of study included (i) higher education management, academic networks, libraries, publishing, and consultancy training; (ii) curriculum and course development; (iii) textbook development; and (iv) teacher training methods. Table 1 shows achievements against targets. Training programs (detailed in Appendix 7) were organized nationwide in the following areas: (i) education management, (ii) higher education accreditation, (iii) academic network and library services, (iv) faculty retraining, (v) publishing management, and (vi) in-service and pre-service

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teacher training. The courses were significantly shorter than those originally planned, but overall the results appear efficient, according to interviews with school managers. Students surveyed were generally satisfied with science and information technology teaching, but some expressed the opinion that teacher performance was poor (para. 47).

Table 1: Summary of Staff Development Funded by the Investment Project

Number of Staff Trained Target Actual Item

In-Country

International

Total

In-Country

International

Total

A. Strengthening Education Management Capabilities

1. Support to MECS and Local Government

1,370 1,370 5,269 33 5,302

2. Higher Education Management 300 300 857 857 Subtotal 1,670 1,670 6,126 33 6,159

B. Improvement of Quality and Coordination in Higher Education

1. Higher Education Accreditation 50 6 56 337 15 352 2. Academic Network and Library

Services 98 14 112 714 25 739

3. Curriculum/Course Development 360 10 370 1,193 18 1,211 4. Academic Staff and Faculty

Development 420 30 450 1,505 111 1,616

Subtotal 928 60 988 3,749 169 3,918

C. Increasing the Effectiveness and Efficiency of Primary and Secondary Education

1. Development and Supply of New Textbooks

96 2 98 350 0 350

2. Support to Secondary Teacher Training

a. In-Service Training of Teachers 1,046 1,046 10,497 10,497 b. Pre-Service Teacher Training 40 40 350 350 c. Teacher Training Methods 12 12 8 8 Subtotal 1,182 14 1,196 11,197 8 11,205

Total 3,780 74 3,854 21,072 210 21,282 Source: Report and recommendation of the President and project documents. 41. Rehabilitation of School Buildings. The investment project rehabilitated schools, of which most had deteriorated to the point that they were barely functional. At appraisal it was planned to rehabilitate 20 schools, however, the ESDP fully or partly rehabilitated 88 schools, located in Ulaanbaatar and 17 provincial centers; the investment project funded rehabilitation of 47 schools, with work on the balance (41 schools) funded with local currency counterpart funds generated from the program loan. The investment in school renovation was therefore spread fairly thinly, and the renovations prioritized major problems (e.g., leaking roofs, and dysfunctional heating and plumbing). Greater emphasis was placed on quality under the follow-on project [footnote 9]). 42. The priority under the ESDP of making schools habitable in the short term made good sense in terms of the major deterioration of school facilities at the start of the ESDP and the effect this had on enrolments. School directors and managers had evidently made maximum use of available facilities, despite space constraints, with many offering non-formal education programs for school dropouts and in some cases adult education programs as well.

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43. Learning environments notably improved in those schools where rehabilitation was undertaken, particularly where heating, sanitation, and appropriate classroom layouts were included. However, toilet and washing facilities are still very inadequate in most schools, including rural schools assisted by the ESDP. In many cases, overcoming the technical challenge of pipes that freeze in winter discourages investment in plumbing, so many schools lack running water and indoor toilets. Parents interviewed expressed concern about hygiene, and some mentioned outbreaks of hepatitis in Ulaanbaatar schools. However, water supply and toilet facilities have been greatly improved in some of the large urban complex schools seen by the OEM that were renovated under the ADB Second Education Development Project. 44. Although the schools seen by the OEM were generally clean and well kept, the state and provincial budget allocation for school maintenance is inadequate, particularly for the majority of school buildings that are in poor condition. Accordingly, the schools must ask parents for annual contributions ranging from $1 to $4 per child, which are beyond the means of the poorest families. 45. Equipment and Instructional Materials for Secondary and Higher Education Institutions. Equipment provided to schools included (i) science equipment (provided to 148 schools and two universities), (ii) 860 computers (provided to 113 provincial and city primary and secondary schools), and (iii) solar batteries (provided to 20 remote schools). In general, all the equipment provided by the ESDP was fully utilized by teachers and students. All the schools visited by the OEM that were assisted by the ESDP (and the Second Education Development Project) had physics, chemistry, and biology teaching equipment, and teachers expressed gratitude and satisfaction with the equipment, which was very well cared for. Library improvements and teaching equipment were also observed at the National Pedagogical University. 46. Science laboratories at the National University of Mongolia and National Pedagogical University were rehabilitated and re-equipped. Equipment was also provided to in-service teacher training centers established at the Teacher Training College, National Pedagogical University, and in the Education Research Institute, as well as to education and culture centers in 22 cities and provinces. Model textbooks were provided for grades 8–10. The capacity of textbook editors, publishers, and administrators was expanded through training programs in textbook writing, publishing, and management. Workshops on new textbook content and teaching methods were organized for more than 300 teachers. A total of 853,000 textbooks based on new curricula and standards, and including 29 titles and teachers’ guides, were printed and distributed to schools nationwide. 47. Focus groups with students aimed to find out to what extent the equipment supplied by the ESDP for science teaching is being used by students, and whether they have adequate access to text books (Appendix 5). Students in Ulaanbaatar schools gave a lower assessment than students from schools in smaller town. Of focus groups in 10 schools, 3 rated science and information technology teaching overall as very good, 2 rated them as good, while 4 rated them as satisfactory. With regard to science teaching resources, students in Ulaanbaatar rarely used—or observed the use of—science experimental teaching equipment and materials, while the highest use was reported in one of the schools in rural Bulgan. In another school in Bulgan, the chemistry class rated the teaching as excellent, despite the fact that no experiments had been demonstrated. It was found that this school had no supplies for organic chemistry and no safe chemical storage facilities (a common problem). Overall, more experiments were

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conducted in rural than in urban schools, despite the lack of access to running water in most rural schools.11

48. The OEM also interviewed parents of high school students in Darhan and Erdenet cities, and Selenge district (Appendix 8). Overall, parents said that while the school curriculum has broadened, it has become more difficult, so that they are not able to help primary and secondary school children do their homework. Many questioned whether the curriculum and quality of teaching has improved, however. The highest approval ratings were recorded in rural Bulgan district. Other issues of parental concern were shortage of textbooks, the quality of new textbooks, performance of school libraries, and the poor etiquette of students. 49. All the secondary schools visited by the OEM had computers for student use, and a few had many computers and internet access as well. Training in computer applications is mainly limited to the use of the Microsoft Office package. Some schools taught programming to senior classes as well. The ESDP laid the foundations for computer education in schools, and the Second Education Development Project provided additional sets of computers, but the full potential of computers in education has yet to be realized in pre-service and in-service teacher training, and as an educational tool at all levels of the education system. 50. According to the 2002 report of the joint MECS, Education Inspection Board and Education Research Institute monitoring and evaluation teams, 78% of survey respondents found students were not satisfied with the capacity of the computers in use. Similarly, the OEM focus group study found that students think school computers do not meet their needs and wish they had powerful computers in good working condition and had access to the Internet. Common complaints were that not all computers work, many crash repeatedly, and mouse devices often do not work properly. Because computers are so slow, students cannot learn much in the allocated 40 minutes per class. In one complex school, students who are not achieving as well as others are not allowed to use computers at all. 51. Despite these weaknesses (which will be addressed under the Third Education Development Project), laboratory equipment and teaching aids, library resources, classroom furniture, and computers provided under the ESDP have been carefully looked after, with teachers keeping detailed records of the use of equipment. The ESDP computers are now somewhat obsolete and there are no parts available to repair those that have become dysfunctional. However, most of the old computers are still in regular use and in some cases the inoperable ones have been disassembled to demonstrate the parts of a computer for teacher information technology education, while others are displayed in primary schools to familiarize students with the names of the computer parts—keyboard, monitor, and so on. The Second Education Development Project has provided new computers to project schools; these are in use, together with the older models. In those schools with Internet connections, both teachers and senior high 11 While the visit by the OEM did not reveal these issues, the focus group discussion on student use of science

equipment (Appendix 5) revealed that teachers referred to drawbacks with the materials and equipment received through the ESDP. The equipment and materials were supplied by an Indian company, selected by tender in 1999. In the opinion of the teachers, despite their high cost, the quality and durability of some equipment supplied by the company is much poorer than the equivalent Russian and German-made equipment. For instance, after three or four experiments, springs in dynamometers ceased to function properly (their diameter is 7 centimeters, 16 centimeters less than the Russian dynamometers, and is consequently not visible to classroom students). Similarly, the processes demonstrated in the new apparatus for water distillation could not be observed in the classroom because the apparatus was made of white plastic materials. Furthermore, it was hard to measure the width of the color spectrum using new spectroscopes. A physics desk without a panel for experiments was provided to Amgalan complex school. Equipment and utensils lacking some parts are not uncommon. Moreover, some schools have an excess of certain materials and tools while others lack them.

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school students have access. The OEM noted the as yet unrealized potential of the Internet for cost-effective in-service teacher training and curriculum development, and this is highlighted and addressed in the Third Education Development Project. G. Consultants 52. At appraisal, the ESDP included provision for 42 person-months of international and 120 person-months of national consulting services for project management, curriculum development and course design in higher education, faculty and staff training, higher education accreditation, master’s of business administration programs, management consultancy, educational administration, pre-service teacher training, and in-service teacher training. Actual utilization was a total of 139 person-months of consulting services comprising 38 person-months of international consultants and 101 person-months of national consultants (Table 2). As noted in the PCR, the consultants were recruited and contracted according to ADB’s Guidelines on the Use of Consultants (2006, as amended from time to time).

Table 2: Estimated and Actual Consulting Services Provided by the Project

Person-Months Appraisal Actual Expertise International Local International International1. Project Management 18 0 17.0 0.0 2. Academic Network 24 0.3 21.2 3. Higher Education: Curriculum Development,

Course Design, and Faculty Training 6 18 5.8 18.1

4. Higher Education Accreditation 3 24 2.5 22.1 5. Higher Education: Development and

Implementation of Master’s in Business Administration

3 24 3.0 11.1

6. Management Consultancy Training 3 6 2.4 6.1 7. Education Administration Studies

(Development of a Master’s in Education Administration Program)

3 12 2.3 11.1

8. Pre-Service Teacher Training Methodology 3 6 2.7 6.0 9. In-Service Training 3 6 2.6 6.0 Total 42 120 38.6 101.7

Source: Report and recommendation of the President and project documents. 53. Based on the review of documents and interviews with various stakeholders, both international and national consultants performed satisfactorily. Senior officials of the MECS at both national and provincial levels, and senior staff of higher institutions as well as the Vice Minister of MECS expressed their satisfaction to the OEM. The PIU and MECS were unfamiliar with ADB’s operational procedures and guidelines, and the services of the project management consultant who assisted in successfully implementing the ESDP were noted in particular. Many counterpart staff in the PIU and at MECS benefited form the transfer of knowledge and management skills from the international consultant. The international consultants for training activities, supported by the national consultants, produced many reports and working documents that were translated into the Mongolian language and distributed to relevant agencies. Recommendations made by consultants were successfully implemented in many areas such as higher education accreditation, library management, educational administration, and commercial management consultancy services.

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H. Loan Covenants 54. Compliance with the major program and project loan covenants was generally satisfactory. Audited project accounts and quarterly progress reports were submitted to ADB on time. The benefit monitoring and evaluation system as covenanted was established, although delayed. A benefit monitoring and evaluation report was submitted to ADB in January 2003 (see findings in paras. 50 and 81). I. Policy Framework 55. ESDP policy frameworks were formulated when the education sector was in crisis and there was considerable political will for reform. The ESDP provided sound policy directions with regard to primary and secondary education; key elements—such as the reorganization of schools into larger and more efficient institutions—have survived and gained wide support despite frequent changes of government. 56. Most of the ESDP policy objectives were sound. But while the policy for retrenchment of non-teaching staff was effective and necessary, the teacher retrenchment policy (which has been controversial since its formulation), was not as effective as intended, because other ESDP reforms and investments encouraged a rapid increase in enrollment; large numbers of retrenched teachers were rehired, but at the same time, incentives were provided that encouraged some of the most capable teachers and managers to leave the service. 57. Some policy directions under the ESDP have become subject to conflicts of interest within the sector. For example, efforts to implement reform policies, especially in higher education, have been challenged by inconsistent application. Although the need to reform higher education was widely acknowledged during formulation, and continues to be acknowledged to the present day, policy measures for cooperation, coordination, and privatization did not produce the hoped-for increase in resource rationalization and quality-based competition, because the application of state policies has not adequately supported these objectives. Senior education officials committed to the ESDP policy foundations have had to operate in a challenging environment, in which policy is frequently ignored by successive governments at both national and provincial level.

III. PERFORMANCE ASSESSMENT A. Overall Assessment 58. The ESDP is rated “highly successful” overall (Table 3), confirming the PCR rating. Access to education, gross enrollment rates, and retention rates have greatly improved, as have achievement levels in primary and secondary education and teacher training. The Second Education Development Project and the Third Education Development Project have built on the foundation established by the ESDP and have addressed the lessons that emerged from it. The MECS second education master plan aims to apply principles and objectives originally articulated in the first education master plan, with improved donor coordination and application of a sector-wide approach with ADB leadership. Senior officials of the MECS at both national and provincial levels and the Vice Minister of MECS expressed satisfaction to the OEM with the outcomes of the ESDP.

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Table 3: Assessment of ESDP Overall Performance

Criterion

Weight (%)

Assessment

Rating Value

Weighted Rating

Relevance 20 Highly Relevant 3 0.6 Effectiveness 30 Highly Effective 3 0.9 Efficiency 30 Highly Efficient 3 0.9 Sustainability 20 Likely Sustainable 2 0.4 Overall Rating Highly Successful 2.8

ESDP = Education Sector Development Program. Source: Evaluation team.

59. The ESDP achieved its objective to reorient the education sector from a state-planned to a market economy system. It accomplished its targets of establishing (i) education development policies appropriate to a market-oriented system, (ii) models for school rationalization, (iii) a new curriculum and associated revision and improved publication arrangements for textbooks, and (iv) in-service and pre-service teacher training. It successfully strengthened institutional capacity in the education sector, including a new structure and management system within MECS, which enabled MECS to fulfill its role as a strategic planning, policy-making, and regulating body. The ESDP also succeeded in upgrading the quality and relevance of educational content at the general secondary levels. Although there were some issues concerning the quality of teaching, use of equipment provided, the distribution, availability and cost of text books, and the effectiveness of library services in many schools, ongoing support by ADB in the sector aims to assist MECS to overcome these problems. Such difficulties are to be expected, given the magnitude of problems to be overcome, the extent of the reforms, and the challenging conditions of transition. As pre-service and in-service teacher training improves, it is likely that these problems will gradually be resolved, particularly with the growing interest and participation of parents in school management. 60. The success of the ESDP is most clearly demonstrated by Mongolia’s selection for the “Education for All” Fast Track Initiative Partnership, which constitutes the first global compact on education, and which seeks to assist low-income countries to achieve free, universal basic education by 2015. This compact includes coordinated financial and technical support provided in a transparent and predictable manner, coupled with a promise from developing countries to put primary education at the forefront of their domestic agenda. As a member of the partnership, Mongolia is now eligible to receive a grant from Fast Track Initiative donors to cover a funding gap in the education budget from 2007 to 2009. This will enable the implementation of the second education sector master plan, developed in-country and recently approved by Mongolia’s parliament. 61. The program performance evaluation report rates both the program loan and project loan “highly successful” (Appendix 9), as detailed below. B. Relevance 62. The ESDP was highly relevant in its policy formulation and outputs. The change of modality from project to sector development program was appropriate because it enabled ADB to propose and support a broad set of generally sound and practical policy reforms. The ESDP addressed the pressing need—supported by government policy and ADB’s country strategy—to restore education to pre-transition levels, while transforming the education system from a centrally planned model to a more flexible and efficient system for a market economy. The reorganization of MECS at national and provincial levels, the devolution of management

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decision-making to schools, and the establishment of new and effective models of school management supported the rapid achievement of most ESDP objectives. 63. The staff rationalization policy was highly relevant at the time of formulation and it was successfully implemented. However, while the policy of reducing non-teaching staff was highly relevant, the policy with regard to the retrenchment of teaching staff proved to be less relevant at evaluation. Some senior staff of MECS were of the view that the retrenchment of teachers was unnecessary; it offered an incentive to the most capable and experienced staff to leave, thereby depriving state schools of many good teachers. In addition, according to a group of teachers who did not participate in the redundancy program, retrenchments were mainly unnecessary because the demand for teacher rose as school conditions were restored or improved. Nonetheless, the demographic changes that led to a rapid increase in urban enrollments and increased the demand for teachers could not have been predicted during ESDP formulation, when prevailing conditions were very different. 64. Investment components were highly relevant in their overall aim of restoring 88 schools to operable condition, establishing model schools, revising and developing the curriculum at all levels of the education system, with associated outputs for in-service training, equipment, and textbook production, publication, and distribution. In higher education, in-service training and scholarships were well targeted, with emphasis on postgraduate management training. C. Effectiveness 65. The ESDP is rated “highly effective”. It accomplished all its policy objectives, following the preparation of the first master plan addressing sector-wide management strengthening, rationalization of facilities, rationalization of staffing, improvement of text book publication cost-sharing, TEVT policy development, private sector participation, an accreditation system and an education information management system. It thus laid the foundations for a more efficient education system. It contributed significantly to increasing gross enrollment ratios to close to pre-transition levels. Policies that were particularly effective include establishment of the National Council for Higher Education Accreditation and the legalization of private education. 66. The ESDP successfully achieved its first expected outcome of improving educational management capability appropriate to a market economy system. As a result of the ESDP, significant changes in educational administration and management took place. MECS was reorganized into a policy-making body, while educational management functions were decentralized from MECS to provincial governments. The positive results of the reorganization were evident during OEM visits to project schools; the OEM noted the quality of provincial education sector management in Selenge and Ovorhangay, and particularly in Orhon and Darhan-Uul, where the provincial directors are active leaders of innovative in-service training and distance education programs to improve the quality of education and school management. Teacher and education officials noted the major improvement in standards of education inspection. The OEM was impressed by the commitment and enthusiasm of directors, managers, and teachers at all 20 schools visited, and by the pride these schools took in their many achievements. 67. As a result of decentralization, school management may now reward staff as it deems appropriate, and pay teachers and managers on performance-based criteria.12 Also, the transfer

12 Performance assessment appears to be heavily oriented toward achievement in subject-based student and teacher

competitions at town, provincial, and national levels. Each school proudly displays a case of cups, medals, and

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of authority for certain parts of curricula enabled school management to make the curricula more flexible and pragmatic. Managers are free to seek private sector sponsorship and also to request voluntary donations from parents to support budget shortfalls. While some parents cannot or will not contribute, school management now has strong incentives to encourage parents to participate in school management, to foster community participation in schools, and to be more accountable to parents.13

68. The training programs on education management contributed significantly to developing the capacity of education staff to (i) monitor and evaluate educational achievements; (ii) establish and manage a library network, which initially linked 12 higher education institutions and subsequently expanded to cover more than 70 universities, colleges, and other academic institutions and some senior secondary schools; and (iii) establish and manage new master’s degree courses in various administrative specializations along with new curricula, courses, and faculty training. Since their inception, enrollment in newly established master’s degree courses has been increasing. Training programs on accreditation were similarly successful, as the National Council for Higher Education Accreditation has been effective in assessing the quality and level of curricula, facilities, teaching staff, and management capacity of higher education institutions. Teacher training was considered highly effective. Students surveyed were generally satisfied with science and information technology teaching, though some expressed the opinion that teacher performance was inadequate. 69. The ESDP was successful in achieving its second outcome of improving the efficiency and effectiveness of the education system by rationalizing educational structure and facilities, reducing surplus staff, equipping schools, and promoting private sector provision of education services. The ESDP successfully demonstrated the complex school model, a rationalization initiative that consolidated the management of several adjacent neighborhood schools. This effectively maximized the use of buildings and facilities, and organized teachers into collaborative, subject-based departments. Complex schools were provided with essential renovation, and equipped with information technology and science teaching aids. In areas where schools were more widely dispersed, they remained under independent management but were linked in “networks” of subject teachers associated with “regional central schools.” While the reform was initially unpopular14 (and is still rejected by some provincial governments) the complex model has won widespread acceptance in MECS. The model is now considered by educationalists as a blueprint for the development of future primary and secondary education services in urban areas. 70. The staff rationalization program has contributed to improving the quality and efficiency of education. The average qualifications of teachers increased and teacher-pupil and teacher-nonteacher ratios increased as well. In addition, the program has contributed to increased teacher salaries.

certificates, attesting to the achievements of staff and students. Some education officials believe the number of competitions is excessive and preparation for these takes up too much time. Concern was expressed that overall education quality may be overlooked in the quest for individual awards.

13 It is widely perceived that in Mongolia teachers are susceptible to corruption, and accept bribes to give pupils good grades. One provincial education director told the OEM that while it was culturally acceptable for parents to reward teachers when their children did well, it was not acceptable for them to pay for unearned higher marks. However, he admitted that this practice may occur.

14 The initial unpopularity of the model was because the rationalization of buildings and classrooms “broke up” cohorts of students and teachers with strong community identities.

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71. The policy adopted under the ESDP of allowing the development of private primary and secondary schools has encouraged educational diversity and choice in Mongolia. Following implementation of these guidelines, the number of private schools increased from two in 1996 to 124 in 2004–2005, covering 17% of total general education schools. From 2000 to 2005, private schools grew at a rate of 13% per annum. Private higher education institutions increased from 41 in 1995 to 127 in 2005. The share of enrollment from private higher education institutions grew from 22% in 1995 to 32% in 2005. Similarly, privatization of textbook publishing resulted in improvement of the content, methodology, quality, and appearance of textbooks. 72. Overall, the ESDP created an enabling environment that led to significant improvements in education indicators, as shown in Table 4. Enrollment at all levels, which plummeted during the economic crisis, rebounded and increased considerably from 1996 to 2005. The most rapid growth in enrolment was experienced in higher education, which had more than doubled over the last 10 years. There was a significant enrollment increase in grades 5–8, indicating a consistent increase in survival rate in grade 5. Teacher-student ratios at all levels of general education increased, while dropout rates declined from 3.5% in 1996 to 2% in 2005. In addition, the student population per school and the number of students per class in general education rose. Annual trends in basic education indicators from 1996 to 2005 are provided in Appendix 10.

Table 4: Improvements in Basic Education Indicators Item 1996–1997 2000–2001 2004–2005 A. Kindergarten 1. Number of Nursery Schools 667 653 696 2. Number of Children 67,972 79,294 82,674 3. Number of Teachers/Nurses 2,998 3,056 3,424 4. Teacher-Child Ratio 22.7 25.9 24.1

B. General Education 1. Total Number of General Education Schools (GES) 658 683 710 i. Of Which Private Schools 2 77 124 ii. Percent of Total 0 11 17 2. Number of Students 418,293 494,544 546,844 3. Average Number of Students/School 636 724 770 4. Average Number of Students/Class 29.5 31.7 32.5 5. Number of GES Teachers 20,090 19,223 21,458 6. Teachers with a Higher Education Degree (%) 88 92 92 7. Teacher-Student Ratio 20.8 25.7 25.5 8. Dropouts (%) 3.5 2.8 2.0 9. Primary Education Gross Enrollment Ratio (%) 95.3 96.6 102.4 10. Basic Education (Grades 1–8) Gross Enrollment Ratio (%) 82.4 88.6 97.6

C. Vocational Education 1. Number of Vocational and Specialized Secondary Schools 33 36 35 2. Number of Students 11,308 12,177 21,911 3. Number of Teachers 767 865 1,160 4. Teacher-Student Ratio 14.7 14.1 18.9

D. Higher Education 1. Number of Public Higher Education Institutions 29 38 49 2. Number of Students 31,191 56,906 84,041 3. Number of Teachers 2,683 3,455 4,187 4. Teacher-Student Ratio 11.6 16.5 20.1 5. Number of Private Higher Education Institution 51 134 129 6. Number of Students 11,861 28,064 39,783 7. Number of Teachers 522 1,455 2,122 8. Teacher-Student Ratio 22.7 19.3 18.7

Sources: Mongolian Statistical Yearbook, 1999, 2002, 2005; MECS through the Education Finance Team.

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D. Efficiency 73. The ESDP is rated “highly efficient”. The ESDP was completed on schedule despite the fact that (i) it was the first sector development program and (ii) in relation to the resources provided the scope was extensive and very challenging to implement. The intervention was timely as it arrested further deterioration in the education sector. Increasing school habitability by focusing on major problems—such as leaking roofs and dysfunctional heating—allowed available funds to cover 88 schools instead of 20, and was cost effective. The resources used for procurement of equipment (e.g., 150 sets of science equipment, 20 solar batteries provided to soums and bags, and 860 computers, of which 663 were distributed in 98 aimag schools and 197 in Ulaanbaatar) were well spent. After 8 years, most of this equipment was fully utilized and in good condition. 74. The most cost-effective ESDP intervention is the establishment of model complex schools, which bring three levels of general education together in one school complex and under consolidated management. So-called network (inter-soum) schools increased efficiency by overcoming fragmentation of education services and maximizing resources. This allowed effective rationalization of buildings and organization of age-based classrooms, as well as organization of teachers into collaborative, subject-based departments. About 20% of students and 21% of teachers and school service staff of Ulaanbaatar City are now in complex schools. These schools have generally responsive and efficient management and better facilities and equipment than most other schools. The model is now considered by educationalists in Mongolia as a blueprint for the development of primary and secondary education services in urban areas. 75. To illustrate this point, Table 5 compares the situation before and after establishment of the first complex school (in 1997). Seven neighborhood schools (six of which offered 10-year programs), were reorganized into eight primary, secondary, and senior secondary schools under consolidated management. In 2006, the school had 10,600 students in 303 grade-classes (in grades 1–11). It employs 430 teachers and 113 service staff with a ratio of teaching to non-teaching staff of 80:20.

Table 5: Comparison of Job Changes and Salaries Before and After Establishment

of the Ireedui Complex School Before Amalgamation Under New Structure Positions

Number of Persons

Total Salaries

(MNT’000s)

Number of Persons

Salaries

(MNT’000s)

Differences In Salary Amount

(MNT’000s) Director 6 744 8 992 248 School Manager 18 1,800 14 1,400 (400) Accountant 7 560 4 320 (240) Carpenter 6 450 2 150 (300) Electrician 6 450 2 150 (300) Mechanic 21 1,680 10 800 (880) Coat Room Worker 14 980 0 0 (980) Total 78 6,664 40 3,812 (2,852)

Source: Director, Ireedui Complex School, Ulaanbaatar, November 2006. 76. The training component was highly efficient. Originally, the ESDP planned to train 1,086 teachers; 10,487 teachers were actually trained by using a “training of trainers” approach, which was adopted because of distance and transportation problems. Experienced subject teachers from the provinces were selected for training in new curricula and methodology in the center and then returned to train others in their provinces.

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E. Sustainability 77. The policies and investments under the ESDP are rated “likely to be sustainable”. The reforms were intended to serve as a starting point for transforming the education system, and the investments were intended to establish models for future development, as well as to restore functionality to the schools that were renovated and reequipped. At evaluation, further improvements had been made to the reforms introduced 10 years ago, signifying the Government’s commitment to an effective and efficient education system. These include, among others (i) transforming primary and secondary schools into an 11-year system, with the objective of having a 12-year system by 2008; (ii) enrolling 7-year olds; and (iii) enforcing new standards for primary and secondary education, to bring the education system closer to world standards. However, the Government’s implementation of policies relevant to improvement of TEVT and higher education continue to be inconsistent. 78. Implicit in the design of the ESDP was its support for a long-term process of both restoring and reforming the education sector, which would require ongoing assistance from ADB and other donors before full self-reliance could be achieved. The Second Education Development Project continued the initiatives of the ESDP, and a third ADB education sector project was recently approved (footnote 10), which will emphasize TEVT and teaching methodology. The initiatives of the ESDP have been extended or sustained under the Government’s second education master plan. 79. The Government has continued to give priority to investment in education and human resource development. The education sector’s share of total general government expenditure has remained consistently high, averaging 22% over 2000–2005 (Appendix 10). Training for teachers is continuously being provided. On average, about MNT16 million of the state budget is spent on in-service training for teachers. The major threat to sustainability of the investments is that state budgetary allocations for school maintenance are inadequate, and schools must ask parents for annual contributions, which many can not afford.

IV. OTHER ASSESSMENTS A. Impacts 1. Impacts on Millennium Development Goals 80. Overall, the OEM concluded that the ESDP had a highly successful sector-wide impact by establishing good foundations for education development. It has made a significant contribution to Mongolia’s progress towards achieving the Millennium Development Goal (MDG) target for universal primary education, as shown by the indicators in Table 6. Since 2000, the completion rate for both genders has been increasing and reached 96% in 2004. However, the problem of undocumented children who are not being provided with education remains a significant challenge for Mongolia’s achievement of the MDG target on universal education (paras. 99–102). The ESDP also contributed to elimination of gender disparity in education. The female-male ratio in secondary enrollment decreased from 1.2 in 2000 to 1.14 in 2004. The female-male ratio in tertiary education enrollment has declined from 1.72 in 2000 to 1.64 in 2004.

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Table 6: Progress in Meeting MDG Targets on Universal Primary Education and Elimination of Gender Disparity in Education

Indicator 1990 2000 2015 1. Net Enrolment Ratio in Primary Education 89 91 100 2. Proportion of Children Starting Grade 1 Who Reach Grade 5 91 84 100 3. Literacy Rates of Male And Female Youth, Ages 15–25 (%) 99 98 100 4. Gross Primary Enrolment Female-Male Enrolment Ratio 1.01 1.01 1.00 5. Gross Secondary Enrolment Female-Male Enrolment Ratio 1.12 1.20 1.00 6. Female-Male Ratio In Higher Education 1.56 1.72 1.00 MDG = Millennium Development Goal. Source: Millennium Development Goals: National Report on the Status of Implementation in Mongolia, 2004.

2. Socioeconomic Impact 81. Mitigation of the social impact of the staff rationalization plan was important to the EDSP. According to the 2002 report of the joint monitoring and evaluation teams of MECS, Education Inspection Board, and the Education Research Institute, the redundancy payments were beneficial for 99% of the released staff. The OEM conducted its own tracer study (Appendix 4) of 70 retrenched teachers in Bulgan, Selenge, Orhon provinces and Darhan, Erdenet, and Ulaanbaatar cities. The respondents confirmed that the scale of payments was based on length of service, and ranged from 6 months to a maximum of 36 months net salary. All but five teachers volunteered for redundancy,15 and those with long service were the most likely to accept the option. About 47% of respondents said they hoped to earn higher incomes in businesses, but few were successful in this. The remainder accepted because they needed money for some pressing purpose. Two teachers left in order to teach in remote rural schools. About 39% said their lives improved, 26% said that their lives became worse, and 22% said it made little difference. 82. Half of the retrenched teachers interviewed returned to teaching at their previous or other schools (after 2 or 3 years), but some said they faced difficulties in regaining their teaching positions and lost pension benefits for the years out of service. Only 5 out of 70 said that they were provided counseling services and training (provided for in the ESDP design), which covered social insurance, cultivation of vegetables, and opportunities in undeveloped sectors in Mongolia. 83. The OEM also interviewed 30 rural and urban teachers who declined retrenchment. They said some schools in the center of Ulaanbaatar have now raised teacher’s salaries by up to 30%. Teachers in other schools said that they salary increases had not been implemented in their schools. B. Asian Development Bank Performance 84. ADB’s performance is rated “highly satisfactory”. The documentation shows that supervision of the ESDP was conducted to the highest standards. Low staff turnover helped maintain the quality of supervision throughout the program period. Also, the staff who administered the ESDP had extensive experience and knowledge of the country. ADB conducted eight review missions to help the PIU resolve implementation issues. It closely monitored the implementation of the program loan, the project loan, and the associated TA project; reviewed reports carefully; and provided timely advice and guidance.

15 The five teachers were asked to take redundancy by education managers.

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C. Borrower Performance 85. The PIU and its director, who stayed throughout the program implementation, performed particularly well. The PIU managed the very large number of project outputs for school renovation, distribution of equipment, curriculum development, teacher and management training, redundancy and many other outputs in an efficient and timely manner. It kept excellent records. In particular, the PIU director was an enthusiastic and effective advocate for the ESDP (and the Second Education Development Project). Despite frequent changes of government and inconsistent application of policy, the PIU director energetically promoted organizational and management reform in the sector, and in particular used the model complex schools to demonstrate the effectiveness and efficiency of ESDP reforms, and to persuade skeptics and critics in national and provincial government of the benefits of reform. The PIU also conducted a very impressive public relations program to promote the ESDP. Overall, the performance of the Borrower and MECS were also “highly satisfactory”. D. Technical Assistance on Institutional Strengthening of the Education Sector

(TA 2716-MON) 86. Based on the quality of the TA project reports, and the comments of those government officials and educators who worked with the consultants, TA was of a high standard. The TA project was highly relevant and highly effective in developing the capacity of MECS and in supporting policy reforms to restructure education sector under the ESDP. MECS staff had made full use of TA project outputs in policy formulation. The TA project was also successful in establishing an education management information system and benefit monitoring and evaluation system. The TA project was highly efficient in the delivery of outputs, which were timely and in line with the ESDP implementation schedule. The TA project outcomes were rated as “likely sustainable”; the longer-term recommendations on further improvement of education management were considered by successive ADB-funded education projects. Overall, the TA project is assessed as “highly successful”, thus confirming the TA project completion report rating.

V. ISSUES, LESSONS, AND FOLLOW-UP ACTIONS A. Issues

1. Rural and Urban Education Strategies 87. Rural-urban migration is causing rapid urban population growth, which could not have been anticipated in the ESDP. The OEM considers that this trend has less to do with the pull factors of urban services, and more to do with the push factors related to transformation of the pastoral economy (Appendix 11). There are very high levels of poverty and social dislocation associated with the trend. Consensus between donors and the Government and coordination among donors is needed to develop and support distinct and future-oriented urban and rural education strategies. 88. In provincial towns and cities and Ulaanbaatar, where the population and economy are growing and are likely to continue to grow in the long term, ADB might consider giving high priority to funding new, large, durable, and energy efficient schools and boarding dormitory buildings, on the understanding that there will be further consolidation of school management following the complex school model.

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89. In rural district and subdistricts, ADB may wish to consider cooperation with other donors for investment in programs to provide and maintain distance education technology, teacher-manager incentives, and support for mobile services for home-based education at kindergarten and grades 1–4. This would provide the flexibility needed in a rapidly changing pastoral economy (Appendix 11), and would avoid the psychologically undesirable necessity of sending the children of nomadic herders younger than 9 years of age to boarding schools. Some innovative models were reported to have been piloted in Ulaangom province, involving Kazakh minority herders.16

2. Education Infrastructure

90. Many if not most school buildings are poorly designed for Mongolia’s long, harsh winter conditions. It was evident that the Government will need to commit to a major investment in school buildings. There is a shortage of suitable school buildings, particularly in urban and peri-urban areas. Most urban schools, including those in many small towns, must teach in two or three shifts. This situation will continue to have a deleterious effect on the quality of education until an adequate number of school buildings are provided in areas with growing populations. The challenge relating to the inadequate number of school buildings is increasing, as many schools are now expected to admit children 6-years old into grade 1, and all must provide education up to grade 11. Year 12 is to be introduced in 2008, bringing Mongolia’s education system to international standards. 91. Many school buildings are not worth renovating and need to be replaced. The ESDP addressed an emergency situation by providing for school renovation, but it lacked the scope and resources for major rebuilding of schools. Most existing school buildings are structurally inefficient (as noted in the 2002 Second Education Development Project report and recommendation of the President [footnote 9]), with flat roofs that result in leakage and moisture retention, add to maintenance and heating costs, and reduce the durability of buildings. Improved construction and heating standards must be established, as well as use of alternative energy sources, to ensure that new buildings are designed with maximum structural efficiency and durability. Provision of education infrastructure will give ADB and other education sector donors considerable leverage for establishing school building standards, and promoting transparent contracting arrangements and systems of quality control. The Third Education Development Project will continue to encourage improved donor coordination and harmonization in this regard.

3. Higher Education 92. The implementation of guidelines for private provision of higher education led to a significant increase in private higher education institutions. However, by 2006, a higher education policy had still not been formulated and implemented, and privatization of higher education appears to have made little difference to resolving problems of quality. According to the 2005 Report of Higher Education Study Team for the Second Education Master Plan,17 there are a total of 184 providers of higher education courses, including 15 foreign providers (Appendix 12). The number of students enrolled in bachelor’s degree programs at universities, higher educational institutions, and colleges has increased by 70% in the last 5 years. About 62% of all 16 Mongolia's population is ethnically quite homogenous; about 94% of the populace speaks one of several dialects of

the Mongol language, but all dialects of Mongol spoken in Mongolia are readily understood by native speakers of the language. Minorities comprise about 6% of the population, mainly Kazakhs in the Ulaangom region, as well as very small numbers of ethnic Chinese and Russians.

17 Davaa, et. al. 2005. Report of Higher Education Study Team for the Second Education Master Plan. Ulaanbaatar.

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students were women (2004–2005), but the proportion of male students has increased since 2000. 93. The large and rapidly growing number of higher education providers (for a population of around 2.7 million people) suggests that provider incentives need to be reevaluated. Students’ tuition fees are the major source of income for universities, institutes and colleges, accounting for at least 80% of their income. All higher educational institutions, regardless of their type of ownership, appear to be struggling financially. State institutions are in effect “ownerless” and although ostensibly autonomous, are subject to government policy that prevents them from raising tuition fees above a certain level. The state provides no support other than grants and loans for students enrolling in accredited institutions. There are also a large number of research institutes, many struggling to survive, and lacking appropriate and productive formal links to institutions of higher education. The demand for post-secondary credentials in poorly funded educational institutions appears to contribute to perceived corruption in the education sector; it is widely believed that parents and students pay for good grades both at senior secondary and tertiary levels. This was a major issue for parents interviewed, who oppose the policy of concealing of grades with the use of codes, which they believe encourages corruption. 94. Institutional cooperation in higher education has been attempted by the ESDP, through training programs in 10 institutions, but structural and policy problems in the higher education subsector continue to impede fruitful cooperation. In 2006 massive duplication of academic programs prevailed, with the supply of tertiary places greatly exceeding the demand, resulting in a concomitant lowering of admission standards, and probably the quality of the certificates, diplomas, and degrees awarded.

95. There is an urgent need to rationalize higher education with the objective of improving quality and academic standards. ADB, perhaps in association with the World Bank, may be able to assist the Government to establish a new national university as a center of excellence (perhaps specializing in disciplines of relevance to national development, or perhaps specializing in post-gradate studies), in partnership with a highly-rated foreign university. An academic center of excellence would likely encourage improvement in overall national higher education standards, by providing a benchmark of quality against which other higher education providers can measure themselves. ADB may be able to assist the Government to call for international tenders and advice on appropriate modes of financing such an institution. 4. Technical and Vocational Education and Training 96. Policy development on TEVT was achieved under ESDP. However, the OEM concluded that the national TEVT strategy should consider not only perceptions of “labor market demand”18 but also raising the status of TEVT, which the OEM observed appears to be given greatest emphasis in schools serving the poorest neighborhoods. 97. Information communication technology education did not appear to be perceived by educators as a major tool and subject for TEVT. The conceptualization of TEVT (often still referred to as “labor studies” in Mongolia) is still very old fashioned. Most secondary TEVT programs suffer from lack of modern equipment and materials for sewing, carpentry, metal work, art and design, and other subjects with vocational applications. The programs also maintain old-fashioned gender specialization (soft materials for girls, hard materials for boys).

18 The labor market is fairly narrow in Mongolia and complicated by high wage expectations and the 9 months of the

year where the temperature falls below zero (which reduces the demand for labor).

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Hundreds of vocational subjects are taught more or less randomly in secondary schools depending on the knowledge of the teachers, rather than because they may lead to employment.19 98. It is possible that Mongolia would benefit from establishing targeted pilot apprenticeship programs in construction- and tourism-related trades, in a manner designed to provide incentives to both secondary school graduates and employers. Following the Third Education Development Project, when Mongolia is applying appropriate in-country policy for TEVT, ADB could support construction of modern training centers, under consolidated management with links to the private sector. Senior officials in MECS expressed some reservations about taking advice from consultants on specific foreign models. Accordingly, under the Third Education Development Project, ADB and its partner the Deutsche Gesellschaft für Technische Zusammenarbeit20 (GTZ) may wish to consider providing opportunities for Mongolian experts in vocational technical education, as well as for education policy decision makers, to visit Australia, the People’s Republic of China, Germany, the Republic of Korea, and New Zealand to compare skilled trades training and other TEVT models that may to assist in developing an appropriate model for Mongolia.21

5. Non-Formal Education

99. Although the ESDP helped to substantially increase school enrolment, a significant minority of children are still not being served by the state education system. Mongolia is experiencing two major socially disruptive transitions, from a centrally planned to a market economic system, and from a rural to an urban way of life. Both transitions are causing widespread dislocation of norms and values with many undesirable social consequences including poverty, alcoholism, family breakdown, and the abuse and neglect of children.22 100. Official statistics show that 68,000 children aged 8–15 years were out of school in 2000. As of 2004, about 13% of children aged 8–11 years (28,800) dropped out of school and 24% of children aged 8–15 years (10,876) had never attended school. About 27% of young people who joined the Mongolia Army have only a primary education, and 6% were illiterate. There was no significant gender disparity among the illiterate, but the percentage of 15- to 19-year old illiterate people increased by 2.2% between 1989 and 2000. The main disparity was rural-urban; in 2004, 83% of 8- to 15-year old children (38,212) with no schooling are from rural areas, including both boys and girls. In urban areas children out of school include street children and other severely disadvantaged children.23 101. In Mongolia, non-formal education is the term used for a package of programs that (i) aim to reintegrate school dropouts into the formal education system, and (ii) provide basic education (literacy, numeracy) and in some cases livelihood skills to adolescents, and adults in some programs, who did not attend or did not complete primary school. Because of the high 19 Chamintsetseg, et. al. 2005. Technical and Vocational Training Study Team Report. Ulaanbaatar: Ministry of

Education, Culture, and Science. 20 German Agency for Technical Cooperation. Available: http://www.gtz.de/en/21 While it may be argued that these countries are too technologically advanced or diversified to offer models that are

immediately applicable to Mongolia, these countries have either made rapid recent advances in relevant areas of TEVT or undergone economic transitions that required restructuring of TEVT. The OEM considers that Mongolia should adopt a selective, future-oriented approach to TEVT and is unlikely to learn from developing country models.

22 ADB, World Bank, and the National Statistics Office, Mongolia. 2006. Participatory Poverty Assessment in Mongolia. Ulaanbaatar.

23 Erdenechimeg, et. al. 2005. Working Group on Non-Formal Education Report (prepared for the Mongolia Second Education Master Plan). Ulaanbaatar.

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literacy levels achieved under the centrally planned system prior to 1991, non-formal education is not a state priority (although it is addressed in detail in the second education master plan), and is mainly financed by nongovernment organizations such as World Vision, Save the Children, and other international organizations. Non-formal education programs are often housed in state schools, although they are not funded by the state. Other types of non-formal education (e.g., income-generating skills) are exclusively provided by nongovernment organizations. A working group report (footnote 23) states that in 1995–2004, international development agencies and international nongovernment organizations spent a total of $9,640,000 on non-formal education. 102. The demand for non-formal education is related to state policies, which require every child to be registered. Those without appropriate documentation cannot be admitted to school. This is particularly a problem for the children of non-sedentary parents. Some non-sedentary families or nomads are settlers in peri-urban areas, who may be grazing animals elsewhere in the countryside, and move to the countryside in summer. Nongovernment organizations report that the bureaucratic processes for registering undocumented children can take as long as 2 years. The Government may wish to address this issue as a priority to ensure achievement of its MDG targets. B. Lessons

103. Success Factors. Considering the wide scope of the ESDP in relation to the resources provided and the challenges of implementation, the extent of program achievements is impressive. The key success factors were (i) the ADB project specialists had extensive country knowledge and experience; (ii) the PIU had good staff, and a director who was knowledgeable, energetic, and efficient, and remained for the duration of program implementation; (iii) satisfactory performance of consultants; and (iv) the ESDP was designed and implemented at a time in which the Government was highly open to making changes and endorsing reforms. 104. Approaches to Reform. The ESDP demonstrated that sustainable reforms are best achieved by establishing and promoting successful models that demonstrate what can be achieved. The renovated complex schools under streamlined management24—combined with salary increases and incentives for teachers, provision of better and more modern teaching equipment and text books, and in-service training—raised teacher and student morale and parent interest and involvement. These visible improvements “sold” the complex school model to those who had been previously skeptical of or opposed to it, and there now appears to be broader support to establish larger consolidated urban schools that offer a full range of educational services under one management for long-term educational development. 105. New approaches to teaching methods, disciplining students, and assessing quality and results are clearly needed in the Mongolian education system, as is the inclusion of ethics and civics in the curriculum. However, these are aspects of education that involve cultural values and subjective perceptions concerning instructional methods and the discipline of children, and may be resistant to more modern educational approaches; consequently, they may be more difficult to promote through donor assistance. Constructive change is likely to emerge from within, with new ideas and approaches taking root as Mongolian educators gain exposure to different approaches through wider international scholarly forums.

24 Most of the schools visited by the OEM, and most of the best “complex schools” seen, were under the direction of

well-educated and experienced women.

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C. Follow-up Actions 106. Recommended follow-up actions are: Actions Responsibility Suggested Timing 1. ADB should assist the Government to develop an urban

education infrastructure investment plan in connection with the implementation of the second education master plan and the “Education For All” Fast Track Initiative.

ADB/EASS 2007–2008

2. ADB should assist the Government to develop a future-oriented rural primary education development strategy in connection with the implementation of the second education master plan and the “Education For All” Fast Track Initiative. The strategy will accommodate recent changes in the education system and meet the needs of a declining nomadic population and a changing pastoral economy. The strategy should include an investment plan to support distance education, mobile primary education services, education manager incentives, and home-based education resources.

ADB/EASS 2007–2008

3. ADB should assist the Government to plan the establishment of a new national but autonomous university, in partnership with a foreign university that is internationally recognized as a center of excellence.

ADB/EASS 2007–2008

ADB = Asian Development Bank, EASS = Social Sectors Division of the East Asia Regional Department. Source: Evaluation team.

28 Appendix 1

OVERVIEW OF SCHOOLS VISITED BY OPERATIONS EVALUATION MISSION 1. The following summarizes the observations of the Operations Evaluation Mission (OEM) to 22 project and non-project educational institutions covering kindergarten, secondary, secondary-vocational, and tertiary levels in Ulaanbaatar and in four provinces (Darhan-Uul, Selenge, Orhon, and Ovorhangay), including urban, district, and subdistrict centers. The selection of provinces and schools sought to examine the impact of the Education Sector Development Program (ESDP)1 on education services in a variety of development contexts, ranging from remote rural centers to modern provincial towns and a large city. The purpose of the visit was to examine the implementation of ESDP components for education management, rationalization, curriculum development, teacher training, school equipment, and renovation of school buildings. It notes key issues arising from discussions with provincial directors of education and school directors and managers. A. Overview of Schools

1. Ulaanbaatar 2. The capital city of Ulaanbaatar has grown rapidly since 1992 following decollectivization of agriculture and industry, and political and economic reform. The growth has largely resulted from rural to urban migration. The city is now encircled by large and growing suburban formal and informal settlements comprising houses and ger (traditional Mongolian tent dwellings) located within fenced compounds. ESDP assistance was mainly directed to peri-urban schools. Informal settlements lack adequate social services and electric power in some areas, and most lack adequate water and sanitation infrastructure. The majority of the people in these settlements are poor or disadvantaged, and unemployment is high. Many peri-urban settlement families are still dependent on agriculture, particularly in the summer months when small herds are taken out to pasture, or men and boys go to work as herdsmen for the owners of large herds. Intensification of grazing around the city is causing environmental degradation.

a. Buyant-Ukhaa Complex School 3. Buyant-Ukhaa Complex School was the first school visited by the OEM and provided a quality yardstick for subsequent school visits. It is adjacent to the airport on the outskirts of Ulaanbaatar and serves a large suburban settlement area, which has developed rapidly over the past 10 years, with an estimated population of 17,000–18,000. The school was first established as a small rural school in 1939 with two teachers. In 2006, it employed 130 staff, including 69 teachers, and had 2,000 students enrolled in 46 classes in grades 1–11. In 1998 the school merged three nearby primary and secondary schools under common management. It has

1 ADB. 1996. Report and Recommendation of the President to the Board of Directors on Proposed Loans and a

Technical Assistance Grant to Mongolia for the Education Sector Development Program. Manila. (Loans 1507-MON[SF] and 1508-MON[SF], for a total of $15.5 million, approved on 19 December 1996).

Appendix 1 29

two main buildings: a renovated secondary school and a new primary school (funded by the Japan International Cooperation Agency [JICA]). The school management has constructed a development model of the school buildings, including models of the additional buildings and facilities, which they hope will be funded in the future. 4. To accommodate 2,000 students, the school operates in morning and afternoon shifts. Despite this measure, there was only one teacher for every 45–50 pupils. The director emphasized that the two shifts and high teacher-pupil ratio were undesirable but necessary to meet demand. Ideally the ratio should be 1:30, taught in one daily program, which would allow for extracurricular activities and specialized classes. Despite the double shifts, the school did offer extra classes to enable students wishing to specialize in mathematics, English, and technology. The school also offered a vocational certificate program (in carpentry, metalwork, and sewing) in the old school building; however, the resources owned by the school for teaching these subjects were antiquated. Since accepting 6-year old children into grade 1 of primary school in 2005, the school has provided lunch to these children, following government policy. 5. The renovated school building was in excellent condition with a clean, bright atmosphere and interesting classrooms; on the basis of visible evidence, it appeared to be very well managed by a young and highly qualified female director and her enthusiastic staff (she has a master’s degree in educational administration, a program assisted under ESDP). The director noted that insufficient funds were allocated by the state for maintenance and the school raised funds by requesting donations of at least MNT1,000 per child from parents through the parents and teachers association. The school also received sponsorship assistance from MIAT, the national airline, because of the school’s proximity to the airport. She noted that fundraising was somewhat difficult, however, because 50–60% of families in the school catchment area were poor migrants, and unemployment or underemployment rates were high. This also affected the capacity of parents to buy textbooks for their children under the new user-pays policy introduced in 2006. A state allowance for disadvantaged children of MNT3,000 to buy textbooks was not sufficient, and not available to all the children who needed the assistance; only a quarter of children enrolled in the school owned a full set of textbooks. 6. The OEM found that, as is characteristic of all schools in Mongolia, there was vigorous competition between schools for subject prizes and cups. Medals and certificates were displayed in the school entrance lobby, and Buyant-Ukhaa Complex School was proud that it was judged second of 13 schools in the district in an inter-school competition.

b. Golomt Complex School 7. Golomt Complex School is located in a satellite town of Ulaanbaatar that grew up around a coal mine, which is now closed. It was established as a complex school in 1998 by merging three secondary schools and now comprises a senior and junior high school, three primary schools (one outside the town), and a boarding house for 80 children from rural pastoral families. In 2006 it had 5,000 students in 135 classes, taught in morning and afternoon shifts.

30 Appendix 1

8. The staff comprised 180 teachers, 14 administrative staff, and 94 other staff (social workers, maintenance workers, cooks, cleaners, etc.). Of the teaching staff, 68% had degrees in education or related qualifications. 9. The school offers specialized courses for advanced students, core subjects, and a range of extra curricular activities, including a school Internet center. According to the director, the school benefited from ESDP staff training in administration and teacher upgrading. As in other schools, the director spent a lot of time telling the OEM about the prizes and distinctions won by students and staff in city, provincial, and national competitions. 10. The school comprised a number of old, two-story buildings that had been partially renovated (painting, roof repairs, plumbing, heating repair), mainly under ESDP. The school appeared clean and reasonably well maintained, and classrooms were bright and cheerful, with mostly appropriate and sometimes quite innovative teaching displays. Science teaching aids and computers provided under the ESDP were in working order. 11. Parental contributions, however, are needed to fund new furnishings, teaching aids, maintenance, and repairs, as the state budgetary allocation is inadequate for these needs, and the school serves an extremely poor community with high unemployment due to factory closures. The director was proud of the school’s low dropout rate, and a non-formal education program was run for 35 children who cannot be formally enrolled due to lack of official documentation. About 80% of primary children had the required textbooks, but less than half of the children enrolled in junior and senior secondary school had them. Children shared books, but those without books could not do homework. In the director’s opinion, the old system of renting textbooks established under the ESDP was better.

Appendix 1 31

c. Ulaanbaatar School Number 12

12. School Number 12 is a complex school in a densely populated area of apartment buildings. It is also the hub for a network of smaller schools and provides and ongoing in-service “training of trainers” program for associated schools. It enrolled 2,000 students in grades 1–11 in 2006, teaching in two shifts. It also runs a non-formal education program for unregistered children and an adult education certificate program for teenagers and adults. The school’s director said that only about 10% of children come from poor or disadvantaged families. 13. Overall, the OEM’s impression of the school was that its management team was very enterprising. They emphasized teacher-parent relations and building a support base for the school among its alumnae to raise funds for the school. The director, like many others, keeps an album of photographs to show how funds raised for school improvements have been spent. The school’s major problem is overcrowding.

d. Complex School Number 86 (Ireedui)

14. Ireedui (Future) Complex School was the first complex school, established in 1997. It comprises seven neighborhood schools (of which six offered 10-year programs), which were reorganized into eight primary, secondary, and senior secondary schools under common management. In 2006, the school had 10,600 students in 303 grade-classes from 1st to 11th grades. It employed 430 teachers and 113 service staff with an 80:20 ratio of teaching to non-teaching staff. Table A1 compares the before and after efficiency of the reform.

Table A1: Comparison of Job Changes and Salaries at the Ireedui Complex School

Before Amalgamation Under New Structure Positions

Number of Persons

Total Salaries (MNT’000s)

Number of Persons

Salaries (MNT’000s)

Differences in Salary Amount

Director 6 744 8 992 +248 School Manager 18 1,800 14 1,400 (400) Accountant 7 560 4 320 (240) Carpenter 6 450 2 150 (300) Electrician 6 450 2 150 (300) Mechanic 21 1,680 10 800 (880) Coat Room Worker 14 980 0 0 (980) Total 79 6,664 40 3,812 (2,852) ( ) = negative. Source: Director, Ireedui Complex School, Ulaanbaatar, November 2006.

32 Appendix 1

15. The teacher-pupil ratio ranged from 1:35 to 1:48, with the lowest ratio in senior high school. It teaches academic and vocational subjects, including how to drive a car. Its major problem was overcrowding, and it operated in two shifts. 2. Darhan-Uul Province 16. Darhan is the center in Darhan-Uul with a population of around 100,000. It grew around state-owned industries established in the Soviet era, some of which have survived economic transition, such as dairy and food processing, meat works, and metal processing. There is a small garment industry, and small private enterprises were said to be increasing in number. The province of Darhan-Uul has 27 government schools and 16 kindergartens, as well as 11 private schools and 2 vocational training centers. In addition, there are a number of competing tertiary institutions, several of which are branches of main campuses in Ulaanbaatar.

a. Od Complex School 17. This complex school has three buildings in one of the two prevailing Soviet-era architectural designs—long flat-roofed L-shaped buildings with wooden floors in the upper story and aggregate-tiled floors below. It has enrolled 2,540 students and employs 105 teachers and 38 other staff. In contrast to the more streamlined management observed in schools visited in Ulaanbaatar, the school has eight staff employed as directors and managers. The provincial policy in Darhan is to rotate senior school directors between different schools. 18. As in other schools, special classes were offered in selected subjects for advanced students; this situation appeared connected to the quest for prizes and awards in inter-school competitions. Issues concerning maintenance and textbooks were as reported in the schools previously described. The school director noted that when the redundancy package was offered, the school stood to lose large numbers of staff, so “incentives” were offered to teachers the school wanted to keep; in the end, 10 left, with three later rehired. 19. The school was in reasonably good condition, having had some basic essential renovations under the ESDP. The need for further maintenance was very evident. Classrooms were not as well kept and decorated as some of the others visited, and the library appeared to be particularly inadequate.

Appendix 1 33

b. Oyunii Ireedui Complex School

20. This complex school has two buildings and appeared to be considered as the town’s top government school. The main building is built in the second of the two standard Soviet-era designs, with three stories around a central quadrangle courtyard (these buildings formerly included teachers’ apartments). It is located in the more prosperous residential area of the town and the director reported that only about 10% of students came from disadvantaged families. It was established as a complex school in 2001, combining five schools into one school under common management. About 3,300 students in grades 1–11 were enrolled, and there were 140 teachers and 54 other staff employed. 21. The many competitive accomplishments of the teachers and student were described in the OEM briefing, and the display of awards presented for its inspection. Among its prizes is that of “best national school.” The school’s academic specialization is in math and natural science. The tendency of schools to specialize appears to depend on what their staff’s major teaching strengths are, rather than student or parental preferences. 22. The standard of renovation appeared good, although there was visible evidence of needed maintenance work. Classrooms were clean and well organized.

c. Jiguur Complex School

23. This school is built in the two-storey L-shaped Soviet-era design. It is located in the midst of a densely populated area of apartment buildings. The Director noted that 70% of students were from poor families. Its specialization is vocational education and the curriculum includes sewing, cooking, woodwork, arts, wrestling, and music. Of the 1,670 students enrolled, 450 were taking vocational subjects. Ten "unregistered" children were taking non-formal classes at the school.2 The vocational classrooms inspected appeared very poorly equipped.

2 The demand for non-formal education is related to state policies, which require every child to be registered. Those

without appropriate documentation cannot be admitted to school. This is a problem for the children of non-sedentary parents who settle in peri-urban areas. Nongovernment organizations report that the bureaucratic processes for registering undocumented children can take as long as 2 years. Official statistics show that 68,000 children aged 8–15 were out of school in 2000. About 12.6% of children aged 8–11 (28,800) dropped out of school and 23.7% (10,876) of children aged 8–15 had never attended school as of 2004. Non-formal education is the term used for a package of programs that (i) aim to reintegrate school dropouts into the formal education system, and (ii) provide basic education (e.g., literacy and numeracy and in some cases livelihood skills) to adolescents (and in some programs adults) who did not attend or did not complete primary school. Because of the high literacy levels achieved under the centrally planned system prior to 1991, non-formal education is not a state priority (although addressed in detail in the second education master plan), and is mainly financed by nongovernment organizations such as World Vision, Save the Children, and other international organizations. However, although not funded by the state, non-formal education programs are often housed in state schools. Other types of non-formal education

34 Appendix 1

24. The school employed 73 teachers and 23 other staff. Of the three schools in Darhan, it appeared to be the most in need of further renovations. Despite its vocational orientation, the school was able to display evidence of the accomplishments of its most talented students and staff in natural sciences through prizes won in regional competitions.

d. Tur Rural Secondary School 25. The school, built in 1972, is located in the outer area of Darhan. The director said about 70% of the families in the area are poor. It had 976 enrolled students and 41 teachers (as well as 13 other staff). It should cater for 1,600 children, but facilities do not allow for this. The school has 15 classrooms and students are taught in two shifts. It was overcrowded, but the teacher-student ratio (average of 1:33) was better than in many schools. About 200 children from the area attend school in the center of the town; however, JICA is to provide a new primary school building, which will then allow the school to serve all the children in the area. It has not been made part of a complex school because it is too far from any other schools to be amalgamated.

e. Darhan Kindergarten and Orphanage/Sanitarium 26. This institution is one of a number in the city and caters for 35 resident and 140 non-resident children on a 24-hour basis. It employed a physician, a director, 7 kindergarten teachers, and 15 other staff. It provides services to orphans, disabled children, and children from disadvantaged families, aged from about 1 to 7 years old. The youngest child was a 10-

such as income generating skills are exclusively provided by nongovernment organizations. The working group report states that in 1995–2004, international development agencies and international nongovernment organizations spent a total of $9,640,000 on non-formal education.

Appendix 1 35

month old abandoned baby.3 The institution has a clean, pleasant interior and appeared well managed and equipped.

3. Selenge Province 27. Selenge has a population of about 100,000. It has a large number of recent migrants and is ringed by new ger settlements. Like Darhan-Uul, it is on the main railway line connecting Mongolia with Russia to the north (about 25 kilometers away) and the People’s Republic of China to the south. Its major industries are gold mining and agriculture. The province has 33 government schools, two private schools, two industry-run kindergartens, and three vocational training centers, enrolling a total of about 23,000 students. The provincial government has chosen not to adopt the complex school model for amalgamating schools; however, it has established school networks linking subject teachers. It retrenched 200 teachers under the ESDP. Each of the 21 districts has primary and secondary schools. These schools were said to be badly in need of renovation, equipment, and teacher training. There are six town government schools, each under separate management, of which the following were visited.

a. Secondary School Number 4 (Suhbaatar) 28. Secondary School No. 4 had 847 students in grades 1–11, taught in two shifts, and 52 staff, of whom 37 were teachers. Four teachers at this school were national teacher trainers under ESDP. Despite its disadvantaged settlement locality, the school director said that his is the top school academically and attracts the best students. He listed the school’s many prizes and achievements. The school was partially renovated in 2000 under the ESDP (with a grant of MNT27 million). According to the director, the work done was of very poor quality; however, he 3 The mother had died and the father was homeless.

36 Appendix 1

said that he had heard that some renovations in other schools were of a high standard. The secondary school building was observed by the OEM to be in very poor condition, with no indoor plumbing aside from heating, and so no running water; staff and students used pit latrines in the grounds. The school had no funds for maintenance since the renovation. The director estimated that the needed renovations would cost around $139,000. He noted the advantage of the complex school model, and said he hoped that the model would be adopted for town schools. b. High School Number 1 (Suhbaatar) 29. High School No. 1 is located in the town center in an area of apartment buildings. The school serves a minority of poor families compared with School No. 4. It has been extensively renovated, with an allocation of MNT103 million in 2006 under the Asian Development Bank (ADB) Second Education Development Project. It had 1,500 students, of whom 166 were boarders, and taught secondary classes in the mornings and primary classes in the afternoons. This practice, which is common in Mongolian schools where the complex model has not been adopted, means that the desks are often too big, or too small, for the children, and classroom displays cannot be age-specific. There were 65 teachers and 30 other staff. The director said she admired the complex model, which she had seen in Darhan, and hoped it would be adopted in Selenge. The greatest advantage of the model was allowing schools to provide age-specific services. School No. 1 serves as the focal point for a network of schools, encouraging cooperation between subject teachers. Problems noted were a shortage of maintenance funds and the cost of textbooks (about one fifth of students did not have the books they needed).

Appendix 1 37

c. Khötöl High School, Saikhan District 30. This district (soum) school is a regional center school in a school network, and is one of two government schools located in the district town of Saikhan, Selenge province. It was renovated primarily under the Second Education Development Project, with a budget of MNT183 million, but also received some essential renovations and equipment under the ESDP. It served 1,739 students in grades 1–11, and its facilities were very overcrowded. The school attracted children from other districts, who mainly board privately in the town. If it had more boarding facilities, the school would attract even more children. It had 70 teachers and 22 other staff. The director said poverty was low in the town because two factories provide employment, and most children could therefore afford to buy their books. (Others interviewed disagreed, and said poverty was high because the factories only operated seasonally). The director mentioned that rural soum schools had many problems, including that teachers were arrogant, because they know it is hard to replace them.

d. Private School, Saikhan District 31. Established in 1999, the school commenced as a primary school, but now teaches 160 students in grades 1–11. The school is housed in a renovated warehouse with conditions considerably less attractive and spacious than those of the government school nearby. The director left government service to establish the school with the backing of a group of parents, and owns the school and its building. She offered one daily shift, with 10 extra hours of instruction per week (compared to government schools), and a low teacher-pupil ratio of approximately 1:15. Parents paid school fees of MNT15,000–20,000 per month for primary students and from MNT114,000–132,000 per month for secondary students. Her teachers are also paid MNT10,000 per month more than the government pay rate. She expects the school to grow and to be able to construct a new building within the next few years.

4. Orhon Province 32. This province has a population of about 84,000 and its center is Erdenet City. The major local industry is mining. Like Darhan, Erdenet City is growing rapidly as a result of rural-urban migration. Schools in suburban areas operate in three shifts to cope with the influx of migrants. The province has 32 state schools and kindergartens, mainly in towns, as well as four institutions of higher education (branches of national universities). Four of the 16 schools providing grade 1–11 education have become complex schools. Other schools have not been amalgamated due to the distance between the existing school buildings. Under the ESDP,

38 Appendix 1

about 30 teachers were made redundant, several of whom rejoined the teaching service after retraining.

a. Naran Complex School

33. This school was established as a complex school in 2001 under the ESDP through the merger of three high schools and seven primary schools. It is located in a fast-growing disadvantaged suburban area and occupies two partially renovated buildings, as well as two new buildings (primary class rooms) provided by JICA. It is already facing capacity problems for its 3,600 students; for example, one of the partly renovated secondary school buildings was designed for 810 students, but is already accommodating 1,500 students. Its three daily shifts make use of aisles and corridors to accommodate the students, and

there was no space for any extracurricular activities. The renovation of old buildings was only partial and further renovations are needed. The earlier renovations were said to be of poor quality. The school lacks running water or toilets.

b. Erdenet Complex School

34. This complex school merged four schools and its buildings were extensively renovated and equipped in 1999 under the ESDP. The OEM noted the high standard of the renovation and good appearance of the school and its classrooms. Situated in a neighborhood of apartment buildings housing mining workers, it included a junior and senior secondary school and two primary schools under common management. Its total enrollment was 3,362 and it employed 339 teachers and nonteaching staff, including 155 teachers. The director noted the following points: (i) the performance of teachers had improved since retraining

under the ESDP, and the school had become very competitive in core subjects in the province and nationally; (ii) teams of subject teachers were contributing to ongoing staff development; (iii) retention rates had greatly improved for year 9 and above; (iv) staff rationalization reduced the cost of operating the school; and (v) the use of a team management approach was efficient and conducive to good management and staff relations. Issues that needed to be addressed by the provincial government and the Ministry of Education, Culture and Science (MECS) included the provision of funds for ongoing maintenance of school buildings and designing better performance evaluation measures for teachers.

Appendix 1 39

5. Ovorhangay Province 35. This province, located in central Mongolia, is one of the country’s largest in terms of area, and has a population of around 120,000. The provincial economy is based on the pastoral industry (meat and cashmere), mining, and seasonal tourism in some areas. 36. The provincial director of education said he thought that the complex school concept was still not well understood by the provincial government; however, the schools were networked to strengthen subject teaching. Educational administration issues included a lack of funds for petrol to make school visits.

a. Esönzuil District (Soum) School 37. This rural school is located in a small town of 3,000 people, which operates mainly as a service center for the surrounding two districts, populated by nomadic herding families. In 2006 it had 28 mainly well-qualified teachers and 680 students, an increase from 580 in 2001. Due to classroom space constraints, it taught in two shifts. Some 183 students between 7 and 16 years of age lived in the school boarding house. It was reorganized as a complex school (from two separate schools) under the ESDP and provided with basic renovations and equipment. It also provided continuing and adult education for 70 unregistered children. A major problem for the school was the lack of good telecommunication access; however, teachers said that the school was relatively privileged, as it is close to a main road.

b. Merged Secondary School

8. The school is one of four government schools (one is a boarding school) in the small

3provincial city of Arvayheer. It employed 35 mostly well-qualified teachers and 10 non-teaching staff. Enrollment grew from 4,400 in 1997 to 7,400 in 2006. The school building (built in 1966) was very shabby and had been provided with only basic renovations. Problems included overcrowding, leaking roofs, and obsolete computers.

40 Appendix 1

c. Soyombo Complex School

9. This school received MNT70 million for

d. Avayheer Private Primary

0. The school was the first private school in the

3renovation under the ESDP. About 2,000 students were enrolled in 1997, and 3,640 students in 2006; growth was due to rural-urban migration in the town. Teacher-pupil ratios ranged from 1:36 to 1:47. The school has four buildings, but the director noted that one, a primary school building, had to be closed due to leaking and mould, which made the building uninhabitable. The remaining primary school building consequently had to accommodate three student shifts. Further school amalgamation will be dependent on obtaining new school buildings. The school runs a non-formal program for undocumented children as well as a special class for disabled children who cannot be mainstreamed. This school was the first in the province to adopt a departmental system based on major subject specializations (i.e., natural sciences and math, languages, social sciences).

School

4province and opened in 2006 with 120 students (70 in grade 1, and 50 in grade 2). In 2006 it employed five teachers in addition to the director-owner (who is an experienced teacher), and who was assisted in starting the school by her husband, who is in business. The school taught one daily shift and offered extra-curricular activities and electives (chess, math, art) to students in the afternoons. It is housed in a small renovated building, formerly an art gallery, with modest but generally better facilities than those in the state primary school. The building lacked water or indoor toilets but a water connection was expected in 2007. Parents paid MNT35,000 per year and the school received a state subsidy on a per capita basis. Each child was given a filled bread roll and a drink for lunch, with the state paying a subsidy for the school lunches offered to grade 1 students, in line with national policy. Parents are attracted by the low teacher-pupil ratio and extra teaching time offered to its students.

Appendix 1 41

e. Taragt Bag School

This remote rural school is located in the

2. The school employed five teachers, including the

ti

. Key Issues and Findings

3. The main issues identified in the schools visited are as follows:

(i) Schools in better off neighborhoods were visibly superior in terms of building and

(ii) n,

(iii) al training, school

(iv) EM that ADB might wish to consider

emphasis on a sector-wide approach.

41. subdistrict center, where all permanent residents of the center are employed by the State as teachers, nurses, or clerical and ancillary workers. The 10-room school comprises 4 classrooms, 5 dormitories, and 1 staff room. It taught 73 students aged 7–14 years in two shifts. Twenty-two enrolled children lived in the subdistrict center, while the remainder were boarders. Sixty attended full-time, while 13 studied part-time and lived with their nomadic herding families, taking lessons with them to do at home and spending part of the year in full-time study when their parents are in the vicinity of the school. The boarders are accommodated in groups based on kinship rather than age, to allow the younger children to be cared for by older, related children. In addition, it had 23 undocumented students enrolled in non-formal education. 4director, a young graduate with family living in the subdistrict. It also employed a bookkeeper, three heating workers, one cook, and two cleaners. The school had a television set and a DVD powered by a solar panel. on and the two-way radio owned by the school was not

connected. The school had no water or indoor toilets. Washing water was carried inside for the use of the boarders. The school building was very shabby and dilapidated; however, the eldest teacher (aged 55) said the school was immeasurably improved from the days when it comprised one small stone building. The school had no records of how many families it serves.

There was no telephone communica

B 4

classroom facilities than schools in poorer and rapidly growing neighborhoods. While the national interest in school competitions is conducive to competitiothey seemed to be over-emphasized in nearly all schools visited. The OEM considers that the work and effort by teachers that goes into competing may be at the expense of students in need of more teacher attention. While the improvement of technical education and vocationteaching methods, ongoing curriculum development, and teacher evaluation are important concerns highlighted in ADB’s Second Education Development Project, the major problems facing most Mongolian schools are the poor state of repair of most school buildings, poor sanitation, overcrowding, low number of teaching contact hours, and high pupil-teacher ratios. The school visits, overall, suggested to the Ofocusing its development assistance to education on the provision of school infrastructure, rationalization of higher education, and donor coordination with an

42

Appendix 2

B. Academic Network, Furniture, Equipment, and Rehabilitation of 41 Schools 0 0 0 0 0 0 2,136 0 2,136 0 0 2,

C. Bank Charges 0 0 0 0 0 0 20 0 20Total Program Cost 6,500 0 6,500 0 0 6,500 6,156 0 6,156 0 0 6,

II. ProjectA. Staff Development

1. In-Country 0 1,011 1,011 0 1,011 1,011 0 400 400 0 4002. International 976 0 976 0 0 976 1,074 0 1,074 0 0 1, Subtotal (A) 976 1,011 1,987 0 1,011 1,987 1,074 400 1,474 0 400 1,

B. Consulting Services1. International 765 0 765 0 0 765 946 0 946 0 02. Domestic 0 319 319 0 319 319 0 18 18 0 18 Subtotal (B) 765 319 1,084 0 319 1,084 946 18 964 0 18

C. Facilities Development1. Repair/Rehabilitation 310 138 448 172 310 620 615 271 886 345 616 1,22. Furniture 4 0 4 38 38 42 113 0 113 0 0 113 Subtotal (C) 314 138 452 210 348 662 728 271 999 345 616 1,344

D. Equipment and Materials1. Equipment 2,643 0 2,643 0 0 2,643 2,619 0 2,619 0 0 2,6192. Instructional Materials 2,151 239 2,390 0 239 2,390 1,251 542 1,793 0 542 1,793 Subtotal (D) 4,794 239 5,033 0 239 5,033 3,870 542 4,412 0 542 4,412

E. Studies 0 0 0 81 81 81 0 0 0 0 0 0

F. Incremental Recurrent Cost 0 192 192 997 1,189 1,189 0 126 126 126 252 252

G. Taxes and Duties 0 0 0 1,016 1,016 1,016 0 0 0 1,206 1,206 1,206

Total Cost 6,849 1,899 8,748 2,304 4,203 11,052 6,618 1,357 7,975 1,677 3,034 9,652

H. Service Charges 251 0 251 0 0 251 203 0 203 0 0 203

Total Project Cost 7,100 1,899 8,999 2,304 4,203 11,303 6,821 1,357 8,178 1,677 3,034 9,855ADB = Asian Development Bank.Source: ADB and Government project completion reports.

COMPARISON OF APPRAISAL AND ACTUAL PROGRAM COSTS($'000s)

ADBAppraisal Estimates

ADBActual

Government Total Government Total TotalItem Foreign Local Total Local Total Cost Foreign Local Total Local Local CostI. Program

A. Redundancy Program 6,500 0 6,500 0 0 6,500 4,000 0 4,000 0 0 4,000

13620

156

400074474

94618

964

31

Appendix 3 43

IMPLEMENTATION AND COMPLIANCE WITH PROGRAM MEASURES

Policy Areas and Medium-Term Objectives Date of Proposed

Compliance Status at PCR (2003)

Status at PPER

1. Support the Ministry of Education, Culture, and Science and local governments with reorganizing and strengthening education management capabilities.

1.1 Redefine the roles and responsibilities of the Ministry of Education, Culture, and Science; local governments; and professional units at the central and local levels.

November 1996 Accomplished. Confirmed.

1.2 Formulate and implement a comprehensive reorganization plan for these entities to meet their new mandate and functions.

November 1996 Accomplished. Confirmed.

1.3 Examine the administration, finance, and management capabilities of these entities and assess their need for strengthening.

November 1996 Accomplished. Confirmed.

1.4 Draw up a comprehensive capability-building program to meet these needs.

November 1996 Accomplished.

1.5 Implement the capability-building program. Implementation to be completed by the end of the investment component (expected March 2002).

Accomplished.

Capacity building program carried out satisfactorily.

2. Rationalize education sector facilities.

2.1 Enforce a moratorium on the construction of new public secondary schools during the program period.

Moratorium enforced since April 1996. Continued enforcement.

Accomplished.

Confirmed.

2.2 Conduct a secondary school mapping study to identify the scope for reducing the number of secondary schools and increasing efficiency in the use of school facilities (study to be completed not later than 30 April 1997).

School mapping study commissioned in November 1996 (under advance action).

Accomplished. Confirmed.

44

Appendix 3

olicy Areas and Medium-Term Obje

ER P Status at PPctives Date of Proposed

Compliance Status at PCR (2003)2.2(a) Establish criteria and set out detailed guidelines and

of schools. 3 Accomplished. Confirmed.

procedures for mergers and closures

0 April 1997

2.2(b) 30 April 1997 Accomplished.

Confirmed.

2.2(c) Identify schools to be merged or closed. 30 April 1997 Accomplished. Confirmed.

2.3 res

30 April 1998 Accomplished. Confirmed.

2.4 Implement mergers and closures for 65

31 August 1998.

percent f schools, identified

by 31 August 1999,

Accomplished ahead of schedule. Of the 217

d for g, 115 schools

(67%) were merged or closed as of 31 July 1998.

closures of ad to

improved efficiency, cost-uality, and

bility of education.

Completed in July 2000.

Confirmed.

3. Rationalize education sector staffing.

Collect data on existing schools for applying the criteria and guidelines.

Approval by the Ministry of Education, Culture, and Science and local governments of mergers and closuof the specified schools. Complete implementation of mergers and closures of the schools identified.

percent of the schools identified by

Complete mergers and closures for the emaining 35 r

o

by the end of the program period

0). (March 200

schools identifierestructurin

The mergers orschools will le

effectiveness, qustainas

Review the existing staffing pattern and strength in the education sector and assess the scope for reductions.

3.1

November 1996 Accomplished. Confirmed.

Appendix 3

45

Policy Areas and Medium-Term Objectives Date of Proposed

Compliance Status at PCR (2003)

Status at PPER 3.2 Establish criteria for determining the categories and

numbers of staff to be covered under the rationalizatioprogram.

n 96

November 19 Accomplished. Confirmed.

3.3 Issue a Government policy program to be approved by Parliament to rationalize the public service sector,

96

a) 96 terviews, n, counseling

and outplacement services were provided to

ff.

3.4(b) acy of facilities for providing such services and commence service delivery.

3.5 Formulate a strategy and options acceptable to ADB for compensation packages for staff separation.

Confirmed.

3.6 Prepare a phased action plan for staff rationalization.

ovember 1996 Confirmed.

3.7 Develop a long-term personnel policy acceptable to ADB for education sector staff (including performance incentives and career paths).

1 August 1998

a m

accompanied by performance-based financial incentives scheme has been adopted and is in place. The policy is acceptable to ADB.

Confirmed.

3.8 Allocate funds in the Government budget to implement andate a budget provision of MNT975

o f the

staff rationalization program.

Accomplished. Confirmed.

including the education sector.

November 19 Accomplished. Confirmed.

3.4( Develop plans for providing orientation, counseling retaining, and outplacement services to affected staff.

November 19 Accomplished. Based on inorientatio

selected sta

Confirm the adequ From April 1997 onward

November 1996

Accomplished.

Accomplished.

Accomplished.

Accomplished. A long-termpersonnel policy for

N

3

education personnel withfive-step promotion syste

the staff rationalization program. M

million for 1997 timplement 25% o

46

Appendix 3

Policy Areas and Medium-Term Objectives Date of Proposed

Compliance Status at PCR (2003)

Status at PPER Mandate a budg

provision of et

MNT1,950 million for 1998 to implement a

program by 31 August 1998.

provision of MNT975 million for 1999 to complete implementation of the

cent

rationalization nd of

the program period (March 2000).

The ce

provided funds in the 1998 budget.

The Ministry of Finance provided funds in the 1999 budget.

further 50% of thestaff rationalization

Mandate a budget

remaining 25 perof the staff

program by the e

Accomplished. Ministry of Finan

Accomplished.

3.9 Implement the staff rationalization program. Eliminate 4,200 staff positions by declaring them redundant.

3.9.1. Eliminate 50% of redundant staff (about 2,100 staff) by 31 August 1998.

s of

May 1999.

00 staff were retrenched.

Complete implementation by the end of the program period (March 2000).

Accomplished ahead of schedule. A total of 3,174 staff were declared redundant in 1997 and an additional 1,050 weredeclared redundant a31 July 1998. Thus 4,224 surplus staff positions were eliminated as of 31 uly 1998. J

Completed in

A total of 5,0

Appendix 3

47

Policy Areas and Medium-Term Objectives Date of Proposed

Compliance Status at PCR (2003)

Status at PPER 3.9.2 liminate 3,900 staff positions pursuant to attrition, with

about 1,000 staff positions eliminated by June 1998.

999. ,900 staff positions were eliminated through attrition.

E Complete implementation by the end of the program period (March 2000).

Completed in May 1

3

4. Introduce cost sharing in secondary education textbook publishing and decentralize textbook distribution.

4.1 Assess the existing textbook publishing and distribution system and recommend measures and options for introducing cost sharing and decentralization.

Confirmed.

4.2 Using field tests evaluate the recommended measures and options, which were acceptable to ADB, to assess their technical feasibility.

. The Government’s new textbook policy, adopted in June 1998 on the basis of field tests, recommends a role for the private sector in textbook publishing and distribution and the

troduction of cost-sharing measures.

n

re

nd some of the sts are recoverable. The

dopted are acceptable to DB.

Confirmed.

September 1996

31 August 1998

Accomplished.

Accomplished

in

Publishing and distributiocontracts for program-funded textbooks and teachers’ guides for secondary schools wesuccessfully contracted toprivate firms through openbidding. The new textbooks are sold to students, acomeasures and options aA

48

Appendix 3

Policy Areas and Medium-Term Objectives Date of Proposed

Compliance Status at PCR (2003)

Status at PPER 4.3 Adopt and implement a national policy on cost sharing

and decentralization in textbook publishing and istribution in consultation with ADB. d

By August 1999 Accomplished. Confirmed.

5. evelop a policy framework on TEVT.

5.1 Analyze the issues facing TEVT to determine the eptember 1996 Accomplished. Confirmed.

5.2 Identify measures acceptable to ADB to strengthen the 31 August 1998 Accomplished. On 25 Cabinet

approved Resolution No. 41, which contained the national policy and action

g the cy

of ent’s

Confirmed.

5.3 Develop a comprehensive policy framework, acceptable to ADB, including the promotion of private sector participation in TEVT.

31 August 1998 et

ures to promote

Confirmed.

D

Government’s possible future role.

S

effectiveness and efficiency of the Government’s possible role in TEVT.

March 1998 the

plan for strengtheninTEVT sector. The polidefines a more dynamic and proactive role for the Government in the proposed structure to establish a demand-driven and flexible system TEVT. The Governmproposed roles are acceptable to ADB. Accomplished. On 25 March 1998 the Cabinapproved Resolution No. 41, which contains the national policy and action plan for strengthening the TEVT sector. The document adopts a comprehensive policy framework to establish a demand—driven system of TEVT that encompasses meas

Appendix 3

49

Policy Areas and Medium-Term Objectives Date of Proposed

Compliance Status at PCR (2003)

Status at PPER private sector pand an action

articipation, plan for

implementation for 1998 to 2003, including policy eforms and new

investments. The policy

framework is acceptable to ADB.

r

comprehensive

5.4 Implementation to be

completed by the end of the program period (March 2000).

nt

Confirmed.

6. Promote private sector provision of education and the privatization of higher education.

6.1 Identify the issues and constraints remaining in the way of private sector participation in education.

31 August 1998 nes

ll

de

r

ions, unity

nt

Confirmed.

Adopt and implement a national TEVT policy in consultation with ADB.

Accomplished. The new TEVT Law, which defines the role of the Governmein the TEVT subsector, was enacted in May 2002.

Accomplished. Guidelion private sector involvement in education were adopted on the basisof identified issues and constraints and in fuconsultation with private providers. These inclurevised and more transparent procedures foestablishing private education institutions, for tax exemptions to private educational institutand for equal opportin access to governmegrants for private education institutions.

50

Appendix 3

Policy Areas and Medium-Term Objectives Date of Proposed

Compliance Status at PCR (2003)

Status at PPER 6.2 Modify the existing legal and regulatory framework as

required to enable private sector participation in education.

April 1998 Confirmed. Accomplished.

6.3 Establish criteria acceptable to ADB and identify candidate higher education institutions for privatization based on such criteria.

31 August 1998 for the

idate, the Institute of

Confirmed.

6.4 Field test and implement the privatization of selected higher education institutions on a pilot basis. implementation by the

nd of the program period (March 2000).

ducation institutions is ongoing, with six institutions privatized.

Confirmed.

7. ed quality assurance mechanisms for higher education.

7.1 Approve the structure, mandate, functions, and staffing of an independent accreditation body for higher education.

31 August 1997 Confirmed.

7.2 Establish a legal and regulatory framework for the accreditation body and submit any required legislation to Parliament.

December 1997 Confirmed.

7.3 Establish an independent accreditation body for higher education; appoint its staff; and develop a capacity-building program, including staff training programs.

31 August 1998 es

proved e

ational Committee on

Confirmed.

Accomplished. Criteriaacceptable to ADBprivatization of higher education institutions were developed. As a first pilot andc

Economics and Finance was privatized in September 1997. Accomplished. The privatization of higher

Complete

e e

Accomplished.

Accomplished.

Accomplished. ResolutionNo. 240, establishing ruland procedures for the accreditation of higher education, was apin December 1997. Th

Promote the development and use of select

N

Appendix 3

51

Policy Areas and Medium-Term Objectives Date of Proposed

Compliance Status at PCR (2003)

Status at PPER Higher Educatiocomposed of 15 memb

n, ers,

was established to implement the

tudy

accreditation of higher education institutions. A capacity-building plan, including a staff development program, was prepared. In-country training workshops on accreditation were held and international sisits were completed. v

8. Promote performance management in the education

ector. s

1 August 1997

Accomplished by December 1997.

8.1 Identify overall sector performance indicators, as well as specific BME indicators, and assign responsibilities for

Confirmed.

y March

With the ciated

technical assistance, the EMIS was designed on the

ed

data collection to the concerned institutions in the education sector.

3

8.2 Design an EMIS acceptable to ADB based on the agreed sector performance indicators and incorporating BME requirements.

December 1997 Accomplished b1998.

Confirmed.

8.3 Test implementation of the EMIS on a pilot basis. 31 August 1998 Accomplished. help of the asso

basis of field tests and tryouts. Twenty-one indicators for data collection were developand redefined. Hardware and software were procured. Test

Confirmed.

52

Appendix 3

Policy Areas and Medium-Term Objectives Date of Proposed

Compliance Status at PCR (2003)

Status at PPER implementation at province level is complete.

the

8.4 Provide access to the EMIS for all education sector institutions and conduct training programs to help staff use it for performance management.

Complete implementation by the end of the program period (March 2000).

Confirmed.

8.5 Submit performance management and BME reports. Complete implementation by the end of the investment Project (March 2002).

Confirmed.

Accomplished.

Accomplished. BME report submitted in January 2003.

ADB = Asian Development Bank, BME = benefit monitoring and evaluation, EMIS = education mana stem, TEVT = technical education and ationarces: on report, and Operations Evaluation Mission.

gement information syvocSou

l training. Report and recommendation of the President, project completi

Appendix 4 53

RESULTS OF A SURVEY OF THE INIONS OF TEACHERS ABOUT THE ESDP STAFF RATIONALIZATION PROGRAM

A. The Retrenchment Program

1. The implementation of a major education rationalization program aimed to improve the efficiency and cost-effectiveness of the education system in the country in the 1990s during the most severe period of transition. In the mid-1990s school attendance was poor, many schools were dysfun nal, and teachers were not paid for months (at that time the maximum monthly salary was MNT24,500). In 1997, 3,174 teachers and staff were released from schools through redundancy and attrition; a further 1,826 teachers were released in 1998. A redundancy incentive package was implemented stimulate voluntary resignation of teachers, although young teachers were encouraged to stay in their schools.

2. enched te ece h incentives totaling MNT3.3 billion (MNT2 billion in 1997 and MNT1.3 billion in 1998). The retrenchment scheme was based on the teacher’s length of se e. The equivalent of a 6-month net salary was paid for 6 months to 2.5 years of service; a p ent equal 12 months net salary was paid after 2.5–5 years; and 12 to 24 months net salary was paid after 5.8–14.9 years. After 15 years of service, an additional payment equal to 6.2 to 12 months ne was paid. “The rule of education restructuring and staff rationalization, the regulation of migration and the allocation of incentives”, approved by Decree No. 165 of the Mongolian Govern nt (1997), states that people separated from their jobs will pay social insurance fees, and that working groups will explain its significance. Participants o atio were not allowed to work for the Government for 3 years, ex te rural schools with a shortage of teachers. Salary resources freed up by the staf e used to raise the salaries of remaining teachers, based on th c B. Survey Method

3. The project implementation unit (PIU) at the Ministry of Education, Culture and Science (MECS) pro the Op tions Ev Mission (OEM) documents and statistics on the number of separated teachers and staff by location (Table A4.1). However, the full list of the teachers wa availabl

A4.1: ber of ted Teachers By Aimags and Cities

/City 1997 1998

OP

to

ived

t sa

pro

to

alua

Sep

ctio

The retr

rvicaym

achers r

to 6.2 to

cas

lary

me

gram

be

tion

ara

f the staff rcept for remof reduction weir performan

nalization

re intendede.

vided

s not

Table

Aimag

era

e.

Num

Arhangay 70 37 BayanBayanBulgaGovi-ADornoDornoDundgZavhaOvorhOmnogobi 69

-Olgiy 177 14 hong 82 22 n 102 30 ltay 44 23

gobi 33 16 d 40 51 ovi 46 27 n 144 93 angay 120 29

9 Suhbaatar 31 18

elenge 60 39

or

S

54 Appendix 4

Aimag/City 1997 1998 Tov 68 33 Uvs 129 30

129 83 Hovsgol 126 78 Hovd

Hentiy 44 26 Darhan 79 69 Orhon 107 15 Govisumber 0 4 Ulaanbaatar 462 248 Professional Schools 54 100 Total 2,216 1,094

Source: Ministry of Education, Culture, and Science. 1999. “Surgaltiin baiguullagiin oorchloltiin material”, pp: 19–20.

eachers living in localities that could not be easily accessed in erson were also done by telephone.

6. total of 100 teachers (including 70 retrenched and 30 retained teachers) were

(ii) location of school; (iii) (iv) ed at retrenchment, its nature, and duration; (v) n of new job; (vi) enchment; (vii) e monetary incentive; and (viii) the staff rationalization program.

C. The S ts 7. All ret chers except five (one in Darhan, one in Bulgan, one in Dornod, one in Zavhan, and ) said they took voluntary redundancy. Their working experiences and ages varied (Table A4.2 end of this appendix), but thos longer working years

4. The survey on education staff rationalization was undertaken to assess the program results on the basis of teachers’ opinions and attitudes. The survey was conducted in Bulgan, Selenge, Orhon aimags, and Darhan, Erdenet, and Ulaanbaatar cities, with the heads of local departments of education and culture and school directors asked to provide lists of separated teachers and their current addresses prior to the OEM’s departure from Ulaanbaatar. In most cases full lists of teachers and their former school addresses were provided. Using the ‘snowball’ method,1 the OEM interviewed available respondents.

5. In addition, questionnaires were sent to a teacher in Dundgovi aimag, who conducted the survey in her aimag after receiving instructions by telephone. She then returned the completed questionnaires. Interviews in Tov aimag were conducted by a research assistant. Many other interviews with tp

A

interviewed. The questionnaire for retrenched teachers included the following questions: (i) Information about the teachers age, sex, education, and position/grade held at

retrenchment;

reason for accepting the retrenchment; training offerremuneratiolife after retrmain use of thopinions about

urvey Resul

renched teaone in Tov

found at the e with

1 Snowball sam ial nonprobability method used in cases where it m extrem ifficult or cost

prohibitive to l dents. Snowball sampling relies on referrals from initial jects to g ate additional subjects.

pling is a spec ay be ely docate respon sub ener

Appendix 4 55

were more likely to accept the option. Notably, the best formally qualified teachers were retrenched in n, although the sample is unlikely to represent all s rated teachers. Thirty-three of the 70 respondents (47%) said that they left their position prove their family life by g into trading and other businesses. Twelve ) nee money for payment of their children’s higher education tuition .The third main reason (11%) for opting to leave their positions was health problems, either of teachers th elves heir family members. Other reasons for accepting retrenchment include igratio caring for grandchildren, and accommodation needs (for example, the ger of one teacher and the house of another were ). Other reasons included providing for a wly married son, and paying debts. Two teachers left their schools in order to teach in remote rural schools. 8. Those t dwellings for themselves and their children able to buy them. Tuition usinesses were unsuccessful. ated teachers noted that their life improved after

e implementation of rationalization, but 26% of them said that their life worsened, while 22%

chment program, while 34 did not; two saw both negative and positive aspects.

ness or paying for medical treatment.

d any knowledge of business and other means of employment. Most of these teachers complained that the ereduring which t ch were not included in their working years, thus affecting their pension cy, the majority of them did not pay social insurance fees during these 3 13. they were provided counseling services and training (provided for by the Education Sector Development Program [ESDP]2 design), and those five were i e of vegetables, and opportunities in undeve s in the district found that training

n vegetable cultivation contributed to their income. One retrenched Russian language teacher age training course, which could have led to employment in her

chool, but she did not accept it.

Bulga epas in order to im

movin (17% ded

ems or td m n,

burned down ne

who wanted to ge were fees and debts were paid. However, many teachers who established b

Thirty-nine percent of separthanswered that there was little difference in their lives before and after the retrenchment. 9. Half of the retrenched teachers returned to teaching at their previous or other schools (one became a kindergarten teacher) after 2 to 3 years, as the number of teacher vacancies increased. Many faced difficulties in regaining their teaching positions, however. 10. Looking back, 34 out of 70 teachers approved of the retren

11. Those who agreed with the retrenchment noted that it was voluntary, and said that the incentives enabled teachers to improve their family lives at a time when the teachers’ salaries were low and loans were very hard to get. They also approved of the provision of other opportunities, such as investing in busi

12. Those who felt that the program was ill-conceived said that rehiring was problematic, and no counseling and outplacement services were given to separated teachers who lacke

y w distanced from their teaching skills; for those returning to teaching, the 3 years hey did not tea

s. Despite the established poli years.

Only 5 out of the 70 said that

nform d about social insurance, cultivation loped ectors in Mongolia. The teacher’s family that lives

owas offered an English langus 14. According to the 2002 report of the joint monitoring and evaluation joint teams MECS, the Education Inspection Board, and the Education Research Institute, the redundancy

and 1508-MON[SF], for a total of $15.5 million, approved on 19 December 1996).

2 ADB. 1996. Report and Recommendation of the President to the Board of Directors on Proposed Loans and a Technical Assistance Grant to Mongolia for the Education Sector Development Program. Manila. (Loans 1507-MON[SF]

56 Appendix 4

payments were beneficial for 99% of the released staff. While they clearly benefited financially from the payment, this limited but broad “snapshot” survey indicates that 4 years after the 2002 report (and 8–9 years after retrenchment) only half of the teachers thought the staff rationalization was a good policy, and a good option for them to have chosen. 15. Of the 30 rural and urban teachers who declined retrenchment and who participated in the survey, all said teachers in the mid-1990s were poorly paid and respected. Due to the deteriorating economic situation at the time, many parents paid little attention to their children’s education. The voluntary retrenchment program led to the loss of both dedicated and uncommitted teachers. Some schools in the center of Ulaanbaatar have now raised teacher alaries by up to 30%. Teachers from other schools said salaries had not been raised, even for

rogram as limited, however, because the demand for teachers rose as school conditions were

ntinue with the pcoming shift to a 12-year program.

Teachers-Respondents

Working Place Where

steachers with good performance. 16. According to the teachers who declined retrenchment, the payments accompanying the rationalization program solved the social problems faced by many teachers. Moreover, it enabled indifferent teachers to be separated with payment. The effectiveness of the pwrestored or improved. Demand for teachers, particularly in primary schools, is increasing due to the demand for places, arising from the necessity of teaching in shifts (due to lack of school buildings) and the move from a 10-year to an 11-year school program; this will cou

Table A4.2: List of Separated Name

Age

Sex

Years at Retrenchment

Worked in 1997/1998

Subject

Current Occupation

A. Darhan 1. B. Altantsetseg 54 F 23 School No. 3 Russian Teacher,

School No. 1

Culture 6. N. Erdenechimeg 58 F 27 School No. 3 Russian Pensioner

16 Khan uul District

School No. 7 Mongolian

Language and Teacher, Khan uul

District School

Teacher No. 7

2. B. Dejeekhuu 60 F 30 School No. 5 Social Science

Pensioner

3. Ch. Tsend 59 F 33 School No. 3 Primary School

Teacher

Pensioner

4. D. Orsookhuu 62 M 33 School No. 3 Industrial Work and Art

Pensioner

5. B. Marusya 59 F 27 School No. 3 Physical Work in a Shop

7. J. Tsetsgee 54 F 26 School No. 9 Primary School

Teacher

Pensioner

8. D. Khorolgarav 46 F 16

School No. 9 Primary School

Teacher

Teacher, School No. 9

B. Ulaanbaatar 1. Shurentsetseg 45 F

Literature No. 7 2. Dagiisuren 44 F 12 Khan uul Dstrict

School No 7 Primary School

Teacher, Khan uul District School

3. Altantegs 44 F 13 Khan uul District School No. 7

Foreign Language

School No. 34

Appendix 4 57

Name

Age

Sex

Working Years at

Retrenchment

Place Where Worked in 1997/1998

Subject

Current

Occupation 4. Tsetsegsaihan 44 F 15 Khan uul District

School No. 7 Math Teacher, Khan uul

District School No. 7

5. Gerelchuluun 39 F 4 Khan uul District School No. 7

Primary School

Teacher

Worker at a Private Factory

6. Otgonkhuuhen 54 F 21 Nalaikh District, School No. 100

Math Unemployed

7. Byambasuren 54 F 20 Nalaikh District, School No. 100

Mongolian Language and

Teacher, Nalaikh District, School

Literature No. 100 8. D. Magsar 64 M 31 Suhbaatar District Physical Sell Material in

Work and Art School No. 49 12. D. Dulmaa 46 F 17 School No. 49 Primary Teacher,

School No. 49

13. B. Ouyn 49 B t, Hig 94

Music Teacher,

C l

Language Sc 7

Russian Informant, “Zuunii

a Mongolian Language and

Wo a

S

Mongolian Language and

C. 1. Ő. Maygmarjav 59 M 26 Professional Teacher, Orhon

ComJ

School Mongolian

Language and

. O. Urtnaa 46 F 24

eg

School No. 25 Culture Narantuul Market9. Ts. Baasankhuu 46 M 4 Suhbaatar District

School No. 25 Primary School

Teacher

Doorman in ‘Monosfarm’

10. D. Alimaa 45 F 15 Baganuur District, High School No. 94

Physics Teacher, “Amgalan”

Complex School 11. Ts. Javzandulam 49 F 20 School No. 49 Industrial Teacher,

School Tea her c

F 24 aganuur Districh School No. “Amgalan”

omplex Schoo14. D. Urnaa 40 F 8 School No. 17 Foreign hool No. 1

15. B. Enkhtuya 46 F 16 School No. 6 Medee”

Newspaper rker in Kore16. Ts. Altantuy 37 F 7 School No. 9

Literature 17. C. Sarangerel 55 F 17 School No. 6 Physical

Culture mall-Scale Trader

Small-Scale 18. G.Erdenchimeg 53 F 19 School No. 6

Literature Trader

Erdenet

School argalant Soum

Math plex School

2. Davaasuren 58 F 27

Literature

Pensioner

3. N.Jarantai 43 F 9 Jargalant Soum School

School No. 5

Industrial Work

Teacher, Jargalant Soum School

Naran Complex 4 Chemistry School

5. D. Oyunchim 47 F Professional School

Principle Work in the Sansar Shop in

Ulaanbaatar 6. Gansum 48 M 13 School No. 7 Physical

Culture

Trader in a Market

58 Appendix 4

Working Years at

Retrenchment

Place Where Worked in 1997/1998

Occupation Name

Age Sex

Subject

Current

D. Bulgan 1. Odsuren 50 F 24 Primary

School P

2. G. Batsetseg 47 F 18

Teacher “Erdmiin Ergee” C l

3. Gantuya 44 F 7 S Primary Teacher,

4. D. Dashdulam 57 F 25 Secondary School Language and

Literature

Pensioner

Mongolian Language and

Work “Erdmiin Ergee”

Priv ss (

8. L. Batchuluun 58 F 27 School No. 1 Industrial

Professional

Chemistry P (Shop Assistant )

E. 1. Ouyngerel 48 F 20 School No. 2 Mongolian

Language and Teacher, School

2. D. Batkhishig 52 F 24 School No. 1 Teacher, Professional

3. P. Altantsetseg 44 F 16 Kindergarten Priva ess

4. D. Bat-Olzii 48 F 9 School No. 2 Small-Scale Private Business

6. Yu. Bayrmagnai 53 M 22 School No. 2 Work and Art

Unemployed

lam

yag Priva ess

F. 1. D. Tserenkhuu 45 F 10 School No. 13 History Sc

uluun Ho lHigh School

School No. 1

Teacher Primary School

rivate Business

School No. 1 Teacher,

omplex Schooecondary School

No. 3 School Teacher

Mongolian

Kindergarten No. 6

No. 3

5. Demeberldorj 66 M 37 School No. 1

Literature

Pensioner

6. Oyunschimeg 49 F 16 School No. 2 Industrial Teacher,

Complex School 7. J. Purvee 61 F 34 School No. 1 Primary

School Teacher

Work

ate BusineShop Assistant )

Pensioner

9. Ts. Baasan 59 F 25 School No. 2 Math Teacher,

School 10. N. Tsetsegmaa 47 F 16 School No. 1 rivate Business

Dundgovi

Literature

No. 1

School te Busin

No. 1 Primary School

Teacher

5. D. Tsanlig 49 F 20 School No. 3 Math Teacher, Professional

School Industrial

7. Ts. Adyadu 52 F 23 Professional School

Pensioner

8. A. Gankhu 37 M 12 School No. 4 Math Small-Scale te Busin

Hotol hool No. 13

2. L. Chinch 48 M 4 tol High Schoo Math Manager, Hotol

Appendix 4 59

Name

Age

Sex

Working Years at

Retrenchment

Place Where Worked in 1997/1998

Subject

Current

Occupation 3. M.Chimgee 48 F 15 School No. 13 Industrial Herder in Gobi-

Work Altai Aimag 4. M. Purevdorj 62 M 31 School No. 13 Pensioner 5. B. Ragchaa 63 M 35 School No. 13 Pensioner

G. Tov 1. N. Altantsetseg 56 F 23 Bayanchandman

2. D. Khishigdelger 58 M 20 Bayanchandman Mongolian Language and

Teacher, Professional

School 3. D. Gantemer 52 F 28 Bayanchandman

So ol Language and Private Business

4. Ts. Horoltsetseg 47 F 19 Bayanchandman So ol

Teacher

Teacher, Bay

S l5. Otgonbaymba 44 M 6 Bayanchandman

So olIndustrial

Work and Art 6. Ts. Bat-orshikh 46 M 3 Bayanchandman

Soum High School

Zaluuchuud Teacher

Unemployed

H. Other 1. Dolgorjav 44 F 15 Altai School in Primary

Teacher

Unemployed

uren 50 F 11 Ovorhangay, Industrial Private Business

3. Bayrmaa 44 F 15 Dornod School No. 7

Teacher

Child Rights Center

4. Olziibayr 49 M 10 Secondary School in Tes, Zavhan

History and Geography

Se l in Tes, Zavhan

Mongolian Language and

Se l in Darvi, Lhovd

Primary School

Teacher 7. Narantuya 45 F 7 Hovsgol Aimag,

School No. 4 Music A

8. Bayrjargal 42 M 5 Hovsgol Aimag, Work

Dressmaker

Total: 70

Math Physical Culture

Math Soum High School

Pensioner

Soum High SchoolLiterature Mongolian

um High SchoLiterature Primary

um High Scho School anchandman oum High SchooPrivate Business

um High SchoMusic Private Business

7. Yanjmaa 54 F 29 School in Primary School

Hovd Aimag School

2. Ts. NaymsSchool No. 2 Work

Primary School

Taxi Driver

5. Rolomsuren 55 F 30 condary Schoo

Literature

Unemployed

6. Gelegmaa 54 F 22 condary Schoo Pensioner

imag Theater

School No. 1 Industrial

Sou luation sio

rce: Operations Eva Mis n.

60 Appendix 5

RESULTS OF FOCUS GROUPS WITH HIGH SCHOOL STUDENTS IN SELECTED SCHOOLS

A. f the S y 1. The purpose of the focus group discussions with high school students about education in

ols was to describe changes in school education— particularly natural and computer sci afte mp entatio of the cto elopme m (ESDP).1 Since students are chief beneficiaries o eir opinions are an i portant asp n. 2. The provinces (aimags) and schools were selected to add breadth to interviews con Asian Development Bank (AD E i October 2006 at the schools in Darhan, Erdene ted below. The OEM held discussions w ol authorities and teach d with h the departments of educatio ure. H r-gra th oo for the focus group interviews, to solicit their op t thdire 3. by OE studen from an additional three rural and thr r schools wer v Ulaanbaatar schools arcomplex school is sit ger) whic to st disadvantaged in urban areas—in the eastern part o tar. I f the most distant

m the city center. School No. 17 is also situated in a settle n the northern y isadva ged an alle ral e.

“Ganzam” school is situated in the central part of the e railw ion.

4. tude inte ews, t EM b to t iti sch natural science achers, and v s orat es supplied by the ESDP. The difference between these and previous visits with the formal ADB evaluation team to the laboratories was that the teachers tended to talk not only about benefits of aterials an qu ents b lso t e nts ed about pros and cons of their teachers and school fa B. The Sample

5. 006, 1 terviews were conducted high school students in four rural schools and five schools in Darhan, Erdenet, and Ulaanbaatar citi were as to k about tural s and imen technology (IT), laboratory facilities and classes, a ir opinions about the quality of edu ability of textbooks, and other iss the and e groups of high school stu ts re from e follow ab

Purpose o tud

their schoence education— r i lem n Education Se

f the Program, thr Dev nt Progra

mect of its evaluatio

ducted by the B) Operations t cities, and Sele

valuation Mnge aimag lis

interviews

ssion (OEM) in

ith the schon and cult

ers ande students frominions along with

eads ofls were selectedeir teachers and

ighe ose schhose of

ctors.

As requested the M, ts ee Ulaanbaatae also inter iewed. Two of these

uated in settlement (e peri-urban. Amgalan

h tend t is one o

ment area i

districts—f Ulaanbaa

be the mo

schools fropart of the city, where man d nta d socially ch

city near thnged ruay stat

migrants liv

Before the s nt rvi he O riefly talked he author es of these sixools, met te isited classroom and lab ories faciliti

supplied m d e ipm ut a heir disadvantagcilities.

s. All stude freely talk

During the first week of December 2 1 focus group in with

es. Students ked tal na cience classess well as the

exper ts, information

cation, avail ues related to ing locations (T

ir school le A5.1).

studies. Thden we th

1 ADB. 1996. Report and Recommendation of the President to the Board of Directors on Proposed Loans and a

Technical Assistance Grant to Mongolia for the Education Sector Development Program. Manila (Loans 1507-MON[SF] and 1508-MON[SF], for a total of $15.5 million, approved on 19 December 1996).

Appendix 5 61

Table A5.1: Sample Area

Location School Samples Orhon Aimag Students of Grade 10A in Jargalant Soum high school Erdenet City A group con

“Erdenet” comsisting of 11 students from School No. 5 School No. 7 in plex school

gan

nzam school; (iii) Students of Amgalan complex school no. 17

Bul Aimag (i) Students of Grade 8B in school No. 1; (ii) Students of Grade 11B in school no. 1; (iii) 11th grade students in the “Erdmiin Ergee” school.

Selenge Aimag Students of Grade 11G in Hotol high school (No. 13) Darhan Students of Grade 108 in the “Oyunii Ireedui” complex school Ulaanbaatar (i) Students of Grade 9B in the Ganzam school; (ii) Students of Grade 10B in

the Ga Source: Operations Evaluation Mission. C. Interview Results 6. In general, all students except those in Amgalan school no. 17 and the Ganzam schools expressed satisfaction about studying at their schools. Table A5.2 summarizes the focus group discussion with students using a scale of 1–5 (low-high). Bulgan and Hotol school students

ssess thea ir school performances favorably. Students in Ulaanbaatar schools gave a poorer assessment than students in smaller town schools.

Table A5.2: Assessment of Teaching and Laboratory Experiments by Students (December 2006)

Biology Chemistry Physics IT School

Teaching

Experiment

Teaching

Experiment

Teaching

Experiment

Teaching

Student/

Educatin Computer

Ratio

ion

General Jarg t Soum School, Orhon

3 4 4 4 3 3 4 4:1 Goodalan

“Erdenet” Complex School, Erdenet

4 3 4 3 4 3 3–4 2:1 Good

School No. 1, Bulgan

4 5 4 3 5 4 3 2:1 VeryGoo

“Erdmiin Ergee” 4 4 5 2 5

d

chool, Bulgan 3 2 2:1 Very

Good 5 5 5 4 5 4 2:1 Very

Good u ii I ed

ed

laanbaatar

ed

chool No. 17, laanbaatar

4 3 4 3 2 2 2 7:1 Satisfied

SHotol School, Sele ge

5 nn“Oy reedui”

Complex School, Darhan

5 3 4 2 5 5 3 2:1 Satisfi

“Gan zam”, Ulaanbaatar

3 3 3 2 2 2 3 2:1 Satisfi

“Amgalan” Complex School,

4 3 3 2 4 3 4 4:1 Satisfi

USUITS

= information technology. Evaluation rankings: 1 = low, 5 = high. ource: Operations Evaluation Mission.

62 Appendix 5

1. Natural Science Cl

m” particularly their em

e Ul

” s egl emistry teacher e ich is taught for

h grtora

chools. istry teachers did more experiments than urban ones, where

water.

. ome equip an-

e eriments, springs in dynamometers eased to function (their dia 7 centime centimeters less than theussian dynamom ters, and is cons t visible to classro m stude ts).

es demonstrated in thec e he wi th of the color spectrum usin roscopes. A physics desk without a

r experiments was provided to Amg n com x scho . Equi nt a tenssome parts are not uncommon. Moreover, some schools have an excess of certain

ool while others lack them.

Inf mation chnolo

rding the 2 2 report of the joint mon ing an evaluat team m tuca n, Culture, and Science (MECS), the Education Inspection Boa nd

stitute, 78.3% s answered that they are satisfity of computers in use. In contrast, many students interviewed through focus

id that school c puters il to m t their eds. C puters ten f o w do m se devices. Because the co ents cannot accomplish

in the cated 40 minutes. In “Erdmiin Ergee” complex school, students w areg as well as others are not allowed to use computers.

gh mplaints are understandab when ormatio technol y dev s ers was not the main

ugh the students all expressed the wish ood working condition and had access to the Internet.

asses 7. “Ganza

hschool students evaluated the natural science classes,

physics and ccontrast to th

istry classes, as poor. They use equipment and materials only once a year. In aanbaatar school students, the students of school No. 1 in Bulgan did more

experiments in natural science classes than“Erdmiin Ergee

other school groups. The chemistry class inchool in Bulgan aimag was assessed as excellent by the stud nts, even

with a chthough not a sinsubsequently rev

e experiment occurred during lessons. The interview aled that the school has no supplies for organic chemistry, wha10th and 11t

because the sde students. In addition, she had limited chemical experiment equipment,

ge for toxic materials was out of order. The lack of this kind of special storage estricts experiments with toxic and gaseous substances in other sequipment also r

nexpectedly, rural school chemUschools have access to running 8. Interviews with teachers regarding experiments in schools showed some interesting differences from those conducted by the OEM in October 2006. In a less formal situation, with no ADB personnel present, teachers referred to the drawbacks of the materials and equipment they received through the ESDP. The equipment and materials were supplied by the Indian company Angelic International, selected by tender in 1999. 9 In the opinion of the teachers, despite their high cost, the quality and durability of s

ment supplied by the company is much poorer than the equivalent Russian and Germmade equipment. For instance, aft r three or four expc properly meter is ters, 16 R e equently no o n Similarly, the processclassro

new apparatus

apparatus f was mad

or water diste of white

illationplastic m

could not beaterials. Fu

orthermor

bserved in the ard om be

to measure thause the , it was

d g new spect panel folacking materials and t

ala ple ol pme nd u ils

s

2.

or Te gy

10. Acco to 00 itor d ion fro he Ministry of EdEducation Research Inwith the capac

tio rd, a the ied of survey respondent

groups saproperly, as

om fa ee ne om of ail t ork ou

allomputers are slow, stud

not very muchachievin

ho

11. Althourapidly, and

co le inf n og elop very no upgrading takes place in schools, access to comput

school students), althoproblem (even for district [soum] ey had powerful computers in gth

Appendix 5 63

3. Textbooks and Libraries 12. The main concerns of all students were the availability of textbooks and the performance of school libraries. High school students are required to have 16 textbooks, including 7–10 new publications per academic year. Two years ago, school libraries rented all subject textbooks to students at a cost of MNT150 per year. 13. In 2006, the Government introduced full cost recovery policies, under which student must buy their own sets of textbooks, with schools continuing to rent older books. However, classes with 30 to 40 students in both rural and urban schools have an average of five to six textbooks per subject. 14. In one case, an entire 11th grade class with 48 students in Amgalan complex school could rent only one geometry textbook from the school library. Textbooks for geography,

nglish, and literature are in particularly short supply. In addition, the majority of students do not

or want to buy them; some needed xtbooks are not available in rural areas. In addition, a new Mongolian language textbook is

Ebuy all required new textbooks. They usually buy three to five textbooks (those that they regard as the most important) and share the remainder. The main reasons for not buying textbooks are (i) student perceptions that “they are not important”, “homework is not checked”, or the books are ”impossible to resell”; and (ii) because of objections to their high cost. The average cost of textbooks is MNT3,000–3,500, and not all families are able teconsidered to be of poorer quality than the old one. 15. School libraries work poorly. The students of Amgalan complex school and school no. 17 refer to their school libraries as “book stockrooms” because librarians do not allow students to use the libraries. As a result they go to libraries in their districts or to the children’s library in the center. When needed, students borrow textbooks from other students who live in their neighborhood.

64

Appendix 6

ACHIEVEMENTS OF I

Item s men

NVESTMENT P

Target

ROJECT COMPONENT

Achieve tsA. Strengthening Education Management Capabilities 1. Support to MECS and local government by developing an effective EMIS a. Staff development 1,370 staff t inrained on EMIS 5,302 staff tra ed b. Provision of facilities for networking Networking s

provided equipment and oftware Achieved

2. Strengthen institutional management in higher education

a. Staff development 300 senior and non education m

midlevel maanagement

agers trained 857 trained

3. Rationalize secondary schools A mapping stu nsystematic pla zistructures

dy that contain for rationali

s a ng school

Achieved

B. Improving Quality and Coordination in Higher Education 1. Support academic network and education support services

a. Academic network and library and information services

Establishment of library network 10 institutions l ry

work et” e . 12 cati exp over n 70 olleg her d 17 con ls.

inked to libra network Academic netInitially linkingsubsequently universities, cinstitutions an

“Erdemnhigher eduanded to ces, and ot senior se

stablishedons, it was more thaacademic

dary schoo Staff development 60 staff trained c net

62 librarians on agem

d in l pro 4 work s an rians loca nati g

on academi library man

works and ent

Under local anacademic nettrained under programs.

ternationa managerl and inter

grams, 19d 545 libraonal trainin

Provision of library materials and equipment Computers, so arninmaterials provi

s an rs p 17

ppli oks he gua ch nd on

ftware and leded

g 174 computerinstitutions. 22 libraries suMongolian lanpublications, aautomation.

d 50 printe

ed with boge, CD-ROM handbooks

rovided to

printed in twith researlibrary

b. Establish an accreditation system (i) Staff development

Training on ed ditatabout 60 MEC ersetraining for staf tion

ning lude sits Sin d thed t f N

ucation accreS staff and ovf of accredita

ion of as body to be

Overseas traito Philippines,States, provid

, which incgapore, ano 15 staff o

s study vie United

CHEA; in-

Appendix 6

65

Item Achievements Targets

upport

ng for 337 people to strengthen the operation a of NCHEA provided.

e provided with furniture, 9 titles), handbooks, and

(ii) Equipment and administrative support

Logistic and administrativ

formed provided country traini

e sprovided

nd management

The NCHEA’s officcomputers, books (4periodicals.

c. Develop curricula and course International training on curriculum and course development for 10 staff provided

ent be

n, 60 on curriculum nt, and 60 on course material

ent)

aster’s degree in business administration and in educational administration

n nstitutions

nternational training provided for 18 staff.

93 persons trained in-country on curriculum and course development (500 on

anning consultation, 613 on curriculum development, and 80 on course material development).

ew master’s degree courses were established at selected higher education

ty, a

t the consortium of Mongolian

ed.

Local training of 360 teaching staff in the universities and managemdevelopment institutes (240 persons totrained on curriculum planning consultatiodevelopmedevelopm

M

established in selected higher educatioi

I A total of 1,1

curriculum pl

N

institutions, including a master’s of businessadministration course at the National University of Mongolia, a master’s of education course at the State Pedagogical Universimaster’s of finance and economics course at the National Institute of Finance and Economics, and a master’s of education course at the Academy of Management. Higher Education textbook Committee was established auniversities and colleges. 74 new higher education textbooks print

d. Develop academic staff and faculty Training and staff development courses and workshops provided to staff (in-

s

82 academic staff from universities and research institutions (1,471

country training fir 420 and for overseatraining for 30)

A total of 1,5

staff participated in in-country training and 111in the overseas program).

66

Appendix 6

Item Targets Achievements Research study on the management

nd completed

ment human resource training and training and professional human requirements of local enterprises aindustries

Management consultancy training was provided to 34 staff.

manageAconsultant needs survey and consultancy market study was completed in 1999.

C. I d Efficiency of ncreasing the Effectiveness an Secondary Education 1.

y

hing management training,

6 were secondary textbooks and teachers

in textbook writing, ublishing, and management provided to 350 articipants. Over 300 teachers participated in

with new

Develop and supply textbooks 25 secondary textbooks and teachers uides in priority subjects in grades 8, 9, g

and 10 developed and printed. About 46 persons participated in in-countrauthor-editorial workshops, 50 in in-ountry publisc

and 2 in international training on development and supply of textbooks.

A total of 29 new textbooks published, of which 2guides in priority subjects in grades 8, 9, and 10 and 3 were textbooks in grades 4,5,6 (in Kazakh). About 853,000 copies were printed and distributed nationwide

raining programsTppvarious workshops, organized inline textbook contents and teaching methods.

Cost-sharing schemes introduced at the aimag level

Starting in 2006 a policy requiring parents to buy the required textbooks was introduced.

2. Train secondary school teachers In-service training of 1,046 teachers and pre-service training of 40 teachers provided. Science laboratories at the NPU rehabilitated and those at the NUM renovated and re-equipped.

M re- as a

rch Institute, and d

A total of 10,487 teachers were provided with in-service training and 350 teachers with pre-service training. Science laboratories at the NPU and NU

quipped; these facilities were then usedebase for pre-service teacher training. In-service teacher training centers were established at the Teacher Training College,

PU, the Education ReseaNeducation and culture centers in 22 cities an

th provinces and were also provided wiequipment.

3. Rehabilitate secondary schools 20 schools renovated

47 schools renovated. In addition, 41 schools were renovated utilizing the savings from the

rogram loan. p

Appendix 6

67

Item Targets Achievements Science equipment provided to about 150 elected secondary schools.

sic

distributed in 98 aimag schools and 197 in

s

150 secondary schools provided with baquipment. e

20 solar batteries provided to soums and bags 860 computers were provided, with 663

Ulaanbaatar and districts. Additional equipment funded from program loan savings included: 6,278 desks for students 470 desks for teachers 470 white and green boards 15 office computers 55 computers for training 20 printers 23 photocopy machines

EMIS = education management information system; MECS = i on ccr ditation; NPU = National Pedagogical University; NU

Sources: Project completion report, project documents.

Ministry of Education, Culture, and Sc ence; NCHEA = National Council for Higher EducatiA e M = National University of Mongolia.

68 Appendix 7

STAFF DEV OPMENT UNDER THE EDUCATI SECTOR DEVELOPMENT PROGRAM 1. the Education Sector Development Program (ESDP),1 in 1997–2002 237 local and international training programs were provided for the Ministry of Education, Culture and Science (MECS), local government officials, education managers and principals, prov l (a city ucation managers, methodologists, education inspectors, teachers from e-sc p ry an econdary ools, technical and vocational education man rs, h ucation in t . 2. to 2 person-months) participated in training programs orga d e n management, higher education accreditatio b f training, publishing management, in-service teacher train e t A. e h d t abilities 3. l governments, and education managers, several training programs on education management information systems were organized in combination with the provision of computer networking equipment and information about software. These included training on edu ion management information systems, strengthening the education system, and improving local education management. Training was provided to education managers and principals, technical and vocational education managers, pre-school education managers, local education managers and principals, aimag and city educ and culture center methodologists, local education managers and principals (on “Loc ucation Management”, with 220 participants), school principals (on school man nt, with 783 participants), and directo tudies (on education management, etc., with 5,310 participants). 4. rnational training programs were organized in Canada, Japan, the Republic of Korea, Singapore, and the United States (two groups) to build the capacity of education managers. Higher Education Management 5. Training programs for managers and dire the state and private higher education institutions were carried out in the following areas, with the goal of increasing the quality of higher education management, and supporting academic networks, curriculum development and course design: (i) strengthening higher education management, (ii) financial management in higher education systems, (iii) management of m of business administration in Mongolia, (iv) medical education management, and (v) agricultural education management. 6. To strengthen higher education manage ies, a number of international training programs were organized in Korea, Singapore, and the United States. There were 878 participants in local and international training prog

EL

imahoo

and

tal in n, lid pr

ngt

rde

ON

sch

Cap

loca

cat

rs of s

ctors

aste

men

rams

Within the framework of

incia prage

Anize

ing, an

Str

In

g) andls andigher ed

of 21,28ducation management, higher educatiorary staf-service

ening E

to build

edrima

peo

trainieache

ucat

he c

d sstitu

(3

acini

a

ity

ions

34

y re.

ge

M

en

CS

p

ngr

io

ap

le

, ftra

n M

ac

,1

ultng

na

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m

E o r t ,

ation al Edageme

Inte

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r’s

t capabilit

.

1 ADB. 1996. Report and Recommendation of the Preside Board of Directors on Proposed Loans and a

Technical Assistance Grant to Mongolia for the Educatio Development Program. Manila. (Loans 1507-MON[SF] and 1508-MON[SF], for a total of $15.5 million, a 9 December 1996).

nt ton Seppro

thector

ved on 1

Appendix 7 69

2. Higher Education Accreditation System Development 7. In order to support the establishment of an independent accreditation system for higher education and provision of quality assurance, the following in-country and international training programs were provided for 352 staff of the higher education accreditation system:

(i) workshop for the members of the National Higher Education Accreditation Commission and experts,

(ii) higher education accreditation self-evaluation,

ion theory and practice, (vii) higher education accreditation system in American universities,

Kong universities, and (ix) Philippines higher accreditation council.

and gional in-service training programs:

(i) nationwide training workshop for directors of studies of secondary schools and

(iv) nationwide training workshop for primary and secondary school teachers and

aching, and Primary School Teachers” (4,121 participants);

) training courses for teachers of informatics (388 participants); i) nationwide training course for English language teachers (351 participants); ii) training courses on “Primary and Secondary Education Standards and Design”

(393 participants); and (viii) training on social sciences, ecology, and other subjects (1,870 participants).

(iii) higher education program accreditation, (iv) program accreditation in economics training institutions, (v) higher education accreditation in economics training institutions, (vi) higher education accreditat

(viii) higher education program accreditation in Hong

B. Library Management 8. Support was provided for secondary school libraries and 545 library managers participated in in-country and international training programs including (i) a training workshop for secondary school librarians, (ii) a training workshop for chief librarians of universities and colleges, (iii) training on library automation, (iv) a training workshop for private higher education institution librarians, (v) a regional workshop for local school librarians, and (vi) library management in Thailand (two groups). C. Teacher Training 9. In-Service Teacher Training. This was one of the main components of the ESDP. A total of 10,534 primary and secondary school teachers participated in the following national re

senior methodologists on “Training Technology Reform” (679 participants); (ii) nationwide training workshop for secondary school training methodologists on

“Inter-relations in Teaching Different Subjects and Teachers’ Cooperation” (1,456 participants);

(iii) nationwide training workshop for secondary school curriculum directors and methodologists on “Training Methodology” (1,276 participants);

methodologists on “Reform on Training Methodology and Approaches of Chemistry, Geography, Physics, Mathematics, Mongolian Language and Literature, Music, Design and Fine Arts Te

(v(v(v

70 Appendix 7

10. ivate higher education stitutions and developing new and more relevant curricula, the following in-country and

(ii) mics;

of accounting; ics education;

; and he United

ining, geology, energy, light industry technology and design, culture and arts, and linguistics.

1. Publishing Management and Author/Editorial Workshops. The main objective of

2. Pre-Service Teacher Training. In-country and international training workshops were er-trainers in the following areas:

ice teacher training, (iii) training for local (Arhangay, Dornod aimags) college teachers,

(v) ants). 13. The traUniversity of Mongolia, Pedagogical University, and other universities and colleges; (ii) experie sand (iv) interna 14. As a rtrained. Internmanagement, industry educa n personnel at universities in Australia, Canada, England, France rma ited States. 15. training workshops, monitoring and evaluation was carried out by MECS, State Education and Culture c

Faculty Retraining. For improving the quality of public and prininternational training programs were provided in public administration, banking, finance and business management, economics and marketing, accounting, and medical and agricultural education:

(i) core curriculum for a master’s degree program in business; training workshop in econo

(iii) workshop for university teachers of marketing; (iv) training workshop for university teachers (v) curriculum content development in business and econom(vi) curriculum content development in biology education; (vii) curriculum content in management education; (viii) improvement of management education contents and curriculum(ix) international training (in Canada, France, Germany, Singapore, and t

States) in finance and economics, m

1publishing management and author/editorial training workshops was to strengthen publishing management capacity, textbook development, and manuscript preparation activities. Training workshops were carried out on (i) planning and writing books for teachers; (ii) textbook policy, publishing, and design; and (iii) textbook manuscript preparation for primary and secondary schools and higher education institutions (260 participants). 1organized for pre-service teach

(i) “Education Studies and Teacher Training System” for teachers at pedagogical universities and colleges,

(ii) development of pre-serv

(iv) “Quality of Education and Teachers’ Development”, and international training at the Pedagogical University in Germany (382 particip

ining courses were conducted by (i) the professors and teachers of the National

nced econdary school teachers; (iii) scientists from the Education Research Institute; tional consultants.

esult of the workshops, a number of national and local teacher-trainers were ational training programs were also provided in the areas of education higher education accreditation, library management, geology, mining, and light tion for 210 educatio

, Ge ny, Japan, Korea, Philippines, Singapore, Thailand, and the Un

All training participants gave positive evaluations of these training courses. During the

Inspe tion Board, and the National Inspection Board.

Appendix 8 71

RE

ose of Study

1. erceptions of school perform e a tion Sector Development Program (ESDP related projects and programs. Discus w the general quality of service vid ges that occurred durin B. od

2. Intervie(aimag). Cond g; generally only two or

ree parents attended meetings, despite being informed 1–2 days prior to the meetings. Only

. Interview Results

program is broader and more ifficult than it was 10 years ago—leaving them unable to help primary and secondary school

children ith improved. In B they are satisfied with the performance of educators in both hi cho l graduates over the last two ye ob es using codes, however (previously, grades awarded to each student were transparent). In the opinion of parents e uontroversial issue within the entire education system.

has worsened, suggesting disciplinary problems.

te of nemployment in this soum, many parents are unable to purchase textbooks. Well-to-do

SULTS OF FOCUS GROUPS WITH PARENTS OF HIGH SCHOOL STUDENTS IN SELECTED SCHOOLS

A. Purp

Parents’ opinions regarding their children’s education and their panc re important for evaluation of the Educa

),1 as well as for the development of other educationsions ith parents were held regarding their satisfaction with pro ed to their children by schools, their concerns and hopes, and chan

g the last several years.

Meth

ws were held with parents in Darhan and Erdenet cities, and Selenge province ucting focus group interviews with parents was challengin

thErdenet complex school managed to gather parents for interviews. Therefore, the Operations Evaluation Mission (OEM) went to markets, shops, and offices in Darhan, Hotol, Jargalant, and Bulgan and conducted semi-structured interviews with parents who have high school children. In the above-listed Ulaanbaatar schools, focus-group interviews with parents were held following meetings organized by the schools to address other school-related issues. C 3. Parents indicated that while the content of the school d

w their homework—they doubted whether the quality of school education has ulgan soum, parents said

gh s ols. Teachers in Bulgan schools are dedicated and schooars tained good results. Parents opposed concealment of grad

, th se of codes encourages corruption in high schools, which has become a highly c 4. Parents in Hotol and Darhan were also satisfied with the education in the schools. According to Hotol parents, the conditions and school environment have improved, but the behavior and etiquette of students 5. The most complaints came from Erdenet city and Jargalant district (soum) parents. In contrast to students, parents in Jargalant think that the quality of education in the Soum School is poor, due to the shortage of knowledgeable and professional teachers. 6. The shortage of textbooks was mentioned as a problem. Because of the high rauparents want to buy all required textbooks, but there are insufficient supplies of high-demand

1 ADB. 1996. Report and Recommendation of the President to the Board of Directors on Proposed Loans and a

Technical Assistance Grant to Mongolia for the Education Sector Development Program. Manila (Loans 1507-MON[SF] and 1508-MON[SF], for a total of $15.5 million, approved on 19 December 1996).

72 Appendix 8

boo ve. Parents in Erdenet expressed their ty of new textbooks, and also the

erformance of computer laboratories and school libraries. In Ulaanbaatar, both parents and achers felt that the quality of content of new textbooks for arithmetic, reading, and music was

se t textbooks.

tion. No parents had visited the school libraries and boratories. Parents’ main concerns were the state of school hygiene and behavior of the

ated that more sinks were needed in the schools, particularly with implementation of the school lunch program. Both students and parents of school No. 17

ks. When additional supplies are ordered, the textbooks take about 6 months to arri concern about the quali

ptewor han that of the older

7. Parents of peri-urban school students in Ulaanbaatar felt that the skills and knowledge of teachers in the schools are poorer than those of teachers appointed to central schools. In addition, some parents expressed concerns about the behavior of some teachers, and in particular about the discriminatory attitude shown by teachers towards students who were rural immigrants. However, by their own admission, only one third of parents interviewed paid attention to school matters and educalastudents: they indic

complained that the condition and hygiene of the school were unacceptable. In fact, Hotol and all Ulaanbaatar schools had cases of hepatitis at the time of the interview.

Appendix 9 73

ASSESSMENT OF OVERALL PROGRAM PERFORMANCE

A. Program Loan1. Support the Ministry of Education, Culture, and Science and Local Governments

Criterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Likely Sustainable 2 0.4Overall Rating Highly Successful 2.8

2. Rationalize Education Sector FacilitiesCriterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Most Likely 3 0.6Overall Rating Highly Successful 3.0

3. Rationalize Education Sector StaffingCriterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Relevant 2 0.4Effectiveness 30 Effective 2 0.6Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Less Likely Sustainable 1 0.2Overall Rating Successful 2.1

4. Introduce Cost-Sharing in Secondary Education Textbook Publishing and DecentralizeTextbook Distribution

Criterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Likely Sustainable 2 0.4Overall Rating Highly Successful 2.8

5. Develop a Policy Framework on Technical Education and Vocational Training (TEVT)Criterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Efficient 2 0.6Sustainability 20 Likely Sustainable 2 0.4Overall Rating Successful 2.5

74 Appendix 9

6. Promote Private Sector Provision of Education and Privatization of Higher EducationCriterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Efficient 2 0.6Sustainability 20 Likely Sustainable 2 0.4Overall Rating Successful 2.5

7. Promote the Development and Use of Selected Quality Assurance Mechanisms forHigher Education

Criterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Likely Sustainable 2 0.4Overall Rating Highly Successful 2.8

8. Promote Performance Management in the Education SectorCriterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Likely Sustainable 2 0.4Overall Rating Highly Successful 2.8

Overall Program Loan RatingCriterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Likely Sustainable 2 0.4Overall Rating Highly Successful 2.8

B. Investment Project1. Strengthening Education Management Capabilities

Criterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Likely Sustainable 2 0.4Overall Rating Highly Successful 2.8

Appendix 9 75

2. Improving Quality and Coordination in Higher EducationCriterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Efficient 2 0.6Sustainability 20 Likely Sustainable 2 0.4Overall Rating Successful 2.5

3. Increasing the Effectiveness and Efficiency of Primary and Secondary EducationCriterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Likely Sustainable 2 0.4Overall Rating Highly Successful 2.8

Overall Investment Project RatingCriterion Weight (%) Assessment Rating Value Weighted RatingRelevance 20 Highly Relevant 3 0.6Effectiveness 30 Highly Effective 3 0.9Efficiency 30 Highly Efficient 3 0.9Sustainability 20 Likely Sustainable 2 0.4Overall Rating Highly Successful 2.8

BASIC EDUCATION INDICATORS, 1996–200576 A

ppendix 10

Item 1990–1991 1995–1996 1996–1997 1997–1998 1998–1999 1999–2000 2000–2001 2001–2002 2002–2003 2003–2004 2004–2005A. Education Expenditure

1. Education Budget Expenditure (MNT million) 23,377.2 31,814.6 44,486.9 58,622.2 64,811.4 77,729.4 95,415.5 99,316.9 111,288.6 136,263.32. State Budget Income (MNT million) 140,900.0 160,000.0 212,000.0 225,500.0 254,800.0 351,083.7 439,290.0 477,049.0 535,795.0 580,930.83. Educational Industry in the State Budget Income (%) 16.6 19.9 21.0 26.0 25.4 22.1 21.7 20.8 20.8 23.5

B. Institutional and Enrollment Indicators1. Kindergartens

a. Number of Nursery Schools 660 667 660 658 650 653 665 655 687 696b. Number of Children 64,086 67,972 70,000 73,955 78,630 79,294 83,578 87,711 90,215 82,674 Annual Rate of Change (%) 6.1 3.0 5.7 6.3 0.8 5.4 4.9 2.9 (8.4)c. Number of Teachers/Nurses 2,004 2,998 2,985 3,015 2,986 3,056 3,177 3,257 3,267 3,424d. Children-Teacher Ratio 32 23 23 25 26 26 26 27 28 24

2. General Education Schools (GES)a. Total Number of GES 632 664 658 645 630 668 683 700 688 686 710b. Of Which are Private Schools 0 2 17 20 50 77 84 95 103 124 % of Total GES 0.0 0.0 3.0 3.0 7.0 11.0 12.0 14.0 15.0 17.0c. Number of Students 440,986 403,847 418,293 435,061 447,121 470,038 494,544 510,291 527,931 537,398 546,844 Annual Rate of Change (%) 3.6 4.0 2.8 5.1 5.2 3.2 3.5 1.8 1.8d. Average Number of Students/School 698 608 636 675 710 704 724 729 767 783 770e. Average Number of Students/Class 29.5 30.3 30.8 31.3 31.7 31.6 33.2 32.8 32.5f. Percentage of Dropouts 4.3 3.5 3.9 2.5 2.9 2.8 2.2 2.3 2.1 2.0g. Number of Teachers 20,629 19,411 20,090 18,511 18,118 18,502 19,223 20,053 20,752 20,792 21,458h. % of Teachers with a Higher Education Degree 88 88 91 91 92 91 96 96 92i. Student-Teacher Ratio 21.4 20.8 20.8 23.5 24.7 25.4 25.7 25.4 25.4 25.8 25.5j. Breakdown of GES Students i. Grades 1–4 234,193 244,815 251,476 253,441 249,950 241,258 237,777 232,400 247,700 ii. Grades 5–8 126,088 134,504 161,520 179,307 195,511 212,391 224,535 232,000 230,900 iii. Grades 9–10 58,012 55,778 34,125 37,290 49,083 56,642 65,619 73,000 78,700k. Gross Enrollment Rate (GER) in Primary Schools (%) 105.8 93.4 95.3 102.2 102.9 103.8 96.6 101.9 103.2 103.5 102.4l. GER in Basic Education (Grades 1-8, %) 98.7 84.3 82.4 82.3 87.6 90.6 88.6 92.6 96.4 98.0 97.6

3. Higher Education Institutions (HEIs)a. Total (Public and Private) i. Number of HEIs 70 80 86 104 118 172 171 178 176 178 ii. Number of Students 38,097 43,052 49,634 65,272 74,025 84,970 90,246 98,031 108,268 123,824 Annual Rate of Change (%) 13.0 15.3 31.5 13.4 14.8 6.2 8.6 10.4 14.4 iii. Number of Teachers 3,076 3,205 3,416 4,186 5,008 4,910 5,251 5,650 5,962 6,309 iv. Student-Teacher Ratio 12 13 15 16 15 17 17 17 18 20b. Public HEIs (Universities, Institutes, and Colleges) i. Number of Public HEIs 29 29 29 33 36 38 41 42 47 49 ii. Number of Students 29,167 31,191 35,229 46,185 51,050 56,906 60,382 66,834 74,134 84,041 Annual Rate of Change (%) 6.9 12.9 31.1 10.5 11.5 6.1 10.7 10.9 13.4

Item 1990–1991 1995–1996 1996–1997 1997–1998 1998–1999 1999–2000 2000–2001 2001–2002 2002–2003 2003–2004 2004–2005 iii. Number of Teachers 2,693 2,683 2,799 3,261 3,531 3,455 3,655 3,882 3,999 4,187 iv. Student-Teacher Ratio 11 12 13 14 14 16 17 17 19 20c. Private HEIs i. Number of Private HEIs 41 51 57 71 82 134 130 136 129 129 ii. Number of Students 8,930 11,861 14,405 19,087 22,975 28,064 29,864 31,197 34,134 39,783 Annual Rate of Change (%) 32.8 21.4 32.5 20.4 22.2 6.4 4.5 9.4 16.5 iii. Number of Teachers 383 522 617 925 1,477 1,455 1,596 1,768 1,963 2,122 iv. Student-Teacher Ratio 23 23 23 21 16 19 19 18 17 19

4. Vocational Schoolsa. Number of Vocational and Specialized Secondary Schools 34 33 38 38 39 36 32 31 32 35b. Number of Students 7,987 11,308 12,320 11,650 11,245 12,177 15,051 19,493 21,574 21,911 Annual Rate of Change (%) 41.6 8.9 (5.4) (3.5) 8.3 23.6 29.5 10.7 1.6c. Number of Teachers 495 767 742 656 805 865 843 955 1,098 1,160d. Student-Teacher Ratio 16 15 17 18 14 14 18 20 20 19

( ) = negative.Sources: (i) National Statistical Office. 1999, 2002, and 2005. Mongolian Statistical Yearbook . Ulaanbaatar.

(ii) Ministry of Education, Culture and Science through the Education Finance Team.

Appendix 10 77

78 Appendix 11

RURAL AND URBAN ISSUES IN EDUCATION SECTOR PLANNING 1. The following discussion contextualizes issues in relation to the future of rural and urban education sector planning in Mongolia. A. Historical Trends 2. The pastoral industry constitutes Mongolia’s economic base. In the pre-Soviet era, Mongolia was divided into defined territories under semi-feudal and Buddhist ecclesiastical control. Aristocratic clans owned large herds and were served by poorer herding families, but most of those who so served also owned small herds. Monasteries, aristocrats, and state officials extracted rents but did not control production. The organizational basis of the subsistence pastoral economy was herding camps (khot ail) of varying sizes, comprising groups of households, who were often but not necessarily related by marriage or blood, and who acknowledged a common leader. Each member household within this loose territorial corporation owned their own livestock, with herds typically comprising sheep, goats, cattle (including yaks in some areas), camels, and horses. The basis of inter-household cooperation within herding camps was to achieve an economy of scale in labor-intensive activities. 3. Collectivization was enforced during the Soviet era (1929–1991), with early attempts ending in disaster and a huge loss of livestock. From 1932 onwards, the approach was more gradual, with the establishment of voluntary, territory-based collectives. Over time these became more dependent on the state for technical, economic, and social services, with risk transferred from families to the state. Over the same period, industrial manufacturing and mining towns were established in most provinces (aimag) in various parts of the country, all linked to a Soviet-wide system of production. 4. District (soum) centers functioned as centers for the provision of education and other services for the collectives at “brigade” or subdistrict (bag) level. As was the case in some of the smaller United States-administered island states of the north Pacific, Mongolia’s economy, and the provision of education and health services to the whole population, was heavily subsidized because of its strategic importance to the Soviet Union. 5. Following 1991, the collective model was abandoned. Individuals were permitted to “buy” animals via a coupon system and large numbers of families returned to small-scale subsistence herding, some by choice and preference, and others because they had no other means of supporting themselves. Although many rural people had lost skills as a result of collectivization, herding camps re-emerged as a basis of organization, although the traditional solidarity and leadership of these units was weaker than in the past.1 6. Without Soviet subsidies, poverty has become widespread, both in the countryside and in those towns that now lack an economic basis for their existence. Many small-scale herders found it hard to survive, and there have been episodes of drought and severe storms leading to large losses of livestock. The more entrepreneurial herders or those with capital, access to better land resources, and larger herds have formed private corporations, often specializing in particular products (such as dairy products, meat, cashmere wool, and leather) and employing wage labor. Others have formed companies specializing in growing summer crops of grain, vegetables, and stock feed. It is evident that small-scale subsistence pastoralism is declining

1 Mearns, Robin. 1995. Community, Collective Action and Common Grazing: the Case of Post-Socialist Mongolia.

Brighton, UK: University of Sussex Institute of Development Studies.

Appendix 11 79

and a large-scale commercial grazing industry is beginning to develop, requiring new land policies, clarification of land rights, and land management policies and practices.2 7. When the Education Sector Development Program (ESDP)3 was designed in 1993–1996, more than half of the population was living outside urban centers. Between 1990 and 2000, the population of Ulaanbaatar increased by 27%. The 2000 census showed that the rural proportion had declined to 43% and that rural to urban migration was increasing, particularly in Ulaanbaatar. Now at least one third of the population in Ulaanbaatar and the smaller cities of Darhan and Erdenet are migrants from rural areas. B. Perspectives on Future Priorities

for Education 8. The Operations Evaluation Mission (OEM) discerned two points of view among Mongolians and donors with respect to the needs of the education sector in relation to demographic trends. The first emphasizes the need to invest in more and better quality rural services to encourage Mongolians to remain within the traditional nomadic pastoral economy. This strategy, it is assumed, would reduce unemployment, encourage self-reliance, and preserve traditional Mongolian cultures. It is based on the underlying assumption that rural to urban migration is more related to “pull” factors, such as gaining access to better urban education (and health) services. In this view, policy should not encourage investment in more high-quality urban school buildings, and resources should be spread more equally between rural and urban areas. 9. The second point of view holds that Mongolia cannot afford to spread its investment in education too widely or thinly, while still maintaining good-quality educational outcomes. Instead, investment should be in the larger, better-quality schools in urban centers, selected because of their long-term economic growth prospects. This perspective is based on the assumption that rural to urban migration is more related to “push” factors (e.g., rural poverty, lack of opportunity, and economic insecurity). It also assumes that small-scale subsistence pastoralism increased in the 1990s in response to short-term economic transition shocks, and is likely to continue to decline as the agricultural economy becomes more commercialized and specialized, and as the national economy moves to more solid policy foundations. 10. Based on its observations, the OEM is inclined to the second viewpoint, but recognizes that there are difficult issues to be addressed. The social trend is from a rural to an urban way of life, as well as the (now well advanced) transition from a centrally planned to a market economy.

2 Hanstad, Tim and Jennifer Duncan. 2001. Land Reform in Mongolia: Observations and Recommendations. Seattle,

Washington: Rural Development Institute. 3 ADB. 1996. Report and Recommendation of the President to the Board of Directors on Proposed Loans and a

Technical Assistance Grant to Mongolia for the Education Sector Development Program. Manila. (Loans 1507-MON[SF] and 1508-MON[SF], for a total of $15.5 million, approved on 19 December 1996).

80 Appendix 11

11. Table A11.1 (at the end of this appendix) shows the financing of schools by region and aimag. The proportion of students per school is highest (with lower costs per pupil) in Ulaanbaatar and the northern region, which includes the major towns of Darhan and Erdenet. The central (excluding Ulaanbaatar), southern, and western regions, which have higher costs per pupil, encompass predominantly rural provinces. These figures suggest that the allocation of resources favors rural regions, although these figures do not indicate the quality of school buildings and services in the different regions. 12. According to the 2000 census, enrollment in urban areas is higher (96%) than in rural areas (85%), but urban growth has continued to increase over the past 6 years. Most urban schools are severely overcrowded due to rural-urban migration; their boarding dormitories operate at overcapacity and must turn away rural children because of a lack of space. Most schools teach two shifts, and in Ulaanbaatar, three shifts are typical. In many instances primary, secondary, and senior secondary students must use the same classrooms in different shifts. The rooms tend to be set up for the secondary rather than primary students, and often do not provide a suitable learning environment for younger children—for example, desks are too big for junior primary students and sometimes too small for senior secondary students. 13. The definitions of “rural” and “urban” are also unclear in national statistics (Table A11.2). Most nomadic herders move seasonally within a defined area and can therefore be associated with bag, soum and aimag, and counted as a member of their “resident” populations.4 The “rural” population appears to include the populations of small district towns as well as those living in the countryside, and refers to both sedentary and non-sedentary population groups. Further, in most small district towns, the sedentary population is there to provide services for both the townspeople and the larger non-sedentary population of the countryside. 14. Now that urban children may commence grade 1 at 6 or 7 years of age,5 the question will arise as to how rural children will be served in an equal, socially-effective and cost-effective manner. In the past, rural kindergarten education was linked to collectives at subdistrict (bag or brigade) level, and some children were—and still are, although in declining numbers—taken as weekly boarders at age 4 in kindergartens. Throughout the country, children entered grade 1 at age 8; presumably because this was the youngest age at which children could be separated from their families for long periods, and it is still the age at which most rural children start primary school. Education services at bag level are declining. 15. At schools with attached boarding facilities visited by the OEM, managers said that overcrowding was a major problem. The managers of provincial and district schools serving rural populations said that they now allocate dormitories to children on the basis of kinship and common locality rather than by sex and age, to reduce the impact of boarding on young children. But even this strategy is unlikely to meet the psychological needs of children under the 9 years of age. C. Case Study of a Subdistrict School 16. The situation of bag-level education is illustrated by a functioning bag school visited by the OEM in November 2006. The school had one dilapidated building divided into four classrooms and four dormitories, serving 75 children enrolled in grades 1–5, as well as a separate kitchen,

4 The “resident population” is defined as “the number of population living in the current place of residence within 6

months.” National Statistic Office of Mongolia. 2006. Mongolian Statistical Year Book 2005. Ulaanbaatar. 5 Children in grades 1 and 2 must be provided with lunch by their school.

Appendix 11 81

and a dormitory for the teachers. The school had a small generator and a solar panel allowing electric lights, as well as a television set, DVD player, and a computer (gifts to the school) to be used for a few hours each evening.6 It had no piped water or indoor toilets. 17. About 45 children were boarders, housed in four rooms each designed to accommodate four children, but instead accommodating 8–10 children each. The non-boarding children lived with their families in or near the bag center, or were educated by non-formal or distance education means. The latter groups of children attended school when their families were within traveling distance, and otherwise studied at home, following lessons and exercises set by the teachers. 18. The school is the mainstay of the bag economy, employing five teachers (including the school principal), one bookkeeper, three heating workers, two dormitory supervisors, one cook and two cleaners—a total of 14 people with a teacher-pupil ratio of 1:15, and an overall staff-student ratio of close to 1:5. The annual cost per student was T84,000 (approximately $75) according to the principal, which means that the school’s recurrent annual operating cost was around $5,550, which appears too low for the situation observed, and is assumed therefore to be exclusive of wages and salaries. The Ministry of Education, Culture, and Science (MECS) has a complicated system of funding primary and secondary education services—financial allocation to each province is based on staff, wages, and enrolments.7 19. The teachers considered themselves, the students, and the school comparatively fortunate. Most similar bag schools have closed. Their school had survived because of the strong support of the local community, and because it was only about 50 kilometers from the aimag town center. The oldest teacher said that conditions at the school in the past 8 years had been better than anything she had experienced in 20 years of teaching. The school indirectly supported about 10 households in the bag center. If there was no local community in the sub-center, no teachers would serve there.

6 The school also had a two-way radio, but there was no radio to communicate with in another location. 7 Batchimeg, et. al. 2004. Analysis Made with Respect to the Management, Financing and Budget Performance in

the Area of Education. Study Report 2000–2004. Ulaanbaatar (translated from Mongolian).

82

Appendix 11

D. A Future-Oriented Strategy 20. The strategies underlying the ESDP and the Second Education Development Project8 (addressing urgent short-term physical needs through school renovations) and the Third Education Development Project9 (improving the quality of instruction) are important. The question is how ADB and other donors might best assist the Government to effectively serve the large numbers of people experiencing these socially painful changes.10 Donor and government consensus, and donor coordination and harmonization of assistance programs are needed to develop and support distinct future-oriented urban and rural education strategies 21. The strategy for urban educational development should focus on the replacement of old school buildings with large durable, modern, energy-efficient new school buildings, on the understanding that there will be further consolidation of school management (following the ESDP complex school model). The development focus should be on Ulaanbaatar and selected aimag canters where the population and economy is growing and is likely to continue to grow long term. 22. In rural aimag, soum, and bag, future investment should be on the provision of high-quality kindergarten and primary education, distance education and improved communication technology, teacher-manager incentives, and supportive mobile services, with less emphasis on school buildings and more emphasis on home-based education. This would provide the flexibility needed in a rapidly changing pastoral economy, and would avoid the psychologically undesirable necessity of sending the children of nomadic herders aged less than 9 years to boarding schools. Schools and boarding dormitories for secondary students should be selectively renovated depending on the cost efficiency of the educational services in relation to current and projected population trends.

8 ADB. 2002. Report and Recommendation of the President to the Board of Directors on a Proposed Loan to

Mongolia for the Second Education Development Project. Manila (Loan 1908-MON(SF), for $14 million, approved on 6 August 2002).

9 ADB. 2006. Report and Recommendation of the President to the Board of Directors on a Proposed Loan and Technical Assistance Grant to Mongolia for the Third Education Development Project. Manila (Loan 2238-MON(SF), for $13 million, approved on 21 June 2006).

10 An additional challenge is helping Mongolians adjust to the inevitable transition from a system of social relations produced by the conditions of small-scale herding to an urban way of life based on large-scale production and publicly trusted but impersonal institutions. In classical sociological theory, the symptoms of such transition are termed anomie, a distressing break-down in normative values and social relations, typical of societies undergoing mass transition to from small- to large-scale organization. These symptoms are very evident in Mongolia today.

Table A11.1: Resident Population, Number of Households, Schools, Students, and Cost

By Education Administration Region, 2004

Education Administration Region

Resident Population

% Urban

Number of Students

Number of Schools

Average Number of

School Students

Current

Costs Per Pupil (MNT)

Number of Boarding School

Children

Cost of Boarders

per School (MNT)

Total Current Costs (MNT)

Western Region 495,400 28.0 116,193 179 649 130.6 16,815 77.7 15,170,074Eastern Region 201,500 39.2 45,189

66 685 124.3 3,459 102.0 5,615,088Southern Region 161,500 35.8 34,726 60 579 140.8 3,370 112.1 4,890,259Central Region 357,800 18.9 74,613 116 643 129.8 9,222 97.0 9,686,181Northern Region 388,400 58.3 93,398

108 865 120.2 5,720

96.3 11,225,663

Ulaanbaatar 928,500 100.0 182,725

163 1,121 101.2 1,105

35.6 18,487,777

Total 2,533,100 59.1 546,844 692 790 119.0 39,691 88.7 65,075,042

Source: Summarized from data provided by the Ministry of Education, Culture and Science. 2005.

Appendix 11 83

84 Appendix 11

Table A11.2: Resident Population, Number of Households, Schools, Students, and Cost by Province, 2004

Province, Capital City

Resident Population

% Urban

Number of

Schools

Number of

Students or Pupils

Average Number

of School

Children

Number of

Boarding School

Children

Total Current Costs

Current Costs

Per Pupil

Fixed Costs

Fixed Costs

Per School

Meals Cost

Costs of Children

Per Boarding School

Variable Costs

Unit Variable

Cost Bayan-Ulgii 101,200 30.2 37 23,019 622 4,044 2,957,737 128.5 554,799 14,995 292,396 72 2,110,542 92Bayanhongor

Southern Region

83,800 27.6 28 19,293 689 2,141 2,300,221 119.2 437,599 15,629 213,128 100 1,649,494 86Gobi-Altai 60,900 29.5 28 14,342 512 3,153 2,296,816 160.1 696,650 24,880 266,393 85 1,333,773 93Zavhan 80,700 19.9 33 18,015 546 3,057 2,506,684 139.1 393,488 11,924 151,242 50 1,961,954 109Uvs 81,000 27.6 30 20,258 675 2,703 2,561,716 126.5 461,491 15,383 237,380 88 1,862,845 92Hovd 87,800 32.6 23 21,266 925 1,717 2,546,899 119.8 569,332 24,754 145,572 85 1,831,995 86

Western Region

495,400 28.0 179 116,193 649 16,815 15,170,074 130.6 3,113,359 17,393 1,306,111 78 10,750,603 93

Dornod 73,700 50.5 25 16,983 679 885 1,969,202 116.0 316,830 12,673 109,431 124 1,542,941 91Hentiy 71,200 42.3 26 15,814 608 1,375 1,889,155 119.5 436,027 16,770 114,892 84 1,338,236 85Suhbaatar 56,600 20.7 15 12,392 826 1,199 1,756,730 141.8 513,406 34,227 128,531 107 1,114,793 90

Eastern Region

201,500 39.2 66 45,189 685 3,459 5,615,088 124.3 1,266,263 19,186 352,855 102 3,995,970 88

Govisumber 12,300 58.5 5 2,898 580 43 434,385 149.9 142,253 28,451 5,642 131 286,491 99Dornogobi 52,500 52.3 19 11,140 586 709 1,523,050 136.7 463,255 24,382 87,462 123 972,334 87Dundgovi 49,900 19.9 19 10,109 532 1,059 1,292,111 127.8 255,399 13,442 104,202 98 932,511 92Umnugobi 46,800 28.4 17 10,579 622 1,559 1,640,713 155.1 369,131 21,714 180,307 116 1,091,275 103

161,500 35.8 60 34,726 579 3,370 4,890,259 140.8 1,230,036 20,501 377,612 112 3,282,611 95

Arhangay 94,900 18.6 34 20,435 601 2,627 2,498,121 122.2 512,761 15,081 288,771 110 1,696,590 83Bulgan 60,800 26.3 24 12,499 521 1,878 1,835,567 146.9 433,682 18,070 193,863 103 1,208,022 97Uvurkhangai 113,200 18.3 28 23,384 835 2,943 2,724,664 116.5 485,437 17,337 255,634 87 1,983,593 85Tuv 88,900 15.1 30 18,295 610 1,774 2,627,830 143.6 807,740 26,925 156,308 88 1,663,781 91

Central Region

357,800 18.9 116 74,613 643 9,222 9,686,181 129.8 2,239,620 19,307 894,575 97 6,551,986 88

Selenge 100,800 49.3 34 22,777 670 1,019 3,171,337 139.2 1,005,276 29,567 99,532 98 2,066,529 91Khuvsgul 121,400 28.7 32 26,535 829 3,979 3,186,065 120.1 490,991 15,344 384,630 97 2,310,444 87

Appendix 11

85

Province, Capital City

Resident Population

% Urban

Number of

Schools

Number of

Students or Pupils

Average Number

of School

Children

Number of

Boarding School

Children

Total Current Costs

Current Costs

Per Pupil

Fixed Costs

Fixed Costs

Per School

Meals Cost

Costs of Children

Per Boarding School

Variable Costs

Unit Variable

Cost Darhan-Uul 87,800 80.1 25 22,161 886 531 2,435,454 109.9 445,313 17,813 48,101 91 1,942,040 88Orhon

78,400 91.3 17 21,925 1,290 191 2,432,808 111.0 415,371 24,434 18,583 97 1,998,853 91Northern

Region 388,400 58.3 108 93,398 865 5,720 11,225,663 120.2 2,356,950 21,824 550,847 96 8,317,866 89

Ulaanbaatar 928,500 100.0 163 182,725 1,121 1,105 18,487,777 101.2 3,077,643 18,881 39,367 36 15,370,767 84

Total 2,533,100 59.1 692 546,844 790 39,691 65,075,042 119.0 13,283,872 19,196 3,521,367 89 48,269,803 88

Source: Batchimeg, et. al. 2004. Analysis Made with Respect to the Management, Financing and Budget Performance in the Area of Education. Study Report 2000–2004. Ulaanbaatar (translated from Mongolian).

86 Appendix 12

UNIVERSITIES, INSTITUTIONS OF HIGHER EDUCATION, AND COLLEGES, BY LOCATION

Academic Year 2000–2001 2001–2002 2002–2003 2003–2004 2004–2005

Locations Locations Locations Locations Locations

Item

Total Ulaanbaatar Aimag

Total Ulaanbaatar Aimag

Total Ulaanbaatar Aimag

Total Ulaanbaatar Aimag

Total Ulaanbaatar Aimag

Number of Universities, Higher Educational Institutions and Colleges

172 135 37 178 135 43 185 143 42 183 141 42 184 142 42

State

38 25 13 41 23 18 42 23 19 48 28 20 49 28 21

Private

134 110 24 130 105 25 136 114 22 128 107 21 129 109 20

Of w

hich

,

Foreign School Branches

0 0 0 7 7 0 7 6 1 7 6 1 6 5 1

Source: Davaa, et. al. 2005. Report of Higher Education Study Team for the Second Education Master Plan. Ulaanbaatar.