As part of efforts to develop the Gobi region into a hub for specialized industry and green energy, the Government of Mongolia announced plans to build a data center in Umnugobi aimag and introduce fiber optic connectivity to 13 key locations throughout the region. 
Developing the Gobi region into a specialized industrial zone and a sub-region for green energy requires the integrated improvement of energy, telecommunications, and digital development. Mongolia offers several advantages for such development, including abundant energy resources, favorable climate conditions, a strategic geographical location, and a relatively low risk of natural disasters. The Ministry of Digital Development and Communications of Mongolia emphasized the importance of leveraging these strengths to facilitate the international data center market and the emerging digital economy. 
The Ministry of Digital Development and Communications has identified several priority areas for action. These include updating the legal framework, creating a stable and investment-friendly environment for foreign-funded international data centers, and ensuring robust data protection and cybersecurity standards. Additionally, efforts will focus on promoting renewable energy-based infrastructure, offering green financing mechanisms, streamlining land allocation, and providing incentives such as energy and tax benefits. 
Additionally, Mongolia plans to approve a national strategy for data center development covering the period from 2025 to 2030. Moreover, public-private partnerships will play a key role, alongside active participation in developing regional cable infrastructure. 
Global demand for data centers is projected to grow at an average annual rate of 10-12 percent by 2030. As major international players increasingly seek regions with low-cost and stable energy sources, Mongolia is positioning itself as an emerging and competitive destination for data infrastructure investment. 
BY Amrida.G
g.amrida@montsame.gov.mn

Published Date:2025-05-14