About Millennium Challenge Corporation:
- MCC is an independent S. foreign assistance agency that has the goal of reducing poverty in developing countries.
- It was created by the S. Congress in 2004 to promote economic growth, open markets, and increased living standards in select countries.
- How does it work?
- MCC forms partnerships with countries that are committed to good governance, economic freedom and investing in their citizens.
- MCC provides selected countries with large-scale grants to fund projects for reducing poverty through sustainable economic growth.
- These projects include building infrastructure, reforming institutions, and promoting access to healthcare and education.
- MCC grants may complement other U.S. and international development programs.
- MCC utilises two primary types of grants: compacts and threshold programs.
- Compacts are large, 5-year grants for countries that pass MCC’s eligibility criteria.
- Threshold Programs are smaller grants awarded to countries that come close to passing these criteria and are committed to improving their policy performance.
- Governing Body: The U.S. Secretary of State, the Secretary of the Treasury, the U.S. Trade Representative, and the USAID Administrator serve on the MCC board along with four private sector representatives.
