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The Millennium Challenge Corporation (MCC) is an innovative and independent U.S. foreign assistance agency that is helping lead the fight against global poverty. Created by the U.S. Congress in 2004 with strong bipartisan support, MCC has changed the conversation on how best to deliver smart U.S. foreign assistance by focusing on good policies, country ownership and results.

MCC forms partnerships with developing countries who are committed to good governance, economic freedom and investing in their citizens.

MCC provides these well-performing countries with large-scale grants to fund countryled solutions for reducing poverty through sustainable economic growth. MCC grants are designed to complement other U.S. and international development programs, as well as create an enabling environment for private sector investment. There are three primary
types of MCC grants: compacts, threshold programs, and concurrent compacts for regional investment.

Compacts are five-year agreements between MCC and an eligible country to fund specific programs targeted at reducing poverty and stimulating economic growth. Threshold programs are smaller-scale grants awarded to countries that may not qualify for compact funding but are firmly committed to improving policy performance. In April 2018 the AGOA and MCA Modernization Act gave MCC the authority to enter into concurrent compacts to promote cross-border economic integration, trade and collaboration.

MCC is led by a Chief Executive Officer and is governed by a nine-member public private Board of Directors. The MCC Board is chaired by the Secretary of State and members include the Secretary of the Treasury, the U.S. Trade Representative, the USAID Administrator, MCC’s CEO and four private sector representatives.


MCC is a prime example of smart U.S. Government assistance in action, benefiting both developing countries and American taxpayers through:

Competitive selection: MCC’s Board examines a country’s performance on 20 independent and transparent policy indicators and selects countries based on policy performance.

Country-led solutions: MCC requires selected countries to identify their priorities for achieving sustainable economic growth and poverty reduction. Countries develop their MCC proposals in broad consultation within their society; MCC then works in close partnership to help countries refine programs.

Country-led implementation: When a country is awarded an MCC compact, it sets up a local accountable entity to manage and oversee all aspects of implementation. Monitoring of funds is rigorous, transparent and often managed through independent fiscal agents.

Focus on results: MCC is committed to producing results and ensuring that the American people are getting a good return on their investment. MCC employs technically rigorous, systematic and transparent methods of projecting, tracking and evaluating the impacts of its programs.


MCC has approved $13.3 billion in compacts and $631 million in threshold programs worldwide. These grants support projects in multiple sectors, including: agriculture and irrigation; finance and enterprise development; transportation infrastructure; anti- corruption initiatives; access to power; property rights and land policy; water supply and sanitation; access to education; and access to healthcare services. Results to date include: 404,477 farmers trained, 4,223 commercial and civic enterprises assisted and $87.1 million in agriculture and rural loans disbursed; 3,480 kilometers of roads completed; 233,403 students participating in MCC-funded educational activities; 5,063 instructors trained or certified through MCC-supported activities and 818 educational facilities constructed; and 1,191 water points constructed and 12,386 people trained in hygiene and sanitary best practices. MCC’s compacts and threshold programs are promoting growth opportunities, raising standards of living and creating a more prosperous future for some of the world’s poorest people. Learn more at


This translation is provided as a courtesy and only the original English source should be considered authoritative.
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