Millennium Challenge Corporation

Agency Overview

MCC’s mandate is to promote poverty reduction through economic growth in well-performing, poor countries. MCC partners with countries committed to good governance, economic freedom and investing in their people. MCC grants complement other U.S. and international development programs. There are two primary types of MCC grants: compacts and threshold programs. Compacts are large, five-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 firmly committed to improving their policy performance. Under Compact programs, MCC asks partner countries to take the lead in identifying and implementing investments that address binding constraints to growth and have good returns in term of poverty reduction. Under both programs, MCC applies a rigorous and transparent approach to measuring results. MCC is managed by a chief executive officer, who is part of the nine-member Board of Directors. The Secretary of State, the Secretary of the Treasury, the U.S. Trade Representative, and the USAID Administrator serve on the board along with four private sector representatives.

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Millennium Challenge Corporation Data

U.S. government agencies are adding data to ForeignAssistance.gov quarterly to comply with the Foreign Aid Transparency and Accountability Act of 2016. Each agency is required by law to report at FY2015 as the minimum base year.

Planned Funding By Fiscal Year | MCC

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Obligated Funding By Fiscal Year | MCC

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Spent Funding By Fiscal Year | MCC

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Transaction Data | MCC

Transaction data represents every individual financial record in an agency’s accounting system that has been processed in the given time period for program work with implementing partners and other administrative expenses. The data shown in the planned, obligated, and spent tabs represents the same financial data at a higher level of aggregation (by country and sector only), thus this data is called Aggregated data.

The transaction data shows the same financial data at a more granular level. Each data record - or financial transaction - contains qualitative data fields, including descriptive titles, vendor names, and location, along with the financial data. Thus, the transaction data is called Disaggregated data.

This data set will continue to be updated in accordance with Office of Management and Budget (OMB) Bulletin 12-01.

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Frequently Asked Questions | MCC

What is MCC?

The Millennium Challenge Corporation (MCC) is an innovative and independent U.S. foreign aid agency that is helping lead the fight against global poverty.

When was MCC created?

Created by the U.S. Congress in January 2004 with strong bipartisan support, MCC is changing the conversation on how best to deliver smart U.S. foreign assistance by focusing on good policies, country ownership, and results.

What does MCC do?

MCC provides well-performing countries with large-scale grants to fund country-led solutions for reducing poverty through sustainable economic growth. MCC grants complement other U.S. and international development programs. There are two primary types of MCC grants: compacts and threshold programs.

  • Compacts are large, five-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 firmly committed to improving their policy performance.

How is MCC governed?

MCC is managed by a chief executive officer, who is part of the nine-member Board of Directors. The Secretary of State, the Secretary of the Treasury, the U.S. Trade Representative, and the USAID Administrator serve on the board along with four private sector representatives.

What is distinctive about MCC?

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

  • Competitive selection: Before a country can become eligible to receive assistance, MCC’s Board examines its performance on 17 independent and transparent policy indicators and selects compact-eligible 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 teams then work in close partnership to help countries refine a program.
  • Country-led implementation: MCC administers the Millennium Challenge Account (MCA). When a country is awarded a compact, it sets up its own local MCA accountable entity to manage and oversee all aspects of implementation. Monitoring of funds is rigorous and transparent, often through independent fiscal agents.

What is MCC achieving?

MCC has approved over $7.4 billion in compact and threshold programs worldwide that support country-determined projects in such sectors as:

  • agriculture and irrigation,
  • transportation (roads, bridges, ports),
  • water supply and sanitation,
  • access to health,
  • finance and enterprise development,
  • anticorruption initiatives,
  • land rights and access,
  • access to education.

The aggressive implementation of compacts and threshold programs is promoting growth opportunities, opening markets, raising the standard of living, and creating a more prosperous future for some of the world’s poorest people:

  • More than 87,000 farmers have been trained and more than 12,000 hectares of land are under production.
  • More than 3,362 kilometers of roads are under design, and road construction is underway.
  • Over $29 million has been disbursed in agricultural loans.

How does MCC plan for its fiscal year appropriations?

MCC’s planning process begins with determining whether a country is eligible to enter into a multi-year threshold or compact program (see glossary for definitions). MCC’s selection process takes into consideration the number of countries meeting eligibility criteria and follows a four step process: identify candidate countries; publish criteria and methodology process; issue country scorecards; and select countries.

Explore MCC Distributions on a Map