WASHINGTON – The Millennium Challenge Corp. (MCC) reviewed its compacts in development with the Philippines, Jordan, Malawi, Moldova and Senegal but gave no indication if these countries were moving closer to getting substantial US aid.
The MCC Board of Directors at its quarterly meeting last week, the first chaired by Secretary of State Hillary Rodham Clinton and attended by new Board member Secretary of the Treasury Timothy Geith-ner, also discussed the compact development process for Colombia, Indone-sia, and Zambia, three new countries selected by the Board in December as eligible for MCC compact assistance.
In a press statement, the board expressed concern about governance issues in Armenia and Nicaragua and said it would convene an extraordinary interim review session prior to its June meeting to assess its partnerships with both countries.
The Philippines had hoped to be selected last December as eligible for large-scale grant funding under the US government’s innovative foreign assistance program, but a failing grade in “control of corruption” delayed its selection.
MCC said it would not sign a compact until the Philippines passed the indicator criteria on corruption.
It said the country would remain eligible for developing a compact proposal in fiscal year 2009.
In addition to the Philippines, MCC said Jordan, Malawi, Moldova and Senegal were reselected to continue the process of developing compacts in fiscal year 2009.
The Philippines is reported to have proposed projects worth $750 million focused on community/road infrastructure, fiscal governance, social safety net program, fiscal revenue enhancement and agricultural access to water.
Since its inception in 2004, MCC has approved compacts totaling over $6.3 billion with 18 countries.