The Millennium Challenge Corporation (MCC) released its interim environmental guidelines for public comment. The guidelines describe the MCC's environmental review process. The interim guidelines are open to public comment for 90 days beginning March 4, 2005. (click here to download)
The Millennium Challenge
Corporation (MCC) administers the Millennium Challenge Account (MCA). When he
announced the Millennium Challenge Account in March 2002, US President Bush
proposed a new "global development compact" in which "greater
contributions from developed nations must be linked to greater responsibility
from developing nations." In January 2004 Congress approved legislation
providing MCA $1 billion in FY 2004. The President's request for the MCA in
FY 2005 was $2.5 billion, of which Congress appropriated $1.5 billion.
MCC annually assesses country's overall performance in relation to three broad
policy categories: Ruling Justly, Encouraging Economic Freedom, and Investing
in People. MCC relied on 16 indicators to assess policy performance as the predominant
basis for determining which countries would be eligible for assistance through
Millennium Challenge Account (MCA). Countries should focus on improving performance
on political, economic, and social policies that are fundamental for countries
to grow and for citizens to escape from poverty and to lead better lives.
The list of eligible countries for 2005 assistance includes, inter alia, Armenia,
Georgia, Mongolia and Morocco. Morocco
is the only new country in the list. Other countries were eligible for 2004
assistance as well.
The MCA aimed to achieve economic growth and reduce poverty. Examples of areas
that are directly tied to a country's productivity and economic growth include
agricultural development, education, enterprise and private sector development,
governance, health, and trade capacity building. However, these categories are
meant to be illustrative, not exclusive. Because country ownership is a hallmark
of the MCA, decisions on specific MCA investments will be made on a country-by-country
basis and will fit within each country's overall growth and poverty reduction
strategy.
SPDC monitors the process of preparation country's compacts particularly from
civil participation perspective and will monitor the implementation of compacts.