September 12, 2007
MCC Approves $285 million Grant To Create Economic Growth in Mongolia
Washington, D.C. The Board of Directors of the Millennium Challenge Corporation today approved a five-year, nearly $285 million Millennium Challenge Compact with Mongolia to reduce poverty there though economic growth.
The Compact with Mongolia will invest in improving the efficiency and capacity of the countrys critical rail system, the backbone of Mongolias economy. MCC is also working with Mongolia to improve the ability of Mongolians to register and obtain clear title to their land, reform the vocational education system to meet the demands of the market, and improve the health and well-being of the labor force by reducing non-communicable diseases and injuries.
I congratulate the people and government of Mongolia, Ambassador John Danilovich, MCCs CEO said. They have made a tremendous effort to make this Compact a reality. We are excited to partner with them to accelerate Mongolias economic growth.
Our partnership with Mongolia will have a significant impact on Mongolians living in poverty by enabling them to take advantage of the opportunities created by the MCC Compact, particularly in the transportation, land, education, and health sectors, Ambassador Danilovich said.
The rail and health projects, for instance, are expected to have economy-wide impact. In addition, the Health, Vocational Education and Property Rights Projects of the Compact are expected to reach over 1.5 million direct beneficiaries.
With the approval of Mongolias Compact, MCC now has compacts with 15 partner countries in Africa, Central America, Eurasia and the Pacific, totaling nearly $4.9 billion.
Millennium Challenge Corporation is a U.S. government agency designed to work with some of the poorest countries in the world, is based on the principle that aid is most effective when it reinforces good governance, economic freedom, and investments in people that promote economic growth and elimination of extreme poverty.