October 22, 2007
U.S. and Mongolia Sign $285 million Compact To Reduce Poverty through Economic Growth
President Bush signs agreement with President of Mongolia Nambaryn Enkhbayar
Washington, D.C. — The Millennium Challenge Corporation today signed a five-year, nearly $285 million, foreign assistance package with Mongolia designed to reduce poverty by stimulating economic growth. The ceremony took place in the White House’s Roosevelt Room and was the agreement was signed by President George W. Bush and President Nambaryn Enkhbayar of Mongolia.
“The Millennium Challenge Account is an important part of our foreign policy. It’s an opportunity for the United States and our taxpayers to help countries that fight corruption, that support market-based economies, and that invest in the health and education of their people,” President Bush said before signing the Compact. “The Millennium Challenge Compact encourages countries to make a firm commitment to basic principles, principles that mean the government will listen to their people and respond to the needs of the people.”
“Mongolia has worked with MCC to develop a strong program that will reduce poverty in a meaningful and sustained way,” Ambassador John Danilovich, MCC’s CEO said. “The goal is to increase economic opportunities for the poorest Mongolians and our $285 million Compact will do exactly that by focusing on transportation, property rights, education and health.”
Mongolian President Enkhbayar said “Approval of the MCC Compact agreement with Mongolia by its Board of Directors was one of the most significant events of Mongolia’s foreign affairs of this year. All Mongolian people are excited about the signing of the agreement and its subsequent implementation”
MCC’s Compact with Mongolia will invest in improving the efficiency and capacity of the country’s critical rail system, the backbone of Mongolia’s 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.
“Mongolia also appreciates and upholds the principle of aid with accountability and ownership advocated by the government of the United States,” President Enkhbayar said at the Compact’s signing.
“I congratulate the incredible efforts of the government and the people of Mongolia who have worked with diligence and determination to reach this point, and look forward to building on this dynamic partnership as we move ahead to implement our agreement,” Ambassador Danilovich said.
MCC now has signed 15 Compacts with partner countries, totaling nearly $4.9 billion, in Africa, Central America, Eurasia and the Pacific.
For more information about MCC or the Compact with the Government of Mongolia, please visit www.mcc.gov
Millennium Challenge Corporation is a U.S. government agency designed to work with some of the poorest countries in the world and is based on the principle that aid is most effective when it reinforces good governance, economic freedom, and investments in people.