November 11, 2008
Additional MCC Poverty Reduction Funding for Georgia Approved
$100 million supplemental funding will support economic development
Washington, D.C. Millennium Challenge Corporation (MCC) Chief Executive Officer Ambassador John Danilovich today announced the MCC Board of Directors approval of an amendment that adds up to an additional $100 million in development assistance to the $295 million compact between MCC and Georgia, which entered into force on April 7, 2006. The additional funding will be used to complement existing activities under the compact.
The approved new funding will support enhancements to compact activities, including rehabilitation of roads linking Georgia with Armenia and Turkey, water supply and waste water projects outside Tbilisi and priority energy sector studies. This funding will further reinforce Georgias economic growth and improve basic access to services and markets for hundreds of thousands of Georgias poor. The funding will be administered in accordance with the existing compact framework.
Since April 2006, the Millennium Challenge Georgia Fund, the Georgian entity designated by the Georgian government, has been implementing the agribusiness, regional development, municipal infrastructure and energy projects funded by the MCC compact. MCC continues to coordinate closely with the Millennium Challenge Georgia Fund and with a broad range of other United States government assistance programs that support economic development in Georgia.
More information regarding the additional MCC funds committed to poverty reduction in Georgia is available at: http://www.mcc.gov/countries/georgia/documents.php.
Millennium Challenge Corporation, a U.S. government agency designed to work with developing countries, is based on the principle that aid is most effective when it reinforces sound political, economic, and social policies that promote poverty reduction through economic growth. For more information, please visit www.mcc.gov.