Press Release

President Obama Requests $1.125 Billion for MCC to Continue Innovative Approach to Development Assistance

For Immediate Release

February 15, 2011

Washington, D.C. —U.S. President Barack Obama today delivered his Fiscal Year 2012 budget proposal to Congress, including $1.125 billion for the Millennium Challenge Corporation (MCC) to continue its mission to reduce poverty through economic growth.

Since it was established with strong bipartisan support in 2004, MCC has partnered with 22 countries on large-scale poverty reduction programs, helping to put them on the road to self-sufficiency, while prioritizing the fight against corruption and holding countries accountable for results.

"In these difficult budgetary times, it is more important than ever to ensure that American taxpayer dollars are being used efficiently,” stated MCC CEO Daniel Yohannes.  "Our goal is not only to help poor countries rise out of poverty, but also to create stable trading and investment partners for the United States, which will strengthen the American economy and keep our nation more secure. MCC is committed to ensuring that American taxpayers are getting a strong return on their development investments, and this budget request shows the importance of that to this Administration.”

In addition to continuing its work with partner nations around the globe, MCC anticipates partnering with six eligible countries in fiscal years 2011 and 2012: Indonesia, Malawi, Zambia, Cape Verde, Ghana, and Georgia.  Together these countries account for over four percent of the world’s population and over six percent of those living under $2 a day. These nations have been selected as MCC partners because their sound policies provide a solid foundation for growth and measurable development results, and they present real opportunities to bolster American interests by providing tangible assistance for poverty reduction through economic growth in Africa and Asia.

MCC continues to make significant contributions to President Obama’s foreign policy priorities, including promoting global stability through development and supporting new aid initiatives such as food security and fiscal transparency.  Lessons learned from MCC over the last seven years made important contributions to the 2010 Presidential Policy Directive (PPD) on Global Development Policy, and MCC will be an integral part of implementing the PPD’s focus on economic growth, selectivity, country-led planning, transparency, and accountability for results.

MCC’s FY2012 Congressional Budget Justification can be found here.

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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.