Growing Your Business through MCC’s Investments
The Millennium Challenge Corporation is an independent federal agency dedicated to reducing global poverty through economic growth. It forms partnerships with a select group of poor but well-governed countries, focusing on rigorous economic analysis, pro-business policies, and tangible results.
To achieve its mission, MCC relies on the private sector and nongovernmental organizations to implement its programs overseas and provide support at its headquarters in Washington. MCC practices fair, open and transparent procurements to achieve the greatest return on investment. And MCC actively engages American companies to increase awareness of investment opportunities in its partner countries.
What does this mean for businesses?
Investing in MCC’s partner countries
Overseas procurements help provide opportunities for companies to invest in some of the world’s fastest-growing economies with track records of political and economic stability. MCC competitively selects its partner countries by examining 20 independent and transparent policy indicators such as access to credit, business start-up, fiscal policy, trade policies, and inflation rates.
All MCC-funded programs are government-to-government grants—either five-year compacts or smaller, shorter-duration Threshold Programs. After selection, partner countries rigorously analyze their constraints to economic growth and poverty reduction, identify their priorities and design programs for tackling those constraints, all with oversight and assistance from MCC.
MCC overseas procurements are subject to open, transparent and fair competition, and government-owned enterprises are prohibited from bidding on MCC contracts. MCC adopted this approach to maximize value to the American taxpayer and ensure that its projects can provide the greatest impact.
MCC’s compacts and Threshold Programs
When a country is awarded a compact, it creates a local organization called a Millennium Challenge Account (MCA) entity to manage and oversee all aspects of implementation, including procurements. MCC compact grants have ranged in value from $60 million to $698 million. Monitoring of funds is rigorous, transparent and generally managed through independent fiscal agents. Funds are disbursed directly from the U.S. Government to the contractor.
Based on a country’s specific compact, MCAs solicit, award and administer procurements of:
- Goods, including heavy equipment or information technology systems.
- Works, including roads, ports, irrigation systems, or power infrastructure.
- Consultant services, including technical expertise for program design, policy advice, institutional reforms, management, engineering services, construction supervision, social and environmental studies, financial and procurement services, and impact evaluations, as well as non-consultant services, which are often physically demanding in nature.
Through Threshold Programs, MCC helps partner countries in their efforts to become compact-eligible by supporting targeted policy and institutional reforms, as well as providing partner countries an opportunity to demonstrate their capacity and political will to make difficult policy reforms. Threshold Program grants generally range from $10 million to $20 million.
Based on a country’s specific Threshold Program development and implementation needs, MCC solicits awards and administers procurements of:
- Consultant services, including technical expertise for sector analyses, program design, advice on policy and institutional reforms, program management, financial and procurement services, and impact evaluations.
Achieving MCC’s mission at home
MCC corporate contracts are procured through its Washington headquarters and provide for supplies and services for operations (such as information technology, finance, contracts, human resources, security, and facility services), as well as professional and technical support for program development, independent engineering oversight, monitoring and evaluation, and legal services. Performance can occur in Washington, other parts of the United States or in a partner country.
These procurements are conducted according to the U.S. Federal Acquisition Regulation (FAR). Contracts are awarded to independent consultants, personal service contractors and firms. MCC adheres to all applicable FAR socioeconomic requirements and establishes and achieves annual small business goals.
Resources to compete
MCA compact procurement opportunities are governed by the MCC Program Procurement Guidelines and are posted on every partner country’s MCA website as well as DG Market (mcc.dgmarket.com), U.N. Development Business (www.devbusiness.com) and MCC’s website (www.mcc.gov/doingbusiness).
MCC procurement opportunities are announced on. MCC posts all known procurement opportunities on its website at the beginning of each fiscal year, followed-up by a mid-year update in April. MCC’s annual procurement forecast can be found at .