MCC is devoting unprecedented resources to help partner countries in Africa transform the lives of the poor and catalyze long-lasting economic growth. The continent of Africa is the largest recipient of MCC development assistance, with the majority of MCC investments focusing on underfunded areas of development – like roads, bridges, ports, electricity, and other large-scale infrastructure projects – that enable long-term growth and reduce poverty.
With some of the world’s fastest growing economies, Africa is on the rise, and MCC is helping the continent’s best-governed poor countries seize economic opportunities.
Since MCC’s creation in 2004, 22 of the agency’s 33 signed compacts – totaling $7.9 billion – have been in Africa through partnership agreements to fund specific programs and interventions targeted at reducing poverty and stimulating economic growth. MCC and its partner countries study the binding constraints to economic growth and design a five-year investment to ease those constraints and encourage private investment.
As part of the threshold program, MCC has invested another $225 million in Africa through 11 of its 26 threshold program partnerships. Threshold programs are smaller grants awarded to countries that may not qualify for compact funding but are firmly committed to improving policy performance.
MCC’s investments in Africa have provided:
- 656,000 people with improved access to clean water
- 192,000 farmers with training or improved farming techniques
- 291,000 households and commercial entities with legal protections for their land
Women on a Mission—a new podcast series from MCC—features episodes with Sophia Mohapi, CEO of MCA-Lesotho and Pamela Bwalya, MCA CEO-Zambia.
Through its compacts in partner countries, MCC has committed approximately $1.5 billion to support Power Africa, the U.S. Government's effort to double access to electricity in sub-Saharan Africa.
MCC has obligated nearly $3 billion for trade capacity building in AGOA countries on infrastructure like roads and power, on upping productivity of small and medium-size businesses and export-heavy sectors, and leveraging policy and regulatory reforms.
Countries in Africa with MCC Programs
MCC helped increase access to markets, land, justice, and financial services, including a major modernization of the Port of Cotonou that reduced port costs, shortened wait times and boosted traffic at the regional commercial hub.
The MCC of Directors approved a $375-million, power-sector-focused compact with Benin. The compact includes MCC's largest power generation project, its largest investment in solar power and its largest off-grid electrification project.
MCC strengthened agricultural infrastructure and water-management techniques, assisted in rural land ownership reform, linked markets through improved roads, and ensured more girls complete primary school.
The program was designed to assist Burkina Faso to improve performance on girls’ primary education completion indicator by focusing on improving both quality of and access to education for girls in the 10 lowest-performing provinces in the country.
MCC helped integrate internal markets and reduce transportation costs by upgrading Cape Verde's infrastructure, including modernization of the Port of Praia. MCC also helped link businesses to credit markets and promoted drip irrigation.
This five-year compact with Cape Verde is intended to increase household incomes by reforming two sectors identified as current constraints to economic growth: the water and sanitation sector and the land management sector.
In December 2015, the MCC Board of Directors selected Côte d'Ivoire as eligible to develop a compact.
The Ghana Compact is designed to raise farmer incomes through private sector-led agribusiness development. Projects aim to strengthen production, help move goods to market more efficiently and improve farm communities and farmers' livelihoods.
MCC's $498.2 million compact with Ghana will fight poverty by transforming the country's energy sector. The five-year compact, the largest U.S. Government transaction under Power Africa, is expected to stimulate billions of dollars in private energy investment.
The program focused on reducing public-sector corruption by overhauling the public procurement system, with a specific concentration on health care procurements throughout the supply chain.
MCC's investments will increase the availability of water for household and industrial use, test watershed management and conservation methods, rehabilitate health infrastructure and strengthen health systems, and remove barriers to investment.
Lesotho has been selected to develop a second five-year Compact with funding from MCC. The objective of the Compact is to unlock private sector-driven, equitable and sustainable economic growth by loosening key constraints in the economy.
The $257 million Liberia Compact aims to encourage economic growth and reduce poverty in Liberia by focusing on the inadequate road infrastructure and access to reliable and affordable electricity in the country.
The program focuses on improving land rights and access, increasing girls’ primary education enrollment and retention and improving Liberia’s trade policy and practices.
The compact sought to assist the rural population’s transition from subsistence agriculture to a market economy by helping beneficiaries secure formal property rights, access credit and receive training in agricultural production, management and marketing.
The compact will revitalize Malawi’s power sector by upgrading electricity infrastructure and improving the performance of key institutions, reducing energy costs and increasing access to power to businesses and households, and enhancing productivity and employ
The program sought to reduce opportunities for corruption and strengthen the government’s ability to manage and monitor its finances. It supported independent oversight institutions and systems of enforcement and deterrence.
The Mali Compact serves as a catalyst for sustainable economic growth through investments that capitalize on two of Malis major assets: the Bamako Senou Airport, a regional gateway for trade, and the Niger River, with its potential for agricultural production.
The compact will increase productivity and improve employment in high-growth sectors like fruit tree productivity, fisheries and artisan crafts. Financial services investments and enterprise support will complement small business creation and economic growth.
MCC and the Government of Morocco are partnering to implement a $450 million compact to address two major constraints to economic growth – education quality and land productivity.
MCC sought to increase productivity, income generation and poverty reduction in the northern provinces of Mozambique by improving water and sanitation, roads, land tenure, and agriculture.
The Namibian Compact aims to increase the competence of the Namibian workforce through knowledge and skills, as well as to increase the productivity of agricultural and nonagricultural enterprises in rural areas.
MCC’s $437 million compact with the Government of Niger will address access to water for agriculture and livestock, trade barriers, and government regulation of business.
Niger’s threshold program is designed to assist Niger improve its performance on the policy areas measured by the Control of Corruption, Land Rights, Business Start-Up and Girls’ Primary School Education indicators used on MCC’s scorecard.
The program supported the Rwandan government’s efforts to strengthen civic participation, promote civil liberties and rights and improve the judicial system. The program was designed to complement and reinforce Rwanda’s own reform efforts.
The program helped the Government of São Tomé and Príncipe increase revenue through improved tax and customs administration and enforcement. The program also helped streamline business registration procedures.
MCC aims to unlock the country’s agricultural productivity and expanding access to markets and services through critical infrastructure improvements in the Senegal River Valley and the Casamance region.
In December 2015, the MCC Board of Directors selected Senegal as eligible to develop a second compact.
MCC and the Government of Sierra Leone are partnering to implement a $44.4 million threshold program to improve access to clean water and reliable electricity, and to support reforms designed to limit opportunities for corruption.
MCC's $698.1 million Tanzania Compact, completed in 2013, was designed to benefit more than five million people by investing in the country through targeted infrastructure improvement projects in transportation, energy and water.
In 2012, MCC's Board of Directors selected Tanzania to develop a compact. On March 28, 2016, MCC’s Board of Directors voted to suspend MCC’s partnership with Tanzania.
The program helped the Tanzanian government reduce public corruption through a multi-pronged approach that increased civil society engagement, strengthened the rule of law and supported institutional reforms.
In December 2015, the MCC Board of Directors selected Togo as eligible to develop a threshold program.
The program focused on decreasing public-sector corruption, particularly in procurement. The program built capacity to allow for more effective follow-up of reported malpractice and to strengthen the role of civil society in monitoring corruption.
The Zambia compact invests in water supply, sanitation and drainage infrastructure with the goal of decreasing the incidence and prevalence of water-related disease, cost of water and new sanitation, and business and residential flood losses.
The program sought to improve performance on the control of corruption, government effectiveness and business startup indicators by combating administrative corruption and reducing administrative barriers to increased trade and investment.