MCC team on evaluation visit to finalise $ 480 m grant

Saturday, 2 March 2019 00:45 - - {{hitsCtrl.values.hits}}

A delegation from the US Government’s Millennium Challenge Corporation (MCC), led by Managing Director for Europe, Asia, Pacific, and Latin America Caroline Nguyen and Managing Director for Selection, Eligibility, and Policy Performance Daniel Barnes, visited Sri Lanka this week to gather information and assess the current situation.

Over the last two years, MCC and the Government have worked to develop the proposed MCC Sri Lanka Compact – a large-scale five-year grant program designed to promote economic growth. The grant is expected to be about $480 million and concentrate on a range of projects including transport. The grant was expected to be given in December but was suspended following the Constitutional crisis. Negotiations to resume the grant program was restarted after the Supreme Court ruling in December.

The MCC Board of Directors selected Sri Lanka for a new MCC compact in December 2016 to encourage economic growth and reduce poverty.

“MCC has been monitoring developments in Sri Lanka over the last few months. This visit is an opportunity to engage with senior Government officials, the private sector and civil society to understand their perspectives about the current situation and Sri Lanka’s commitment to the proposed MCC compact and to MCC’s eligibility criteria,” said Nguyen. “Our conversations will inform deliberations by the MCC Board of Directors.”

Before the proposed compact can move forward, MCC’s Board of Directors must review and approve the program, as it does with all compacts.

The proposed MCC Sri Lanka Compact is designed to spur economic growth and would invest in projects in the transport and land sectors. MCC expects all of its country partners to remain committed to democratic governance, which includes respect for the rule of law, political rights and civil liberties for all.

MCC is an innovative foreign assistance agency of the United States Government established in 2004 that has signed compacts with over 30 countries around the world.