MCC goes before Cabinet-sanctioned committee

• Four-member committee will study and make recommendations on $ 480 m MCC compact
• Cabinet decision by previous Govt. to ink agreement put on hold
• Committee to be chaired by Prof. Lalithasiri Gunaruwan

By Chandani Kirinde

The Cabinet on Wednesday gave its approval to a proposal by President Gotabaya Rajapaksa to put on hold the $ 480 million Millennium Challenge Corporation (MCC) Compact and entrust a four-member committee with the task of studying the agreement and making recommendations to the Government on how to proceed with it.

The committee will be chaired by economist Prof. Lalithasiri Gunaruwan. Its other members are former Transport Ministry Secretary D.S. Jayaweera, Nihal Jayawardena PC and architect Nalaka Jayaweera.

The Cabinet decision made by the previous Government on 29 October to sign the MCC Compact agreement will be put on hold until the committee makes its recommendation, Cabinet Spokesman Minister Bandula Gunawardana said.

“The decision to appoint the committee was made after taking into consideration various views expressed regarding the MCC compact. This committee will make a detailed study of the MCC’s $ 480 million development assistance grant and make recommendations,” Gunawardana said.

The MCC grant figured prominently at the last Presidential Election campaign with the SLPP saying that it would abandon the grant but has since said it was willing to study it further before making a final decision on it.

The programs to be undertaken under the grant are intended to reduce traffic congestion, improve public transportation in Colombo, upgrade provincial roads and expand existing Government initiatives to improve land administration and strengthen the land rights of Sri Lankans.