The U.S. government’s Millennium Challenge Corporation (MCC) announced USD $8 million (138.8 million kwacha) in new grant funding to the Zambian government to advance the development of an MCC compact program to reduce poverty through economic growth in Zambia. MCC compact programs average approximately USD $350 million and are designed to benefit millions of people through inclusive economic growth. U.S. Ambassador to Zambia Michael Gonzales was honored to join MCC Principal Deputy Vice President Kyeh Kim and Zambian Minister of Finance and National Planning Situmbeko Musokotwane at the signing of the agreement at the Ministry of Finance. “When the United States looks at Zambia, we see a country of massive potential. We see a bright and increasingly illuminating beacon of excitement on democratic trajectories as well as economic growth,” said Ambassador Gonzales.
“We are pleased to announce this new funding to support the development of MCC’s compact with Zambia,” Principal Deputy Vice President Kim said. “With this funding, MCC and the Zambian government will work to identify projects for investment to reduce poverty by spurring inclusive economic growth and private sector investment.”
As part of the compact development process, MCC and the Zambian government are working together to identify investments that present the greatest opportunities for inclusive economic growth that include infrastructure to support the agricultural sector, opportunities for supporting the agriculture value chain, institutional strengthening, and policy reform.
“The Zambian government is committed to strengthening the capacity of our institutions and implementing solid economic and fiscal policies, improving the lives of all Zambians,” said Minister Musokotwane. “The signing of this agreement demonstrates continued progress towards developing a compact program. I look forward to continuing our successful partnership with the United States government through the Millennium Challenge Corporation.”
MCC’s Zambia Country Team is working with the Zambian government to consult with a wide range of stakeholders, including potential beneficiaries, the private sector, civil society, other donors, and relevant government entities to collect input into program design.
Using an approach that reflects a country’s own priorities and strict investment criteria, MCC provides time-limited grants and assistance to developing countries that meet rigorous standards for good governance, from fighting corruption to respecting democratic rights. Working with local partners, MCC tackles some of the most pressing challenges faced by developing countries.
The USD $354.8 million (6.1 billion kwacha) first MCC compact program in Zambia ran from 2013 – 2018, investing in urban water and sanitation in Lusaka to benefit over 1.2 million Zambians.
The Millennium Challenge Corporation is an independent U.S. Government agency working to reduce global poverty through economic growth. Created in 2004, MCC provides time-limited grants and assistance to poor countries that meet rigorous standards for good governance, from fighting corruption to respecting democratic rights. Learn more about MCC at www.mcc.gov .
Distributed by APO Group on behalf of U.S. Embassy in Zambia.